Why Owning a Childcare Centre is a Smart Business Move

By BEST Childcare Consulting

In today’s fast-changing economy, savvy entrepreneurs are always on the lookout for opportunities that combine strong profits with meaningful impact. One such opportunity is owning a childcare centre—a business that not only generates strong returns but also delivers a vital service to the community. Whether you’re a seasoned entrepreneur or looking to diversify your investment portfolio, the childcare industry offers a unique combination of stability, demand, and social impact.

Consistent Demand and Industry Growth

Childcare is an essential service. With more dual-income households, single-parent families, and a growing population, demand for quality early childhood education continues to rise. According to the Australian Bureau of Statistics, over 1.3 million children attend approved childcare services each year. This demand is not seasonal or trend-driven—parents need reliable care year-round, making it a resilient and stable market.

Government Support and Subsidies

The Australian Government heavily invests in the childcare sector through initiatives like the Child Care Subsidy (CCS), which provides financial assistance to families. This makes childcare services more accessible to parents while ensuring a steady flow of income for providers. Additional grants and funding opportunities are available for new centre start-ups, professional development, and quality improvement.

Attractive Return on Investment

With proper planning, a well-run childcare centre can deliver strong and sustainable returns. Profit margins typically range between 15%–30%, especially in high-demand areas. The value of the business also appreciates over time due to growing enrolments and increasing property values. For investors who own the land and building, this creates a dual-income stream: business revenue and property appreciation.

Opportunities for Expansion and Franchising

Childcare businesses can be scaled effectively. Once a single centre is established and profitable, operators often expand to additional locations or develop a franchise model. This scalability, paired with an increasing national need, creates a long-term growth opportunity.

Positive Community Impact Beyond financial gain, owning a childcare centre is incredibly rewarding on a personal level. You’re shaping the early learning experiences of children and supporting families in your local community. This sense of purpose is not something many businesses can offer, and it often results in stronger staff loyalty, community support, and job satisfaction.

Professional Management Makes Ownership Easier

You don’t need to be an educator to own a childcare business. Many centres are owned by investors or business professionals who hire qualified Centre Directors and Early Childhood Educators to manage day-to-day operations. With the right team, systems, and regulatory compliance support (such as through BEST Consulting), you can focus on strategic growth rather than operational stress.

It’s Easier Than You Think to Get Started

With expert guidance, setting up a childcare centre is straightforward. From navigating licensing requirements and designing compliant spaces to developing policies and recruiting staff, professional consultants can guide you through each step. In Western Australia, for example, prospective owners must apply to become an Approved Provider, complete facility fit-out requirements, and demonstrate compliance with the Education and Care Services National Law and National Quality Standard—all manageable with the right advice.

Final Thoughts

Childcare is one of the few industries that is recession-resistant, values-driven, and backed by long-term government support. It is a business that pays dividends not just financially, but socially. If you are a businessperson looking for your next smart move, owning a childcare centre might be your most rewarding investment yet.

Need Help Getting Started?
Contact BEST Childcare Consulting today for expert guidance on how to start, run, and grow your childcare business with confidence.