Preschool Business Plan Template

How to start a Preschool Business

Are you interested in starting your own preschool Business?

Starting a preschool business can be a rewarding and fun way to enter the early childhood education industry. By following some simple steps and doing some research, you can open your own successful preschool. The first step in starting a preschool business is to research the early childhood education industry and find out what is required to open and operate a successful preschool. This can be done by talking to other early childhood educators, reading industry publications, and attending conferences and seminars. Once you have a good understanding of the early childhood education industry, you need to write a business plan for your preschool. This business plan will include your goals and objectives for your preschool, your target market, your marketing strategy, your financial projections, and your plans for staffing and operations. After your business plan is complete, you will need to find a location for your preschool and secure the necessary licenses and permits. Once your preschool is up and running, you will need to market your business to attract families and generate enrollments. By following these simple steps, you can open your own successful preschool.
Global Market Size
The global market for preschools is growing rapidly. In 2017, the market was worth an estimated $102 billion and is expected to reach $196 billion by 2026. This growth is being driven by a number of factors, including the increasing number of working mothers and the rising importance of early childhood education. There are a number of ways to tap into this growing market. One option is to start your own preschool business. This can be a lucrative and rewarding endeavor, but it does require some planning and preparation. Here are a few things to keep in mind if you're thinking about starting a preschool business:
1. Know the market. As mentioned, the global market for preschools is growing rapidly. However, this growth is not evenly distributed. Some countries, such as China and India, are experiencing much faster growth than others. It's important to understand the market in your country or region before starting a preschool business.
2. Understand the regulations. Preschools are subject to a variety of regulations, both at the national and local level. Make sure you are familiar with all of the applicable regulations before starting your business.
3. Find the right location. The location of your preschool is important for two reasons. First, it will impact the cost of running your business. Second, it will affect the quality of your students. Make sure to choose a location that is both affordable and convenient for families.
4. Create a curriculum. One of the most important aspects of any preschool is its curriculum. You'll need to develop a curriculum that is both developmentally appropriate and engaging for your students.
5. Hire qualified staff. Your staff will be one of your most important assets. Make sure to hire qualified and experienced teachers who are passionate about working with young children.
Starting a preschool business can be a rewarding and profitable undertaking. However, it's important to do your homework before getting started. By following the tips above, you'll be on your way to success.
Target Market
When it comes to starting a preschool business, it is important to identify your target market. This can be done by considering factors such as the age of your target children, their location, and the type of preschool program you plan to offer. With this information in mind, you can then begin to market your preschool business to your target audience. There are a number of ways to reach your target market for your preschool business. One option is to advertise in local publications that cater to families with young children. You can also distribute flyers and brochures in pediatrician offices, daycare centers, and other places where parents are likely to see them. Additionally, you can create a website or social media page for your preschool business to reach a wider audience. When it comes to marketing your preschool business, it is important to be creative and think outside the box. By considering your target market and using various marketing strategies, you can be sure to reach the right parents and start your preschool business off on the right foot.
Business Model
There are many ways to start a preschool business. The most important part is having a clear business model. This will help you determine the best way to operate your business and make a profit. One popular business model for preschools is a franchise. Franchises offer many benefits, such as support from the franchisor, a proven business model, and brand recognition. However, franchises can be expensive to get started, and you may have to give up some control over your business. Another business model for preschools is a cooperative. In a cooperative, parents pool their resources to start and operate the preschool. This model can be less expensive than a franchise, and it gives parents more control over the preschool. However, it can be more challenging to get started, and parents may need to be more involved in the day-to-day operations. There are also many independent preschools. This is the most traditional model, and it offers the most flexibility. However, it can be more difficult to get started, and you will need to do more marketing to attract students. No matter what business model you choose, it is important to have a clear plan for how you will operate your preschool. This includes everything from your philosophy and curriculum to your marketing and financial plan. By taking the time to plan ahead, you will be well on your way to starting a successful preschool business..
Competitive Landscape
If you're thinking about starting a preschool business, you'll need to be aware of the competition. Here are some things to consider:
1. Who are your competitors? Preschools are typically either part of a larger child care organization or they are stand-alone businesses. Some of the larger child care organizations include KidznKaboodle, Gymboree, and KinderCare. These companies have many locations and offer a variety of child care services, including preschool programs. There are also many stand-alone preschools, which range in size from small, home-based businesses to large operations with multiple locations. Some of the well-known stand-alone preschools include Montessori schools, Reggio Emilia schools, and Waldorf schools.
2. What do your competitors offer? When you're considering starting a preschool, it's important to find out what your competition is offering. What types of programs do they have? What are their tuition rates? What are their hours of operation?
3. What are your competitive advantages? Once you know who your competition is and what they offer, you can start to identify your competitive advantages. For example, if you're starting a Montessori school, you may be able to offer lower tuition rates than other Montessori schools in the area. Or, if you're starting a home-based preschool, you may have the advantage of flexible hours.
4. How can you differentiate your business? In order to succeed in the preschool business, you'll need to find ways to differentiate your business from your competitors. This may involve offering unique programs or services, or it may simply mean marketing your business in a way that sets you apart from the competition.
If you're thinking of starting a preschool business, congratulations! You're embarking on a wonderful and rewarding adventure. By following the steps outlined in this blog post, you'll be well on your way to success. Starting a preschool business is a big undertaking, but it's also a hugely rewarding one. Preschool is an important time in a child's life, and you'll be playing a vital role in shaping their future. Good luck!

