1. Is there any funding available from the EU or the local government? If so where to begin
Contact the local government in the area in question. You'll get a monthly subsidy provided it meets the requirements to obtain the subsidy.
2. How much finance we must have for this project considering it will be a medium scale business in podlaskie province
Roughly 25,000PLN per classroom minimum. The rest is your choice.
3. What are the legal laws and requirements
Many. Not impossible, but many. Ask the local authority and the MEN for more information.
About competition - yes, there's huge competition.
If you're serious about it, I'm willing to have a chat with you about it. I've been involved in founding a school and a kindergarten, and I'm now taking part in the formation of a brand new school.