Looking for a nonprofit youth services business plan? You're in the right place.
A youth program asks funders to pay for something that happens one afternoon at a time. How many young people can each adult look after? What does a single day of attendance cost, and who covers the part families can't? What does the program do when a grant comes in a quarter late, or a fifth short? A template won't show you what a believable answer looks like.
In this article we'll walk through a complete sample business plan for an after-school and summer program for middle schoolers in Baltimore, Maryland, section by section. We'll cover the executive summary, the competing options a family has, the rules a Maryland youth program works under and, at the end, all of the financials.
Here's what you'll take away:
- The executive summary: see how to put a program, its funding and its limits on one page, so a funder can judge it in a minute
- Enrollment, fees and scholarships: learn how to set a sliding scale and show what it costs the program, so waived fees don't surprise your board
- The staffing ratio and the day's schedule: show a reader exactly who is in the room, and why you hire when you do
- The start-up budget and reserve: size the cushion that carries a program through its first year of late grant payments
- The funding calendar: see revenue arrive month by month, and spot the months when the bank balance is lowest
- The five-year financials: follow cost per attended day, break-even and net assets from one year to the next
- The downside case: have an answer ready for "what if funding is 20% short?", with the steps the board takes first
If you're setting up a youth program, read this before you write yours. The organization is fictional, so keep what fits and change the rest.
In this plan
Looking for a nonprofit youth services business plan template? The Toolkit builds yours with your own numbers.
The Plan in Brief
4Youth is an after-school and summer program for sixth to eighth graders in Baltimore, Maryland. It opens on February 1, 2027, in a leased community building in East Baltimore (Site A), serves youth from an afternoon arrival to a 6:00 p.m. dismissal, and runs a seven-week summer camp. A second site inside a partner middle school opens in September 2028. Founder and Executive Director Danielle Brooks leads it for a board of directors; 4Youth, Inc. is a Maryland nonstock corporation recognized under section 501(c)(3) in November 2026.
Launch costs are covered by $600,000 of gifts, none of it borrowed: a $300,000 lead gift from a family foundation and $227,000 from founding donors, both unrestricted and held as the operating cushion, and a $73,000 start-up grant that pays for furniture, safety upgrades, legal and licensing review, fingerprinting and outreach. Ongoing costs are met from city youth-fund grants, foundation grants, host-school agreements, family fees after scholarships, meal reimbursement and donations.
| Year 1 | Year 2 | Year 3 | |
|---|---|---|---|
| Revenue | $474,090 | $796,172 | $1,177,310 |
| Net income after start-up costs | ($193,924) | ($96,772) | $22,826 |
| Closing cash | $350,347 | $249,567 | $266,162 |
| Attended child-days | 8,516 | 15,192 | 22,620 |
Year 1 loses $193,924 because staff are hired ahead of enrollment and grant installments arrive in lumps. Year 2 loses $96,772, and the first surplus comes in Year 3, $22,826, followed by $45,741 and $63,866 in Years 4 and 5. The first two years lose $290,696 in total, which the cushion pays. The board's target of three months of costs in reserve is met at the end of every year except Year 3, when cash covers 2.8 months.
Two things limit the plan. About 44% of Year 1 revenue comes from restricted city and foundation grants that a new organization has not yet won, and the 60% step-up in foundation money in Year 2 depends on one year of results. If the city declines its first awards, the cushion absorbs the $110,000. The downside case takes 20% off every income line and applies the cuts the board would make first. Year-end cash stays above zero, falling to $51,751 in Year 5, and the program loses money in every year.
4Youth does not promise grades, behavior or graduation outcomes. It reports what it can count: days attended, homework blocks completed, meals served and what families say in a yearly survey.
What 4Youth Is
Legal name: 4Youth, Inc., a Maryland nonstock corporation. Tax status: recognized by the IRS under section 501(c)(3), November 2026. Governance: a seven-member volunteer board; Danielle Brooks is Executive Director and reports to it. Site A: about 5,000 square feet of a leased community building in East Baltimore, licensed for 75 youth at a time. Site B: rooms in a partner middle school under a use agreement, licensed for 60, from September 2028. Hours: school days until 6:00 p.m.; summer camp 8:00 a.m. to 4:00 p.m.
Why middle school
Elementary after-care often ends at fifth grade, and families of sixth graders can find few options built for the age that follows. 4Youth builds its schedule around that age: choice in the afternoon, small groups, and adults who stay with the same cohort for the year. The program serves grades 6 to 8, roughly ages 11 to 14.
Aims for 2027 and 2028
- 81 enrolled youth by December 2027, with average daily attendance of 57.
- A scholarship offered to any family that asks, with 55% of list fees waived across the program in Year 1.
- Site B open in September 2028, and 134 youth enrolled across both sites by December of that year.
- Every staff member and regular volunteer cleared before working with youth, with no exceptions for the first week of a term.
Rules the program works under
The Maryland State Department of Education's Office of Child Care licenses and inspects child care centers and family child care homes in the state. Whether a program like 4Youth must be licensed depends on how its activities are classified, and the plan treats licensure as the working case. A 2015 summary from the Maryland Association of Counties describes a regulation that treats school-age recreational and supplementary education programs as outside the child care definition when a parks department, a law enforcement agency or a school runs them and their primary purpose is not custodial care. A nonprofit is not on that list, and the summary is secondary, so the plan does not rely on it. The start-up budget includes $13,000 of legal work with a licensing review, and counsel confirms the current rule before the lease is signed.