Why write a business plan?

A business plan is a critical tool for businesses and startups for a number of reasons:
  • Business Plans can help to articulate and flesh out the business’s goals and objectives. This can be beneficial not only for the business owner, but also for potential investors or partners
  • Business Plans can serve as a roadmap for the business, helping to keep it on track and on target. This is especially important for businesses that are growing and evolving, as it can be easy to get sidetracked without a clear plan in place.
  • Business plans can be a valuable tool for communicating the business’s vision to employees, customers, and other key stakeholders.
  • Business plans are one of the most affordable and straightforward ways of ensuring your business is successful.
  • Business plans allow you to understand your competition better to critically analyze your unique business proposition and differentiate yourself from the market.
  • Business Plans allow you to better understand your customer. Conducting a customer analysis is essential to create better products and services and market more effectively.
  • Business Plans allow you to determine the financial needs of the business leading to a better understanding of how much capital is needed to start the business and how much fundraising is needed.
  • Business Plans allow you to put your business model in words and analyze it further to improve revenues or fill the holes in your strategy.
  • Business plans allow you to attract investors and partners into the business as they can read an explanation about the business.
  • Business plans allow you to position your brand by understanding your company’s role in the marketplace.
  • Business Plans allow you to uncover new opportunities by undergoing the process of brainstorming while drafting your business plan which allows you to see your business in a new light. This allows you to come up with new ideas for products/services, business and marketing strategies.
  • Business Plans allow you to access the growth and success of your business by comparing actual operational results versus the forecasts and assumptions in your business plan. This allows you to update your business plan to a business growth plan and ensure the long-term success and survival of your business.

Business Plan Content


Many people struggle with drafting a business plan and it is necessary to ensure all important sections are present in a business plan:
  1. Executive Summary
  2. Company Overview
  3. Industry Analysis
  4. Consumer Analysis
  5. Competitor Analysis & Advantages
  6. Marketing Strategies & Plan
  7. Plan of Action
  8. Management Team

The financial forecast template is an extensive Microsoft Excel sheet with Sheets on Required Start-up Capital, Salary & Wage Plans, 5-year Income Statement, 5-year Cash-Flow Statement, 5-Year Balance Sheet, 5-Year Financial Highlights and other accounting statements that would cost in excess of £1000 if obtained by an accountant.

The financial forecast has been excluded from the business plan template. If you’d like to receive the financial forecast template for your start-up, please contact us at . Our consultants will be happy to discuss your business plan and provide you with the financial forecast template to accompany your business plan.

Instructions for the Business Plan Template

To complete your perfect preschool business plan, fill out the form below and download our preschool business plan template. The template is a word document that can be edited to include information about your preschool business. The document contains instructions to complete the business plan and will go over all sections of the plan. Instructions are given in the document in red font and some tips are also included in blue font. The free template includes all sections excluding the financial forecast. If you need any additional help with drafting your business plan from our business plan template, please set up a complimentary 30-minute consultation with one of our consultants.

Ongoing Business Planning


With the growth of your business, your initial goals and plan is bound to change. To ensure the continued growth and success of your business, it is necessary to periodically update your business plan. Your business plan will convert to a business growth plan with versions that are updated every quarter/year. Avvale Consulting recommends that you update your business plan every few months and practice this as a process. Your business is also more likely to grow if you access your performance regularly against your business plans and reassess targets for business growth plans.


Want a Bespoke Business Plan for your preschool Business?

