by Trenna Sue Hiler

Created on: August 23, 2008   Last Updated: August 25, 2008

Having a successful family daycare is all about good business sense and boundaries. If you can master these two things you can have a thriving home business that makes money.

The business issues you want to focus on are as follows:

{} Write a business plan
A business play is the plan that shows you are looking ahead. It explains how you are going to allocate resources. It outlines contingency plans for potential opportunities and problems. It shows that you have done your research and you have a viable plan. Even if you are not looking for funding you should develop a business plan.

{} Proper licensing
These vary from state to state, county to county and city to city. Don't ignore any of these rules. This is a way to keep your business and assets safe.

{} Enough insurance
You insurance needs change as you bring children in your home for daycare. Make sure you contact your insurance agent gets the correct coverage you need to protect yourself, the children and your property.

{} Accounting procedures
It is best to ask for a first and last month deposit. Keep these deposits in an interesting bearing account. These are not working capitol. These are truly deposits if the parents don't pay or break the contract with the day care. Make sure receipts and accounting are clear and could pass an audit. Pay your taxes.

What was the reference to boundaries?

{} Have separate area
It's vital that your home remains a place for your family to gather and enjoy. The daycare needs have a limited space. They can not have the run of the house or your home isn't a home any more.

{} Hire help
Nothing is worse than assuming family members can sit with the kids for just a few minutes. You created this business. If you want to pay them and they want to apply that is a different story. You want qualified experienced help. Even if you are running a small operation, what happens when you are ill? What if you need to go to an appointment? There needs to be a boundary between your family and the day care.

{} Friends and relatives
When I am at work I am neither your friend nor your relative, I am your child care provider. You don't get a special rate because things are tough. You don't get to hang around when my attention should be focused on other children. You signed the same contract as everyone else. Please call me after 7:00. I really want to visit with you.

{} No exceptions
If you break one of your rules once, you have set a precedence. You have left yourself open for that expectation again and from other people.

A family day care can be a great little home business and may grow into a bigger business if you do it right.

Reference:
www.libsci.sc.edu
www.essortment.com
www.hom ebusinesscenter.com

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