How to start a daycare in California
Starting a licensed child care program in California involves choosing the right license type, navigating CCLD's application process, and understanding the realistic timeline before you can open. This guide covers every step — from deciding whether to open a home-based or center-based program, through live scan fingerprinting, to your first day with children.
Step 1: Choose your license type
California offers three paths to licensed child care, each with distinct requirements and capacity limits. Your choice determines every subsequent requirement.
Small Family Day Care Home (up to 8 children)
The fastest and lowest-cost path to licensure. Operates from your primary residence. Capacity of up to 8 children (including your own children under age 10 present during hours). No state application fee. Requires Live Scan, health and safety training, and a pre-licensing home inspection. Best for: providers who want to start small and build a client base before expanding.
Large Family Day Care Home (9–14 children)
Operates from your residence but requires a second adult caregiver whenever more than 8 children are in care. You must hold a Small Family Day Care Home license for at least one year before applying. Requires local zoning compliance — many cities require a permit. Best for: established Small Family providers ready to expand without the cost of a commercial space.
Child Care Center (13+ children, or any center-based program)
Operates in a non-residential facility. Requires 35 sq ft of net usable indoor space per child. Director must meet CCLD qualifications (15 ECE units + 1 year experience). Requires fire clearance from local fire authority. Longest timeline and highest startup cost, but no enrollment ceiling other than licensed square footage. Best for: operators planning a larger program or commercial-scale operation.
Step 2: Understand your startup costs
Free: California daycare startup checklist
Every step, document, and deadline organized into a printable checklist — from choosing your license type to your first day with children.
Step 3: The CCLD application process
- 1Step 1Submit Live Scan fingerprints — day one
Every adult who must be cleared needs Live Scan fingerprints submitted before you can receive a license. For Family Day Care Homes this includes all adult residents. For Child Care Centers it includes the applicant, director, and all direct-care staff. Budget $80–$110 per person. Processing takes 2–6 weeks — do not delay this step.
- 2Step 2Secure your location and prepare for inspection
For Child Care Centers: secure a lease contingent on licensure (negotiate this explicitly), obtain a fire clearance from your local fire authority, and prepare a detailed floor plan showing measured usable square footage. For Family Day Care Homes: assess your home against Title 22 requirements and address any hazards before the CCLD inspector visits.
- 3Step 3Complete required training
Complete your 15 hours of health and safety training from a CCLD-approved provider. Obtain current pediatric first aid and CPR certification. For Child Care Centers, verify that the designated director has the required ECE units and experience documented on transcripts and employment records.
- 4Step 4Submit your CCLD application
Download the applicable form: LIC 200 (Child Care Centers) or LIC 279A (Family Day Care Homes) from cdss.ca.gov. Complete and submit with all required attachments to your regional CCLD office. Some regions accept submissions by mail; others require in-person. Confirm with your regional office before submitting.
- 5Step 5Pre-licensing inspection
CCLD schedules a pre-licensing inspection after reviewing your application. Be on-site and have all staff files and training documentation available. CCLD will measure usable square footage, verify safety requirements, and review documentation. Address any correction items in writing within the specified timeframe.
- 6Step 6Receive your license — then open
Once all background clearances are received and all inspection corrections are cleared, CCLD issues your license. Post it prominently at your entrance. You may not legally accept children until you have the physical license in hand.
Step 4: Enroll in subsidy programs
Once licensed, enrolling in California's subsidy programs significantly expands your market. The primary programs for licensed providers are:
Alternative Payment (AP) program
The main subsidy program for income-eligible families not in CalWORKs. Administered by Local Planning Councils (LPCs) and AP agencies. As a licensed provider, you can accept AP-funded children by signing a provider agreement with your local AP agency. Payments are made by the AP agency — not the family.
CalWORKs Stage 2 and Stage 3 child care
Families in California's welfare-to-work program receive subsidized child care. Stage 1 is administered by county welfare departments; Stage 2 and 3 by local AP agencies. The provider enrollment process is similar to the AP program — contact your local Child Care Resource and Referral agency (CCR&R) for enrollment steps.
Quality Counts California (QCC)
QCC provides tiered reimbursement enhancements for providers who achieve quality improvement milestones. Not a star-rating system — QCC uses a different tiered framework. Licensed providers can begin QCC participation after licensure. Contact your local CCR&R for the enrollment process.
Your local CCR&R is your most important free resource
California's Child Care Resource and Referral (CCR&R) agencies provide free startup consultation, pre-licensing guidance, subsidy enrollment assistance, and professional development resources. Every county has a CCR&R. Find yours at rrnetwork.org/find-a-resource-referral-agency — call them before submitting your CCLD application.
Frequently asked questions
How much does it cost to start a Family Day Care Home in California?
The state licensing fee is $0. Your primary startup costs are: Live Scan fingerprinting ($80–$110 per person), liability insurance ($500–$1,500/year for a Small Family Day Care Home), health and safety training ($50–$200), first aid and CPR certification ($50–$100), and any home modifications required to pass inspection (varies widely). A well-prepared Small Family Day Care Home can open for under $2,000 in compliance costs, not counting facility improvements or equipment.
Do I need a business license to operate a family day care home in California?
Most California cities and counties require a local business license in addition to your CCLD license. Contact your city's business license office — fees are typically $50–$150/year. Some municipalities also require a home occupation permit. Check both city and county requirements, as both may apply depending on where you're located. Your CCLD license is required first; local business license can be obtained concurrently in most cases.
Can I start a Child Care Center in my home in California?
No. Child Care Centers must operate in non-residential facilities. Home-based child care in California is licensed as either a Small Family Day Care Home (up to 8 children) or Large Family Day Care Home (9–14 children). If you want a center-based program, you need a commercial or institutional space that meets CCLD's Child Care Center standards, including 35 sq ft of net indoor activity space per child and compliant outdoor space.
What qualifications do I need to open a Child Care Center in California?
To be the director of a California Child Care Center, you typically need a minimum of 15 semester units of early childhood education or child development, plus one year of teaching experience with children in a licensed child care setting. Specific requirements vary by program size under Title 22. You don't need to hold the director role yourself — you can hire a qualified director — but someone meeting these qualifications must be designated and approved by CCLD before the license is issued.
How long before I can open after submitting my CCLD application?
You cannot legally operate until your CCLD license is physically issued. Plan for 3–6 months minimum from application submission to license issuance in most California regions. In the Bay Area and Los Angeles, 6–9 months is common due to pre-licensing inspection wait times. Build this timeline into your lease negotiations — signing a lease and paying rent for 6 months before you can open is a significant financial risk.
Is CalWORKs child care different from the Alternative Payment subsidy program?
Yes. CalWORKs Stage 1, Stage 2, and Stage 3 child care are all separate programs administered through different agencies (County Welfare Departments for Stages 1–2; Local Planning Councils and Alternative Payment agencies for Stage 3 and ongoing). The Alternative Payment (AP) program serves income-eligible families regardless of CalWORKs status. Most licensed providers can accept multiple subsidy streams, but each requires a separate provider agreement. Contact your local Resource and Referral agency for a complete picture of subsidy programs in your county.
Related guides
Official resources
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This article reflects California CDSS/CCLD requirements as of May 2026. Regulations change — always verify current requirements at cdss.ca.gov. CloverMap is not affiliated with California CDSS.