How to Start a Childcare Business in New York: Part 1

Picture a typical parent in New York, racing against the clock — dropping one child at school, hurrying to work, all while searching for a safe, loving place where their little one can learn and grow. That’s where you come in.

Starting a childcare center isn’t just about filling a market need (though demand is high!); it’s about creating a space where children thrive and parents feel at ease. It’s a rewarding journey, but let’s be honest — it also comes with its fair share of paperwork, regulations, and logistical hurdles.

This guide will walk you through everything you need to know about starting a childcare business in New York, from licensing to daily operations, so you can build a business that not only runs smoothly but also shapes bright futures. 

This section covers licensing and compliance in-depth, while Part 2 will dive into the business, financial, operational, and marketing aspects of running a successful childcare center.

New York Childcare Licensing and Regulatory Overview

Starting a childcare business in New York means navigating a maze of licensing rules and regulations. While that may sound overwhelming, understanding the basics can help you move through the process with confidence.

When does a childcare business require a license?

In New York, you must have a childcare license if you are:

• Caring for three or more children for more than three hours per day, in exchange for compensation.
• Running a childcare program in a non-residential setting, regardless of the number of children.

Certain exemptions exist, such as informal babysitting or programs operating fewer than three hours per day, but most full-time childcare providers will need to go through the licensing process.

Key licensing bodies and their roles

Multiple agencies oversee different aspects of childcare regulation in New York. Here’s what each one does:

• OCFS (Office of Children and Family Services) – The primary state agency responsible for licensing and regulating childcare centers across New York State. They handle applications, inspections, background checks, and safety standards.
• NYC DOHMH (Department of Health and Mental Hygiene) – If you’re opening a daycare in New York City, you’ll need to follow additional health and safety regulations set by DOHMH, including zoning rules, sanitation guidelines, and staff-to-child ratios.
• NYSED (New York State Education Department) – Oversees Pre-K curriculum standards and teacher certification for early education programs affiliated with schools or offering structured learning beyond standard childcare.‍
• NYC DOE (Department of Education) – Manages Universal Pre-K (UPK) and 3-K programs in New York City, ensuring that publicly funded early childhood programs meet educational standards.

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Types of Childcare Licenses in New York

New York’s OCFS defines five different types of childcare licenses depending on the size of your program and where you plan to operate. Understanding these categories will help you determine the right license for your business.

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Each license type has different requirements for staffing, facility setup, and safety compliance. Choosing the right one depends on your business model, the number of children you plan to serve, and whether your program is home-based or in a separate facility.

Step-by-Step Guide to Getting a Childcare License in New York

Starting a childcare business in New York requires going through a structured licensing process. To ensure that providers understand the legal, safety, and operational requirements, the state has established a mandatory orientation process as the first step.

Step 1: Complete the required orientation

Before you can apply for a childcare license, you must complete the New York State Office of Children and Family Services (OCFS) online orientation. This orientation provides essential information about:

• Types of childcare licenses and which one is right for your business.
• Health and safety regulations that all licensed providers must follow.
• Staffing and facility requirements to ensure a safe environment for children.
• The licensing application process, including documentation and inspection procedures.

The orientation is free and can be accessed through the OCFS website. Completing it is not just a requirement — it’s an opportunity to ensure you fully understand what’s expected before moving forward with your application.

Step 2: Request and Prepare Your Application Package

Once you’ve completed the required orientation, the next step is to request your application package from OCFS or, if you’re in New York City, from DOHMH. This package includes all the necessary forms and instructions to officially apply for your childcare license.

Required documentation

To ensure that your childcare business meets safety and regulatory standards, you’ll need to submit several documents, including:

• Background checks – Criminal history and fingerprinting for all staff and household members (for home-based programs).
• Health and safety compliance – Proof that your facility meets sanitation, emergency preparedness, and fire safety requirements.
• Facility information – Zoning approvals (if applicable) and floor plans for your childcare space.
• Financial details – Documentation proving your business’s financial stability, including a budget plan.

Application fees and submission process

• Licensing application fees vary depending on the type of childcare program you’re opening.
• Applications must be submitted along with supporting documents to OCFS (statewide) or DOHMH (NYC).
• Once submitted, your application will be reviewed, and you may be asked for additional information before moving forward to the inspection phase.

Step 3: Facility requirements and compliance inspections

To ensure children's safety and well-being, New York has strict requirements regarding space, safety, and sanitation. Before you can receive your childcare license, your facility must meet these standards and pass an official inspection.

Zoning laws and space requirements

Before securing a location for your daycare, check local zoning laws to confirm that your property is approved for childcare use. Zoning rules vary by county and city, so it’s important to get clearance from your local zoning board before making any commitments.

Key space requirements include:

• Sufficient square footage per child to allow safe movement and play.
• Separate areas for different age groups, if applicable.
• Outdoor play space (or access to a nearby park), with proper fencing and safety measures.

Fire safety, emergency plans, and sanitation standards

Your facility must comply with strict health and safety regulations, including:

• Fire safety measures, such as clearly marked exits, smoke detectors, and fire extinguishers.
• Emergency preparedness plans, including evacuation routes and staff training for handling crises.
• Sanitation standards, ensuring that restrooms, kitchens, and play areas are clean and meet hygiene requirements.

OCFS inspection process and common compliance pitfalls

Once your facility is set up, an OCFS (or DOHMH in NYC) inspector will visit to verify compliance with all regulations. Common pitfalls that cause delays include:

• Improper staff-to-child ratios or unqualified staff members.
• Missing or incomplete safety equipment, such as first-aid kits or childproof locks.
• Inadequate documentation, such as missing emergency plans or incomplete background checks.

Thorough preparation can help you pass the inspection smoothly—bringing you one step closer to opening your childcare business!Step 4: Staff requirements and training

New York has strict regulations regarding staffing, background checks, and mandatory training to ensure children are in safe, capable hands.

Teacher-to-child ratios and staffing regulations

To maintain quality care and supervision, New York enforces specific teacher-to-child ratios, which vary based on the age group and type of childcare program. These ratios ensure that each child receives adequate attention and that staff are not overwhelmed.

In addition to ratios, staffing rules require that at least one qualified director or supervisor is present at all times.

Did You Know? — Minimum Staff and Staff-to-Child Ratios in New York

For more info: What Group Child Care Providers Should Know: A Compliance Guide (nyc.gov)

Background checks, references, and hiring best practices

All childcare staff — including teachers, assistants, and volunteers — must pass comprehensive background checks, which include:

• Fingerprinting and screening against state and federal databases.
• Child abuse and neglect registry checks.
• Personal and professional references to verify past experience and reliability.

Best hiring practices include:

• Looking for candidates with experience in early childhood education.
• Conducting thorough interviews and trial observations before hiring.
• Ensuring all staff members have a genuine passion for childcare and a commitment to child safety.

Mandatory training and certifications

All childcare providers must complete state-required training before working with children. The most common certifications include:

• CPR and First Aid – Required for all staff members to handle medical emergencies.
• Medication Administration Training (MAT) – Necessary if staff will be administering medication to children.
• Child Abuse and Maltreatment Prevention Training – Educates staff on recognizing and reporting signs of abuse.
• Health and Safety Training – Covers emergency preparedness, sanitation, and proper childcare practices.

Step 5: Obtain your final license and open your daycare

After completing orientation, application submission, facility inspection, and staff hiring, the final hurdle is obtaining your official childcare license. This step involves a final review and ongoing compliance to ensure your daycare meets all state regulations.

Final approval process and licensing renewal considerations

Once your application is complete and your facility has passed the required inspections, OCFS (or DOHMH in NYC) will conduct a final review. If everything meets state standards, you’ll receive your official childcare license, allowing you to legally open your daycare.

Important considerations:

• Your initial license is valid for four years (OCFS), but you must renew it before expiration to continue operating.
• Renewal requires proof of continued compliance, including updated training, staff background checks, and a potential re-inspection.
• If there are any major facility or program changes, you may need to update your license accordingly.

Ongoing compliance responsibilities

Once your daycare is licensed, your work doesn’t stop there. You’ll need to stay compliant with state regulations by:

• Maintaining up-to-date records for children, staff, and health/safety protocols.
• Completing ongoing staff training and certifications as required by OCFS or DOHMH.
• Undergoing periodic inspections to ensure your facility continues to meet licensing standards.
• Following updated state regulations—rules may change, so staying informed is key!

What’s Next?

Navigating the licensing and compliance process is a crucial first step in launching your childcare business in New York. From choosing the right license type to ensuring your facility meets safety standards, each requirement plays a vital role in setting up your business. While the process might seem tedious, thorough preparation will help you breeze through.

But getting licensed is just the beginning. Once your daycare is approved, the real work begins — managing finances, setting up daily operations, hiring staff, and attracting families to your center. These aspects determine long-term success and sustainability.

Now that you have a clear roadmap for licensing and compliance, it's time to focus on the business side of childcare—from financial planning and daily operations to marketing and parent engagement. Continue reading Part 2 to learn how to build and grow a successful child care center!

Additional Read: How to Start a Daycare in Florida