The state requires background checks for people who work or live in child care facilities. Its page lists eight parts, among them fingerprint checks against state and FBI records, sex offender registry checks and child abuse and neglect registry checks, completed at least once every five years, with a child protective services clearance every two years for providers. 4Youth applies the same eight-part check to every employee and to any volunteer who is alone with youth, and budgets $5,000 for the founding staff and $14,000 a year for screening, training and first-aid certification. Staff are trained to report suspected abuse or neglect as Maryland law requires, and counsel confirms the details of that duty.
The state's staff-to-youth ratio for school-age groups is not quoted here; the current text is in the Code of Maryland Regulations and counsel confirms it. The program works to its own count, one adult for every ten youth present.
The opening date depends on licensing. The application to the Office of Child Care goes in with the lease. Fingerprint results and fire and health inspections follow, on dates the agencies set, and the plan allows until February 1, 2027. If the license is not issued by then, the doors stay shut and about $47,000 of January costs repeats for each month of delay, paid from the cushion. The attendance targets then move back by the same number of months.
Baltimore's Out-of-School Options
Who pays for the hours after school
Public money for youth programs in Baltimore is concentrated in the Baltimore Children & Youth Fund, which is paid for by a dedicated city property tax of three cents for every $100 of assessed value. Voters approved the fund in 2016 with about 80% support, and it was established in 2020. Its site lists several funds, including Grassroots, Community Accountable and Summer of Possibility, each with its own award sizes and eligibility rules. The site says the fund prioritizes locally based organizations accountable to the neighborhoods they serve. The city line in the budget is a target built from several awards, and none is committed.
Federal meal programs add a second public source. Reimbursement for after-school suppers and summer meals is paid through the state, USDA publishes the rates each July, and sponsor requirements are confirmed with the state agency before the first claim. A third is the host school itself, which can pay a partner for extended-day services from its own budget.
What else a twelve-year-old could do at 4:00
| Option | What it offers | Why a family picks it | Where 4Youth is built differently |
|---|---|---|---|
| School-run extended day or tutoring | On-site, no travel | Often costs little or nothing extra; the child stays in the building | Open until 6:00 p.m., serves supper and runs in summer |
| City recreation centers | Open gyms, clubs and drop-in hours | Often low or no cost, near home | A fixed homework block, named staff for each cohort and daily attendance records |
| Faith and neighborhood programs | Small groups in a familiar place | Trust in the people running them | Longer hours, and a van that collects from school |
| Clubs run by national youth organizations | Facilities and a recognizable name | Brand and range of activities | Smaller groups; fees scaled to family income, which also varies by organization |
| Paid tutoring and enrichment | One subject, taught well | Targeted help | Several activities in one place for one flat daily fee |
| Home alone or with an older sibling | Nothing | Free | The reason the program exists |
The table describes categories of provider, not named organizations. Programs, hours and fees change. Before leasing Site A, 4Youth maps every program within a mile of the building and records which ones serve grades 6 to 8.
Strengths and risks, weighed
Strengths. A founder with eleven years in Baltimore youth work. Supper at every after-school session. Fees that bend to family income. A van that closes the gap between school and program.
Weaknesses. A new name with no attendance record. Only one site until September 2028. No agreement with a host school signed at the date of this plan. A reserve that falls below the board's three-month target from Year 3.
Opportunities. Summer, when school and city programs thin out. Schools that need a partner to run extended-day hours. Meal reimbursement that pays for a real share of food costs. A second site that adds attendance faster than it adds fixed cost.
Threats. Grant calendars that shift by a quarter. A larger organization applying to the same fund with the same school. A serious safety incident, which would damage trust faster than any funding gap. Staff who leave in September when the term starts.
The Families and Youth We Serve
Who comes through the door
Most families are working households in East Baltimore and neighborhoods near the host school. A parent or guardian, often working until 5:00 or 6:00 p.m., wants a place where an eleven-to-fourteen-year-old is supervised, fed and doing something besides a phone. The middle schooler is the second customer, and a less willing one. A program they dislike gets skipped, which is why attendance is the figure the plan counts.
What prompts a family to enroll
The move from fifth to sixth grade, when elementary after-care ends. A change in a parent's shift. A school counselor who notices a student leaving the building at 3:00 with nowhere to go. A sibling already enrolled.
What they look for
Safety on the way home. A supper. Homework help that does not feel like detention. A price they can plan around. A person they can phone.
Schools as a second client
A principal or community-school coordinator wants partners that extend the school day without adding to staff workload. A school pays for a defined service: reserved seats for referred students, van pickup at dismissal and a daily attendance report. The host school at Site B also provides rooms under a use agreement. Partner schools do not sit on the board while an agreement is in force.
Enrollment, Fees and Scholarships
From referral to first day
A school counselor or community partner refers a family. 4Youth calls within two school days, holds a short intake conversation, collects registration, health, emergency-contact and authorized-pickup forms, and offers a trial week before the family commits. Fees are set at registration and reviewed each term.
How fees work
| List price | Per week | |
|---|---|---|
| After-school day | $16 | $80 |
| Summer camp day | $45 | $225 |
Families choose one of three tiers on a signed income form: full fee, half fee or no fee. The plan expects 30% of families to pay in full, 30% to pay half and 40% to pay nothing, so scholarships waive 55% of list value. In Year 1 that is $104,767 of $190,486 in list fees, and $85,719 is collected. Fees rise 3% a year from Year 2. No child is turned away for inability to pay while a place is open, so free places are not capped, and the board reviews the tier mix each term.
