How to start a preschool in Australia

Dreaming of opening an early learning centre in Australia? This guide will walk you through the essential steps to establish a thriving childcare service. Australia's early learning sector is governed by the comprehensive National Quality Framework (NQF), ensuring high standards for education and care across the nation. The Australian Children's Education & Care Quality Authority (ACECQA) plays a pivotal role in supporting governments and the sector to realise the benefits of the NQF. Aspiring Approved Providers will need to familiarise themselves with the Education and Care Services National Law and Regulations, which are designed to protect the safety and wellbeing of children and ensure they receive quality learning experiences. Each state and territory has its own Regulatory Authority responsible for licensing, such as the Victorian Early Childhood Regulatory Authority (VECRA) in Victoria. This guide will provide a general overview of the process, but always remember to consult your specific state or territory's Regulatory Authority for detailed, localised requirements.

Regulations

Health safety: A paramount focus of Australian early childhood education is child safety and welfare. Approved Providers must implement robust childcare policy management systems covering safeguarding, medication administration, and incident reporting. Immunisation requirements for children are general practices aligned with public health guidelines. Services must have clear illness exclusion policies to prevent the spread of infectious diseases. The National Law and Regulations outline new offences and penalties for non-compliance with child safety reforms, with a specific focus on protecting children and expanding regulatory powers. All incidents must be thoroughly documented and reported to the relevant authorities.

Licensing overview: Childcare services in Australia are regulated under the National Quality Framework (NQF), overseen by ACECQA and individual state/territory Regulatory Authorities. To operate legally, providers must first apply for 'Approved Provider' status, followed by 'Service Approval' for each specific early childhood setting. This involves demonstrating capability, financial viability, and compliance with the Education and Care Services National Law and Regulations. The process includes thorough background checks for all individuals involved, including criminal history and Working With Children Checks. Services are assessed against the National Quality Standard (NQS) and subject to ongoing monitoring and inspections to ensure continuous adherence to quality and safety benchmarks.

Licensing authority: Australian Children's Education & Care Quality Authority (ACECQA) in conjunction with State and Territory Regulatory Authorities

Staff qualifications: Staff qualifications are a cornerstone of the National Quality Framework (NQF). Lead educators for children aged birth to school age in centre-based services must hold an approved diploma level education and care qualification or higher. Additionally, at least 50% of educators required to meet the relevant educator to child ratios for centre-based services must have, or be actively working towards, an approved diploma level education and care qualification. All educators must undertake robust child safety and child protection training, with reforms mandating completion by late August 2026. Background checks, including Working With Children Checks, are compulsory for all staff.

Facility requirements: Childcare facilities in Australia must meet stringent building compliance standards, encompassing safety requirements and suitable learning environments. Key considerations include adequate natural light and ventilation, access to genuine outdoor play spaces, and a natural environment. Retrofitting existing buildings requires careful planning to ensure compliance with these detailed safety and environmental standards. While specific square footage per child ratios are defined within the National Regulations, the overarching principle is to provide a safe, engaging, and spacious environment conducive to children's development and wellbeing.

Curriculum requirements: The National Quality Framework (NQF) mandates the use of approved learning frameworks for all regulated early childhood services. The primary frameworks are the Early Years Learning Framework (EYLF) for children from birth to five years, and the Framework for School Age Care (FSAC) for school-aged children. These frameworks guide educators in developing programs that foster children's learning, development, and wellbeing. Services are expected to implement a curriculum that reflects these frameworks, promoting play-based learning, strong relationships, and active engagement. Aligning with these frameworks ensures a high national quality benchmark for early childhood education and care across Australia.

Startup costs

Startup costs vary significantly based on the scale and nature of the service. A small home-based family day care might sit at the lower end, covering basic setup and initial regulatory fees. A purpose-built, large childcare centre catering to 60-100 children will incur substantially higher costs, including property acquisition or long-term lease, extensive fit-out, playground equipment, and comprehensive licensing and approval processes. Monthly operating costs are driven by staffing, rent/mortgage, utilities, educational resources, and food.

Timeline

1. Business Planning and Feasibility (2-4 months): Conduct thorough market research to identify demand and competition in your chosen area. Develop a comprehensive business plan, including financial projections, operational models, and a detailed understanding of the National Quality Framework (NQF). Consider the type of service you wish to offer (e.g., long day care, preschool, family day care) and assess potential locations for suitability, ensuring they meet regulatory requirements for natural light, ventilation, and outdoor space.

2. Provider Approval Application (3-6 months): Submit an application to your state/territory Regulatory Authority (e.g., VECRA in Victoria) to become an 'Approved Provider'. This step involves demonstrating you are a 'fit and proper person' by undergoing background checks, including criminal history and Working With Children Checks. You will also need to showcase your knowledge of early childhood laws and financial capability to operate a service. If the applicant is an entity, all directors or key individuals will undergo this assessment.

