Business Start up Support Document

Business Plan

Business name

Your name ______

Address

Telephone

Date completed …………………..

Date to be reviewed ………………

Preface: Business Summary

A summary of this plan: who I/we am/are, where I/we want to get to and the business idea.

For an existing business this could be taken from your Ofsted Self Evaluation Form.

Type of childcare

/

Will you be providing?

Early Years Register – Childminder

/

Yes/ No

Early Years Register – Childcare on domestic premises

/ Yes/No

Early Years Register – Childcare on Non-Domestic Premises

/

Yes/No

Childcare Register – Compulsory

/

Yes/No

Childcare Register – Voluntary

/

Yes/No

Type of business

Self employed

/

Partnership

/

Charitable constitution

/

School Governors

/

Limited company

/

Reasons for choosing this option:

Personal Profile – experience and qualifications

List details of education, qualifications and experience relevant to the proposed business.

Please insert a further page in relation to any other staff who have been appointed.

Course title / Owner/ Manager/ Childminder / Deputy/Partner/Staff/ Assistant
Level 2
Level 3
Level 4 & above
Progress towards
EYPS
Paediatric First Aid
Renewal date?
Child Protection
Renewal date?
Food Hygiene
Renewal date?
Health & Safety
Renewal date?
SENCO TRAINING
CRB NO / DATE
OTHER
Relevant experience

Personal Survival Budget

This section is relevant if you are planning to be self employed and will therefore need to draw an income from the business. Completing the table will help you to determine how much money you need to draw from the business and this will inform your cashflow (see Appendix 4).

Charities will normally be looking to break-even rather than making a profit so would have to ensure that their income at least meets their outgoings with an allowance for contingency and renewal of equipment. See cashflow forecast (Appendix 4).

Monthly Outgoings / £
Mortgage or Rent
Council Tax
Water Charges
Gas, Oil and Electricity
Telephone, Mobile, Internet,
Insurances (house, life, health etc)
Food
Clothing
Vehicle tax and insurance
Vehicle costs – fuel, servicing, breakdown cover etc
TV licence, Newspapers, magazines, subscriptions, etc
Leisure – eating out, going out, etc
Hobbies
Holidays
Gifts and festivals (eg Birthdays, Christmas, etc)
Children (eg activities, sports etc.)
Decorating, house maintenance
Credit card/loan repayments
Class 2 National Insurance
Contingencies
Other ( )
Other ( )
Other ( )
Total outgoings / £
Income from partner / £
Other income (e.g. pension)
/ £
Other income (e.g. child tax credit)
/ £
Net survival income necessary from business / £

Business Description and Objectives

Name of business

Describe the services to be provided (type of childcare and opening hours)

Business aims and targets

What I/ we plan to achieve in the short term (next year) and longer term (3 years ahead)

Market Research

Competitors
Information on competitors and how they compare in terms of price, location, service and quality with the proposed/actual business. For further information on provision in your area please contact the Family Information Service on 0800 5878191 or e-mail

You will need to liaise with others in area (eg. Schools, nursery, pre-school, childminders)

Customers

Market research on potential customers – who and where the clients are, when and how they will access the service.

Analysis of market research

What have you learnt from the research above?

Niche in the market identified

Is there a gap which you can fill (early mornings, later pickups, weekends)?

Setting Fees

When setting fees you need to consider the following:

·  Personal budget (for self-employed).

·  Costs – These will be identified in your cash-flow forecast. They include fixed cost such as premises and management/core staff plus the variable costs such as additional staff and equipment. Remember hidden costs such as bank charges and payroll.

·  Fees charged by competitors – you should look at what other providers are charging to ensure that your business will be an affordable option for parents.

·  Any additional services offered – for example some childminders will charge an additional fee for early mornings or late sessions (before 8.00 am or after 6.00 pm). Will you be charging a separate fee for breakfast/lunch/tea or School pick-ups?

·  Any discounts – for example the full day rate may be cheaper than the hourly rate or sometimes a discounted rate is charged for siblings. Will you give a discount for prompt payment or payment by standing order?


Marketing Plan

Advertising and promotion

How the business will be promoted, costs of this promotion.

Don’t forget links to Family Information Service and local Children’s Centre/Schools

Marketing activities

Plans for special offers, discounts, or other marketing/promotional activities.

Accepting employer Childcare Vouchers

Unique selling point

What makes this business stand out from everyone else?

Sales and marketing budget – available and required

Recruitment and management of staff

How you will recruit and manage staff for the business/childminding assistants?
Premises

Description of premises

For existing settings this might be linked to Part A section 1 of your Ofsted Self Evaluation Form (SEF)

Costs associated with the premises

Rent and rates and any other overheads. Is a deposit required? Are any physical alterations needed to the layout?

This information can be used to inform your cashflow forecast.

