How Much Does It Cost to Start a Preschool in Montana?

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Starting a Preschool in Montana typically costs between $48,500 and $388,000, with a median estimate of $145,500. Montana’s cost of living is 3% below the national average, which helps reduce operating expenses like commercial rent and labor. LLC formation in Montana costs $35 to file. Most preschool businesses take 6-12 months to launch.

Last updated: May 2026

Preschool startup costs illustration — typical equipment and setup

How Much Does It Cost to Start a Preschool in Montana?

Low

$48,500

Medium

$145,500

High

$388,000

National average: $50,000 – $400,000

Interactive Startup Cost Calculator

Startup Cost Calculator

Preschool in Montana

Budget:

Classroom Space Lease & Build-Out

$58,200

Curriculum & Educational Materials

$9,700

Classroom Furniture & Equipment

$14,550

Licensing & Accreditation

$4,850

Staff Hiring & Training

$14,550

Insurance

$6,790

Marketing & Enrollment Campaign

$3,880

Working Capital Reserve

$29,100

Options

Include 3 months working capital (+$58,200)

Employees:Just Me1–34–10

Startup Costs

$141,620

Monthly Costs

$19,400

First Year Total

$374,420

Full Cost Breakdown

Cost Category	Low	Medium	High	Notes
Classroom Space Lease & Build-Out	$14,550	$58,200	$194,000	Preschools often share space with churches or community centers, reducing build-out costs significantly.
Curriculum & Educational Materials	$2,910	$9,700	$29,100	HighScope, Creative Curriculum, and Reggio Emilia materials are a meaningful four-figure capital cost per classroom setup, with annual replenishment for consumables on top.
Classroom Furniture & Equipment	$4,850	$14,550	$38,800	Plan a meaningful four-figure budget per classroom for complete furniture sets. Invest in quality — preschool furniture lasts well over a decade with proper care.
Licensing & Accreditation	$970	$4,850	$14,550	NAEYC accreditation (https://www.naeyc.org/accreditation) is a meaningful four-figure investment to pursue and significantly increases enrollment and tuition pricing power once earned.
Staff Hiring & Training	$4,850	$14,550	$38,800	Most states require lead preschool teachers to have at least an associate's degree in early childhood education.
Insurance	$1,940	$6,790	$19,400	Preschools require the same specialized insurance as daycare centers including abuse/neglect liability coverage.
Marketing & Enrollment Campaign	$970	$3,880	$11,640	Open house tours are the most effective preschool enrollment strategy. Hold 3-5 open houses before opening.
Working Capital Reserve	$9,700	$29,100	$77,600	Preschools fill enrollment in waves — most families enroll in September for the academic year.
Total Startup Cost	$40,740	$141,620	$423,890	Required costs only

Licenses & Permits in Montana

General Business License

Montana does not have a statewide general business license. Businesses must register their entity with the Montana Secretary of State and register with the Montana Department of Revenue for withholding taxes. Montana has no sales tax, which simplifies business registration. Some Montana cities and counties require local business licenses. The state's outdoor economy and tourism industry influence many licensing requirements.

Industry-Specific Licenses

Food and Drug Establishment License — Montana Department of Public Health and Human Services — Food and Consumer Safety
Cost: Varies — contact agency • Renewal: Annual
Contractor Registration — Montana Department of Labor and Industry — Employment Relations Division
Cost: Varies — contact agency • Renewal: Annual
Cosmetology Salon License — Montana Board of Barbers and Cosmetologists
Cost: Varies — contact agency • Renewal: Annual
Real Estate Broker License — Montana Board of Realty Regulation
Cost: Varies — contact agency • Renewal: Annual
Outfitter License — Montana Board of Outfitters
Cost: Varies — contact agency • Renewal: Annual
Child Care Facility License — Montana Department of Public Health and Human Services — Child Care Licensing
Cost: Varies — contact agency • Renewal: Annual
Beer or Liquor License — Montana Department of Revenue — Liquor Control Division
Cost: Varies — contact agency • Renewal: Annual
Pesticide Dealer License — Montana Department of Agriculture
Cost: Varies — contact agency • Renewal: Annual

Home-Based Business Rules

Home-based businesses in Montana face minimal regulation in rural and unincorporated areas, which make up most of the state's land area. Bozeman, Missoula, Billings, and Great Falls regulate home occupations through local zoning ordinances with standard restrictions on signage and customer traffic. Montana's cottage food law supports home-based food production. Remote home-based businesses are common in Montana's scattered rural communities.

