This section provides some outline key information on starting an Out of School Business, which could be a breakfast club, after school club, holiday club or any combination of these.

There are 3 common structures for Out of School Clubs;

  • A club that is run by the school on the school site to further support the education of the school's children
  • A club that is run by an independent provider on the school site. This could be a voluntary managed group, Parent Teacher Association, Friends of School Group or private or independent business that manage the day to day running of the club that operates from the school premises.
  • A club that is run by a school or an independent provider off the school site in privately owned, rented or community based premises, which need to be suitable for childcare provision and registered by Ofsted.

The Business Resource Toolkit in the Childcare Business Support section of this website comprehensively covers a wide range of issues for new and existing businesses, including information on starting up a new business, business planning, occupancy, financial management, marketing, voluntary management committees, employment and staff and insurance.

Some of the key things to consider are:


  • The qualifications and experience of your staff must support Ofsted's Registration requirements and the EYFS Statutory Framework.
  • Mandatory training courses for staff are required. These include Paediatric First Aid, Food Safety and Child Protection.


  • Your Out Of School Club must have up to date, comprehensive public liability insurance and the certificate must be visibly displayed


  • As a business, Out of School Clubs should be set up from the outset with sustainability in mind. There are two main areas of costs to be considered - start up costs and day to day running costs once the business is established. These will broadly involve premises costs, equipment and resources, food and the largest cost is usually around staffing, including not only staff wages but also training and travel expenses and any costs associated with volunteers.
  • With costs to cover, consideration needs to be given to how these costs are going to be met. A sustainable business would charge a suitable fee structure to ensure that all the costs the business incurs are covered but achieving this level of sustainability relies on good occupancy levels and this can sometimes take up to a couple of years to achieve. So how will these costs be covered in the interim? You may need to think about personal investment, a business loan, sponsorship, donations or funding from charities, grants and trusts.
  • Out of School Clubs run by the school, to further support the education of the school's children, may consider financing the Club from the school budget.
  • A sound business plan will help you identify what it will cost to run your business and how these costs will be met. Your market research into the need for an Out of School Club in the area should give an indication as to the price parents/carers are willing to pay and you need to consider who is likely to be using the club to help you determine whether you are likely to pass all the expenses of the club onto parents through fees, just charge a nominal fee for attendance, charge extra for trips and activities, if you will offer a discount for siblings, etc.

Should you wish to start the registration process for Out of School Childcare provision please see Starting A Daycare Business for further information on Nottingham City Local Authority Daycare Briefings.


Managing Medicines in Schools and Early Years Settings

Key Areas to consider when Starting a Day Care Business

Pathways to registration

Starting a Day Care Business Checklist