A day care
or crèche is a place where babies, toddlers and young children are kept during
the daytime while their parents are busy with work. It’s a sort of playground/classroom
setting where these younglings hang out, play, rest and are taking care of by
trained handlers so that later in the day after work the parents can come pick
them up.
The Opportunity
There is a
high demand for Creche and day care schools in our urban centers in Nigeria.
Why do I say that? How many working class mothers do we have in many of our
cities? How many of them have nannies to look after their kids? Fact is
toddlers can be a big distraction in the workplace and many mums know this
hence why they choose to enroll their darlings in Creches and day care centers.
This is the reason many primary schools set up nursery arms to serve as day
care centers.
Who is the business for?
If you love
children and you’re very good at looking after them then you may want to
consider going into this business. However the challenge is always keeping your
kids in safe hands and making sure that nothing bad happens to any of them. If
you’ve handled children in Sunday school or have taught in a nursery school or
have looked after children before then give it a try.
Marketing
This is a
business you can start from your home informally approaching nursing or working
mothers in your neighbourhood, at church or any other gathering letting them
know what you do. If you wish to rent it makes sense to pick a room in a
strategic location which is easy to access by your target group. You can later
start printing fliers when you have attracted a small number of clients. Even if
you can find 4 or more people initially it’s worth it, make do with that and as
you become more consistent and better at what you do, you’ll gain more
customers.
Requirements
To set up
something like this you’ll need the following;
Mini Flat –
N800,000 per annum
12 Small Chairs
– N24,000
3 Small
tables – N24,000
Toys – N40,000
TV set – N40,000
VCD player –
N15,000
Book shelf –
N60,000
Kiddies
books and stationery – N30,000
Others – N500,000
Total:
N1,533,000
How profitable is the Creche Business
in Nigeria?
Like all
businesses that depends on many factors but considering that parents pay
N30,000 per term for nursery schooling you could charge each parent say N5,000
per month. Let’s assume you have 12 enrollments multiplied by 5 that’s N60,000
for the first month.
Breakdown first year (this is an
estimate)
50
enrollments X N60,000 = N3 million
Running
expenses (rent, salary, electricity etc) = N2.4 million
Profit
before tax = N600,000
Return on
Investment = 40%
Pay Back Period = 2 to 3 years
Pay Back Period = 2 to 3 years
This is a
business you can run for years without approaching banks for loans as it can
expand on it’s own. It’s a cash cow.
Good luck.
If you need a well written business plan but don’t have the time or expertise you can contact a specialist business plan writer to do a detailed analysis of a business opportunity or market survey. Simply call: 0803 206 4106
If you need a well written business plan but don’t have the time or expertise you can contact a specialist business plan writer to do a detailed analysis of a business opportunity or market survey. Simply call: 0803 206 4106