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Childcare Business Loans for Daycare & Preschool Owners
Get the capital you need to open, expand, or acquire a childcare center with expert guidance every step of the way.
Childcare Business Loans for Daycare & Preschool Owners
Get the capital you need to open, expand, or acquire a childcare center with expert guidance every step of the way.
More Classrooms.
More Families.
More Opportunities.
Demand for quality childcare is rising—driven by more dual-income households and a shortage of available care.
You’re not just running a daycare.
You’re building a business that families rely on.
As demand continues to outpace supply, childcare providers have a unique opportunity to grow by expanding capacity, opening new locations, and enhancing their programs.
Owning and growing a childcare center gives you the opportunity to increase your income, build equity, and make a lasting difference in your community.
The dental industry combines meaningful work with strong business fundamentals.
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Built for Childcare Businesses Ready to Grow
Whether you’re opening your first childcare center, expanding capacity, or growing to multiple locations, access to the right capital is what turns opportunity into growth.
Growing Enrollment
Expanding Capacity
Multi-Center Ownership
How Financing Can Help You Grow Your Childcare Center
Running a childcare center requires ongoing investment. Whether you’re expanding your facility, upgrading classrooms, or opening a new location, the right financing gives you the flexibility to grow with confidence.
Buy an Existing Childcare Center
Financing can help you acquire an established childcare center with existing enrollment, staff, and revenue so you can step into ownership and start generating income from day one.
- Take over a center with established enrollment and cash flow
- Acquire trained staff and existing operations
- Transition ownership from retiring or exiting operators
- Include working capital to support a smooth transition
Invest in a Proven Childcare Franchise Model
Financing can help you open a childcare franchise with a proven model, established brand, and built-in support reducing risk while accelerating your path to ownership.
- Follow a proven business model with established curriculum and systems
- Leverage brand recognition to attract families faster
- Access training, marketing, and operational support from franchisors
- Scale into multiple locations over time
Expand Your Childcare Center
Financing can help you increase your center’s capacity so you can serve more families and grow your revenue as demand continues to rise.
- Add classrooms or increase licensed capacity
- Expand into additional space or upgrade your facility
- Open a second location in a high-demand area
- Invest in improvements that support higher enrollment
Purchase or Build Your Facility
Financing can help you purchase, build, or renovate a childcare facility giving you more control over your space while building long-term equity.
- Purchase an existing childcare property or commercial building
- Construct a purpose-built childcare center
- Renovate or retrofit a facility to meet licensing requirements
- Reduce reliance on rising lease costs
Support Day-to-Day Operations and Growth
Financing can help you hire and support the staff needed to maintain quality care as your enrollment grows.
- Hire and train additional teachers and staff
- Manage payroll during periods of growth
- Maintain required staff-to-child ratios
- Invest in staff development and retention
Real Childcare Projects We’ve Helped Finance
Childcare operators across the country are building, expanding, and investing in centers that serve their communities. Here are a few examples of projects we’ve helped finance.
New Location Construction
$1,100,000
A childcare operator developed a new location in a high-demand market, building a purpose-designed center to increase capacity and serve more families. Financing supported construction, site development, and initial operating capital to ensure a successful launch.
Real Estate Purchase
$2,570,000
An established operator purchased their childcare facility to gain long-term control of their space and build equity. Financing covered the real estate acquisition while allowing the business to continue operating without disruption.
Franchise Childcare Center Launch
$871,000
An entrepreneur launched a childcare center under an established franchise brand, leveraging a proven model and structured support system. Financing covered franchise fees, buildout, equipment, and working capital to support the center through its early growth phase.
Working Capital Support
$317,000
A growing childcare center secured working capital to support staffing, operations, and enrollment growth. Financing provided flexibility to manage cash flow, invest in marketing, and maintain stability during periods of expansion.
Dental Industry Insights & Resources
Understanding dental practice finances is key to building a thriving clinic. Our articles cover acquisitions, startups, equipment investments, and long-term growth strategies for dentists.
Why Childcare Businesses Choose First Bank of the Lake
Our team specializes in financing childcare businesses. We help operators acquire centers, expand facilities, purchase real estate, and invest in the resources needed to grow.
