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Sell your day nursery with confidence and ease
Ready to move on from your day nursery business? We understand that selling your nursery is a significant decision, both emotionally and financially. With over two decades of expertise in the UK childcare sector, we’re here to guide you through every step, ensuring a smooth, profitable, and stress-free sale.
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Why use Abacus?
Genuine, transparent and trustworthy
You only sell your business once, so you need to be able to trust your broker to find the right buyer. We will give you a genuine, realistic valuation and provide a clear assessment of the marketplace in which you are selling. Then we will focus all our efforts on securing a sale. We will keep you informed at every stage and manage your transaction from receiving offers through to completion.
Genuine, transparent and trustworthy
You only sell your business once, so you need to be able to trust your agent to find the right buyer. We will give you a genuine, realistic valuation and provide a clear assessment of the marketplace in which you are selling. Then we will focus all our efforts on securing a sale. We will keep you informed at every stage and manage your transaction from receiving offers through to completion.
Why choose Abacus to sell your nursery?
Selling a day nursery is more than just a transaction—it’s about securing the legacy of your business and ensuring a seamless transition for staff, children, and parents. We specialise in childcare business sales, offering tailored support to maximise your nursery’s value while protecting your interests. Here’s why nursery owners trust us.
- Exclusive buyer network: We connect you with serious, vetted buyers, including national chains and independent operators, to secure the best offers.
- Confidential marketing: Your sale remains discreet, protecting your staff, parents, and business reputation until the right moment.
- Expert valuation: Our in-depth market analysis ensures your nursery is priced competitively, reflecting its true worth, from Ofsted ratings to property value.
- End-to-end support: From legal compliance to deal completion, we coordinate every detail, saving you time and stress.
- Trusted advisors: We partner with childcare sector specialists, including solicitors and accountants, to navigate complex regulations like TUPE and Ofsted registration.
Preparing your nursery for sale
Maximising your nursery’s value starts with thoughtful preparation. Small improvements can significantly boost buyer interest and sale price. Here are practical steps to make your nursery stand out, with Abacus’s support to streamline the process.
Enhance operational efficiency
Ensure compliance
Improve curb apeal
Organise financial records
Engage your team
Enhance operational efficiency
Review occupancy rates and staff scheduling to demonstrate a well-run business. Consider updating policies to align with the latest EYFS standards, showcasing compliance. We provide a checklist of operational enhancements and connect you with consultants to refine processes.
Ensure compliance
Verify that all staff qualifications, safeguarding records, and health and safety policies meet Ofsted requirements. Up-to-date documentation signals a low-risk investment to buyers. We conduct a pre-sale compliance review to identify and address gaps.
Improve curb apeal
Refresh the nursery’s physical environment—think clean facilities, updated play areas, and welcoming signage. For leasehold properties, confirm the lease is transferable or extendable. We advise on cost-effective improvements and negotiate lease terms with landlords.
Organise financial records
Clear, transparent financials (e.g., profit and loss statements, tax returns) build buyer confidence. Highlight steady revenue and growth potential. We help you compile and present financial data in a buyer-friendly format.
Engage your team
Inform key staff discreetly to maintain morale and ensure a smooth transition. A committed team adds value to the business. We guide you on staff communication strategies to balance transparency and confidentiality.
Navigating legal formalities with Abacus
Selling a day nursery requires compliance with UK regulations to ensure a legally sound transaction. Abacus simplifies these complexities by coordinating with trusted professionals and guiding you every step of the way. Here’s a breakdown of key legal considerations and how we support you.
According to Ofsted regulations, any change in ownership or nominated individual must be reported within 14 days. For asset sales, the buyer may need to apply for a new registration, while share sales require updating details of directors or nominated individuals. We liaise with Ofsted on your behalf, ensuring timely notifications and guiding buyers through re-registration to avoid delays.
The Transfer of Undertakings (Protection of Employment) Regulations 2006 protects employees during a business transfer. In an asset sale, staff automatically transfer to the buyer with their existing terms and conditions. You must inform and consult with employees in advance. We can connect you with employment law specialists to manage TUPE compliance and ensure staff transitions are handled sensitively.
Choosing between an asset sale (transferring specific assets like equipment, contracts, or leases) and a share sale (selling the company, including all assets and liabilities) impacts tax, liabilities, and complexity. Asset sales allow buyers to select desired components, while share sales transfer everything, including potential historic liabilities.
Buyers will scrutinise your nursery’s financial records, compliance with EYFS standards, staff qualifications, and property details. Transparent documentation prevents delays and disputes.
The sale agreement outlines the transaction terms, including purchase price, payment structure, and responsibilities. Warranties (assurances about the business) and indemnities (protection against specific risks) safeguard both parties. We recommend experienced solicitors to draft and negotiate robust agreements, ensuring your interests are protected.
If your nursery operates from a freehold property, you can sell it as part of the deal or retain it and lease it to the buyer. For leasehold properties, the buyer may require a lease extension or new agreement with the landlord. We assist in negotiations with landlords, coordinate property transfers, and ensure lease terms align with buyer needs.
Selling a nursery can trigger capital gains tax (for asset or share sales) or deferred tax liabilities (e.g. on freehold property value increases). Early tax planning is essential to minimise liabilities. We connect you with tax advisors to structure the sale tax-efficiently and avoid unexpected costs.
NDAs protect sensitive business information during buyer discussions. We ensure all buyers sign NDAs before receiving confidential details, safeguarding your nursery’s reputation and operations.
Your step-by-step guide to selling your nursery
1. Initial consultation & valuation
We start by understanding your goals and evaluating your nursery’s value. Our team assesses financial performance, occupancy rates, Ofsted ratings, and property status (freehold or leasehold) to provide a realistic valuation. We conduct a comprehensive valuation and advise on timing and market conditions to maximise your sale price
2. Preparing for sale
Preparation is key to attracting serious buyers. This includes organising financial records, compliance documents, and property details. We also discuss whether an asset sale (selling specific business components) or a share sale (selling the company) suits your goals. We guide you in gathering paperwork, recommend improvements to boost appeal, and advise on sale structure with tax implications in mind.
3. Confidential marketing
Discretion is critical in childcare sales to avoid unsettling staff or parents. We market your nursery confidentially to our network of pre-qualified buyers, using targeted strategies to generate interest without public listings. We craft tailored marketing materials, manage buyer inquiries, and ensure confidentiality through Non-Disclosure Agreements (NDAs).
4. Buyer sourcing & offer negotiation
Once interest is generated, we shortlist buyers who align with your nursery’s vision and financial expectations. We facilitate viewings and negotiate offers to secure the best terms, including price, payment structure, and timelines. We vet buyers, arrange discreet viewings, and negotiate on your behalf to achieve competitive offers.
5. Due diligence
Buyers conduct due diligence to verify your nursery’s financial, operational, and legal status. This includes reviewing contracts, staff records, and compliance with Ofsted’s Early Years Foundation Stage (EYFS) framework. We coordinate due diligence, organise documents in a secure virtual data room, and liaise with your solicitors to address buyer queries.
6. Legal formalities & Ofsted notifications
The sale process involves critical legal steps, such as drafting the sale agreement and notifying Ofsted of changes to registration. We ensure compliance with regulations like TUPE (Transfer of Undertakings Protection of Employment) to protect staff. We connect you with childcare-specialist solicitors and manages Ofsted notifications to streamline re-registration.
The process
1. Getting to know you
We know that every business is unique. We will work with you to identify what makes your nursery special and how best to present it to potential buyers. We will take the time to get to know your business and understand your goals and priorities. We will then provide a maximised but achievable valuation.
