SOMERSET, KY—The Kentucky Small Business Development Center (SBDC) Childcare Initiative is entering its second year with strong momentum, additional funding and real success stories that reflect its growing impact across the Commonwealth. This initiative is designed to increase access to quality childcare for low- and moderate-income families, with a focus on supporting small businesses throughout Kentucky.
Southeast Kentucky Economic Development Corporation (SKED) and the Kentucky Small Business Development Center (SBDC) have received a second $300,000 grant from the Truist Community Catalyst Initiative in 2025 to fund the program. Additionally, a $50,000 grant from Appalachian Community Capital (ACC) will help deliver curriculum support needed for childcare providers to achieve key certifications and compliance benchmarks.
“This renewed funding gives us the opportunity to build on a powerful foundation and respond to the growing demand for quality childcare across the state,” said Amanda Kelly, director of Small Business Training for SKED. “In just one year, we’ve seen how strategic business support can empower providers—not just to grow their centers, but to truly elevate the care they offer. The results are real, and the impact reaches beyond the classroom.”
The Kentucky SBDC Childcare Initiative is a statewide project that leverages the Kentucky SBDC’s resources and expertise, combined with SKED’s proven training framework, to design and implement new programs that support the growth and sustainability of childcare providers. These programs enable childcare providers to grow and meet the needs of the Commonwealth’s most needy children. Through this collaborative approach, the initiative empowers childcare businesses with the tools and resources necessary for sustainable growth and expanded service to families across the Commonwealth.
Michelle Spriggs, director of the Kentucky SBDC in Eastern Kentucky, is pleased with the program’s first year. She is excited to see further development and success in year two.
“Our foundational year of the Kentucky SBDC Childcare Initiative has been one of development, outreach and meaningful collaboration,” Spriggs said. “We’ve had the privilege of working alongside passionate childcare providers. These individuals do not do this work for profit, but rather because they care deeply about the future of our children and our communities. They are, in many ways, the workforce behind all other industries. Without accessible and high-quality childcare, our economy cannot thrive, small businesses cannot grow, and working families cannot succeed.”
“As we move into year two, I’m incredibly excited about the opportunities ahead,” she added. “Together, we will continue to build capacity, strengthen businesses and expand access to quality childcare across Kentucky.”
The following are two recent success stories.
The Owl’s Treehouse – Booneville, Kentucky
The Owl’s Treehouse became the county’s first Type I licensed childcare center, now serving 51 children. Led by the Owsley County Alliance Recreation and Entertainment (OCARE), the center overcame significant challenges, including renovation delays, equipment funding gaps and a need for business literacy.
With the help of the Kentucky SBDC Childcare Initiative and SKED, the center received comprehensive support, including QuickBooks with payroll, hands-on software training, a curriculum aligned with Kentucky All STARS standards, operational equipment, and financial management guidance. The result is a thriving, licensed center filling a vital community need.
Butterfly Garden Academy – Crestwood, Kentucky
Butterfly Garden Academy, a family-run network of childcare centers founded and owned by Jennifer Caudill, opened its sixth location in Crestwood. This expansion further cements the successful business’ role in supporting working families throughout Louisville. The company now offers over 450 childcare spots across all six centers.
As they prepared to open their sixth center, Caudill and her team faced internal challenges. They were building their curriculum from scratch and relying on staff to manage it, which strained resources. Additionally, the business lacked a formal accounting system, making financial oversight more difficult across multiple locations.
With support from the initiative, they adopted QuickBooks with payroll, implemented Brightwheel to streamline curriculum delivery and received training to strengthen both operations and early childhood education quality. This support helped the family-run business continue its mission of serving working families with high-quality care.
“Thanks to Michelle at the Kentucky SBDC and Amanda at SKED, we’ve been empowered with the tools, training, and knowledge to take our childcare business to the next level. Their support has helped us build a stronger foundation for the children and families we serve.”
Jennifer Caudill, owner of Butterfly Garden Academy
This project marks SKED’s first funding partnership with the Kentucky SBDC and will serve as a foundation for future initiatives to support small business growth and childcare expansion across Kentucky. Aimed at increasing available childcare spots, the program helps individuals start childcare businesses while improving the quality of existing centers, enhancing kindergarten readiness and delivering long-term benefits to children, parents, and communities statewide.
For more information about the program, contact Amanda Kelly at amanda@skedcorp.com.
About SKED
SKED is a 39-year-old nonprofit Community Development Financial Institution that serves 45 counties in Southern and Eastern Kentucky. Its staff of professionals works with business owners, small and large, to identify financing solutions to fund their location, expansion, and working capital needs and provide them with the business counseling and training they need to succeed.
About Kentucky Small Business Development Center
The Kentucky Small Business Development Center (SBDC) has been assisting the Commonwealth’s small business community for over 40 years. With centers statewide and an experienced and knowledgeable staff, the Kentucky SBDC provides unparalleled business coaching and training services at no cost to help existing business owners and potential entrepreneurs start, grow and succeed.
Kentucky SBDC services include one-on-one business coaching, training workshops, access to market research, loan packaging help, assistance with financial projections and the information needed to make informed business decisions.
Kentucky SBDC is co-sponsored by the U.S. Small Business Administration and is administered by the University of Kentucky Martin-Gatton College of Agriculture, Food and Environment in partnership with regional academic institutions, economic development organizations, the private sector, and the Commonwealth of Kentucky.