Our Expertise


Avvale Consulting has extensive experience working with companies in many sectors including the preschool industry. You can avail a free 30-minute business consultation to ask any questions you have about starting your preschool business. We would also be happy to create a bespoke preschool business plan for your preschool business including a 5-year financial forecast to ensure the success of your preschool business and raise capital from investors to start your preschool business. This will include high-value consulting hours with our consultants and multiple value-added products such as investor lists and Angel Investor introductions.


About Us


Avvale Consulting is a leading startup business consulting firm based in London, United Kingdom. Our consultants have years of experience working with startups and have worked with over 300 startups from all around the world. Our team has thousands of business plans, pitch decks and other investment documents for startups leading to over $100 Million raised from various sources. Our business plan templates are the combination of years of startup fundraising and operational experience and can be easily completed by a business owner regardless of their business stage or expertise. So, whether you are a budding entrepreneur or a veteran businessman, download our business plan template and get started on your business growth journey today.
Website Design & Development Preschool

Website Design & Development for Preschool Businesses

A Guide to Social Media Preschool

A Guide to Social Media for Preschool Businesses

Preschool Business Plan Template FAQs

What is a business plan for a/an Preschool business?

A business plan for a preschool business is a comprehensive document that outlines the goals, strategies, and financial projections for starting and operating a preschool. It includes detailed information about the preschool's target market, competitive analysis, marketing and advertising strategies, organizational structure, curriculum and teaching methods, facilities and equipment needed, and financial projections for revenue and expenses. The business plan serves as a roadmap for the preschool owner, providing a clear vision and direction for the business, attracting potential investors or lenders, and ensuring the preschool's success and sustainability.

How to customize the business plan template for a Preschool business?

To customize the business plan template for a Preschool business, follow these steps:

1. Open the template: Once you have purchased and downloaded the business plan template, open it using a compatible software program such as Microsoft Word or Google Docs.

2. Review the template: Take some time to thoroughly review the entire template, including the sections and headings. This will give you an understanding of the structure and content that needs to be customized.

3. Update the executive summary: Start by updating the executive summary, which provides an overview of your Preschool business. Tailor the summary to reflect your unique vision, mission, and goals for your Preschool.

4. Modify the company description: Customize the company description section to include information about your Preschool's history, location, facilities, and ownership structure. Highlight any unique features or competitive advantages your Preschool offers.

5. Adjust the market analysis: Conduct thorough research on the local market for Preschool services. Update the market analysis section with data on target demographics, competition, and industry trends. Include information on your target audience, such as parents' preferences and needs.

6. Revise the services and offerings: Describe the specific services and programs your Preschool will offer. Customize this section to showcase your curriculum, teaching methods, extracurricular activities, and any other unique offerings that set your Preschool apart.

7. Modify the organizational structure: Customize the organizational structure section to reflect the management and staffing of your Preschool. Outline the roles and

What financial information should be included in a Preschool business plan?

In a Preschool business plan, the following financial information should be included:

1. Start-up Costs: This includes all the expenses required to start the preschool, such as leasing or purchasing a facility, renovating the space, purchasing equipment and supplies, licensing fees, and any legal or professional fees.

2. Operating Expenses: This section should outline the ongoing costs of running the preschool, including monthly rent, utilities, insurance, payroll, staff salaries and benefits, marketing expenses, maintenance and repairs, and any other overhead expenses.

3. Revenue Projections: It is important to provide a detailed projection of the expected revenue for the preschool. This can be based on factors such as the number of children enrolled, the tuition fees, and any additional services offered, such as after-school programs or summer camps.

4. Break-Even Analysis: This analysis determines the point at which the preschool's revenue will match its expenses, indicating when the business will become profitable. It should include the number of children needed to break even, as well as the timeline for achieving this goal.

5. Financial Statements: These statements include a balance sheet, income statement, and cash flow statement. The balance sheet provides a snapshot of the preschool's financial position at a specific point in time, showing its assets, liabilities, and equity. The income statement illustrates the preschool's revenue, expenses, and profit or loss over a specific period. The cash flow statement tracks the cash inflows and outflows, helping to assess the preschool's

Are there industry-specific considerations in the Preschool business plan template?

Yes, the Preschool business plan template takes into account industry-specific considerations. It includes sections that are specific to the preschool industry, such as market analysis, competitive analysis, curriculum development, staffing requirements, licensing and regulations, marketing and promotional strategies, and financial projections tailored to a preschool business. The template also provides guidance on how to address potential challenges and opportunities that are unique to the preschool industry.

How to conduct market research for a Preschool business plan?

