How to Start your Home Daycare in 2023

How to Start a daycare at Home?
You can start your home daycare by finding out what your state’s requirements are. Each state’s licensing or permit qualifications may vary.
Contact your local human services department or do a quick google search. This post will go over things to think about before choosing to open a in-home daycare and the common reasons most providers decide to open their daycare.
Here are common reasons most people open their child care business:
- Helping your community
- Being at home with your own child/ren
- Earning an income
- Owning your own daycare business
Having your own business is a major decision, because taking care of children is no joke. It is important to understand that you are taking on a serious responsibility.
Thinking of ways to have your house is setup so children will be safe and being able to pass inspection, are also very important.
Let’s look at some other things to consider when starting your childcare business from your home.
Can you Operate your Child care Business from your Current Location?

Find out if you can operate from where you are currently living especially if you have an HOA.
Click here if you would like to learn more about the zoning process that took place in my area.
What is the name you are going to use for your business?
You will need a name for your business for advertising/marketing (for your web presence), and EIN number. Your business will be a separate entity from you.
Apply for Home Daycare Permit or License
Get in touch with your local human services department and find out what their requirements are.
In some states, you will be required to attend an informal session, so you can learn what the standards are.
In some states it can take up to 3 months to get the process going so you want to start ASAP.
You may be required to submit some or all of these forms depending on what you are applying for:
- An application for permit or license (License in VA is called Family Day Home)
- Info. Session (may not be required for your area)
- CPS Background check (For everyone living in your home over a certain age)
- FBI Fingerprints (For everyone living in your home over a certain age)
- TB test (For everyone living in your home over a certain age)
- Home Inspection
- Zoning & Planning (Will you need a Special-Use Permit?)
- Training (OFC= Office for Children in VA)
- CPR & 1st Aid training
- Sworn Disclosure (For everyone living in your home over a certain age)
I have listed 10 items above that may or may not be required for you in your state.
I am in Fairfax County, Virginia, and these are required for Licensing in my state. You will need to check to see what is required in your state.
Once you have some or all of these items above done, you want to start thinking about how many children you can care for or want to care for.
Remember that your own children deduct from the number of children you can care for (if they are under a certain age) so that will determine if you need to apply for a permit vs a license. Or if a permit is something your state offers.
In Fairfax County you can only have up to 4 children, that are not your own. So, you want to keep this in mind.
Setting up your Childcare Area/’s:
You want to make sure that you can pass your home inspection. All the plugs need to have covered, no chipped paint, no cords that the children can get access to, gates for stairways, locks on cabinets, etc.
This post contains affiliate links, which mean I may receive a small commission, at no cost to you, if you make a purchase through my link.
Starting a home daycare (Passing Inspection) MUST have’s:
- Fire Extinguisher:
2. First Aid Kit:
3. Fire Detector:
4. Cabinet locks:
5. Activated Charcoal:
6. Plates/Cup/Bowls/Forks & Spoons
7. Step Stool
8. Educational Posters:
9. Diaper Changing Pad:
10. Baby Gate:
The list can go on. As I mentioned before this list above is just to get you started. I listed the important things that you will want to get ASAP.
Business Must Haves:
- A Business Name
- EIN number: (You can apply on the IRS.gov website for this in minutes)
You NEVER want to give out your SSN! Your daycare families will need either your SSN or EIN (which we highly recommend) so they can get their tax deductions at the end of the year for what they paid you.
- Figure out how you will file as a business owner: (Sole proprietor, LLC, or S-Corp) *Have your CPA help you out with this
- Open a business bank account: (It is much easier to keep your personal account separate from your business account, especially at tax time.)
- Start keeping track of the income that comes in immediately. This is help you determine if you will need to start sending in quarterly payment for all your taxes.
You will now be responsible for paying your taxes.
- Get Insurance for your Daycare
How to find Families for your Home Daycare:
Start Advertising your Childcare Business:
- Get a website with your business name
- Setup Profiles on Popular sites such as: (Google maps, Yelp, Facebook, Instagram, etc.)
- Have Families help spread the word
Final Tips:
- Stay on top of your weekly/bi-weekly/monthly payments: Keep a record of all payments (This is where your business account is very helpful)
- Keep a daily log of attendance of all children
- If there are any new marks on a child ask the parent or guardian right away
- Text your new families pictures of their child throughout the day
- Check over your monthly drill logs and keep it up to date
- Change smoke detector batteries as soon as it starts to beeps ASAP
- Make sure your fire extinguishers are not expired
- Make sure that your activated charcoal and neosporin are up to date
- Check to make sure your safety kit has all the supplies needed
This list also could go on and on…
As you can see the business of a home daycare is a serious business. If you need help with setting up your business.
I charge $97/hour for consultation. Please contact me if you need assistance.