One of the main reasons daycares fail is a lack of funding. Without funding, daycares may not be able to set up the business properly, market effectively, or hire qualified staff. If daycares cannot recruit qualified employees, the quality of care will likely decline. Moreover, if there are not enough qualified staff members, the daycare may not meet the needs of all the children who attend.
Another reason daycares may fail is a lack of parental support. If parents do not send their children to daycare, or if they do not participate in the activities at the daycare, the daycare may not be successful. Daycares may struggle to attract new customers without parental support and may eventually have to close down.