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How to Start an Early Childhood Centre in Ontario

Last Verified: 2007-12-18

General information for potential entrepreneurs wishing to start an early childhood centre in Ontario.

TABLE OF CONTENTS

  1. Basics To Getting Started
  2. Industry Overview
  5. Managing Your Operation
  7. Other Resources

1. Basics to Getting Started

Starting a business can be a rewarding undertaking, but it comes with its challenges. Before starting a business in Ontario, it is wise to do your research. There are several issues to consider such as regulations, financing, and taxation, managing your business, advertising and much more.

For further information:
see the documents:

Market Research

It is essential that you know who your customers are, what they need or want, and how to reach them. You should have solid understanding of these if you are going to run a successful business.

For further information:
see the document Market Research for Your Business

2. Industry Overview

According to Human Resources and Skills Development Canada, there are over 330,000 individuals, mainly women, who provide childcare for a living in Canada. Most caregivers are relatively young (45% are under 30 years of age) and are well educated (55% have completed post-secondary education).

Types of Operation

This industry is made up of establishments who primarily provide day-care services for infants or children. These organizations are either home based or as a commercially located day care centre. Organizations may care for older children when they are not in school and may also offer pre-kindergarten educational programs.

Examples of this kind of business include but are not limited to:

  • baby-sitting (self-employed caregivers);
  • nanny service (live-in or out, work in home of employer);
  • day-care centres;
  • pre-kindergarten (except when part of elementary school system);
  • preschool centres (except when part of elementary school system).

Home-based caregivers comprise the bulk of the childcare workforce, representing about 85% of all providers. The remaining 15% of the workforce provide care in early childhood centres and nursery schools, including school-aged care.

A child-care business can easily be started in your home with just a few weeks of planning and a modest amount of start-up cash. A commercially located centre takes a greater investment of time, energy and money. The size and type of business you choose will depend on your start-up resources and goals for the future. Many child-care providers are satisfied with a one-person operation in their home that generates a comfortable income while allowing them to do work they enjoy (and possibly even care for their own children). Others may start at home and eventually move to a commercial site as the business grows. Still others begin in commercial locations and are either content with one site or have plans to expand.

Specialty Operations

Aboriginal Head Start

Aboriginal Head Start provides comprehensive experiences for First Nations, Métis and Inuit children up to 6 years of age and their families, with primary emphasis on preschoolers, 3-5 years of age. The program is based on caring, creativity and pride following from the knowledge of their traditional community beliefs, within a holistic and safe environment.

For further information:
call: 613-952-1220 or 416-973-5778

Children with Special Needs

Additional assistance may be required if a child has a physical, visual or auditory disability, or if the child has developmental, communication, behavioural or a chronic medical problem.

For further information:
call: 416-325-5666 or 1-888-789-4199
visit the web site: Child Care Programs for Children with Special Needs

Promoting Breastfeeding

Some mothers may want to benefit from childcare services while still providing their baby with breast milk. A specialized daycare may have private, quiet sitting rooms where mothers can breastfeed the child. Such a centre could also promote breastfeeding and pumping techniques or simply establish an open attitude that will ease mothers.

For further information:
call 416-595-9819
visit the web site:  INFACT Canada

Whatever kind of early childhood centre you choose to operate, keep in mind that the basics of your work will be caring for someone else's children. This involves a lot of responsibility and a serious commitment. When the children are in your custody, you are responsible for their safety and well being. What more, you'll play a key role in their overall development and may well be someone they'll remember their whole lives.

3. Regulations

Business Regulations Info-Guide

This document will assist you in navigating federal, provincial and municipal regulations that apply to a number of industries and businesses in Ontario.

For further information:
see the document Business Regulations Info-Guide

Ministry of Children and Youth Services

In Ontario, all childcare centres as well as home care daycares are licensed by the Ministry of Children and Youth Services. The Day Nurseries Act states that a caregiver with more than 5 children in their home must be licensed as a regulated Home Care Provider with the Ministry. The Ministry conducts inspections once a year in order to keep your license in good standing. For specific information on licenses and requirements for your organization please contact the Ministry of Children and Youth Services.

For further information:
please call: 1-866-821-7770
visit these web sites:
Ministry of Children and Youth Services
Regional Offices
Day Nurseries Act

4. Financing

Financing for Starting a Business Info-Guide

This document is designed to help you navigate through the federal and provincial government programs available to individuals starting a business in Ontario.

For further information:
see the document  Financing for Starting a Business Info-Guide

For Parents:

Ontario Child Care Supplement for Working Families

The Ontario Child Care Supplement (OCCS) for Working Families is a tax-free monthly payment to help with the costs of raising children under the age of seven. The program benefits low-to-middle income single or two-parent families, families with one stay-at-home parent, or families with one or both parents studying or in training. A family does not have to have a child in daycare to apply for the supplement.

For further information:
visit the web site:  Ontario Child Care Supplement for Working Families

5. Managing Your Operation

Staff Training

Under the Day Nurseries Act in Ontario; there are very few regulations for childcare providers outlined in the Act. The only specifications are that the caregiver be older than 18. If they work with special needs children, they must have valid first aid certification.

For home based care providers the Day Nurseries Act requires that a home visitor meets with the care provider on regular basis to conduct general inspections and to provide support and resources. All home visitors have completed a post secondary program in child development studies and have at least two years experience with children who are the same age as the children who are in the home childcare.

For further information:
Please call: 416-325-5666 or 1-800-387-5559
visit these web sites:
Ministry of Children and Youth Services
Regional Offices
Day Nurseries Act

6. Associations

7. Other Resources

Need more information?

Click: Canada-Ontario Business Service Centre
Call: 1-800-567-2345
Visit:  our  Regional Access Program Locations page to locate an office near you

Some of the organizations listed above are not subject to the federal Official Languages Act or the French Language Services Act of Ontario. Their services may not be available in both official languages.
Related Reading

DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.

Links Policy
Some of the hypertext links lead to non-federal government sites which are not subject to the Official Languages Act and the material is available in one language only.



Last Modified: 2008-02-05

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