Free Day Care Center Business Plan
For Raising Capital from Investors, Banks, or Grant Companies!
Please note that the financials
in this complete free business plan are completely fictitious and may not
match the text of the business plan below. This free business plan demonstration
purposes only. If you are interested in purchasing the completed editable MS Word
and Excel documents for this business plan, please click the button below! Also,
the text of the business plan is formatted with a fully automated
table of contents.
It should be noted that there is no special software required to use these
templates. All business plans come in Microsoft Word and Microsoft Excel format.
Each business plan features:
- Excecutive Summary
- Company and Financing Summary
- Products and Services Overview
- Strategic Analysis with current research!
- Marketing Plan
- Personnel Plan
- 3 Year Advanced Financial Plan
- Expanded Financial Plan with Monthly Financials
- FREE 30 Page Sample Private Placement Memorandum
- FREE PowerPoint Presentation for Banks, Investors,
or Grant Companies!
- All plans are updated for 2013!
1.0 Executive Summary
The purpose of this business plan is to raise $100,000 for the development of a day care center while showcasing the expected financials and operations over the next three years. The Day Care Center, Inc. (“the Company”) is a New York based corporation that will provide day and evening child care services to customers in its targeted market. The Company was founded in 2009 by John Doe.
1.1 Products and Services
The Day Care Center offers high quality childcare and education to children between the ages of six weeks through twelve years old. The daycare center will offer state of the art technology and amenities. In order to promote a good reputation, the new facility will offer a small childcare worker to child ratio. The Day Care Center will be a facility where a child will be nurtured and supported in a way that will promote positive self-esteem and the opportunity for optimal growth in all areas of development. The third section of the business plan will further describe the services offered by the Day Care Center.
1.2 The Financing
Mr. Doe is seeking to raise $100,000 from as a bank loan. The interest rate and loan agreement are to be further discussed during negotiation. This business plan assumes that the business will receive a 10 year loan with a 9% fixed interest rate.
1.3 Mission Statement
Management’s mission is to ensure the best quality childcare that will contribute to all aspects of the child’s care while providing fun educational opportunities that promote growth and development while implementing healthy, physical, and social development for each child.
1.4 Mangement Team
The Company was founded by John Doe. Mr. Doe has more than 10 years of experience in the day care industry. Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations.
1.5 Sales Forecasts
Mr. Doe expects a strong rate of growth at the start of operations. Below are the expected financials over the next three years.
1.6 Expansion Plan
The Founder expects that the business will aggressively expand during the first three years of operation. Mr. Doe intends to implement marketing campaigns that will effectively target individuals within the target market.
2.0 Company and Financing Summary
2.1 Registered Name and Corporate Structure
Day Care Center, Inc. The Company is registered as a corporation in the State of New York.
2.2 Required Funds
At this time, the Day Care Center requires $100,000 of debt funds. Below is a breakdown of how these funds will be used:
2.3 Investor Equity
Mr. Doe is not seeking an investment from a third party at this time.
2.4 Management Equity
John Doe owns 100% of the Day Care Center, Inc.
2.5 Exit Strategy
If the business is very successful, Mr. Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of the Day Care Center. Based on historical numbers, the business could fetch a sales premium of up to 6 times earnings.
3.0 Products and Services
Below is a description of the day care services offered by the Day Care Center
3.1 Child Care Services
The Company will provide continual daycare for children between the ages of six weeks to twelve years old within its facilities. The facility to be used by the business meet local, state, and federal regulations in regards to the cleanliness and structural integrity of each facility. The Day Care Center intends to provide meals, entertainment, and education for these children within the facility. Each facility will also have a number of beds so that children can have a comfortable place to stay while their parents or guardians are working.
4.0 Strategic and Market Analysis
4.1 Economic Outlook
This section of the analysis will detail the economic climate, the day care industry, the customer profile, and the competition that the business will face as it progresses through its business operations. Currently, the economic market condition in the United States is in recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows. Many economists expect that this recession will continue until mid-2009, at which point the economy will begin a prolonged recovery period. However, Day Care Centers operate with great economic stability as people will continue to require day care services despite deleterious changes in the general economy.
4.2 Industry Analysis
The full industry research is available in the purchased version of the Day Care Center Business Plan.
4.3 Customer Profile
In this section of the analysis, you should describe the type of customer you are seeking to acquire. These traits include income size, type of business/occupation; how far away from your business is to your customer, and what the customer is looking for. In this section, you can also put demographic information about your target market including population size, income demographics, level of education, etc.
4.4 Competitive Analysis
This is one of the sections of the business plan that you must write completely on your own. The key to writing a strong competitive analysis is that you do your research on the local competition. Find out who your competitors are by searching online directories and searching in your local Yellow Pages. If there are a number of competitors in the same industry (meaning that it is not feasible to describe each one) then showcase the number of businesses that compete with you, and why your business will provide customers with service/products that are of better quality or less expensive than your competition.
5.0 Marketing Plan
The Day Care Center intends to maintain an extensive marketing campaign that will ensure maximum visibility for the business in its targeted market. Below is an overview of the marketing strategies and objectives of the Day Care Center
5.1 Marketing Objectives
• Establish relationships with schools within the targeted market.
• Develop an online presence by developing a website and placing the Company’s name and contact information with online directories.
• Implement a local campaign with the Company’s targeted market via the use of flyers, local newspaper advertisements, and word of mouth advertising.
5.2 Marketing Strategies
Mr. Doe intends on using a number of marketing strategies that will allow the Day Care Center to easily target men and women within the target market. These strategies include traditional print advertisements and ads placed on search engines on the Internet. Below is a description of how the business intends to market its services to the general public. The Day Care Center will also use an internet based strategy. This is very important as many people seeking local services, such as day care, now the Internet to conduct their preliminary searches. Mr. Doe will register the Day Care Center with online portals so that potential customers can easily reach the Day Care Center’s business. The Company will also develop its own online website. The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the day care services that the Company is selling. In this section, you should expand on how you intend to implement your marketing. List publications, local newspapers, radio, and other outlets that you will use to promote your business. Discuss how much money you intend to spending on marketing.
In this section, describe the pricing of your services and products. You should provide as much information as possible about your pricing as possible in this section. However, if you have hundreds of items, condense your product list categorically. This section of the business plan should not span more than 1 page.
6.0 Organizational Plan and Personnel Summary
6.1 Corporate Organization
6.2 Organizational Budget
6.3 Management Biographies
In this section of the business plan, you should write a two to four paragraph biography
about your work experience, your education, and your skill set. For each owner or
key employee, you should provide a brief biography in this section.
7.0 Financial Plan
7.1 Underlying Assumptions
• The loan will have a 10 year term with a 9% interest rate.
• The Day Care Center will have an annual revenue growth rate of 16% per year.
• The Owner will acquire $100,000 of debt funds to develop the business.
7.2 Sensitivity Analysis
In the event of an economic downturn, the Company will most likely not see a decline in revenues. Child care services will continue to be demanded among working parents, despite deleterious changes in the economy. As such, the business will be able to satisfy its obligations on a month to month basis.
7.3 Source of Funds
7.4 General Assumptions
7.5 Profit and Loss Statements
7.6 Cash Flow Analysis
7.7 Balance Sheet
7.8 General Assumptions
7.9 Business Ratios
Expanded Profit and Loss Statements
Expanded Cash Flow Analysis