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Daycare Center and Family Home Forum>Higher Rates?
CountryMommy 05:01 PM 07-19-2012
Do any of you charge higher rates than the average rates for your area?

It's so hard to decide on rates when providers in your area are charging anywhere from $20-50/day.

My friend provider is working under the table, does not have qualifications such as criminal record check, cpr training, early childhood education, etc. And yet she charges $40/day for part time and $30/day for full time and says her parents have told her that they'd be willing to pay more because quality child care is so hard to find here.

I will be providing a high quality dayhome. I have my business license, ECE course, Criminal record checks of any adults residing in my home, Child Welfare check, References. I have no TV in the house and will be providing the children with activities and learning centers that are up to the licensed standard. I provide organic, all home-cooked meals, including home-made infant purees and cereals.

My friend says I would be able to charge $35/day for full time and $40/day for part time, but that'd be about $100/month more than the average in my area. But then again, the vast majority of providers in my area are working under the table, are over limit with kids, sit kids in front of the tv most day, have no programs or centers, etc. I don't know what to charge!

Any of you charge more than most providers in the area? Do you have problems with parents not wanting to pay them?
daycarediva 05:10 PM 07-19-2012
I charge more than every registered provider in my area, and I am ALWAYS full. I have a degree in early childhood education, am registered with the state and all that entails, I offer organic home cooked meals, the kids and I garden and they bring home homemade pasta sauce and pickles, a lovingly family environment, age appropriate lesson plans and centers, free play, theme weeks, parties for monthly parents night(free), etc. In the end, you get what you pay for. My husband jokingly says "you tried the rest, now try the best" Almost all of my clients have come from parent references.

imo, keeping your rates on the high end (if you offer a program worthy of it, as it sounds like you do) weeds out the parents who are looking for the cheapest solution.
Lil_Angels 07:28 PM 07-19-2012
It seems to me like you're worried about pushback about higher rates. Just practice what you're going to say when you're asked why its higher (I assume you'll show the same value you've talked about here). There is never a need to apologize about charging higher rates.

If people don't want to pay your rates and move on, then its better for both of you-- neither has to feel like they were being taken advantage of.

It also appears to me that you're just starting out and may be worried about getting clients. Remember you're not in a race to the bottom (how miserable would that be?), the clients will come-- you will be able to charge what you want.

Good Luck, excited to hear how it goes.
Jenniferdawn 09:45 PM 07-19-2012
It sounds like we have pretty similar set-ups. I too provide all organic food, non-toxic cleaners, etc. I am definitely on the higher end of prices here. Its has taken me a while to find people willing to pay it, but let me tell you, it has been worth it to be picky. If you have the time to wait, keep the price and seek out like minded people. Not only will you get the money you deserve but you will find parents who support you in what you re doing for their child and that is worth its weight in gold!

My daycare is very polarizing. Either people ask my price and I never hear from them again or they get so excited that their child will be eating healthy food and won't be in front of the tv that they are willing to pay just about anything. I would stick it out a bit. You can always lower your prices later, but its harder to raise them.
jlewis 10:37 PM 07-19-2012
I am not quite sure what to make with the idea of giving out higher rates. Looking at the turnaround of things, I think that we are priced very competitively currently and looking at the close competition, we are just neck and neck in making things work for the both of us.

Though for the next year or so, an increase in rates would be more than acceptable, really.
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