Under Section 19(2)(d) of the Children (Education and Care Services) National Law (NSW) (National Law NSW) approved providers must take reasonable steps to transparently demonstrate their ownership structure:

• at any early childhood education and care (ECEC) service premises they operate
• on their website and other digital content
• in all advertisements for ECEC services they operate
• as part of any information required to be displayed under the National Law NSW.

Under Section 19 (2A) the NSW Early Learning Commission may provide guidance on this about what constitutes reasonable steps to transparently demonstrate an approved provider’s ownership structure. The guidance developed by the Commission is provided on this page.

Purpose

This guidance is issued by the NSW Early Learning Commission under Section 19(2A) of the National Law NSW. It explains what constitutes 'reasonable steps to transparently demonstrate an approved provider's ownership structure' for the purposes of Section 19(2)(d).

The intent of this requirement is to ensure that families and the community can readily identify who is behind the services they use. The focus is on recognisable presence, not legal disclosure of corporate structures.

The action required of approved providers is the display of the name that a reasonable person in the community would associate with the group that owns or operates the service. It is possible that the name that is recognisable will change over time, for example following media stories or corporate rebranding/communication efforts. In those circumstances the display may need to be updated.

Who this guidance applies to

This guidance applies to approved providers that operate as part of a group of commonly owned or affiliated education and care services (service group).

This guidance does not apply to approved providers that operate a single, standalone service with no affiliation to any broader group or common ownership arrangement.

Specific guidance

Section 19(2A) of the National Law enables the Commission to issue guidance either generally (such as this webpage) or specifically to an individual approved provider.

The Commission may exercise its power to issue specific guidance where it considers that an approved provider's approach to demonstrating its ownership structure does not give effect to the intent of section 19(2)(d), even if it may technically satisfy a literal reading of the general guidance.

Specific guidance issued to an approved provider will set out precisely what steps that provider is required to take to comply. Failure to follow specific guidance will be taken into account in any subsequent compliance or enforcement action.

Approved providers are therefore encouraged to approach this requirement in good faith and with regard to its purpose, that families and the community can readily identify who is behind the services they use, rather than seeking the minimum technically defensible position.

General guidance

Group brand name

For the purposes of this guidance, approved providers must display the group brand name – that is, the name under which the service group is publicly known and recognisable - to families and the community.

The group brand name is not necessarily the legal name of the approved provider or any parent company. It is the name that a reasonable person in the community would associate with the group that owns or operates the service.

Examples

• An approved provider is legally constituted as 'Bright Futures Early Learning Pty Ltd' and operates under that name across multiple services. The group brand name is 'Bright Futures Early Learning'.
• An approved provider is legally constituted as 'XYZ Operations Pty Ltd', which is a wholly owned subsidiary of 'Bluewoods Childcare Group'. The group brand name to be displayed is 'Bluewoods Childcare Group'.
• An approved provider is legally constituted as ‘ABCD Learning Pty Ltd’ and runs services under the names ‘Alphabet Learners’ and ‘Tiny Learners’. The information displayed should include all three names: ABCD Learning Pty Ltd (operating as Alphabet Learners and Tiny Learners).

What the group brand name must look like

The group brand name must be displayed in a way that is clearly legible and prominent. Approved providers should use reasonable judgement to ensure the group brand name is prominent and recognisable for families.

To achieve this, it is recommended that the group brand name appear in text that no smaller than 30% of the size of the largest text used in the same display, advertisement or required notice no matter what language it is in.

For example

• If a service's signage displays the service name 'Little Learners Childcare Centre' in 100pt text, the group trading name should appear in text of at least 30pt.
• If an advertisement uses a service logo as the dominant visual element, the group branding name should be displayed in text that is at least 30% of the height of the logo or the largest text element, whichever is greater.

Where strict application of the recommended font size rule would be impractical, the group brand name must still appear in a legible format.

Where the group brand name must be displayed

Section 19(2)(d) requires approved providers to take reasonable steps to transparently demonstrate their ownership structure in the following contexts. In each context, the group brand name must be displayed in accordance with the requirements under What the group brand name must look like.

Service premises

The group brand name must be displayed at any education and care service premises the approved provider operates. This includes:

• external signage visible to families and visitors
• entrance foyers, reception areas, or noticeboards visible on entry
• any location where required statutory information is displayed.

The group brand name need not appear on every sign. It must appear prominently in at least one location at the premises that families are likely to see when accessing the service.