Resources

Monthly Operating Costs

After launch, plan for these ongoing monthly expenses for your Preschool:

Low

$7,000/mo

Medium

$20,000/mo

High

$50,000/mo

Revenue Potential

Annual Revenue Range

$100,000 – $800,000 (annual)

Profit Margins

10-20%

Break-Even Timeline

18-30 months

How Montana Compares to Neighboring States

Montana is close to the national average for Preschool startup costs, with a cost-of-living index of 96.8. Compared to neighboring North Dakota ($123,000 median startup cost), Montana has higher costs for a Preschool.

State	Est. Cost	LLC Fee
Montana (current)	$145,500	$35
North Dakota	$123,000	$135
South Dakota	$124,500	$150
Wyoming	$126,000	$100
Idaho	$144,000	$100

Common Mistakes to Avoid

1
Launching mid-year instead of September — most families commit to preschool before the school year starts
2
Not pursuing NAEYC accreditation — accredited programs command a meaningful tuition premium and have waitlists
3
Underestimating teacher qualifications required — state regulations specify minimum education requirements
4
Not understanding your state's preschool subsidy programs — accepting subsidies increases enrollment significantly
5
Ignoring family communication tools — parents pay premium tuition and expect regular updates on their child

Next Steps to Launch Your Preschool

1
Obtain a Montana preschool or early childhood education facility license from the Montana Department of Education or DCFS
2
Register your Preschool as an LLC with the Montana Secretary of State ($35 filing fee)
3
Ensure all lead teachers hold a Montana-recognized Early Childhood Education (ECE) credential or degree
4
Pass the Montana fire marshal and health department inspections for your preschool facility
5
Complete criminal background checks for all staff and volunteers per Montana childcare licensing requirements
6
Get childcare-specific liability insurance and commercial property coverage; premiums scale with enrollment capacity
7
Develop your curriculum framework — choose from play-based, Montessori, Reggio Emilia, or structured academic approach
8
Enroll in the USDA CACFP (Child and Adult Care Food Program) to receive reimbursement for qualifying meals

Frequently Asked Questions

Starting a preschool spans a wide range. A small preschool using shared church or community center space can launch in the high five to low six figures. A dedicated preschool facility for several dozen students with its own space and outdoor area requires meaningfully more — well into the mid-six figures. Use the calculator on this page to model your specific scenario.

Most states require lead preschool teachers to have an associate's or bachelor's degree in early childhood education, plus a state teaching certificate or Child Development Associate (CDA) credential. Requirements vary by state. Aides typically need 18+ hours of early childhood education coursework.

Private preschool tuition varies materially by location, hours, and program quality. NAEYC-accredited programs in affluent areas command premium monthly tuition. Part-day programs (a few hours, a few days per week) are priced meaningfully lower than full-day programs.

Franchises like The Learning Experience, Goddard School, and Kiddie Academy provide curriculum, training, and brand recognition at the cost of substantial six-figure franchise fees plus ongoing royalties as a percentage of revenue. Independent programs offer curriculum flexibility and no royalties, but require more development time.

A multi-classroom preschool at standard ratio caps grosses meaningful annual tuition revenue at full enrollment. After teacher salaries (the bulk of expense), rent, and overhead, low-double-digit percentage margins require maintaining high enrollment. The key is maintaining a waitlist to fill departing students immediately.

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Start a Preschool in Other States

See the national overview for Preschool or browse all businesses you can start in Montana.