Start up costs (premises)
Planning
Professional Fees
Advance on rent/deposit
Alterations to premises
Equipment and resources (premises)
Registration
Telephone installation
Overheads
Rent, business rates/council tax
Electricity
Gas
Water
Telephone line rental
Maintenance and repair
Insurance

Equipment, Materials, Services & Suppliers

Equipment already owned and its value (link to insurance inventory)

Equipment needed

When it is needed, how much it will cost, and where it will be bought.

Short term / long term. (paddling pool for summer / replace shed in 3 years)

Materials and services already owned and their value

Materials and services needed

How much they will cost and where I will buy them.

Internet, library, toy library membership, scrapstore

Daily consumables

Paint, paper, food, drink, nappies, paper towels, toilet rolls

Appendix 1

Management Systems for the Business

Have you considered the following? These are all required under the Early Years Foundation Stage:

Administrative systems

Childcare Contract

Child Record Forms

Attendance Registers

Accident/incident records

3 and 4 year old funding forms (if you are planning to provide funded sessions for 3 and 4 year olds)

Income/Expenditure (journal/cash book)

Receipts required if over £10 (goods purchased)

Receipt book (for income/fees)

Copy invoices for equipment, services related to the business.

Arrangements for compliance with self-assessment procedure/charity commission returns and national insurance obligations.

Customer care

Complaints policy

Display of current Ofsted poster

Legal obligations as per EYFS, business use of premises, employment

Daily discussions/diaries

Registration and insurance documents on display

Quality control

Consultation with parents and children / young people

Ofsted grading and report.

Monitoring by local network consultants

Demand to fill places.

Link to the SEF

Appendix 2

Legal, Regulatory & Insurance Requirements

Licences and permissions necessary for my business

Childminders - CRB check for myself and other household members over the age of 16, also assistant if employed.

Group settings – CRB checks for committee/trustees/ owners. Also all staff.

Ofsted Registration Certificate.

Public Liability Insurance

Vehicle insurance including business use.

Up to date Paediatric First Aid Training.

Registered with Environmental Health Department.

Health and safety issues

Risk Assessment (including outings)

Secure premises

Health & Hygiene Policy

Nappy changing procedures

Sick Child Policy

Accident/Incident and Medication Records

Preparation and storage of food

Food Safety Certificate

Smoke alarms and fire blanket.

Evacuation plan and fire drill practice.

Cleaning routines for toys and equipment (recorded)

Insurances

Public Liability Insurance

Business use for vehicle use

Employers insurance


Appendix 3 – Guidance notes for completion of cashflow

Insert Cash Flow Projections for Year 1, 2 and 3 (The figures for year one are as exact as you can make them. For years two and three estimate expenditure and income using an assumption of 5% inflation where appropriate.)

To include

INCOME:

Fees – (Annual fee increase, Fee paying policy, discounts, meals) – see Market Research.

3 and 4 year old funding per hour, cost variations on ages, childcare vouchers

SEN – additional funding, )

Grants,

Milk refund.

Fundraising/donations

EXPENDITURE:

Drawings: For self employed.

Salaries:

Each staff members rate of pay per hour x number of contracted hours per week x number of weeks open + Holiday entitlement + Employers National Insurance Contributions (where applicable) = Total cost per staff member (remember to include any time paid for planning or meetings etc).

Work out total cost for each staff member, add together to give total amount of salary costs.

Cost of premises

Utilities: - Water rates, Telephone costs (internet), Electricity, Oil, Gas, Business rates. Council Tax

Cleaning: - Materials purchased specifically for cleaning

Insurance costs/Ofsted

Public liability, buildings, contents, personal liability.

Annual Ofsted registration fee.

Administrative Costs:

Postage, computer ink cartridges, copier paper, photocopying costs

Meals/Snacks: - Milk, fruit, juice (healthy options)

Consumables: - Paint, paper, glue, glitter, printer ink, etc.

Promotions/ Marketing/Advertising:

Printing costs for setting’s prospectus, purchase of staff uniforms

Recruitment costs

Repairs/Renewals:

Annual inspection of electrical items, paint for outside shed/fence, labour costs etc.

Equipment:

Replacement of items of equipment

Meeting costs:

Mileage to Training/meetings, Childcare costs, Telephone calls, etc. Committee expenses.

Training:

Annual budget for each staff member and the committee where applicable. Each staff member required to undertake 24 hours of in-service training annually. Cost of course plus number of hours/travel – refer to Training & Professional Development Policy.

Subscriptions:

TV Licence and license to show DVDs (exclusive use for business), magazine subscriptions, professional subscriptions, membership subscriptions

Gifts for children you care for (Christmas, leaving, etc).

Depreciation/wear and tear (expenses and allowances)

Capital Allowances (new vehicle etc…)

Costs to attend trips and external activities (if not paid direct by parent / carer)

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