The COACH Act mandates the Small Business Administration to create and regularly update a comprehensive resource guide offering operational, financial, and compliance assistance to child care providers.
Amy Klobuchar
Senator
MN
The COACH Act establishes a mandatory Child Care Resource Guide to support small businesses operating as child care providers. This guide, published by the Small Business Administration, will offer essential guidance on operations, finances, compliance, and quality. It must be updated regularly and distributed widely to ensure child care providers have access to necessary resources.
If you’re running a small child care business, or even just thinking about opening one, the Convening Operations Assistance for Childcare Heroes Act (COACH Act) is about to give you a serious administrative lifeline. This bill mandates that the Small Business Administration (SBA) create and publish a comprehensive, easy-to-use Child Care Resource Guide aimed squarely at small business providers.
Starting within one year of enactment, the SBA must roll out this guide, which is essentially a playbook for running a successful child care operation. The content isn't just fluffy advice; it’s designed to hit the key pain points for providers: operations, finances, legal compliance, and training/safety. Crucially, it will also include guidance on quality standards, specifically how providers can qualify for federal funding under the existing Child Care and Development Block Grant Act. Think of this as the ultimate cheat sheet for transforming a passion for child care into a sustainable, compliant small business.
This is a big deal because child care is often a high-turnover, low-margin business, and providers—especially those operating smaller centers or as sole proprietors—rarely have the administrative staff to navigate complex federal and state regulations. The guide’s goal is to bridge that gap, helping a small center owner in a rural area access the same quality business intelligence as a large urban corporation.
The COACH Act takes accessibility seriously. Not only must the guide be published on a public website in English, but it must also be translated into the 10 most commonly spoken languages in the U.S. other than English, specifically naming Mandarin, Cantonese, Japanese, and Korean. This is a vital provision, as many small, often in-home, child care operations are run by first-generation Americans or those for whom English is a second language, and they are often the providers who need this administrative help the most.
Furthermore, the SBA isn't just dropping the guide online and calling it a day. They are required to distribute it through their entire network of partners: Women’s Business Centers (WBCs), Small Business Development Centers (SBDCs), SCORE chapters, and Veteran Business Outreach Centers (VBOCs). These local centers are the boots on the ground for small business advice, ensuring the guide reaches the providers the SBA determines have “limited administrative capacity.” This targeted approach should help the information land exactly where it’s needed, rather than just piling up in an inbox.
Before publishing the guide, the SBA Administrator must consult with the Department of Health and Human Services (HHS) and state-level child care agencies. This ensures the business guidance is aligned with actual child care policy and licensing requirements—a smart move to avoid giving out conflicting advice.
However, the bill does give the SBA Administrator a lot of authority. They get to decide which specific business models the guide applies to and exactly what “other matters” get included. This broad discretion could lead to inconsistent application down the line, potentially excluding certain types of providers or adding unnecessary content. Also, the success of the targeted distribution relies heavily on the Administrator accurately determining which providers have “limited administrative capacity.” If that definition is too narrow, some small providers could miss out on this crucial support.
Overall, the COACH Act is a strong, focused effort to treat child care providers like the small business owners they are, offering them the specific operational support they need to stay compliant and financially healthy. For busy parents, this means a more stable, higher-quality supply of child care options, which is a win for everyone trying to juggle work and family.