Daycare Startup Cost Calculator

Facility Type changes three cost drivers at once: the per-square-foot buildout rate more than doubles (from an illustrative $15 to $35/sq ft, reflecting commercial-space code compliance), the per-child equipment allowance rises from $1,500 to $2,500, and the licensing cost formula switches from a smaller flat fee plus a lower per-child rate to a larger flat fee plus a higher per-child rate. Because all three shift together, Facility Type can move Total Startup Cost by more than a moderate change in enrollment size does.

They're illustrative planning figures, not a quote. Commercial buildout costs vary widely by region, whether the space needs a full renovation or light updates, and local labor and permitting costs. Get an actual contractor estimate for your specific space before using a number like this for a loan application.

Only to Facility Cost. Renovation Budget (%) is applied as a percentage of the base facility buildout cost (square footage times the per-square-foot rate) and added on top of that base to produce Facility Cost. It does not scale Equipment Cost or Licensing Cost, which are calculated independently from Licensed Capacity and Facility Type.

Nearly every cost driver scales with capacity: more children means more total square footage (Facility Cost), more equipment units needed (Equipment Cost), and a licensing fee formula that adds a per-child amount on top of a flat base (Licensing Cost). Larger facilities cost more to open across all three categories, though the flat components (base licensing fee) mean cost per child tends to fall somewhat as capacity grows.

It doesn't include working capital to cover payroll and rent before enrollment ramps up, a security deposit or first/last month's rent for a leased space, curriculum materials, marketing and enrollment costs, or your state's actual licensing fee schedule and minimum square-footage-per-child requirement, which varies by state and by age group served. Use this as a starting planning figure, not a complete startup budget.