$2 Billion+
In SBA business funding provided since 2020 — helping entrepreneurs across the country grow and thrive.
Top 3
SBA franchise lender Recognized nationally for helping franchise owners open and expand with confidence. ^
2,000+
SBA loans funded since 2020, supporting business owners at every stage of their journey.
Approved to offer SBA loan products under SBA's Preferred lenders Program.
^Ranked 3rd most active SBA Franchise lender since 2023, (by lending volume) by the U.S. Small Business Administration.
See What Financing Your Childcare Center Could Look Like
Use the calculator below to get a rough estimate of potential childcare center financing, then talk with a childcare lending specialist to explore specific options for your situation.
SBA 7(a) Loan Calculator
Estimate your monthly payment
Adjust the loan amount, repayment term, and interest rate.
$500,000
120
9.25%
How Our Process Works
Tell Us About Your Project
Complete the short form and share a few details about your childcare center goals.
Speak With a Childcare Lending Specialist
Schedule a 30-minute call with our team to discuss your plans and financing needs.
See If You Qualify for the Next Steps
We’ll review your information and let you know if you’re eligible to move forward.
Our Approach to Evaluating Childcare Centers
Childcare businesses are unique. That’s why we focus on the metrics that actually drive your success, not just financial statements.
Enrollment & Capacity
We evaluate how full your center is and how efficiently you’re using your licensed capacity, since enrollment is the primary driver of revenue in childcare. Centers with strong enrollment, waitlists, or room to grow typically have the greatest opportunity to scale.
Tuition & Collections
We look at how your center generates and collects tuition to understand consistency and reliability of cash flow. Strong billing practices and predictable tuition revenue are key indicators of a healthy childcare business.
Staffing & Ratios
Staffing is your largest expense and a core part of how your center operates. We evaluate staff-to-child ratios, payroll efficiency, and how your team supports both compliance and profitability.
Operations & Growth Potential
We assess how your center performs today and where it can grow next whether through increasing enrollment, expanding capacity, or adding locations. Financing is designed to support both your current operations and your long-term growth strategy.
Talk With a Childcare Lending Specialist Today
Whether you’re acquiring a childcare center, expanding your facility, or opening a new location, our team can help you explore financing built specifically for childcare businesses.
Complete the short form, and a childcare lending specialist will connect with you to discuss your goals and next steps.
Common Questions About Childcare Center Financing
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How much can I borrow for a childcare business loan?
Open or Close
Loan amounts can vary based on your business, but many childcare loans range from $50,000 to $3 million+, depending on the project size and financials. Larger SBA loans can go up to $5 million for acquisitions, real estate, and expansion.
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What can I use a childcare business loan for?
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Childcare business loans can be used for a wide range of needs, including acquiring a center, expanding your facility, purchasing real estate, upgrading equipment, or covering working capital. SBA loans are especially flexible and can fund multiple uses in a single loan..
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Can I get a loan to buy an existing childcare center?
Open or Close
Yes. SBA loans are commonly used to acquire existing childcare centers and can often finance most of the purchase price, including working capital and transition costs.
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How much money do I need for a down payment?
Open or Close
Most childcare business loans—especially SBA loans—require a down payment of around 10–20%, depending on the deal structure, experience, and financial strength of the borrower
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How long does it take to get approved?
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Timelines vary, but many lenders can provide an initial pre-qualification within a few days. Full approval and funding for SBA loans typically take several months, depending on the complexity of the project and documentation required.
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What do lenders look at when evaluating a childcare business?
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Lenders typically evaluate your center’s enrollment, cash flow, staffing structure, and overall financial performance to determine your ability to repay the loan. Consistent tuition revenue and strong enrollment are key indicators of a healthy childcare business.
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Can I get financing to build or purchase a childcare facility?
Open or Close
Yes. SBA loans—especially 504 loans—are commonly used to finance the purchase, construction, or renovation of childcare facilities, often with long repayment terms and competitive rates..
Still have questions about childcare center financing?
All loans are subject to credit approval. Restrictions and limitations may apply. First Bank of the Lake does not provide tax, legal or investment advice. All decisions concerning these matters should be made in conjunction with your professional advisors.