Attendance and waiting lists
Average daily attendance is 70% of enrollment, so at the Year 5 attendance of 70, Site A has about 100 youth enrolled, not all present on the same day. Sites fill gradually: Site A holds 22 on an average day in February 2027 and 57 in December. When a site is full, families join a waiting list that the school counselor can see.
Enrollment by year
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Fall-term average daily attendance, both sites | 57 | 94 | 116 | 120 | 124 |
| Youth enrolled in December | 81 | 134 | 166 | 171 | 177 |
| Partner schools | 2 | 3 | 4 | 4 | 4 |
Growth slows after Year 3 because each site approaches its licensed capacity. The plan adds attendance only by adding a site, and it does not model a third.
Reaching Schools, Families and Donors
What the outreach budget buys
Year 1 outreach is $23,000: $9,000 of launch spending from the start-up grant and $14,000 of operating spending. Of the total, $15,500 is aimed at families and referring schools and $7,500 at donors (marked below). About 95 youth enroll over the year, with 81 enrolled in December after some leave, so family outreach costs about $163 per enrollment. Most of the work is relationship work, done by Danielle and the Program Director rather than bought.
| Item | Year 1 cost | What it is for |
|---|---|---|
| Website and photography (launch) | $4,000 | A page families and referring counselors can read on a phone |
| School visits and family nights (launch) | $3,000 | Introductions to counselors and the first parent meetings |
| First donor appeal and printing (launch, donors) | $2,000 | Letters and a short case for support |
| Counselor and principal outreach | $3,500 | Visits, referral cards and information nights at partner schools |
| Bilingual family materials | $1,500 | Registration packets and flyers in English and Spanish |
| Neighborhood and faith partners | $2,000 | Presentations and a standing table at community events |
| Donor communications (donors) | $3,000 | Newsletter, annual report and benefit invitations |
| Spring benefit costs (donors) | $2,500 | Venue, food and printing for the May event |
| Online posts and ads aimed at parents | $1,500 | Short posts that point to the intake call |
Where the 95 enrollments come from
| Source | Youth enrolled in Year 1 |
|---|---|
| Partner-school referrals | 62 |
| Neighborhood and faith partners | 17 |
| Word of mouth from enrolled families | 11 |
| Online and walk-in inquiries | 5 |
Fundraising calendar
Grants follow the funders' cycles: city installments in March, June and October, foundation installments in February, June, September and December, and school invoices each quarter. Gifts from individuals follow two moments, the May benefit and the November to December year-end appeal. Danielle runs the calendar alone through 2027. A part-time development and partnerships manager joins in April 2028.
Milestones
- January 2027: staff cleared and trained; registration opens.
- February 1, 2027: doors open with average attendance of 22.
- June 21, 2027: summer camp begins.
- September 2027: school-year attendance returns to 48.
- December 2027: 81 enrolled, attendance of 57.
A Day at 4Youth
The afternoon schedule
| Time | Block |
|---|---|
| 3:00 to 3:30 | Arrival, check-in and snack |
| 3:30 to 4:30 | Homework and tutoring in small groups |
| 4:30 to 5:15 | Choice block: STEM, media, art, movement or a partner-led club |
| 5:15 to 5:45 | Supper |
| 5:45 to 6:00 | Reflection, cleanup and dismissal to authorized adults or van |
The van meets two partner schools at dismissal in Year 1 and does a second run in the evening for youth who cannot be collected. Site B is inside its host school and needs no van. Enrichment partners lead some of the choice blocks, at a cost of $34,000 in Year 1 including materials.
Summer camp
Seven weeks, 34 days from June 21 to August 6, 2027, with a closure on July 5. The schedule has a morning academic block, an afternoon of activities, and two meals. Four seasonal counselors per site join the staff each June and work full camp days, and a weekly outing uses a charter bus.
Staffing and ratios
The standard is one adult for every ten youth present. It counts the part-time specialists, one relief specialist per site and the site lead (the Program Director at Site A, the coordinator at Site B). It does not count the driver and youth aide, who also drives the van at 3:00 and 6:00, or the Executive Director. At the Year 1 peak of 58 youth in November, Site A has six: the Program Director, four specialists and the relief specialist. At the Year 5 peak of 70 it has seven. Attendance is an average, and on busier days the relief specialist keeps the ratio close to the standard. Specialists work 22 hours a week: about 15 with youth, the rest for preparation, attendance records and training. In summer, four counselors per site work full days beside the specialists. A new site does not open until its coordinator has been on payroll a month.
What a day costs
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Attended child-days | 8,516 | 15,192 | 22,620 | 24,444 | 25,072 |
| Operating cost per attended day | $74 | $58 | $51 | $49 | $50 |
| Operating cost per youth enrolled in December | $7,814 | $6,603 | $6,906 | $7,050 | $7,036 |
Cost per attended day falls as fixed costs spread over more days, and flattens once both sites are near capacity. Cost per enrolled youth is about $6,900 in Year 3. That figure covers a full year with supper every day, a seven-week camp, a van and the overhead of two sites, and the board watches it each year. Family fees and meal reimbursement together cover 20% of the cost of a day in Year 1 and 29% in Year 3. Grants, school payments and gifts cover the rest.
Safety and records
Every child is signed in and out against an authorized-pickup list. Allergy and medication plans are on file, with staff trained in first aid and CPR. Fire and shelter drills run each term. The attendance system produces a daily count that feeds the host school's report, the meal claim and the monthly report to the board. Vehicles and drivers are covered by commercial auto insurance, and the plan budgets $26,000 for the full insurance program in Year 1, with workers' compensation carried in payroll on-costs.
