Starting a Daycare Business in the UAE: Costs & Requirements

  • 21 Jan 2025
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  • Business

Starting a daycare business in the United Arab Emirates (UAE) is a promising venture. With a growing number of working parents seeking reliable childcare solutions, the demand for quality daycare centres is on the rise. However, like any business, starting a daycare in the UAE requires careful planning, adherence to local regulations, requirements and a clear understanding of costs. Let’s dive into the essentials to help you get started.

Understanding the daycare industry in the UAE

The UAE’s childcare industry sector is highly regulated to ensure compliance with health and safety standards, prioritizing the safety and well-being of children. The Ministry of Education oversees nurseries, ensuring proper staffing and qualifications, while the licensing process is managed by local authorities like the Department of Economic Development (DED) and, in some cases, free zone authorities.

The key to success in starting a daycare business in the UAE lies in offering more than just basic childcare. Parents are drawn to centres that provide a nurturing environment, age-appropriate learning and a curriculum that complements early childhood development. This approach not only addresses challenges in the childcare industry in the UAE but also gives your business set-up a competitive edge in a crowded market.

Key Requirements for starting a daycare business

 

1. Business plan and feasibility study

A comprehensive business plan is crucial when considering a business set-up in the UAE, particularly in the childcare industry. Outline your vision, mission, target market, services, pricing and revenue projections. Conduct a feasibility study to assess the demand in your chosen location and understand your competitors.

2. Location and space

Selecting the right location is vital. The facility must be easily accessible for parents and comply with regulations regarding safety and space. The UAE mandates minimum square footage per child, ensuring children have sufficient room to play and learn.

3. Licensing and approvals

The Federal Authority for Early Childhood Education (FAEE) is the primary federal body overseeing early childhood education in the UAE. To operate a daycare centre, you must secure a licence from the FAEE.

In addition to the FAEE licence, obtaining a licence from the Department of Economic Development (DED) of the emirate where you plan to operate is mandatory. This licence legitimises your business activities within the UAE.

You need to ensure your daycare facility meets the required fire safety standards. Obtaining Civil Defence clearance is essential to guarantee the building has proper fire exits, fire-fighting equipment and other safety measures to protect both the children and staff.

Your daycare premises will undergo an inspection by the relevant health authority to confirm that the centre meets hygiene and sanitation standards. This includes ensuring the cleanliness of the facility, food safety and that health protocols are in place to maintain a safe environment for the children in your care.

4. Staffing requirements

Your team should consist of early childhood educators, caregivers, and administrative staff with appropriate staffing and qualifications. The UAE requires teachers to have degrees or diplomas in early childhood education and all staff must undergo background checks and health screenings.

5. Curriculum and activities

Offer a curriculum addressing cognitive, emotional, and social growth through methods like Montessori, EYFS, or Reggio Emilia. Include activities balancing learning and play, such as arts, storytelling, and outdoor activities.

6. Safety and child welfare

Safety is non-negotiable. Install CCTV cameras, child-proof furniture and secure entry systems. Additionally, have policies in place for emergencies, including trained first-aid personnel and evacuation procedures.

Estimated costs

Starting a daycare business in the UAE involves a significant upfront investment. 
While the exact cost of starting a daycare in the UAE will vary based on your choices for location, size and the level of services you plan to offer, it’s crucial to conduct a feasibility study and draft a detailed business plan that considers all these variables and requirements. Consult with industry experts, visit existing daycares business centers, not only for set-up but also for sustaining your operations during the initial months until it becomes profitable.

Tips for success


• Focus on quality

Parents prioritize safety, hygiene, and a stimulating environment. Ensure compliance with health and safety standards by investing in staff training and maintaining high-quality practices.

• Build a strong brand

Use social media to showcase your facilities, curriculum and success stories. Positive reviews from parents can significantly enhance your credibility.

• Understand cultural sensitivities

The UAE is a multicultural society. Cater to diverse needs by including flexible schedules, multilingual staff and cultural inclusivity in your curriculum.

• Stay updated with regulations

Regularly review local regulations to ensure compliance. This helps avoid penalties and builds trust with parents.

• Engage with parents

Build strong relationships with parents by providing regular updates, organising events, and maintaining open communication.

Starting a daycare business in the UAE is both rewarding and challenging. By understanding the regulatory landscape, managing costs effectively, and prioritising quality, you can create a thriving daycare that supports children’s growth and earns parents’ trust.

Remember, your daycare is more than a business—it’s a space where young minds are nurtured and futures are shaped. With careful planning and dedication, you will not only meet but exceed the expectations of the families you serve.

Get in touch with consultants at Ras Al Khaimah Economic Zone (RAKEZ) to set up your business

Reach us on:
Phone: +971 7 2041111
Email: info@rakez.com


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Last Updated on 12/29/2019 9:23:05 PM

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