Start a daycare

Start your daycare.Get licensed and open with care.

Our office forms your daycare company in any state, gets the EIN, runs payroll for your teachers and keeps your books, and our agency insures the center and the children in your care.

Reviewed by Orkun Ozkaymak, CPA, MBAClients in all 50 states and abroad

$500company setup, EIN included
50 + DCstates we form companies in
1 officeformation, taxes and insurance
2011preparing taxes since
Step by step

How to start a daycare

  1. 1

    Form the company and get an EIN

    Our office forms your LLC, corporation or nonprofit and gets the EIN, so the lease, bank account and license application are in the company name.

  2. 2

    Choose your license type

    Most states license child care centers and family or group child care homes, each with its own rules on space, ratios and staff qualifications. Your local child care resource and referral agency can explain them.

  3. 3

    Apply for the state license

    Apply to your state child care licensing agency. Owners and staff complete fingerprint background checks, and the space must pass licensing, fire and health inspections before you open.

  4. 4

    Get local approvals

    Check zoning, occupancy and any city business or children's services license for your address. Home daycares may need a zoning permit or landlord approval.

  5. 5

    Insure the center and run payroll

    Our agency quotes general liability with abuse and molestation coverage, property and workers' compensation. Our office runs payroll for your teachers and keeps your books in QuickBooks Online.

Filings and prices

What our office files for you.Prices shown before you send.

Pick what you need on the request form. Ozfield's fees are shown here; government fees are passed through at cost.

  • Child care license application help (IDEC) IllinoisThe Illinois Department of Early Childhood licenses child care since July 2026. Our office prepares the business side of the application with you.
    Quoted by our office
  • City of Chicago business license IllinoisThe city fee is $500 or $1,000 for 2 years depending on the license type, paid to the city.
    $179
  • Payroll and state unemployment setupPayroll accounts, state unemployment registration and your first payroll.
    Quoted by our office
Company setup is $500 plus the state fee, EIN included.
The request form adds your filings and shows the full estimate as you go.
Build my estimate
After you open

The filings that come every year.

Our office keeps these on your calendar so nothing is missed. How we work with childcare centers →

CACFP claims

Monthly. Food program claims supported by your books.

Form 941 and IDES

Quarterly. Payroll withholding and unemployment.

W-2 and 1099-NEC

January 31. Staff wage statements and contractor forms.

Entity returns

March 15. Form 1120-S and Form 1065 for each location.

Questions

What new owners ask us.

Something else on your mind? Call 773-536-9272 and our office will help, in English or Turkish.

Who issues daycare licenses?
Each state licenses child care through a state agency, often a department of human services, health or early childhood. Licensing covers child care centers and family or group child care homes, and some small home settings are exempt. Contact your state licensing agency or local resource and referral agency before you sign a lease, since the space must meet licensing rules.
What do I need for a daycare license?
Most states require a space that meets standards for square footage, safety and fire code, a director and staff with the required education, and child to staff ratios that match the ages you serve. Owners and staff complete fingerprint and registry background checks. Our office forms the company and helps assemble the business records the application asks for.
Can I run a daycare from my home?
Most states license family child care homes, with smaller ratios and capacity limits than centers. Some very small arrangements are exempt, but a license is usually needed to care for children from several families. Check your local zoning and your lease or homeowners association rules. Our agency quotes home daycare liability, since a homeowners policy usually excludes it.
What insurance does a daycare need?
Daycares usually carry general liability with abuse and molestation coverage, property coverage for the building contents, commercial auto if you transport children, and workers' compensation, which most states require once you hire. Landlords and licensing often ask for proof of coverage. Our agency quotes these together for your center or home daycare.

Ready to start your daycare?

Answer a few questions, see your estimate and send it to our office.