Vendors and partners
Enrichment partners are paid per session and replaceable. The food vendor delivers suppers to Site A and is paid per meal. The bookkeeper works part time under the treasurer's review, and an outside accountant prepares the yearly review of the books.
Board, Staff and Safeguarding
Danielle Brooks, Executive Director
Danielle has worked in youth programs in Baltimore for eleven years. She spent four years as a site coordinator for an after-school program in a middle school, five as a program manager at a regional youth nonprofit, and the last two writing grants for a community foundation's youth portfolio. She earns $82,000, below what the role would pay at a larger organization.
Where the leadership is thin
Danielle has never run two sites at once and has never carried a payroll for a program she founded. The Program Director leads Site A day to day from the first morning, which leaves Danielle free for fundraising and for opening Site B. The board reviews the finances quarterly, and an outside accountant supports the first year. Danielle and the Program Director keep the attendance and outcome records themselves, with no separate data post.
The board
Seven volunteers: a treasurer who is a CPA, a former middle school assistant principal, a pediatric nurse, an attorney, a parent of an enrolled youth, a business owner from the neighborhood and the chair, who has run a community nonprofit for fifteen years. The board meets six times a year, adopts the budget, sets the reserve policy, reviews incident reports and signs off on any new site. The pediatric nurse chairs a safety committee.
If the Executive Director is out
The Program Director is the named deputy and a second signer on the bank account, with the chair. The board carries directors and officers insurance. A written succession plan names who would act for up to ninety days.
Safeguarding
No staff member or volunteer is alone with one youth in a closed room. Two adults are present at drop-off and dismissal. The reporting policy is in every staff packet, and a conflict-of-interest policy covers board members, staff and the partner schools.
Questions a lender or funder will ask
Who qualifies to lead? The plan's hiring standards are a bachelor's degree and five years in youth work for the Program Director, two years for a site coordinator, and first-aid and CPR certification within 30 days for everyone else. Any qualification a license requires is confirmed with the Office of Child Care.
What does the Site A lease say? A five-year lease with two renewal options, with the landlord's written consent to youth use and to the room improvements as conditions of signing. The lease is unsigned.
Who sponsors the meal claims? 4Youth applies to the state agency as its own sponsor. If the state requires an intermediary, that organization's fee reduces the reimbursement, and the budget does not price it.
How are restricted gifts tracked? The books record donor-restricted amounts, such as the $73,000 start-up grant and the restricted grants, separately from unrestricted money. The financial tables show one net-assets figure.
What covers the van? A commercial auto policy. Drivers go through a motor vehicle record review, and the vehicle classification and driver rules are confirmed with the Maryland Motor Vehicle Administration before the first run.
The Money Behind the Program
Seven income lines, two sites and a daily attendance count drive the tables. Grant installments land unevenly and families pay by the day, so Year 1 is shown month by month and the four years after it as annual totals. A few row labels in the cash and balance sheet tables come from a template built for businesses with owners; the note under each one gives the nonprofit meaning.
Launch gifts and the first-year cushion
| Use of funds | Amount |
|---|---|
| Furniture, laptops, tablets, games, kitchenette, art and STEM kits | $27,000 |
| Secure entry, cameras, first-aid stations and room dividers | $19,000 |
| Legal: lease, licensing review, employment and safeguarding policies | $13,000 |
| Licensing fees, fingerprinting and pre-service training for founding staff | $5,000 |
| Launch: website, school and family outreach, first donor appeal | $9,000 |
| Operating reserve (grant payment lag and the Year 1 deficit) | $527,000 |
| Total uses | $600,000 |
| Source of funds | Amount |
|---|---|
| Founding gifts without donor restrictions (operating reserve) | $527,000 |
| Launch grant from a regional foundation (restricted to start-up) | $73,000 |
| Total sources | $600,000 |
Launch money is $600,000 and none of it is borrowed. A family foundation gives a $300,000 lead gift and founding donors give $227,000, both with no restrictions, and a regional foundation gives $73,000 for start-up costs only: furniture and learning kits ($27,000), safety upgrades ($19,000), legal work on the lease, licensing review and policies ($13,000), fingerprinting and training for the founding staff ($5,000) and launch outreach ($9,000). The $527,000 of unrestricted gifts stays in the bank as the cushion. It is sized to two years of losses, $290,696 in total, before the plan turns to a surplus in Year 3. Operations take $203,653 more cash out than they bring in during Year 1, and total cash is $350,347 in December 2027. The board's policy is three months of operating costs in reserve. Year-end cash covers 6.6 months of costs at the end of Year 1 ($632,900 before depreciation) and 3.4 months at the end of Year 2. It covers 2.8 months at the end of Year 3, below the policy, then 3.2 and 3.7 months at the end of Years 4 and 5. Those are year-end balances. The model has monthly detail only for Year 1, so for later years the low point inside the year is estimated by applying Year 1's monthly pattern: roughly $245,000 in August of Year 2, $167,000 in May of Year 3, $186,000 in Year 4 and $240,000 in Year 5, as low as 1.7 months of costs. If the city declines its first awards ($110,000 in Year 1, 23% of revenue), the cushion absorbs it: December 2027 cash would be about $240,000, and the board would hold the Site B decision until a replacement source is found. On the balance sheet, the paid-in capital row stands for the $600,000 of opening gifts, restricted and unrestricted together, and the retained earnings row is the running total of surpluses and deficits since opening. Added together the two rows are 4Youth's net assets. The books track donor-restricted amounts separately, but the model shows one figure. The owner-distribution row in the cash table is zero in every year because a nonprofit has no owners to pay.
