A pre-school in Hitchin, where "staff work exceptionally well with parents", has been rated good in all areas by Ofsted.
At Teddybears Pre-school, based at St Michael's Mount Community Centre, "children come in happily and show their enjoyment of being at this welcoming setting", Ofsted says in its inspection report.
"Staff demonstrate a genuine enthusiasm and commitment to their work. Their commitment is evident in their dedication to understanding each child and making sure that all children make good progress."
The report by the education watchdog also highlights how "staff use their assessments well, enabling them to understand children's learning and plan their next steps", with "robust monitoring of children's progress meaning that any weaker areas are quickly addressed".
Daily play opportunities support children in gaining a good awareness of diversity, Ofsted also notes.
Children of all ages access books and show their enjoyment of these, Ofsted found, and "staff read enthusiastically, and skilfully maintain children's interest".
Meanwhile, the Ofsted report says: "Staff work exceptionally well with parents and this is a key strength. They offer parents many ways to communicate. For example, through a regular stay-and-play session, where parents can observe children's play and talk with their key person."
In terms of room for improvement, Ofsted said the pre-school should "review daily routines, such as at times of transition, so that all children remain involved and have opportunities to continue their play when appropriate".
Jacqui Fairey, who has been running Teddybears for 33 years, said: "I'm really chuffed and I just want to say how proud I am of my staff - they all really shone!
"We have got a really good team and I'm really proud of them.
"I do love my job. It's hard work, but it's really rewarding."
Jacqui is opening another pre-school in Preston village hall in January. An open day will be held on November 2, from 11am to 1pm, which will be attended by Hitchin MP Alistair Strathern.
Jacqui said: "Preston Village Pre-school will be a smaller pre-school with a real community feel. Everyone has been so supportive of it and I'm really looking forward to it opening."
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