The goal of this dissertation is to indicate that dance therapy has a positive effect on children of pre-school age. The American Dance Therapy Association defines dance and movement therapy as application of movement and dance in a creative process with the goal of boosting emotional, cognitive, social and physical interaction in an individual. It is important for the profession of pre-school teacher to be familiar with the positive influence that dance has on children, as well as to encourage children to dance during direct work in an educational group. Besides fun and artistic value of dance, it also has a therapeutical effect. This dissertation covers the topic of dance therapy in pre-school aged children, and consist of a theoretical part and revision of literature. The first, theoretical part, covers the role of physical activities and games in pre-school child's development, dance as physical activity, dance therapy and its effects. The next part of this dissertation covers dance therapy in children and dance therapy for children in Croatia, indicating representation of dance therapy in Republic od Croatia. The second part of dissertation presents relevant research in the field of dance movement therapy in pre-school children. Based on a review of the research, conclusion is that dance movement therapy has a positive effect on children.