Financial Stability Benchmarks EVERY Childcare Business Must Know!

Hey, childcare CEOs! This is your coach, Dr. Andrea Dickerson, founder of IOwnADaycare.com, where we connect childcare business owners with proven management solutions.

Today, let’s talk money — more specifically, your financial stability and the benchmarks you must have in place to scale and grow your company. If you’re ready to break free from bad money habits and create a profitable childcare business, keep reading!

Why Financial Habits Matter

So many childcare business owners fall into bad financial habits:

Not reviewing financials consistently
Avoiding profit and loss statements
Asking others what to charge instead of calculating their own costs
Copying competitor pricing without knowing their own numbers
These practices are setting you up for financial instability — and that stops today.

Good Financial Habits Start Here

At our upcoming virtual conference, I’ll be breaking down these principles in more detail. But here’s a sneak peek of what you’ll learn:

1. Know Your Net Profit

Industry standard: 20–30% net profit

Net profit = Income – Expenses

You must track this every 30 days to ensure your business is healthy. If you’re not hitting at least 20%, it’s time to re-evaluate your pricing, expenses, or both.

👉 Stop copying what others charge. Base your rates on your own financial data.

2. Calculate Revenue Per Child

This is a CEO-level decision. Even if you’re working with subsidy agencies, you must know how much each child is bringing in monthly.

This number excludes expenses — it’s pure revenue.
It helps you make smart decisions about budgeting, hiring, and resource allocation.
Tracking this regularly prevents you from falling into debt-to-income traps.

Too many owners raise rates based on gut feelings. Instead, let the numbers guide your decisions.

3. Track Your Enrollment Rate

Target: 90% of licensed capacity

If you’re licensed for 100 children, aim for 90 enrolled. If you’re below that, it’s a warning sign — your marketing and outreach efforts likely need work.

Bad habit: Just showing up and putting out fires
Good habit: Running your center with a solid marketing plan that brings in new families

Remember the ABCs of childcare: Always Be Closing. You’re not just a provider — you’re the CEO.

Ready to Improve Your Financial Future?

If this information resonated with you, don’t miss the upcoming Jumpstart My Childcare Success Virtual Conference. Spend two powerful days with me learning:

How to improve your finances
How to increase enrollment
How to build operational systems that scale
And much more!

🎟️ Grab your virtual ticket today at www.jumpstartmychildcaresuccess.com

Let’s set the foundation for growth, profitability, and long-term success in your childcare business. See you at the conference!

Dr. Andrea Dickerson
Childcare Business Coach & Founder of IOwnADaycare.com