KrazyDayz nursery
DYNAMIC DUO TURN WAREHOUSE INTO DREAM NURSERY
Entrepreneurial women get funding from Foundation East for the nursery they always dreamed of
NOTHING has got in the way of passionate childcarers Kate Thorpe and Shelly Bailey and their dream of owning a successful day nursery. Even when they were refused bank finance at a crucial stage in their building work they never gave up hope.
At the eleventh hour, Kate and Shelly were offered funding by community finance organisation Foundation East.
Now, the Krazy Dayz children’s day nursery in Kirkgate Street, Wisbech, is more popular than they could ever have hoped.
The dynamic duo started their nursery project following family bereavement, believing that setting up their own business would give them both a positive focus, as Kate explains:
“Both Shelly and I were looking for a fresh start, something positive that we could channel our energies into. Both of us had experience of childcare and there is a shortage of quality care in Wisbech so we decided that creating a lively nursery would be our goal.”
Kate had nine years experience working her way up to deputy manager in nurseries and Shelly had plenty of childcare practice looking after her nine-year-old daughter.
In 2008 they took on the 10-year lease of an old warehouse in Kirkgate Street, Wisbech, and began the long process of transforming it into a nursery. As research showed there was a real need for nursery care in the area, they approached the local council for support. Initially the council seemed interested in supporting their project through match funding, but this offer of financial help was later withdrawn and their approaches to banks were also unsuccessful.
Shelly says: “At this point we had to sit and think whether to continue or cut our losses. The warehouse just wasn’t finished.
“Eventually we decided we had already put too much money in to just walk away.”
Fortunately it was at this point that Shelly and Kate found out about Foundation East while on a business course.
Foundation East is a membership organisation that provides small business loans of up to £50,000, for individuals and companies that have been refused bank finance. The organisation does not use credit scoring to make a decision, but instead assesses the business plan, cash-flow projections and plans for the future.
Even individuals without a credit history are able to borrow money from Foundation East, as the local business loans manager Valerie Jarrett explains.
“At Foundation East the decision to loan money is made by a panel of members many of whom are in business themselves and understand the challenges that people like Michelle and Kate face.
“Other lenders are restricted by a computer decision but, if the business plan and the cash flow analysis are realistic, we are able to take into account human factors like knowledge of the industry and a unique proposition. These intangibles can make all the difference to the success of business.”
Foundation East was able to loan Kate and Shelly the final £7,500 to help them to complete their building project.
Since then the nursery has gone from strength to strength and now looks after 12 children in the baby room, 16 children in the toddler room and 12 children in the pre-school room.
Shelly says: “Foundation East has been very supportive. I can safely say that without their funding we would not be where we are today.
“There is no way we could have afforded to finish the building.
“But thanks to Foundation East we have been able to open and parents of the children we care for always say how the building looks and feels like it was built with love – which it was – years of it!”