Build it Better, Sell it For More™
Helping child care business owners maximize profits, business value, and exit strategy planning.
“Working Hard Everyday to Earn Your Trust, Gain Your Confidence, and Win Your Business”™
Key Takeaways − Mergers and acquisitions activity will remain high in 2026, driven by an improving economy despite sticky inflation and limited interest rate reductions. Buyers will primarily seek large, profitable child care businesses in high-income areas with
Key Takeaways − Only 20% to 30% of small businesses listed for sale actually sell, creating disappointing outcomes for many owners. The primary reason for this low success rate is a lack of proper planning and preparation before
Key Takeaways − Child care buyers pay for profitable gross revenue, not just high sales figures. It shows financial health. Effective financial management involves tracking income and expenses to identify opportunities for improving profit margins. Growing profitable revenues
Key Takeaways − Up to 50-90% of your personal wealth could be tied up in your child care business and its real estate. Child care businesses are illiquid assets, meaning they cannot be quickly converted to cash without
Key Takeaways − Financial benchmarking compares your performance to industry norms, helping to identify areas for improvement and increase profitability. Labor Cost, the largest expense, should ideally be between 45% to 50% of gross annual revenue and requires
Key Takeaways − A capitalization rate reflects the risk and estimated rate of return on a commercial real estate investment, like a child care building. A lower cap rate signifies less perceived risk and a higher property value,
Key Takeaways − The SBA returned to stricter Traditional Underwriting Standards, requiring higher credit scores and more documentation from child care business loan applicants. Start-up loans now require a minimum 10% down payment, which could delay financing for
Key Takeaways − A holdback is a portion of the seller’s proceeds held in escrow post-sale as a form of insurance for the buyer. Holdbacks are appropriate for known risks, like past licensing violations, but are not a