Conducting market research for a Preschool business plan is crucial to understand the potential demand and competitive landscape in your target market. Here are the steps to conduct effective market research for a Preschool business plan:

1. Define your target market: Identify the specific demographic you plan to serve, such as age range, income level, and location. This will help you tailor your research efforts.

2. Gather data on local demographics: Collect information on the number of families with young children, population growth trends, income levels, and other relevant data from local government sources, census reports, or market research firms.

3. Analyze competitors: Identify other preschools in your area and analyze their services, pricing, reputation, and market share. Study their strengths and weaknesses to identify opportunities for differentiation.

4. Conduct surveys: Develop questionnaires to gather feedback from potential customers about their preferences, needs, and expectations for a preschool. You can distribute these surveys online, through social media, or at local community events.

5. Interview parents: Conduct interviews or focus groups with parents of young children to gain deeper insights into their preferences, concerns, and decision-making processes when choosing a preschool.

6. Visit local schools and events: Attend open houses, school fairs, and community events to observe the activities, services, and facilities offered by other preschools in your area. This will provide valuable insights into the competition and the expectations of parents.

7. Research industry trends: Stay updated on the latest trends and innovations

What are the common challenges when creating a business plan for a Preschool business?

Creating a business plan for a Preschool business can come with its own set of challenges. Some of the common challenges that you may encounter are:

1. Understanding the target market: It is essential to have a deep understanding of the local demographic, including the number of potential customers, their preferences, and the demand for preschool services. Gathering accurate market data can be challenging, and it may require extensive research and analysis.

2. Identifying competition: Identifying and analyzing competitors in the area can be a challenge. This includes determining their strengths, weaknesses, pricing strategies, and unique selling points. Thorough market research and competitor analysis are crucial to developing a successful business plan.

3. Financial projections: Accurately projecting the financials, including startup costs, operating expenses, and revenue streams, can be difficult. Estimating enrollment numbers, tuition fees, and other expenses requires careful consideration and research. It is essential to ensure that your financial projections are realistic and achievable.

4. Meeting regulatory requirements: Starting a preschool business involves complying with various local, state, and federal regulations. These may include licensing, health and safety regulations, staff qualifications, zoning laws, and more. Understanding and adhering to these requirements can be a complex and time-consuming process.

5. Developing a curriculum: Designing an effective and developmentally appropriate curriculum is crucial for a preschool business. It requires knowledge of early childhood education principles, understanding the needs of young children, and aligning the curriculum with local educational standards. Creating a

How often should I update my Preschool business plan?

It is recommended to update your Preschool business plan at least once a year or whenever there are significant changes in your business. This ensures that your plan remains relevant and reflective of your current goals, strategies, and market conditions. Additionally, updating your business plan regularly allows you to track your progress and make necessary adjustments to stay on track towards achieving your objectives.

Can I use the business plan template for seeking funding for a Preschool business?

Yes, you can definitely use the business plan template for seeking funding for your Preschool business. The template will provide you with a comprehensive and professional document that outlines your business concept, market analysis, financial projections, and marketing strategies. These are all crucial elements that potential investors or lenders will look for when considering funding for a Preschool business. By using the template, you can present a clear and well-structured plan that demonstrates the viability and profitability of your Preschool business, increasing your chances of securing the necessary funding.

What legal considerations are there in a Preschool business plan?

When creating a preschool business plan, there are several legal considerations that you should keep in mind. These include:

1. Licensing and Regulations: It is crucial to ensure that your preschool complies with all local, state, and federal licensing requirements and regulations. This may involve obtaining the necessary permits, meeting health and safety standards, and adhering to specific curriculum guidelines.

2. Business Structure: Choose an appropriate legal structure for your preschool, such as a sole proprietorship, partnership, limited liability company (LLC), or corporation. Each structure has different legal and tax implications, so it is advisable to consult with an attorney or accountant to determine the best option for your circumstances.

3. Contracts and Agreements: Establishing proper contracts and agreements is essential to protect your preschool's interests. This may include contracts with parents, employees, suppliers, and contractors. Ensure that these contracts cover important aspects such as fees, enrollment policies, liability waivers, confidentiality, and termination clauses.

4. Employment Laws: Familiarize yourself with employment laws and regulations, including minimum wage requirements, overtime pay, employee benefits, and anti-discrimination laws. Develop policies and procedures that comply with these laws and ensure fair treatment of your staff.

5. Intellectual Property: If you plan to develop unique curriculum materials, logos, or a brand identity, you should consider protecting your intellectual property through trademarks, copyrights, or patents. Consult with an intellectual property attorney to understand the best way to safeguard your preschool's assets.

6. Insurance