How much does it cost to open a nursery?

The cost to open a nursery

In this article, we will go over all the main costs involved with opening a nursery in the UK.

This has been updated for 2022, so you have the up-to-date costs to properly help you to plan your budgeting.

This article covers the costs associated with starting a nursery yourself.  Starting a nursery as a franchise can be considerably higher.

There are various costs associated with opening and running a nursery.

Theses vary from:

  • one of costs e.g. purchase of your building or certain equipment
  • fixed costs e.g. rent or mortgage payments
  • variable costs e.g. food shopping
  • and ongoing costs e.g.  utilities

The costs you are likely to expect when opening and then subsequently running your nursery are discussed below.

A typical nursery can cost upwards of £100, 000*.  Though, with our free guide we can show you how you can start with a much smaller budget (£30, 000*).  Find out how to register for this free training at the end of this article.

In the free guide you will also learn how to apply for funding, so that you can start with a personal fund of under £10,000*.

The cost of opening a nursery*

cost of opening a nursery, How much does it cost to open a nursery
AreaSub-areaCostAdditional information
BuildingRent/ Mortgage£30,000 – £50, 000Will usually need a deposit and/ or up to 6 month’s rent/ mortgage in order to start
Remodelling£20, 000-£40,000Installing children’s toilets, kitchen, outdoor surfaces etc
Premises inspection£800 – £1000PAT testing, fire safety
Insurance£1000For the year
StaffRecruitment£500-£1,000Recruitment need not be high, but can add up if using agencies for example
Uniform£200-£250Branded uniform should cost no more than £10-£15 per item
Training£500-£800Staff will need first aid, food hygiene and safeguarding training. As well as a DBS check
Staff wages£15,000-£30,000Should budget for up to 3 months of staff’s wages
Office and nurseryIT resources£2000-£5,000Will need computers, printers, desks, tablets, mobile phone, stationary etc
Nursery Toys and equipment£3,000 – £10,000Indoor and outdoor toys, children’s tables and chairs,
OfstedYearly registration£220Fixed fee for nurseries
Compliance documents£400-£500Policies and procedures, necessary posters, staff handbooks
MarketingWebsite£100-£1000Creation and design of the website
Marketing tools£500-£1500Logo design, branded materials, flyers
Online marketing£1000-£2000Online adverts, social media

Total start-up cost: £75,000 - £145,000*

There are also ongoing costs you will need to take into consideration.  This includes – staffing, gas, electricity and other utilities, insurance, disposable resources like cleaning products, tissues and wipes and food.

Excluding staffing costs, this will likely cost a few hundred pounds per month.

Reduce your costs by up to £50,000*

Take the free course on ‘How to open a nursery’ to learn how.

In the course you will learn how to:

  1. Budget for your nursery
  2. Reduce start up costs by up to 70%
  3. How to create your first business plan
  4. The other steps involved in opening a nursery

To get started on the free course simply register below and get instant access: