Top Tube Clearance
When your child stands over the bike, there should be 2 to 4 inches of clearance betwen the top tube, running from the handlebar stem to the seat stem, and the child's crotch. This is one way to determine the right size bike before your child ever starts pedaling.
Seat Height
When the child sits on the bike, he should be comfortably upright and have a little bend in his elbows when his hands are on the handlebar grips. It's important not to have arms fully extended as this position could hurt him after long periods. Also, his legs should have a slight bend in them when in the down-stroke motion of pedaling.
Training Wheels
If your child is a beginning bicycle rider, get a bike that has easy-to-install training wheels. Having the training wheels will help your daughter develop balance and provide her with confidence when she's riding.