Bouncy Kids Child
Table of Contents
I. Executive Summary
III. Industry Analysis
V. Management/Human Resources
VIII. Assumption Page
IX. Financial Documents
X. Supporting Documents
Bouncy Kids Child Development Center will operate under a Christian philosophy that children need to be treated with warmth and respect. One major emerging trend in the childcare industry according to the Census Bureau’s Report “What Does It Cost to Mind Our Preschoolers?” is the care of children during non- standard hours. The service sector is projected to have the highest and fastest growing percentage of shift workers at 42%. In 1990, 7.2 million mothers with 11.7 million children under the age of 15 worked either full or part time during non-standard hours. Mothers with children under age 5 have the highest percentage of voluntary non-standard hours.
Marketing efforts will remain primarily grassroots using local resources, current families, and churches to promote Bouncy Kids Child Development Center.
Bouncy Kids Child Development Center is a Limited Liability Company (LLC) owned by (CDC Owner). (CDC Owner) has over 15 years in the child care industry and has worked vigorously to provide care for Development Center will operate under a Christian philosophy that children need to be treated with warmth and respect. The children served by Bouncy Kids especially need experiences that will foster physical, social, emotional, and cognitive growth. The atmosphere at Bouncy Kids will be a caring environment to encourage independence, constructive problem solving, positive self-esteem, and improved self-worth. Bouncy Kids Child Care opened for business in 1996 and at that time was licensed for forty children. Currently, the center is licensed for sixty children aged 6 weeks to 6 years. XX
children are enrolled at Bouncy Kids .
(CDC Owner) started the child development center with the mission to serve inner city, low-income families with quality childcare. She is passionate about the need to assist children in their early childhood development with a stable, enriching and loving environment while their parents are working. She also understands the problems of lower income parents who cannot afford to pay for quality childcare. She has been operating the center from her hearts and passion to help families find personal and financial stability. The owner is now trying to operate their centers in a more business-like manner.
The childcare industry remains essentially a mom-and-pop business ringing up annual sales estimated to be between $10 billion and $35 billion. Although the national chains grew 200% during the 80’s, they still accounted for only 5% of the childcare centers operating nationwide. In 1995, only 9 chains had as many as 24 centers. The rest were much smaller operations, many of them non-profit or run in a provider’s home. Profit margins in the industry are very slim. The average for-profit daycare center earns 5% over costs. Some franchise operations function at about 7% margins. Information on the costs involved in the daycare industry was found in the 1995 report entitled “Cost, Quality and Child Outcomes in Childcare Centers”. Because childcare is so labor intensive, labor costs account for 70% of a center’s total expensed costs. Facilities make up 15% of the expended cost budget. However economies of scale can be realized. Total expended costs decline as the number of children served at the childcare center increases. On average, centers with 40 or more full-time equivalent children realized a 10% savings in total cost per child per hour, while centers with 80 full-time equivalent children realized a 20% cost savings. One major emerging trend in the childcare industry according to the Census Bureau’s Report...