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Here are the building blocks to starting a successful child care business

Are you looking to start your own licensed child care business in Montana? This is a great place to start! Here you’ll find resources that will help build a solid foundation for your business, including giving you the basics of child care in Montana and help you jump-start your way to success!

Child Care Cooperative Toolkit

Essential Business Tool: LivePlan

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Families, why Using a Licensed or Registered Child Care Provider Matters

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Employers, why being a licenced or registered child care provider matters

Definition of terms for child care business

OPERATIONAL TERMS

“Director” or “Owner”: the person designated as the person responsible for the daily operation of a child care program. A director is also responsible for implementing appropriate child development principles and knowledge of family relationships in providing daily care to the children cared for in the facility.
Lead Teacher (ECLT): the lead staff person in charge of a child or group of children who implements program activities.
Assistant Teacher (ECAT): a facility staff member who carries out assigned caregiving and teaching tasks under the guidance and oversight of an early childhood lead teacher or center director.
Substitute: any person not regularly employed by a child care facility who temporarily takes the place of an approved staff person, other than the director.
License: a written document issued by the department that the license holder has complied with the applicable standards and rules for day-care centers.
Registration Certificate: a written document issued by the department that the certificate holder has complied with the standards for family day-care homes or group day-care homes.
Group Size: the number of children in a defined space.
Market Rate: what the general population is being charged for child care services by child care providers.
Ratio: refers to how many children can be cared for by one adult (e.g., 4:1 equals four children to one adult).
Rate: the amount a child care provider charges a family to receive child care services.
Slot: represents the max number of children a facility can care for. (e.g. 8 slots, 1 is open)

ORGANIZATIONAL TERMS

Child Care Licensor: a regional employee of DPHHS that monitors, inspects, and supports licensed and registered childcare facilities, as well as those working to become licensed or registered. Find your licensor here.
Tribal Child Care (Tribally Licensed): a written document issued by tribal government to child care facilities located on a reservation that outlines guidelines for tribal child care facilities to be in compliance. (requirements differ between tribes)
CCL: Child Care Licensing is a program within the Child Care Bureau . CCL’s main roles are to monitor, inspect, and support licensed and registered child care facilities, as well as, establishing regulations for the health, safety, and well-being of the children in these facilities.
CCR&R: Child Care Resource and Referral agencies offer a variety of services to families and child care providers across the state. The Early Childhood Services Bureau contracts with each regional CCR&R agency.
CACFP: The Child and Adult Care Food Program is a federal program that provides reimbursements to child care providers for meals and snacks served to eligible children in their care. DPHHS The Montana Department of Health and Human Services.
ECFSD: The Early Childhood and Family Support Division. ECSB: Early Childhood Services Bureau.
MTAEYC: Montana Association of the Education of Young Children.
NAEYC: National Association for the Education of Young Children.
NAFCC: National Association of Family Child Care.

CHILD CARE TYPES

FFN: Family Friend and Neighbor is a registered provider which may provide care in a child’s home or in the provider’s residence for a sibling group of any size or no more than 4 unrelated children.
RCE: Relative Care Exempt Provider is a provider that may care for either a sibling group of any size or no more than 2 children from separate households.
Relative Care: the child is the brother, sister, first cousin, nephew, niece, grandchild, or great grandchild of the person providing childcare and includes a child in a step, foster, or adoptive relationship.
Family Home Child Care: a private residence in which care is provided for 3-8 children on a regular basis and is considered registered.
Child Care Center: an out-of-home place in which care is provided to 16 or more children on a regular or irregular basis and is considered Licensed.
Group Home Child Care: a private residence or other structure in which care is provided for 9 to 15 children on a regular basis and is considered Registered.

BEST BEGINNINGS CHILD CARE SCHOLARSHIP

Best Beginnings Child Care Scholarship Program (subsidy): a scholarship available to qualified lowincome families to help pay for child care costs. Children must be receiving care from a licensed or registered provider.
Eligibility Criteria: a method of determining what families can receive the Best Beginning Child Care Scholarship (e.g., income, working or going to school).
Copayment (Co-Pay): refers to the parents’ contribution to the cost of care paid directly to the child care provider determined by the family’s gross income and family size.
Provider (Reimbursement) Rate: the department calculates provider rates based on market rate survey data. These rates are the amount reimbursed from the department to the provider for children using the Best Beginnings Child Care Scholarship.
Sliding Fee Scale: a formula for determining the copayment a family is required to pay their child care provider, usually based on family income. Only for families using the Best Beginnings Child Care Scholarship

CHILD CARE PROVIDER PROGRAMS

Best Beginnings STARS to Quality (STARS): a voluntary quality rating and improvement system that aligns quality indicators with support and incentives for early childhood programs and early childhood professionals.
ECP: the Early Childhood Project is the platform that houses child care provider professional development records.
Practitioner Registry: a statewide registry that is used to help develop and track a knowledgeable and skilled child care workforce based on an individual’s verified professional achievements.
CDA: The Child Development Associate Credential is a widely earned credential administered by the Council for Professional Recognition. BEST BEGINNINGS CHILD CARE SCHOLARSHIP Best Beginnings Child Care Scholarship Program (subsidy): a scholarship available to qualified lowincome families to help pay for child care costs. Children must be receiving care from a licensed or registered provider. Eligibility Criteria: a method of determining what families can receive the Best Beginning Child Care Scholarship (e.g., income, working or going to school). Copayment (Co-Pay): refers to the parents’ contribution to the cost of care paid directly to the child care provider determined by the family’s gross income and family size. Provider (Reimbursement) Rate: the department calculates provider rates based on market rate survey data. These rates are the amount reimbursed from the department to the provider for children using the Best Beginnings Child Care Scholarship. Sliding Fee Scale: a formula for determining the copayment a family is required to pay their child care provider, usually based on family income

MISCELLANEOUS

Best Practices: a term used to denote the “best” ways of delivering services, supports or information to achieve desired outcomes as determined by research or experience (also referred to as Developmentally Appropriate Practice (DAP); Evidence-based Practice).
T&TA: Training and Technical Assistance is the planning, development, and delivery of activities designed to achieve specific learning objectives.
Child Care Desert: any geographical location where licensed child care capacity meets less than a third of potential demand.
CCDF: The Child Care and Development Fund is the primary Federal funding source devoted to providing low-income families with help paying for child care and improving the quality of care for all children.
CCDBG: The Child Care and Development Block Grant is a funding stream for states that allows them to help low-income, working families afford child care, while supporting children’s learning and development (from birth through age 12)

Get the resources you need

Pre-Venture

Here you’ll find resources that will help build a solid foundation for your business, including giving you the basics of child care in Montana and help you jump-start your way to success!

Operations

Operations covers a lot in business, these resources can include information on program structure, policies and procedures, improving business practices, and more.

Marketing

This section provides valuable information and tools for child care providers looking to promote their business and attract new families.

Financial

Child care providers need to have a solid understanding of financial management principles in order to ensure that their business is profitable and can continue to provide high-quality care.