Boosting sustainability for early childhood services: NSW launches round 2 of business capability program

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Fiona Alston

Feb 24, 2026

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Small and standalone early childhood education and care (ECEC) providers in NSW will receive targeted operational support under Round 2 of the Business Capability Development Program (BCDP).

Designed to strengthen business viability, reduce administrative burden and support workforce sustainability, the program aims to give approved providers and service leaders greater capacity to focus on high-quality education and care.

The BCDP is a free, non-pedagogical support initiative delivered by the NSW Department of Education in partnership with Semann, Slattery & Associates and Community Early Learning Australia (CELA).

Eligible services can access up to 170 hours of tailored business leadership and management support across two stages.

Stage 1 – Discover and plan (June – September 2026)
Services receive up to 12 hours with a business capability consultant to undertake a structured review and co-design a practical action plan aligned with service needs.

Stage 2 – Implement (October 2026 – June 2027)
Services access up to 158 hours of targeted capability development. Support may include workshops, coaching, site visits and guidance on digital tools to embed long-term operational improvements.

To minimise financial impact, eligible providers may receive an access payment of up to $13,650 (excluding GST) per service to support staff backfill or out-of-hours participation.

The BCDP addresses non-educational business operations and does not replace Quality Improvement Plans (QIPs) or curriculum responsibilities.

Capability areas include:

Financial and IT management – budget planning, billing systems, online enrolments and digital documentation
Staff and change management – recruitment, induction, rostering, workforce wellbeing and succession planning
Governance and administration – board processes, compliance oversight, policy review and workflow standardisation
Operational and risk management – hazard identification, project management and emergency planning
Community engagement – strengthening relationships with families and local communities

For services operating under the National Quality Framework (NQF), strengthening governance and operational systems can support compliance, workforce stability and long-term sustainability.

Round 2 targets small and standalone approved providers operating between one and six NSW services.

Eligible services must be located in one of the following trial locations:

Queanbeyan
Griffith – Murrumbidgee (West)
Blacktown
Mount Druitt
Camden
Campbelltown
Penrith
St Marys

Public preschools, family day care services, outside school hours care (OSHC) services and Aboriginal community-controlled organisations supported under the Sector Strengthening Partnership are not eligible to apply.

Applications for Round 2 opened on 16 February 2026 and closes on 30 March 2026.

Interested services must submit a short application and self-assessment through the SmartyGrants platform.

The Department encourages applicants to review the program guidelines, explore case studies from Round 1 and attend an application support webinar prior to submission.

Further information is available via the NSW Department of Education’s Business Capability Development Program webpage:

Providers can also contact the program team on 1800 619 113 or via ecec.funding@det.nsw.edu.au

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