Current educational reforms in many countries emphasise the need for schools to partner with families and communities to create supportive and responsive learning environments. This paper describes how one nursery school developed strong links with parents, community and partner agencies as part of the extended schools and Children’s Centres UK government educational agenda. The study’s conceptual framework is based the theory of collaborative advantage, and the theoretical concept of social capital. Using a qualitative case study approach. over 7 months, data were collected using semi-structured interviews, observation and document analysis. We found that the headteacher’s support created a school culture that built staff capacity and was conducive to partnership with parents, community and partner agencies. Bureaucracy of the local authority, cultural diversity of families, limited time and resources, and personal capacities were challenges to partnership, while networking facilitated the process. This paper provides some practical examples of how cultural barriers could be broken down between schools, community and partner agencies. Respondents indicated that there are some components of compromise and personal flexibility during the negotiating phase of partnership that helps to create “win-win” relationships.