2. Marketing your business
Abacus will employ a combination of marketing techniques to present your business to potential buyers, while maintaining confidentiality through our use of non-disclosure agreements. We will make discreet approaches to our large database of active buyers as well as promoting the opportunity to buy your nursery via the leading business sales marketing channels.
3. Receiving offers
When the offers start to come in we will help you assess them to decide which are the most attractive. We will support you in weighing up the range of factors you will want to consider, including price, completion time and the plans your potential buyers have for your business.
4. Completion
Once you have accepted an offer we will work with you and the buyer to guide the transaction through to completion as quickly and smoothly as possible. Where necessary we are also able to recommend a network of specialist lawyers to make sure the contracts are drawn up properly. We will do all we can to make the process as efficient as possible, allowing you to focus on what comes next.
Let Abacus guide your next step
Selling your day nursery is a big decision, but you don’t have to navigate it alone. We combine deep childcare sector expertise with personalised support to ensure your sale is successful, compliant, and stress-free. From valuation to completion, we handle the details so you can focus on what’s next.
Contact us today for a free, no-obligation consultation. Call us at 0333 370 0000, email [email protected]. Let’s make your nursery sale a rewarding experience.
Frequently asked questions about selling
The process typically takes 3-6 months, depending on buyer interest, due diligence, and Ofsted approvals. Abacus streamlines timelines by managing key tasks efficiently.
We prioritise confidentiality, using NDAs and discreet marketing to protect your business until the sale is finalised.
An asset sale transfers specific business components (e.g., equipment, contracts), while a share sale transfers the entire company, including liabilities. We help you choose the best option based on tax and operational goals.
TUPE ensures staff transfer to the buyer with their existing contracts intact. We guide you through employee consultations to comply with regulations.
We negotiate with landlords to assign or extend leases, ensuring terms meet buyer expectations and avoid delays.
We assess financial performance, occupancy, Ofsted ratings, and property status to provide a competitive valuation that reflects market trends.
In most cases day nurseries need to be sold confidentially. A good business broker, like Abacus, will have a large database active acquirers, and can make enquiries and promote your business to potential buyers while maintaining your anonymity. We use professionally drafted non-disclosure agreements to ensure that potential buyers maintain strict confidentiality.
A number of factors will affect the value of your business. The price of a business will usually be calculated as a multiple of net profit plus the value of any assets. Other factors, such as location, outside space and reputation can also have an effect. You and Abacus both have the same goal – to sell your business for the highest realistic value as quickly as possible. Our expert valuers will be happy to explain their methodology to you.
Assuming your sale is confidential, we will put together a listing that does not identify your business. We will also proactively approach our database of active buyers to make them aware of the opportunity. We will only provide full details to potential buyers who sign a legally binding non-disclosure agreement. For non-confidential sales (for example when selling the premises of a closed day nursery) we will create a detailed listing which will appear on our own website and on the market-leading business sale listing websites. Where appropriate, and with your prior agreement, we can also promote the opportunity to purchase non-confidentially listed business via social media and through articles in the press.
We only make a profit when we sell your business. However, we incur most of our costs before this. Asking you to make a modest contribution toward the cost of our staff and suppliers helps us to make the necessary investment to find the right buyer for your business. It also demonstrates to us that sellers are committed to selling, meaning we can present your business to potential buyers with confidence.
If you own the freehold on your premises then leasing the property to a new operator could provide a good source of income in the long term, and the business is also likely to appeal to a wider range of buyers. However, the ongoing rental income will be dependent on the success of the new operator, the up-front payment you receive will be lower, and you won’t have the same clean break, so it depends very much on your circumstances and plans. It will also depend, to an extent, on the buyer – some actively want to purchase freehold premises as an investment, while others are only interested in owning businesses, not property.
If you sell a business that is still trading then any permanent staff will have the right to stay on with that business. What happens in the long term will depend on the new owner’s plans – but most acquirers of nurseries are looking to expand, and employ more people, rather than downsize.