Attendance, rates and the numbers underneath
- Site A, a community building, is licensed for 75 youth at once. Site B, inside a partner middle school, opens in September 2028 with room for 60. Doors open on February 1, 2027 if the license is in hand; January is hiring, training and inspections. Average daily attendance (ADA) after school climbs from 22 in February 2027 to 57 in December. ADA is 70% of enrollment, so 81 youth are enrolled by the end of Year 1. Across both sites, fall-term ADA is 94 in Year 2, then 116, 120 and 124, which is 134, 166, 171 and 177 enrolled. Days above the average are covered by the relief specialists.
- A full year has 106 after-school days from January to June, 70 from September to December and a 34-day summer camp. Year 1 has 157 after-school days and a summer camp running June 21 to August 6, closed on July 5. Attended child-days, the attendance count that fees, meals and cost per day are built on, are 8,516 in Year 1 (6,646 after school and 1,870 in summer), then 15,192, 22,620, 24,444 and 25,072.
- List fees are $16 for an after-school day ($80 a week) and $45 for a summer day ($225 a week). Of enrolled families, 30% pay in full, 30% pay half and 40% pay nothing, so scholarships waive 55% of list value. In Year 1 that is $104,767 of $190,486, leaving $85,719 collected: $7.20 per after-school day and $20.25 per summer day. The board does not cap free places. Fees rise 3% a year from Year 2. An unpaid-fee allowance of $2,500 in Year 1 covers families who pay late or leave owing.
- Meal reimbursement comes through the state from the federal at-risk afterschool and summer food programs. The budget books $4.50 for each after-school supper, served at about 5:15 p.m., and $7.20 for the two summer meals of a camp day, rising 3% a year. USDA publishes new rates each July, so these figures need checking against the current table before the budget is final. Food and kitchen costs run at 92% of the reimbursement, which is $39,901 against $43,371 in Year 1. If the state requires a new sponsor to claim through an intermediary, that organization's fee would reduce the reimbursement and is not priced here.
- City youth-fund and out-of-school-time grants are $110,000 in Year 1, paid in three installments (March $40,000, June $30,000, October $40,000), then $190,000, $285,000, $300,000 and $310,000. It is the largest line, 23% of Year 1 revenue and 24% of Year 5. For an organization recognized in November 2026 with no record of results, these are targets built from several awards, and none is committed. The Baltimore Children & Youth Fund publishes award sizes and eligibility rules for each of its funds.
- Host-school agreements bring $60,000 in Year 1, from two schools at $30,000 each, invoiced in March, June, October and December. The school pays for reserved seats for referred students, van pickup at dismissal and a daily attendance report. A third school joins in Year 2 and a fourth in Year 3, and the total rises to $115,000, $172,000, $168,000 and $172,000. Site B's host school is one of the four. No agreement is signed at the time of writing.
- Foundation grants are $100,000 in Year 1, in four installments (February $40,000, June $20,000, September $25,000, December $15,000), then $160,000, $235,000, $248,000 and $255,000. The 60% step in Year 2 rests on one year of attendance results and renewals, and it is the largest stretch in the budget.
- Individual and corporate giving is $75,000 in Year 1: 20% arrives at the spring benefit in May ($15,000) and 32% in November and December ($24,000). It grows to $115,000 in Year 2 and $185,000 in Year 5 as the donor list builds. It is the line that comes with no conditions at all; fees, meal reimbursement and school payments are also unrestricted but depend on attendance. Giving is 16% of Year 1 revenue and 14% of Year 5.
- The staffing standard is one adult for every ten youth present, counting the specialists, the relief specialist and the site lead (the Program Director at Site A, the coordinator at Site B), and not counting the driver-aide or the Executive Director. At the Year 1 peak of 58 youth in November, Site A has six: the Program Director, four specialists and the relief specialist. At Site A's Year 5 peak of 70 it has seven. A part-time specialist earns $20,500 a year, about $20 an hour for 22 hours a week over 46 weeks: 15 hours with youth, plus preparation, attendance records and training. One relief specialist per site works the same hours and covers absences. Each summer counselor is paid $5,450 for the three summer months ($21,800 as an annual rate) and works full camp days, four counselors per site. The Bureau of Labor Statistics put the median wage for recreation workers at $36,560 in May 2025.
- Payroll on-costs are 27% of full-time wages, covering payroll taxes, health contribution, workers' compensation and a retirement match. They are 15% for part-time staff and 12% for summer counselors. Pay raises of 3% a year are charged as a separate line from Year 2 and reach $81,104 in Year 5. Hiring standards are the plan's own: a bachelor's degree and five years in youth work for the Program Director, two years for a site coordinator, and first-aid and CPR certification within 30 days for everyone else. Any qualification a licence requires is confirmed with the Office of Child Care.
- Site A is about 5,000 square feet at roughly $14 a square foot a year, or $70,000 in Year 1, on a five-year lease with two renewal options, and rises 3% a year. The landlord's written consent to youth use and to the room improvements is a condition of signing. Site B costs a use fee of $1,800 a month to the host school from September 2028, which is $21,600 a year from Year 3 with small increases after. Rent in the P&L is the two combined. Transport is $26,000 in Year 1 for one leased passenger van ($10,800), fuel and upkeep ($7,200) and charter buses for summer outings ($8,000). Site B is inside the school and needs no van. Driver rules and vehicle classification are confirmed with the Maryland Motor Vehicle Administration before the first run.
