- 1). Write your Statement of Purpose. Obviously, this is to run a daycare, but dig a little deeper and explain your reasons for thinking your daycare will be a success. If there's a shortage of care facilities in the area, include that. If you'll charge less than others will, include that also. Write down every reason you will be successful.
- 2). Follow the Statement of Purpose with a Table of Contents that details what a lender will want to know. After a short description of the new business, record your plans for finding children to care for and mention other businesses that will be in competition.
- 3). Detail your plans for operating the business and mention if you'll have employees and, if so, how many you will hire. Lenders also want to know that you've spoken with an insurance agent concerning coverage for your daycare.
- 4). Take some time to figure out what it will cost to run the daycare, what your expenses will be and how much you can realistically expect to profit. This is all speculation; however, you can come up reasonable figures by talking to other daycare providers about their financial situations.
- 5). Project a 1-year and a 3-year financial outlook in your daycare business plan. Since the first year in any business is the most important for determining success, detail monthly projections for the first year. In the second and third years, write quarterly projections.
- 6). Add extra documentation to your business plan that gives lenders a good picture of your financial situation. Most bankers will want to see three years of tax returns and any financial documents that relate to your new business. In addition, gather proof that you are licensed or able to obtain licensing in your state to provide daycare.
- 7). Compile a neat business plan that presents your ideas and goals professionally. Make copies, one should always be in your personal files. Find a nice binder for the copy you present to your lender. You have a better chance of securing financing if your business plan looks professional and contains all the necessary documents.
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