How to Start Daycare at Home in India?
Looking forward to starting a daycare business in India? These are the five simple steps to explain the process:
1. Market Research
Before setting up a daycare business, thorough market research is extremely important. Although it is a safe business type that does not require major risks and large capital investment, understanding the market demography is essential. Find your competitors in the locality, see how they perform, and check if existing customers are satisfied with their service.
2. Location
Parents sending their kids to your daycare centre prefer a close distance from their home or office so they can pick them up en route without wasting their time. Besides, choose a location while keeping the children's hygiene and safety in mind. Moreover, the site should be away from heavy pollution and traffic and easily accessible. Consider a competitive rental cost to minimise expenses if you rent a space. However, opening a daycare at home is a better way to handle your business and take care of your home simultaneously.
3. Organise Funds
A daycare business plan involves numerous expenses, including renting a suitable space, converting your garage into a daycare centre, acquiring licenses, hiring staff, training employees, investing in marketing, and handling daily expenses. The total cost can be a substantial amount you can fund with unsecured business financing. Research and compare various funding options to choose a loan scheme that best suits your requirement and repayment capacity.
4. Marketing and Advertising
Local communities, events, and parent groups are the best way to promote your daycare centre. Social media can also promote your facility successfully. You can also contact people in the locality to create awareness about your business. With the right marketing technique, you can spread the word about your business and attract customers over time.
5. Obtain a License
The Ministry of Women and Child Welfare has set guidelines on how to start a daycare business in India. These involve rules associated with the centre’s location, sanitation, safety measurements, precautions, employee-child ratio, furniture type, staff hiring, etc. You must obtain a daycare license from the relevant government authority to run legal operations. Also, ensure business registration to avoid any legal disputes. You can find the complete details in the Maternity Benefit Act, 2017.
How is a Business Loan Helpful to Start a Daycare Business in India?
Setting up a daycare business in India involves several costs and expenses, including organising the space, buying furniture, toys, and equipment, implementing the necessary safety measures, hiring and training employees, getting the required licenses, marketing, keeping kids entertained, etc.
Business financing in the form of an SME loan takes care of the costs, letting you focus on your daycare business plan. However, the applicant should have an experience of up to five years in a similar field.
Obtaining a Business Loan from Hero FinCorp is beneficial in many ways, including the following:
Ample loan amount of up to Rs 40 lakh to cover various expenses
Attractive interest rates to keep the loan cost low
Flexible repayment terms of up to 60 months to keep EMIs easily manageable
Easy eligibility conditions and minimal documentation requirements for easy qualification
No collateral requirement to secure the loan
No end-use restrictions, giving you freedom for loan usage
No profit-sharing while letting you retain complete control over loan decisions
No need to touch your savings or deposits
How to Apply for a Business Loan?
Not sure how to get a loan to start a business? These are the steps involved:
Visit the Hero FinCorp website or download our loan app to begin the application process.
Register using your email account or mobile number.
Enter details regarding your identity, employment, finances, loan requirement, business plan, etc.
Provide the necessary documents, including your identity, address, income proofs and financial records.
Wait for verification, followed by approval to get the loan offer.
Accept the loan offer to initiate the disbursal process.
Conclusion
Opening a daycare centre in India is a huge responsibility. Since parents are extremely sensitive about their children, managing everything in the right way is an arduous task. A small Business Loan from Hero FinCorp can help you fund the operations and expansion of your daycare centre without hassle. Ensure you meet the eligibility criteria and have a daycare business plan ready before applying.
Frequently Asked Questions
Q. What is required to open a daycare in India?
A good location, proper safety measures, kids-friendly staff, and sufficient business financing are prerequisites to opening a daycare in India.
Q. How much does it cost to start a daycare in India?
The cost of opening a daycare centre in India depends on its type, location, and size. For instance, you can save money by opening a daycare at your home instead of renting a space.
Q. How does daycare work in India?
Daycare is a service-based business where you care for children when their parents are at work. They drop their children at your centre in the morning when going to the office and pick them up in the evening when returning home. You must have the proper security measures, entertainment options, and qualified staff members to keep kids happy at your daycare centre.
