How much is my children's nursery worth? | Instant Valuation | James Dixey
How Much Is My Children's Nursery Worth?
Get a free, indicative valuation based on real market data. No documents needed — it takes around 60 seconds.
Updated April 2026Completely confidential
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Find out how much your business is worth
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A few quick questions
Everything we ask, you already know. No documents or financials needed. Takes around 60 seconds.
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Get your indicative range
See what businesses like yours are selling for, based on up-to-date valuation multiples in your sector.
Indicative valuation range
£3.4m – £3.8m
£2.5m£5m
Speak with a specialist
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Talk to a sector specialist
Speak with an advisor who understands your market, can give you a more accurate valuation, and help you find the right buyer when you're ready.
How are nursery businesses typically valued?
Nurseries are valued using a multiple of adjusted earnings (EBITDA), which is your annual profit after removing owner-specific costs and any one-off expenses. The multiple applied depends on factors including the size of your setting, your occupancy levels, the quality of your provision, and whether you own or lease the property. For nurseries with freehold property, the property value is usually factored into the overall valuation rather than assessed separately.
What multiples do nurseries sell for?
Nursery multiples in the UK generally range from 4x to 8x adjusted earnings. Single-site nurseries at the smaller end of the market will typically sit in the lower part of that range, while multi-site groups with strong occupancy and established reputations can achieve significantly more. When we speak with buyers, the businesses that attract the strongest offers tend to be those with consistent waiting lists, a stable staff team, and a clear track record of delivering quality early years provision across more than one setting.
What factors affect the value of a nursery?
Ofsted rating. Your Ofsted rating is one of the first things any buyer will look at. A "Good" or "Outstanding" rating is expected, and an "Outstanding" rating can meaningfully improve your multiple. A "Requires Improvement" rating will narrow your buyer pool and reduce what they're willing to offer.
Occupancy and waiting lists. High sustained occupancy is a strong signal of local demand. A waiting list adds further confidence for buyers because it suggests the business has room to grow, either through extending hours, adding places, or opening additional rooms.
Funded hours mix. The expansion of government-funded childcare places is one of the biggest topics in the sector right now. Buyers will look closely at what proportion of your revenue comes from funded hours versus private fees, and how the funded rate in your area compares to your cost of delivery. A business that can demonstrate profitability even with a high proportion of funded places is very attractive.
Want a more accurate picture?
An online calculator is a useful starting point. Speak with our team to understand what your children's nursery could realistically achieve.
Staff qualifications and retention. Early years recruitment is a well-known challenge. A nursery with qualified, long-serving staff and low turnover is worth more than one that relies on a constant stream of new hires. Buyers know that the team is what parents are really paying for.
Property and lease terms. Whether you own or lease your premises makes a significant difference. Freehold nurseries typically attract higher offers. For leasehold settings, buyers will scrutinise the remaining term, rent levels, break clauses, and any restrictions that could limit future growth.
Location and local competition. Nurseries in areas with strong parental demand and limited alternative provision are more valuable. Proximity to residential developments, schools, or transport links can all contribute to a premium.
Does having multiple sites affect my valuation?
Yes, and usually positively. Multi-site nursery groups are particularly attractive to buyers because they offer scale, reduce key-person risk, and often have management structures already in place. Groups also tend to achieve higher multiples than standalone settings. We regularly speak with buyers who are specifically looking for two or three-site groups as a platform for further growth, so if you're in that position, the demand is strong.
Is now a good time to sell a nursery?
The nursery market has seen significant acquisition activity in recent years, driven by both strategic buyers looking to build groups and private equity interest in the sector. The expansion of funded childcare hours has created both opportunity and uncertainty, which is prompting some owners to consider their options. For nurseries that are well-run, profitable, and in strong locations, buyer demand remains high. The best time to sell is when your financials are strong, your occupancy is healthy, and your Ofsted rating reflects the quality of what you do.
How long does it take to sell a nursery?
Most nursery sales take between four and nine months from initial valuation to completion. The process involves Ofsted registration changes, and where property is included, standard conveyancing. If your nursery is leasehold, the landlord's consent to assign the lease can sometimes add time. Having your Ofsted documentation, accounts, and staff records in order before coming to market will help things move more smoothly. This is one of the most practical pieces of advice we give to nursery owners thinking about a sale.
How accurate is an online nursery valuation?
An online valuation gives you a useful starting point based on current market multiples and sector-specific data. It won't capture everything, though. Details like your local competitive landscape, the specifics of your funded hours arrangements, and the condition of your premises all influence the final figure. If the range looks promising, a confidential conversation about your specific circumstances will give you a much clearer picture.
