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Grant program helping launch new child care businesses in San Luis Obispo

The pilot project funded by the city of San Luis Obispo is designed to increase the number of child care options for community members.
More childcare slots are available throughout the city of San Luis Obispo thanks to the Direct Support for Family Childcare Start-Ups Program funded by the city.
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Agape Preschool just opened its doors in August.

“There is a big need in our area, a lot of families that are coming to us have stated that some preschools have up to a two-year waitlist,” explained Larry McCoy, assistant director of Agape Preschool. “This was an opportunity for us to provide another service to our community.”

Agape Preschool in San Luis Obispo focuses on children ages 2 to 5.

“We do communicate with the parents throughout the day to let them know how their child is doing throughout the day, the progress that they're making,” added McCoy.

Agape Preschool is a recipient of the Direct Support for Family Child Care Start-Ups program funded by the city. McCoy said a $10,000 grant gave the business the boost it needed to get their classroom ready.

“The grant that we received helped us get the furniture that we have here,” said McCoy. “We have our bookshelves for the kids; we have our cubicles that we put all of our toys and everything in.”

The City of San Luis Obispo started investing in the grant program back in 2021.

“We did $108,000 over the last two years, and now we have $50,000 in process for the next two years,” said Lee Johnson, the economic development manager for the City of San Luis Obispo

This means 10 new businesses and 108 slots for kids.

“Businesses were able to receive $5,000 for licensed family child care home, so those are businesses that are licensed to operate in a person's place of residence, and then, child care centers could receive up to $10,000,” said Shana Paulson, the Community Action Partnership of San Luis Obispo County (CAPSLO) Child Care Resource Connection director.

CAPSLO’s Child Care Resource Connection guided prospective entrepreneurs.

“We provide individualized support and technical assistance, and then we have training for people who are dedicated to that continuous quality improvement,” said Paulson.

The grant recipients are selected with the help of the San Luis Obispo Chamber of Commerce and First 5 SLO, an independent public agency supporting young children.

Johnson said it’s a win-win.

“Not only does that start a new business — it creates jobs, it gets people back to work, it helps diverse, underserved communities,” added Johnson.

Agape Preschool is starting the school year strong.

“We are licensed for 30 students,” said McCoy. “Right now, we're about a third of the way with our enrollment, so we're looking for more students.”

To learn more about the program at Agape Preschool, you can email preschool@agapeslo.org or you can call (805) 541-0782.

There is still funding available to start a child care business in the City of San Luis Obispo. All you have to do is fill out an application on CAPSLO’s website.

You can also call (888) 727-2272.

If you’re a parent looking for child care services, visit the My Child Care Plan California website for more resources.

If you are in need of funding for child care services, community members can also reach out to CAPSLO by visiting their website.