- Insurance is $26,000 in Year 1: general liability with abuse and molestation coverage, commercial auto, directors and officers, and accident medical. Workers' compensation sits in the payroll on-costs. Professional fees of $20,000 cover a legal retainer, a payroll provider and an annual outside review of the books, and rise to $42,000 from Year 2 when an independent audit is added. Several funders ask for one, and Maryland sets its own thresholds for audited or reviewed statements in charity registration, which are checked against the current ones. Software is $8,000 in Year 1 for attendance and enrollment, accounting and a donor database.
- No income tax is charged, since 4Youth holds 501(c)(3) status in this example, and there is no debt, so the interest and principal rows are zero. Grants are booked in the month cash arrives, not as spent. Receivables average 15 days across the budget: host-school invoices take about 45 days and most other income arrives on or before its due date. Supplier bills are paid in 15 days.
Where each dollar comes from
| Revenue stream | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| City youth-fund and out-of-school-time grants (restricted) | $110,000 | $190,000 | $285,000 | $300,000 | $310,000 |
| Host-school service agreements | $60,000 | $115,000 | $172,000 | $168,000 | $172,000 |
| Family fees after school, net of scholarships | $47,851 | $97,535 | $147,850 | $164,497 | $173,418 |
| Family fees for summer camp, net of scholarships | $37,868 | $42,549 | $70,121 | $78,244 | $83,691 |
| Federal meal reimbursement through the state | $43,371 | $76,088 | $117,339 | $130,630 | $138,143 |
| Foundation grants (restricted) | $100,000 | $160,000 | $235,000 | $248,000 | $255,000 |
| Individual and corporate giving (without restrictions) | $75,000 | $115,000 | $150,000 | $170,000 | $185,000 |
| Total revenue | $474,090 | $796,172 | $1,177,310 | $1,259,371 | $1,317,252 |
| Growth on prior year | – | 68% | 48% | 7% | 5% |
Grants from the city and foundations make up 44% of Year 1 revenue and 43% of Year 5, and no single line is above 24%. Host-school agreements are 13% in both years. Family fees after scholarships are 18% of Year 1 and 20% of Year 5, meal reimbursement 9% and 10%, and giving 16% and 14%. Fees and meals grow fastest, roughly threefold over five years, because Site B adds attended days faster than it adds grant dollars. Revenue growth is 68% in Year 2 and 48% in Year 3, when Site B fills, then slows to 7% in Year 4 and 5% in Year 5 as both sites near their attendance ceiling.
The 2027 calendar, month by month
| Month | City youth-fund and out-of-school-time grants (restricted) | Host-school service agreements | Family fees after school, net of scholarships | Family fees for summer camp, net of scholarships | Federal meal reimbursement through the state | Foundation grants (restricted) | Individual and corporate giving (without restrictions) | Total revenue | EBITDA |
|---|---|---|---|---|---|---|---|---|---|
| Jan 2027 | $0 | $0 | $0 | $0 | $0 | $0 | $3,000 | $3,000 | ($46,669) |
| Feb 2027 | $0 | $0 | $3,010 | $0 | $1,881 | $40,000 | $3,750 | $48,641 | ($4,869) |
| Mar 2027 | $40,000 | $15,000 | $4,752 | $0 | $2,970 | $0 | $4,500 | $67,222 | $12,148 |
| Apr 2027 | $0 | $0 | $4,406 | $0 | $2,754 | $0 | $4,500 | $11,660 | ($38,738) |
| May 2027 | $0 | $0 | $6,048 | $0 | $3,780 | $0 | $15,000 | $24,828 | ($26,678) |
| Jun 2027 | $30,000 | $15,000 | $2,304 | $8,910 | $4,608 | $20,000 | $3,750 | $84,572 | $28,038 |
| Jul 2027 | $0 | $0 | $0 | $23,389 | $8,316 | $0 | $3,000 | $34,705 | ($17,632) |
| Aug 2027 | $0 | $0 | $0 | $5,569 | $1,980 | $0 | $3,000 | $10,549 | ($39,755) |
| Sep 2027 | $0 | $0 | $6,566 | $0 | $4,104 | $25,000 | $5,250 | $40,920 | ($11,941) |
| Oct 2027 | $40,000 | $15,000 | $7,920 | $0 | $4,950 | $0 | $5,250 | $73,120 | $17,549 |
| Nov 2027 | $0 | $0 | $7,099 | $0 | $4,437 | $0 | $9,000 | $20,536 | ($30,609) |
| Dec 2027 | $0 | $15,000 | $5,746 | $0 | $3,591 | $15,000 | $15,000 | $54,337 | $347 |
Revenue runs from $3,000 in January, before the doors open, to $84,572 in June, when a city installment, a school invoice and a foundation installment land together. Costs are steady, so EBITDA follows the grant calendar: it is positive in March, June, October and December and negative in the other eight months. Cash falls through the year, and the lowest month-end balance is Dec, at about $341,000, after allowing for the 15 days an average invoice takes to be paid. August brings only $10,549 because camp has ended and school has not yet begun. The model has no monthly detail after Year 1.