3. Facility Acquisition and Fit-out (6-12 months): Secure a suitable premises, whether through purchase, lease, or new construction. Ensure the facility complies with all building and safety standards specific to early childhood services. This includes detailed requirements for indoor and outdoor learning environments, amenities, and fire safety. Extensive renovations or a purpose-built centre will naturally extend this timeframe. Engage architects and builders with experience in childcare facility development to ensure compliance.

4. Service Approval Application and Assessment (3-5 months): Once Approved Provider status is granted and the facility is ready, apply for 'Service Approval' for your specific centre. This involves submitting detailed documentation about your proposed operations, curriculum, policies, and staffing. The Regulatory Authority will assess your application against the National Quality Standard (NQS), which covers 7 quality areas crucial for children's outcomes. Inspections will be conducted to verify compliance before approval is granted.

5. Staff Recruitment and Training (2-3 months (ongoing)): Recruit qualified educators who meet the National Quality Framework (NQF) requirements, including approved diploma-level qualifications for lead educators. Conduct all necessary background checks, including Working With Children Checks. Provide comprehensive induction and ongoing professional development, particularly in child safety and protection, aligning with the mandated training effective by late August 2026. Foster a team committed to the NQF and the Early Years Learning Framework.

6. Opening and Ongoing Compliance (Ongoing): Upon receiving Service Approval, you can officially open your early learning centre. Ongoing compliance with the National Quality Framework (NQF) is critical. This includes continuous monitoring of staff-to-child ratios, adherence to health and safety regulations, regular policy reviews, and participation in the assessment and rating process by ACECQA to maintain and improve your quality rating. Child safety reforms, including workforce information submission to the National Early Childhood Worker Register, must be completed by late March 2026.

Next steps: explore the IPC curriculum, read about preschool enrollment, or browse all start-a-preschool guides.

Frequently asked questions

What is the National Quality Framework (NQF) and why is it important?

The National Quality Framework (NQF) is Australia's national system for regulating and improving the quality of early childhood education and care services. It provides a consistent approach to the quality of services across the country, ensuring children have access to high-quality early learning experiences. Overseen by the Australian Children's Education & Care Quality Authority (ACECQA) and state/territory Regulatory Authorities, the NQF includes the National Quality Standard (NQS), which sets benchmarks for staffing, physical environments, educational programs, and child safety. Compliance with the NQF is mandatory for all approved early learning services in Australia.

How do I become an 'Approved Provider' in Australia?

To become an 'Approved Provider' in Australia, you must apply to your state or territory's Regulatory Authority (e.g., the Victorian Early Childhood Regulatory Authority). This process involves demonstrating that you are a 'fit and proper person' to operate a childcare service. The assessment includes comprehensive background checks, reviewing your criminal history, verifying Working With Children Checks, and evaluating your understanding of the relevant early childhood legislation. You will also need to demonstrate your capacity to manage and operate a service, including financial viability and knowledge of the National Quality Framework.

What are the key staff qualification requirements for early learning centres?

The National Quality Framework (NQF) sets specific qualification requirements for educators in Australian early learning centres. For children aged birth to school age in centre-based services, a lead educator must hold an approved diploma level education and care qualification or higher. Furthermore, at least 50% of the educators required to meet the staff-to-child ratios in centre-based services must hold, or be actively working towards, an approved diploma level qualification. All educators are also required to complete child safety and child protection training by late August 2026, as part of the ongoing child safety reforms.

Where can I find information about grants or funding for opening a preschool in Australia?

Information on grants and funding for opening a preschool or early learning centre in Australia is primarily available through government initiatives and subsidies, such as the Child Care Subsidy (CCS). This Australian Government program helps families with the cost of child care, indirectly supporting providers by increasing affordability for parents. You will need to consider your role in administering this funding as an Approved Provider. For specific grants or start-up assistance, it is recommended to consult the relevant state or territory education department websites and the Department of Education, Skills and Employment's provider toolkit for detailed eligibility and application processes.

What are the ongoing compliance requirements once my service is open?

Once your early learning service is open and approved, ongoing compliance with the National Quality Framework (NQF) and the Education and Care Services National Law and Regulations is mandatory. This includes consistently maintaining the required staff-to-child ratios, implementing and reviewing robust child safety and welfare policies, and ensuring the facility continues to meet all health and safety standards. Your service will participate in an assessment and rating process by ACECQA, which evaluates your performance against the National Quality Standard (NQS) and provides a quality rating. Regular reporting and adherence to new reforms, such as the National Early Childhood Worker Register, are also vital.

What are the common types of early childhood services regulated in Australia?

In Australia, a variety of early childhood services are regulated to ensure quality and safety. These commonly include Long Day Care (LDC) services, which provide all-day care and education; Preschools (Kindergartens), focusing on educational programs for children in the year before formal schooling; Family Day Care (FDC) services, where care is provided in an educator’s home; Outside School Hours Care (OSHC) for school-aged children before and after school, and during holidays. Other regulated services can include Limited Hours Services and Occasional Care Services, which cater to less regular care needs.