SmartReads

Approaching the child care management committee: How to put in a policy for slow payers

With your child care service running on tight margins, you can’t afford to let payments lapse and come in weeks or months late. It’s very important that parents realise this, so you need to create a policy for slow payers.

Topics: Child care centre challenges Child care services challenges Managing finances

Benchmarking your child care business part 2: Bad debts

Bad debts can run a business into the ground quicker than anything else. No one is immune, not even child care services: there’s currently around $1.2 billion of bad debt across Australia.

Bad debt is a three-pronged nightmare: 

  1. The money you need isn’t there when you need it (to pay your own bills)
  2. Chasing bad debt and pursuing legal action costs time and money
  3. You may never recover the money you’re owed
Topics: Child care centre challenges Child care services challenges Managing finances

Benchmarking your child care business part 1: Outstanding invoices

All businesses suffer the problem of outstanding invoices. Late payments and non payments are a fact of life. There’s often a chain effect: where your customers can’t pay you because they haven’t been paid yet, and in turn you can’t pay your suppliers as a result.

These cash crunches can be deadly. Many good, viable businesses go broke because their customers couldn’t pay on time. So how do you know if your centre is behind the curve when it comes to outstanding invoices? How can you compare yourself against other centres to see how you are doing?

What you can do is try benchmarking. Benchmarking is nothing more complicated than having a consistent way to measure and something to compare it to.

Topics: Child care centre challenges Child care services challenges Managing finances

6 steps on how to stay on top of your child care business’ finances

Whether you run a "long day care" or not, your hours as a child care service operator are going to be extensive. It’s the same for any small business, because it’s all down to you, and you can’t afford to hire full time accountants and bookkeepers. 

Topics: Child care centre challenges Child care services challenges Managing finances

How to build an effective invoice/payment process for a child care service

Starting your own business is a dream for many Australians but it can be a tough one. A large number of small business fail within their first couple of years, and child care is a particularly challenging industry.

Topics: Child care centre challenges Child care services challenges Managing finances

How to hire the right early childhood educator for your child care service

A major challenge for child care services in Australia is maintaining a strong and professional team as well as being able to up-skill their qualifications. Early childhood educators need to be able to handle caring for the educational, emotional, social and physical needs of infants and young children in various care settings. They need to create an environment where the children they service can bond with them and feel safe. This is no easy job so it’s understandable that it can be hard to find the right person, not only with the qualifications needed but also with the right attitude to help you provide the best child care service for your area. This blog will highlight tips drawn from the Recruitment & Selection Guide by Children’s Services Central on how to hire the most competent and suitable child care workers for your organisation.

Topics: Child care centre challenges Child care services challenges

How to effectively communicate with parents and care givers

As part of their job, early childhood educators need to effectively interact with the children under their care. The right, often playful approach can help toddlers reach their milestones quicker as they are cared for in a safe and happy environment. Childhood educators need to be able to effectively communicate with the children in order for them to advance and learn. While the child is the most important element in this arrangement, there is another crucial party that also needs to be attended to: the parents.

Topics: Child care centre challenges Child care services challenges

Recent survey reveals most common problems of Australian child care services

A recent survey conducted by SmartFees reveals the most common, yet critical challenges early childhood educators face every day. In this week’s blog we’ll illustrate what key problems child care centres identify, discuss their primary goals for the next 12 months and look at some key data crucial to those running child care services who want to pinpoint where they stand amongst their competition.

Topics: Child care centre challenges Child care services challenges Managing finances