As mentioned in the article Children’s Center Business Idea , marketing research is necessary to successfully start a new business.
Such a study will help to understand customer needs, the competitive environment, estimated investment needs, as well as assess future profitability.
You need to start marketing research by determining who will be the client of such a center. These may be parents concerned about preparing the child for school, or simply caring about the development of the child. Or maybe the need for a children’s center will arise because of the desire to leave the children for a while in the care of educators or animators.
Determination of needs can be carried out by interviewing or surveying the territory of the nearest district. Depending on the results of the study, as well as the presence of competing children’s centers nearby, the choice of the form of the children’s center, as well as the range of services offered, will depend.
The key condition for the successful start of the children’s center will be the selection of suitable premises.
Of course, you can open a small children’s center in the premises of a former residential apartment. However, the profitability of such a center raises serious doubts, since, firstly, it will be difficult to provide a decent range of services, and, secondly, to make the center profitable due to the small number of customers.
For entertainment children’s centers, the most profitable is placement in a shopping center. This, by the way, removes many questions, since fire safety has already been agreed. True, the cost of renting space in a shopping center is quite high. On the other hand, it is beneficial for the owners of a shopping center to have a children’s center in their structure, as it gives parents the opportunity to spend more time looking for purchases.
The initial costs of opening a children’s center will consist of the costs of preparing and equipping the premises, purchasing furniture and various equipment for children, and the costs of coordinating documents.
Experience shows that the initial investment for opening a children’s center ranges from $500,000 to $1 million.
Operating expenses will consist of staff costs, rent and utilities, consumables, training materials, toys and advertising.
You can order more accurate calculations in relation to your specific conditions and a ready-made business plan on our website.