Step By Step Guide To Launching A Licensed Daycare In Texas What You Need To Know

Starting a licensed daycare in Texas is both a rewarding and complex endeavor. With over 2 million children under the age of five in the state, demand for quality childcare continues to grow. However, turning that demand into a successful business requires navigating strict regulations, understanding operational logistics, and ensuring child safety at every level. This guide walks through the essential steps, legal obligations, and practical considerations for launching a compliant and thriving daycare in Texas.

Understand Texas Daycare Licensing Requirements

The Texas Department of Family and Protective Services (DFPS) regulates all child care facilities through the Child Care Licensing (CCL) division. To legally operate, most daycares must be licensed unless they qualify for an exemption—such as caring for fewer than four unrelated children. Once you exceed that number, licensing becomes mandatory.

Licensing ensures that your facility meets minimum standards for health, safety, staffing, and supervision. The two primary types of licensed facilities are:

• Child Care Centers: Serve more than 12 children at any time and operate in non-residential buildings.
• Family Home Daycares: Operate in a private residence and serve up to 12 children.

All licensed providers must undergo background checks, meet space and safety codes, and comply with staff-to-child ratios based on age groups.

“Licensing isn’t just a formality—it’s a commitment to children’s well-being. Facilities that invest in compliance from the start build trust with families and avoid costly delays.” — Maria Lopez, Former DFPS Child Care Licensing Supervisor

Step-by-Step Process to Launch Your Daycare

Launching a licensed daycare follows a structured path. Rushing through steps can result in application denials or failed inspections. Follow this timeline for a smoother approval process.

1. Determine Your Daycare Type: Decide whether you’ll open a family home or a larger center based on your space, budget, and capacity goals.
2. Complete Required Training: All applicants must complete the Pre-Licensure Orientation for Child Care Facilities, offered online through DFPS.
3. Submit Application and Background Checks: File Form 4379 with DFPS and schedule fingerprinting for yourself and all staff members over 14.
4. Prepare Your Facility: Renovate or arrange your space to meet DFPS standards for square footage, exits, restrooms, and outdoor play areas.
5. Schedule Pre-License Inspection: DFPS will inspect your site for safety, zoning compliance, and adherence to fire and health codes.
6. Receive License: If approved, you’ll receive your license within 30–60 days. You may then begin enrolling children.

Tip: Start preparing your space early—many applicants underestimate the time needed for renovations, fencing, or HVAC upgrades.

Staffing and Operational Standards

Hiring qualified staff is critical—not only for quality care but also for meeting licensing requirements. Texas enforces specific staff-to-child ratios depending on the age group served:

Age Group	Maximum Children per Caregiver
Birth to 2 years	4 infants per caregiver
2-year-olds	8 children per caregiver
3- to 5-year-olds	12 children per caregiver
6- to 8-year-olds	16 children per caregiver

All staff must complete at least 24 hours of annual training in topics such as health and safety, child development, and emergency procedures. Additionally, CPR and first aid certification are required for all caregivers.

You must also maintain detailed records for each enrolled child, including immunization documentation, emergency contacts, and daily sign-in/sign-out logs.

Costs and Financial Planning

Opening a licensed daycare involves significant upfront investment. Costs vary widely based on location, size, and whether you’re leasing or renovating a space.

Typical startup expenses include:

• Application and licensing fees ($75–$150)
• Facility renovation or lease deposit ($5,000–$50,000+)
• Playground equipment and fencing ($3,000–$15,000)
• Furniture, supplies, and learning materials ($2,000–$10,000)
• Insurance (general liability and abuse coverage): $1,500–$4,000 annually
• Staff salaries (average hourly wage: $12–$16/hour in Texas)

To offset costs, consider applying for federal programs like the Child Care Development Fund (CCDF), which helps low-income families pay for care—and increases enrollment for licensed providers who accept subsidies.

Tip: Create a six-month operating budget before opening. Many new daycares take longer than expected to reach full capacity.

Mini Case Study: From Living Room to Licensed Center

Jamila Thompson started watching her neighbors’ children in her Houston home in 2021. As word spread, she quickly reached the limit of four unrelated kids—the threshold requiring licensure. Determined to grow, she took the pre-licensure course, invested $18,000 in converting her garage and backyard into a safe learning space, and passed her inspection in eight weeks.

Within six months of opening her family home daycare, Jamila had 10 children enrolled and was earning enough to hire an assistant. By year two, she leased a small commercial space and transitioned into a full-fledged child care center serving 25 children. Her focus on compliance, parent communication, and curriculum helped her earn a 4-star rating in Texas’s voluntary quality improvement program, Texas Rising Star.

Her advice? “Don’t skip the paperwork. I spent two weekends organizing my policies and training records. That preparation made the inspection go smoothly.”

Checklist: Before You Open Your Doors

Use this checklist to ensure you’ve covered all critical bases before launching:

• ✅ Completed DFPS Pre-Licensure Orientation
• ✅ Submitted application and fingerprints
• ✅ Passed fire and health inspections
• ✅ Installed secure fencing and gated entry points
• ✅ Purchased required equipment (cribs, changing tables, toys)
• ✅ Hired trained staff with valid clearances
• ✅ Developed written policies (discipline, illness, emergencies)
• ✅ Secured liability insurance
• ✅ Created enrollment packets and consent forms
• ✅ Posted license visibly at entrance

Frequently Asked Questions

How long does it take to get a daycare license in Texas?

The process typically takes 3 to 6 months, depending on how quickly you complete training, prepare your facility, and pass inspections. Delays often occur due to incomplete applications or failure to meet zoning requirements.

Can I run a daycare from my apartment?

Only if your building allows commercial use and you meet all DFPS safety standards. Most apartments restrict child care operations due to insurance and zoning issues. Always check with your landlord and local municipality before proceeding.

Do I need a degree to run a Texas daycare?

No formal degree is required, but you must complete the DFPS pre-licensure course and demonstrate knowledge of child development and safety. Directors of larger centers may need additional credentials, especially if participating in subsidy programs.

Conclusion: Building a Foundation for Success

Launching a licensed daycare in Texas demands diligence, patience, and a genuine commitment to child welfare. While the regulatory path may seem daunting, each requirement exists to protect the children in your care and set your business up for long-term credibility. From mastering staffing ratios to acing your pre-license inspection, every step builds toward a safe, nurturing environment where families feel confident enrolling their children.

🚀 Ready to begin? Visit the Texas DFPS Child Care Licensing website today to download application forms, access training modules, and connect with regional support specialists. Your journey to building a trusted community resource starts now.