Sell Your Childcare Centre in Melbourne and Victoria

By Michael White, Director and licensed estate agent · Updated November 2026

Childcare centres are some of the most sought-after businesses in Victoria, but they are also some of the most regulated to sell. A buyer is taking on provider and service approvals, the Child Care Subsidy, qualified staff and families who trust the centre with their children. Vic Brokers has sold childcare centres in Melbourne and regional Victoria since 2017, and we plan the approval steps from the start, so they don't hold up settlement.

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A large and active market

Victoria has more approved education and care services than any other state except NSW: 5,033, including 2,155 long day care services, according to the ACECQA NQF Snapshot Q2 2026. Buyers range from first-time owners with an early childhood background, to multi-site operators expanding into new suburbs, to investors who own the property or want a stable, government-supported income.

Who can sell my childcare centre?

In Victoria, anyone selling a business on an owner's behalf must hold an estate agent's licence. Vic Brokers is a licensed estate agent and business broker, and we sell leasehold childcare businesses and freehold centres across Melbourne and regional Victoria. Most owners choose one of four routes:

Route Suits What to know
A licensed business broker Most owners, especially if you want buyers competing and the sale kept confidential The broker values the centre, markets it without naming it, checks buyers can get provider approval, negotiates and manages the sale through to settlement.
Selling direct to a large operator Centres that fit an operator's criteria (size, occupancy, lease) Quick if they're interested, but you only hear one offer, and you usually have to share details before you know what the centre is worth.
Selling it yourself Owners comfortable handling buyer enquiries, approvals and paperwork You keep control, but you also screen buyers, keep it confidential from staff and families, and manage the approval steps yourself.
A commercial property agent Sales of the property only Suits the freehold on its own. If the business is sold as well, it needs to be handled as a business sale.

Whichever route you take, bring in your accountant and a solicitor who knows childcare early. A broker can still help if an operator approaches you directly: we can appraise the centre first, so you know whether the offer is fair.

Leasehold or freehold? A leasehold sale means you sell the business and the buyer takes over your lease. In a freehold sale you also own the property and sell it with the business, or sell the business and keep the property as the buyer's landlord. Buyers, lenders and the price all look different for each, so we set out which one it is at the start.

What buyers look for

  • Occupancy. Enrolments against approved places, the trend over the last two to three years, and the waitlist.
  • Quality rating. The centre's rating against the National Quality Standard. Meeting or Exceeding NQS supports the price; Working Towards NQS needs a clear improvement plan.
  • Compliance history. Regulator visits, notifications, incidents and any compliance actions.
  • Staff. Qualified educators, a stable team and a nominated supervisor and educational leader who are likely to stay. Staffing is the biggest cost and the biggest risk buyers assess.
  • The premises and lease. A purpose-built or well-adapted site, outdoor space that meets requirements, and a long lease with options.
  • Fees and subsidy. Daily fees compared with nearby centres, and clean Child Care Subsidy records.

What affects the value

Childcare centres are usually valued on adjusted net profit, and often also compared on a price per approved place. Where a centre lands in its range depends on:

  • Occupancy and approved places. High, stable occupancy is the single biggest driver. Approval for more places, or room to add them, can add value.
  • Quality rating and a clean compliance record.
  • Wages as a share of revenue, and whether the roster meets ratios without relying on agency staff.
  • The lease: years remaining, options, rent reviews and the landlord's attitude to assignment.
  • Owner reliance. Centres where the owner is also the nominated supervisor or educational leader need a handover plan.

Read more: What Is My Business Worth? How Business Valuations Work in Victoria

How the approval transfer works

This is where childcare sales differ most from other businesses, so it pays to plan it early.

  • Provider approval. The buyer must hold, or obtain, provider approval under the Education and Care Services National Law. In Victoria, the regulator is the Department of Education.
  • Transfer of service approval. The seller and buyer jointly notify the regulator of the transfer at least 60 days before it is to take effect. The regulator can intervene; if it doesn't, it is taken to consent.
  • Families. Families must be told at least 7 days before the transfer takes effect, and the regulator is notified within 2 days after.
  • Child Care Subsidy. The buyer also needs approval from the Australian Government to administer the Child Care Subsidy for the centre. Allow time for this alongside the service approval.
  • Lease. The landlord's consent to assign the lease runs in parallel.

These timeframes mean a childcare sale usually needs a longer gap between contract and settlement than other businesses. We set the timeline with you, your solicitor and the buyer at the contract stage.

Things to prepare before selling

  • Three years of financials, reconciled to tax returns and Child Care Subsidy statements
  • Occupancy and enrolment reports by room, plus the waitlist
  • The latest assessment and rating report, and any compliance correspondence
  • Staff list with qualifications, Working with Children Checks, and leave balances
  • Policies and procedures, and the quality improvement plan
  • The lease, and any equipment or vehicle finance

How we keep the sale confidential

News of a sale can unsettle educators and families. We advertise without naming the centre or its suburb, screen buyers before they see any details, and require a signed confidentiality agreement before releasing figures or the location. Inspections are arranged outside operating hours where possible.

Frequently asked questions

Who can sell my childcare centre in Melbourne?

A licensed business broker or estate agent can sell it for you. In Victoria, selling a business on someone else's behalf requires an estate agent's licence. You can also sell direct to a large operator or sell it yourself, but a broker brings competing buyers, keeps the sale confidential and manages the provider approval steps through to settlement. Vic Brokers is a licensed business broker that has sold childcare centres in Melbourne and regional Victoria since 2017.

How are childcare centres valued?

Mainly on adjusted net profit, often cross-checked against a price per approved place. Occupancy, the quality rating, wage costs and the lease all move the price within that range.

How long does it take to sell a childcare centre?

Most businesses we sell receive an acceptable offer within 2 to 6 months. Settlement then takes longer than most businesses, because the transfer of service approval must be notified to the regulator at least 60 days ahead and the buyer needs Child Care Subsidy approval.

Does the buyer need provider approval?

Yes. The buyer must be an approved provider before the service approval can transfer to them. Buyers who are already approved providers can usually move faster.

When do families and staff need to be told?

Families must be notified at least 7 days before the transfer takes effect. Until a buyer is committed, we keep the sale confidential, and then plan the timing of the staff and family announcements with you.

Can you sell a centre if I also own the property?

Yes. You can sell the business and the property together, or sell the business and lease the property to the buyer. As licensed estate agents, Vic Brokers can handle both.

How do I sell my childcare centre in Melbourne?

Start with a confidential appraisal so you know what the centre is worth to buyers. We then prepare the information buyers need, including occupancy, staffing, the lease and your rating under the National Quality Framework. We market the centre without naming it and only release details to buyers who sign a confidentiality agreement. Once you accept an offer, we work with your accountant and solicitor through the provider approval process and on to settlement.

Does the lease affect what my childcare centre is worth?

Yes. Buyers and their lenders look closely at how many years are left on the lease, including options, and at the rent compared with the centre's income. A long lease with fair rent usually supports a stronger price, while a short lease can reduce buyer interest. If your lease is close to expiring, it's worth talking to us before you go to market.

Will my staff keep their jobs when the centre is sold?

In most childcare sales the buyer keeps the existing team, because qualified educators and a stable staff group are a big part of what they're paying for. Staff entitlements are dealt with in the contract, and the timing of when staff are told is planned with you so the centre keeps running smoothly.

Thinking of selling?

Start with a free, confidential appraisal. You'll get a realistic price range and a clear picture of what's helping or holding back your centre's value.

Call (03) 9918 6739 or request your free appraisal. You can also read about selling your business with Vic Brokers.