Costs and funding
Start up costs
When planning a new childcare business, it's important to know your costs.
- start up costs are the initial costs of setting up the business, which can include the purchase and lease of premises, building costs, equipment, recruitment costs and marketing costs
- running costs are the every day costs of running the business which can include staffing, gas, electricity, insurance, disposable resources (e.g. creative materials) and food
Business planning and financial management
You need to make a business plan and include your budget and cashflow forecasts, to demonstrate that your business ideas will work.
Get support with your business plan here.
The Department for Education (DofE) has some publications to support early years providers to run sustainable businesses. They have spoken to a range of providers about the challenges their businesses have faced and the ideas and schemes they have put in place to be sustainable.
See GOV UK summary: supporting early years providers to run sustainable businesses.
When setting up a new business, it is important to know your obligations regarding data protection. The Information Commissioners Office provides information on how to comply with required legislation.
Funding for early years and childcare businesses
Be aware of the funding you can access. In Brighton & Hove, early years providers receive:
- Early Years Free Entitlement (EYFE) Funding for two, three and four year-olds
- Early Years Pupil Premium (EYPP)
- disability access fund (DAF), special educational needs (SEN) inclusion fund
GOV.UK provide guidance on extra sources of income for childcare providers.