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GPA said..
I'd suggest that they are probably going to pick it up pretty quickly, so I would be more inclined to go with a cheap fibreglass board like Jacks from City Beach. Something around 6' I would suggest.
For what it's worth - I started at 14yo with no beach experience. Started on an old 7'2" and within 6 months I was on a 5'10"... kids don't take too long to get the hang of things.
For a kid learning i would actually be against starting out with a fibreglass board. Yes it may be cheaper in the long run, BUT kids drop them, run over their friends, fall on there fins, bang into everything and somehow whinge about the weight on their leg
My son very quickly did move from his soft board to a hard board when as Surf69 mentioned he was trimming up and down the wave and found the transition a little slow and would often ride of the wave. But he still will take out his soft board, especially when he is going out with friends.
Thats just my opinion, but id say what ever you do, take them to suitable places, don't scare them in big waves or even busy line ups.