Nanny Placement Agency

Nanny placement agencies recruit, screen, and match qualified nannies with families seeking in-home childcare, earning placement fees from successful matches.

The business serves families preferring private in-home care, those with multiple children or infants, high-income professionals, families needing flexible schedules, and those wanting consistent one-on-one attention for children.

Successful agencies thoroughly screen and background check nannies, assess both nanny qualifications and family needs carefully, make compatible matches, provide ongoing support, and build reputations for quality placements.

The business operates through recruitment, screening, matching, and placement services.

The business model charges placement fees typically 10-15% of nanny's first-year salary (often $3,000-8,000 per placement), with guarantee periods requiring replacement if unsuccessful.

Some agencies charge families annual fees for access.

Ongoing nanny management or payroll services create recurring revenue.

Services include nanny recruitment and screening, background checks and reference verification, family consultation and needs assessment, nanny-family matching, interview coordination, contract negotiation, placement guarantee periods, and sometimes ongoing payroll or management services.

Success requires recruiting network and nanny sourcing, thorough screening and background check protocols, understanding family needs and compatibility factors, interviewing and assessment skills, contract and employment law knowledge, relationship management with both parties, and building agency reputation.

Initial investment includes business formation and insurance, background check services and subscriptions, website and applicant management system, recruiting and advertising, and marketing to families, totaling $5,000-20,000.

The business scales through building nanny candidate pipeline, increasing placement volume, adding payroll management services, and potentially expanding to additional markets.

Marketing targets affluent family demographics, emphasizes thorough screening process, builds referrals from satisfied families, partners with parenting resources and pediatricians, and maintains strong online presence.

The business offers meaningful family-nanny matching work, significant per-placement fees, relatively low overhead, flexible operations, and strong demand for quality nannies.

Challenges include recruiting qualified nanny candidates, liability and background screening responsibility, managing expectations from both families and nannies, guarantee period replacements, and competition from online platforms.

Many nanny agencies add household staff placement (housekeepers, personal assistants), focus on specialized nannies (newborn care, special needs), offer nanny training programs, or provide ongoing nanny management and payroll services creating recurring revenue.