Websites and digital content

The group brand name must appear on the approved provider's website and other digital content. This includes:

• the homepage of the approved provider's website and the service website
• any webpage that contains information about the service for prospective or current families
• social media profiles and pages associated with the service.

It is sufficient for the group brand name to appear in the footer, header, or 'About' section of a website or social media site, provided it meets the legibility requirements in What the group brand name must look like. However, greater transparency, for example further detailed information on ownership structures, is encouraged.

Advertisements

The group brand name must appear in all advertisements for any education and care service operated by the approved provider. This includes digital, print, outdoor and broadcast advertising.

For very short or small-format advertisements (for example, a social media banner ad or a small print listing) where strict application of the recommended font size rule would be impractical, the group brand name must still appear in a legible form. The approved provider should use reasonable judgement to achieve the intent of being prominent and recognisable for families.

Required statutory displays

The group brand name must appear alongside any information required to be displayed under the National Law, including the provider and service approval certificates.

Actions not required

This guidance does not require approved providers to:

• always display the legal name of the approved provider entity, parent company, or any other entity in the ownership chain
• publish or display a full ownership or corporate structure chart (although this is encouraged as it enhances transparency)
• disclose the identity of shareholders, investors, or beneficial owners beyond the group trading name
• display the group trading name in every document or communication – only in the contexts specified in Where the group brand name must be displayed.

Compliance

The Commission may take into account compliance with this guidance when assessing whether an approved provider has taken reasonable steps for the purposes of section 19(2)(d).

Examples

Example A – Large national provider

'Sunflower Early Learning Centre' is operated by 'Sunflower Operations Pty Ltd', a subsidiary of 'National Childcare Holdings Group'. The group trades publicly under the name 'National Childcare Holdings Group'.

Requirement: All premises signage, the service website, social media, and advertising should display 'National Childcare Holdings Group', and it is recommended that the text is no smaller than 30% of the largest text in each display.

Not required: Display of 'Sunflower Operations Pty Ltd' or the full corporate ownership chain.

Example B – Group with a recognisable brand

'Happy Days Childcare' operates 6 services across NSW under a consistent brand. It is not part of any larger group. As the services trade under 'Happy Days Childcare', this is also the group brand name.

Requirement: Compliance requires displaying 'Happy Days Childcare' at premises, on the website, and in advertising, consistent with guidance on Where the group brand name must be displayed. The legal entity suffix 'Pty Ltd' is not required.

Example C – Services without a recognisable brand in common, but owned, operated or run by the same parent company

‘Bright Stars Early Learning’, ‘Little Explorers Preschool’ and ‘Greenfield Childcare Centre’ operate under different names and do not share a common brand. Each service is operated by separate approved provider entities, which are all subsidiaries of ‘Frankie’s Education Group Pty Ltd’.

Requirement: As there is no consistent consumer-facing brand, the parent company ‘Frankie’s Education Group Pty Ltd’ is the group brand name for the purposes of this guidance. The relevant signage should display (for example) ‘Bright Stars Early Learning (operating as part of ‘Frankie’s Education Group’).

Example D – Services sharing recognisable branding but run by different approved providers

‘Little Learners Smithville’ and ‘Little Learners Blueville’ are operated by different approved providers. Both approved providers are subsidiaries of the parent company ‘Little Learners Group Pty Ltd’.

Requirement: As both services are ultimately owned by the same parent entity, ‘Little Learners Group’ is the group brand name for the purposes of this guidance.

Example E – Local council operating multiple preschools

'Wattle Grove Preschool' is operated by Midshire Council, which also operates 'Hilltop Early Learning Centre' under the same council authority.

Requirement: Midshire Council is the group brand name for the purposes of this guidance. All premises signage, websites, social media, and advertising for each of the three services must display 'Midshire Council' and it is recommended that the text is no smaller than 30% of the largest text in each display.

Not required: Any disclosure of the council's internal governance or committee structures.

Example F – Advertising in languages other than English

‘Patty’s Childcare’ are a group of 12 services run by the same approved provider and using the same name and branding. The approved provider is running a series of paid advertisements in community newspapers in languages other than English.

Requirement: It is irrelevant what language the advertising appears in. The group brand name must be displayed and it is recommended that the text is no smaller than 30% of the largest text in each display.

Example G – Standalone single service

'Riverside Day Care' is a single service operated by an individual approved provider with no affiliation to any other service or group.

Requirement: This guidance does not apply. The standalone service is not part of a service group.