Who is on the schedule
| Role | Annual wage | Starts | Year 1 end | Year 2 end | Year 3 end | Year 4 end | Year 5 end |
|---|---|---|---|---|---|---|---|
| Executive Director | $82,000 | Month 1 | 1 | 1 | 1 | 1 | 1 |
| Program Director (also leads Site A) | $64,000 | Month 1 | 1 | 1 | 1 | 1 | 1 |
| Youth development specialist A (part time) | $20,500 | Month 2 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Youth development specialist B (part time) | $20,500 | Month 2 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Van driver and youth aide, Site A (part time) | $15,500 | Month 2 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Relief specialist, Site A (part time) | $20,500 | Month 2 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Bookkeeper | $26,000 | Month 3 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Youth development specialist C (part time) | $20,500 | Month 5 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Summer counselor A, Site A (June to August) | $21,800 | Month 6 | – | – | – | – | – |
| Summer counselor B, Site A (June to August) | $21,800 | Month 6 | – | – | – | – | – |
| Summer counselor C, Site A (June to August) | $21,800 | Month 6 | – | – | – | – | – |
| Summer counselor D, Site A (June to August) | $21,800 | Month 6 | – | – | – | – | – |
| Youth development specialist D (part time) | $20,500 | Month 9 | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 |
| Development and partnerships manager (part time) | $36,000 | Month 16 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Youth development specialist E (part time) | $20,500 | Month 13 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Site coordinator, Site B | $50,000 | Month 20 | – | 1 | 1 | 1 | 1 |
| Site B specialist A (part time) | $20,500 | Month 21 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Site B specialist B (part time) | $20,500 | Month 21 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Relief specialist, Site B (part time) | $20,500 | Month 21 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Site B specialist C (part time) | $20,500 | Month 24 | – | 0.5 | 0.5 | 0.5 | 0.5 |
| Summer counselor A, Site B (June to August) | $21,800 | Month 30 | – | – | – | – | – |
| Summer counselor B, Site B (June to August) | $21,800 | Month 30 | – | – | – | – | – |
| Summer counselor C, Site B (June to August) | $21,800 | Month 30 | – | – | – | – | – |
| Summer counselor D, Site B (June to August) | $21,800 | Month 30 | – | – | – | – | – |
| Site B specialist D (part time) | $20,500 | Month 33 | – | – | 0.5 | 0.5 | 0.5 |
| Total payroll incl. on-costs | $339,499 | $482,059 | $630,485 | $646,202 | $646,202 |
Danielle and the Program Director, who also leads Site A, start in January. Two specialists, a relief specialist and the driver-aide join on February 1, the bookkeeper in March (month 3), a third specialist in May and four summer counselors from June to August. A fourth specialist joins in September, ahead of the fall attendance peak. Year 2 adds a fifth Site A specialist in January (month 13), a part-time development and partnerships manager in April (month 16), the Site B coordinator in August (month 20), two Site B specialists and a relief specialist in September and a third Site B specialist in December. Four Site B summer counselors join in June 2029 and a fourth Site B specialist in September 2029. Danielle raises the money alone until the development manager starts. Seasonal counselors are paid for three months a year and show as no headcount at year end.
Operating results by year
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $474,090 | $796,172 | $1,177,310 | $1,259,371 | $1,317,252 |
| Food and kitchen costs for reimbursed meals | ($39,901) | ($67,009) | ($99,087) | ($105,994) | ($110,865) |
| Gross profit | $434,189 | $729,163 | $1,078,223 | $1,153,377 | $1,206,387 |
| Payroll incl. on-costs | ($339,498) | ($482,059) | ($630,485) | ($646,202) | ($646,202) |
| Rent | ($70,000) | ($79,300) | ($95,900) | ($98,700) | ($101,700) |
| Utilities | ($19,000) | ($22,500) | ($28,000) | ($29,000) | ($30,000) |
| Marketing | ($14,000) | ($15,000) | ($16,000) | ($16,500) | ($17,000) |
| Insurance | ($26,000) | ($31,000) | ($38,000) | ($40,000) | ($42,000) |
| Professional fees | ($20,000) | ($42,000) | ($46,000) | ($48,000) | ($50,000) |
| Software subscriptions | ($8,000) | ($9,500) | ($11,000) | ($11,500) | ($12,000) |
| Transport: van leases, fuel and maintenance | ($26,000) | ($28,000) | ($30,000) | ($31,000) | ($32,000) |
| Enrichment partners and program materials | ($34,000) | ($42,000) | ($48,000) | ($50,000) | ($52,000) |
| Field trips and summer excursions | ($11,000) | ($15,000) | ($19,000) | ($20,000) | ($20,500) |
| Staff screening, training and first-aid certification | ($14,000) | ($17,000) | ($20,000) | ($20,500) | ($21,000) |
| Phones, supplies and postage | ($9,000) | ($10,500) | ($12,500) | ($13,000) | ($13,500) |
| Equipment replacement | $0 | ($6,000) | ($9,000) | ($10,000) | ($10,000) |
| Unpaid-fee allowance | ($2,500) | ($3,500) | ($5,000) | ($5,200) | ($5,400) |
| Annual pay raises (3% a year) | $0 | ($14,462) | ($38,397) | ($59,920) | ($81,104) |
| EBITDA | ($158,810) | ($88,658) | $30,941 | $53,855 | $71,981 |
| Depreciation | ($8,114) | ($8,114) | ($8,114) | ($8,114) | ($8,114) |
| Interest | $0 | $0 | $0 | $0 | $0 |
| Income tax | $0 | $0 | $0 | $0 | $0 |
| Net income before start-up costs | ($166,924) | ($96,772) | $22,826 | $45,741 | $63,866 |
| Start-up costs expensed at opening (legal, licensing, fingerprinting, launch outreach) | ($27,000) | $0 | $0 | $0 | $0 |
| Net income after start-up costs | ($193,924) | ($96,772) | $22,826 | $45,741 | $63,866 |
Year 1 runs a deficit of $166,924 before start-up costs and $193,924 after them, and Year 2 loses $96,772. Year 3 shows the first surplus, $22,826, which is 1.9% of revenue. Years 4 and 5 follow with $45,741 and $63,866, or 3.6% and 4.8%. Payroll with pay rises falls from 72% of revenue in Year 1 to 55% in Year 5, and that fall is where the improvement comes from. The two years of losses, $290,696 in total, are paid from the cushion. There is no income tax at any point.
