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Foundations Child Care & School Blog

Foundations School blog covers a range of topics relating to the care and education of young children, with special focus on development, brain research, and progressive education.

Another One Bites the Dust: Financial Health of Daycare Centers

The title of this article is hopefully just a little bit shocking, and that is purposeful–several sudden daycare closures have happened in the West Cobb area over the past year, and another (Children’s Corner Childcare in Marietta) was announced this week.  This should be alarming to anyone with children in daycare in this area.  Why is it happening? How do I determine the financial health of a daycare?  Will my daycare close suddenly?  These are crucial questions for anyone with children in daycare. This is the fifth daycare closing within this small part of West Cobb in the past year.  Why?  There are many factors, but they are all related to enrollment.  Daycare centers need a minimum number of enrolled children in order to pay the basic operational costs.  When enrollment goes below this minimum, the daycare center cannot continue to operate, and so that’s the simplistic answer as to why these daycares have closed. When trying to assess the health of daycare program, you could try directly asking the owner or director.   But, some places might not be forthcoming if