Cash through the grant cycle
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Cash from operations | ($203,653) | ($100,780) | $16,596 | $50,767 | $69,802 |
| Equipment and room improvements | ($46,000) | $0 | $0 | $0 | $0 |
| Funding received | $600,000 | $0 | $0 | $0 | $0 |
| Loan principal repaid | $0 | $0 | $0 | $0 | $0 |
| Owner distributions | $0 | $0 | $0 | $0 | $0 |
| Net change in cash | $350,347 | ($100,780) | $16,596 | $50,767 | $69,802 |
| Closing cash | $350,347 | $249,567 | $266,162 | $316,929 | $386,731 |
Closing cash falls from $350,347 to a year-end low of $249,567 in Year 2, then rises to $266,162, $316,929 and $386,731. It is above zero at every year end, and the funding note estimates the lows inside Years 2 to 5.
Net assets at year end
| At year end | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Cash | $350,347 | $249,567 | $266,162 | $316,929 | $386,731 |
| Accounts receivable | $19,483 | $32,719 | $48,383 | $51,755 | $54,134 |
| Equipment and room improvements (net) | $37,886 | $29,771 | $21,657 | $13,543 | $5,429 |
| Total assets | $407,716 | $312,057 | $336,202 | $382,227 | $446,293 |
| Accounts payable | $1,640 | $2,754 | $4,072 | $4,356 | $4,556 |
| Borrowings (none) | $0 | $0 | $0 | $0 | $0 |
| Paid-in capital | $600,000 | $600,000 | $600,000 | $600,000 | $600,000 |
| Retained earnings | ($193,924) | ($290,696) | ($267,870) | ($222,129) | ($158,263) |
| Total liabilities and equity | $407,716 | $312,057 | $336,202 | $382,227 | $446,293 |
Break-even and payroll load
| Measure | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| EBITDA margin | -33.5% | -11.1% | 2.6% | 4.3% | 5.5% |
| Net margin (before start-up costs) | -35.2% | -12.2% | 1.9% | 3.6% | 4.8% |
| Payroll incl. pay raises as share of revenue | 72% | 62% | 57% | 56% | 55% |
| Revenue per full-time equivalent at year end | $86,198 | $83,808 | $117,731 | $125,937 | $131,725 |
| Average monthly revenue | $39,508 | $66,348 | $98,109 | $104,948 | $109,771 |
| Monthly revenue needed to cover operating costs | $53,958 | $74,415 | $95,294 | $100,047 | $103,221 |
| Debt service cover (EBITDA / interest + principal) | – | – | – | – | – |
Revenue covers operating costs when average monthly revenue exceeds the needed figure in the last two rows. Year 1 averages $39,508 against $53,958 needed and Year 2 $66,348 against $74,415. Year 3 is the first year above the line, $98,109 against $95,294, a margin of 2.9%. Year 4 is $104,948 against $100,047 and Year 5 $109,771 against $103,221. With no debt, the debt-service row has no entries.
If revenue falls 20%
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Revenue | $379,272 | $636,938 | $941,848 | $1,007,497 | $1,053,802 |
| Net income before start-up costs | ($196,988) | ($123,779) | ($75,012) | ($46,052) | ($34,327) |
| Net income after start-up costs | ($223,988) | ($123,779) | ($75,012) | ($46,052) | ($34,327) |
| Closing cash | $323,851 | $198,489 | $120,115 | $79,706 | $51,751 |
This case is a combined stress, not a single event. Every income line is cut 20% in every year, which stands in for grants and gifts a fifth short and attendance a fifth lower at once. The response, in the order a board reaches for it: the bookkeeper starts two months later; every hire from month 13 on starts six months later; Site B still opens on its original dates, because its use agreement and its school are already committed; Site A's fourth and fifth specialists, Site B's fourth specialist and the fourth summer counselor at each site are not filled, which fits a fifth fewer youth; marketing is cut by a fifth; Danielle takes a 20% pay cut; and enrichment, trips, transport and equipment replacement are each cut a fifth. The staffing steps only make sense because attendance falls with them. A pure grant shortfall with full attendance would leave those posts in place and drain the cushion faster. On these terms 4Youth ends every year with cash in the bank, no lower than $51,751 in Year 5, and loses money in all five years, by less each time. The plan reaches a surplus only if the revenue lines come in. Net assets at the end of Year 1 are $376,012. These are year-end balances. Grants arrive in lumps and August has little income, so on Year 1's pattern the balance inside Years 4 and 5 could dip below zero before an installment arrives, and the board would arrange a bank line of credit before Year 4.
Sources
The Maryland Association of Counties item is a secondary summary.
- Maryland State Department of Education, Office of Child Care: licensing and inspection of child care centers and family child care providers.
- Maryland State Department of Education, Background Checks and Fingerprinting.
- Maryland Association of Counties, Conduit Street, MACo Wins Regulatory Reprieve for County Rec Camps, June 19, 2015 (secondary source).
- Baltimore Children & Youth Fund, fund description and grant programs.
- Bureau of Labor Statistics, Recreation workers, Occupational Outlook Handbook, May 2025 wage data.
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