How to Start a Daycare in Virginia: VDOE License, $28 to $400 by Capacity, Ratios 1:4 to 1:20

October 29, 2026

If you want to open a child care center in Virginia, the licensing system works differently from what many first-time owners expect. The Virginia Department of Education (VDOE) licenses child day centers, not the Department of Social Services. The license lasts two years, the fee depends on how many children your program is licensed to serve, and the required staff-to-child ratio gets tighter as children get younger. This guide follows the order you will actually face these steps: who licenses you, what it costs, how to staff, how to clear local approvals, and how to set up the center.

This guide covers a child day center. If you plan to care for children in your own home, read the family day home guide on this site, because a home program is handled under different rules.

This article is informational content, not legal or tax advice. Licensing rules, fees and local requirements change, so confirm every figure with the agency named before you sign a lease or spend money on the project.

Materials and information you need before you start

Gather these items before your first filing. Missing documents and unanswered zoning questions are common sources of delay.

• A decision on your business structure (LLC, corporation or another form) and the exact name you want to use.
• A target capacity: the maximum number of children you plan to have enrolled at one time. Your license fee and group sizes depend on it.
• A planned operating schedule, including whether you will run fewer than 12 weeks a year, since that changes the fee.
• A candidate building address and a written zoning answer from your locality, plus a plan to obtain a certificate of occupancy.
• A staffing plan with the ratio math worked out for each age group in your program.
• Budget lines for state filing fees, local business license tax, insurance, workers’ compensation and buildout.
• Internet access for the SCC Clerk’s Information System, where you will file and search names.

Step 1: Confirm you need a child day center license

Under Va. Code 22.1-289.02, a child day center is a child day program that operates in one of two situations. The first is care for two or more children under age 13 in a facility that is not the residence of the provider or of any child in care. The second is care for 13 or more children at any location. The definition is broader than many owners assume. A storefront, a church basement or a leased suite is covered, and a program with 13 or more children is a child day center wherever it operates.

Once you are licensed, the license is issued for two years from the date of issuance under Va. Code 22.1-289.011. Put the expiration date on your calendar on the day you receive the license, and start the renewal paperwork well before it.

Step 2: Budget the two-year licensing fee

VDOE sets licensing fees under 8VAC20-821-150, effective February 1, 2026. These are two-year fees, so a $28 fee covers two years of licensure, not one year. For programs that operate at least 12 weeks in a 12-month period, the fee depends on licensed capacity:

Licensed capacity (children)	Two-year licensing fee
1 to 12	$28
13 to 25	$70
26 to 50	$140
51 to 75	$210
76 to 200	$280
201 or more	$400

Programs that operate fewer than 12 weeks a year pay a different schedule: $50 for 1 to 50 children and $110 for 51 or more. Family day systems pay $140 under the same regulation, but that applies to a different license type than the one this guide covers.

Ask VDOE how the fee is submitted, and what happens to it if an application is withdrawn or denied, because the fee schedule itself does not answer those questions.

The license fee is the smallest line in a center startup budget. Most of the money goes to the building, staff, insurance and equipment. Treat the fee as the easy number and spend your planning time on the rest.

Step 3: Plan your ratios and group sizes

Staff-to-child ratios and maximum group sizes are set in 8VAC20-780-350. Ratios decide how many staff you need in each room, which makes them the single biggest driver of payroll. Most new owners miscount here, so build the table into your budget before you pick a building.

Age of children	Staff to children	Maximum group size
Birth to 16 months	1:4	12
16 to 24 months	1:5	15
Two-year-olds	1:8	24
Three-year-olds up to school-age eligibility	1:10	30
School age, up to 9 years	1:18	Group size limit does not apply
9 through 12 years	1:20	Group size limit does not apply

Three rules apply across the table:

• Mixed ages: When children of different ages share a group, the ratio for the youngest child applies to the whole group. A room with six two-year-olds and four three-year-olds is staffed at 1:8, not 1:10.
• Rest periods: Reduced ratios are allowed during designated rest periods, but only if the conditions in 8VAC20-780 are met. Read those conditions before you build a nap schedule around them.
• Room layout: A room of mostly toddlers needs more staff than a room of preschoolers with the same headcount. Plan room sizes and staff schedules together, not separately.

As a worked example, eight children between 16 and 24 months need two staff members at 1:5, because eight divided by five is 1.6 and staff must be rounded up to whole people. Breaks, lunch coverage and a sick day will push you higher, so schedule at least one extra staff member per shift for coverage.

Step 4: Staff, training and background checks

Centers must meet an annual staff training minimum of 16 hours. Build training into your payroll plan, including paid time for staff to attend courses and the cost of any course you pay for.

Every staff member must pass background checks. The barrier crime rules in Va. Code 22.1-289.034 and the sections that follow determine who may work in a licensed center, and some convictions bar employment. This guide does not print check costs or processing times, so confirm with the Department of Education who runs the check, how it is submitted and how long it takes. Do not place anyone in a child-facing role until the clearance is complete.

Director and staff qualifications are set in 8VAC20-780. Read that chapter for education, experience and other requirements before you write job descriptions or make offers. Do not rely on a summary from another website for minimum ages or education levels, since those standards can change.

Wage planning starts with the state minimum wage, which is $12.77 an hour in 2026, $13.75 in 2027 and $15.00 in 2028. Child care markets often pay above the floor, so budget from the going rate in your area rather than the minimum.

Step 5: Form your business and clear local approvals

Choose and file your entity

The State Corporation Commission (SCC) Clerk’s Office forms entities, but it issues no business license. Most small centers choose a limited liability company (LLC). Articles of Organization (Form LLC1011) cost $100. You can file through the SCC Clerk’s Information System at https://cis.scc.virginia.gov/, and you can also find general business information at https://www.scc.virginia.gov/businesses/.

Online filings can be expedited. Next-day service costs $50 or $100 if you submit by 2:00 PM Eastern, with a response by 4:00 PM the next business day. Same-day service costs $200 if you submit by 10:00 AM Eastern, with a response by 4:00 PM. Expedited service is online only and nonrefundable, so use it only when the timing matters.

A Virginia LLC files no annual report. It pays a $50 annual registration fee to the SCC instead. The fee is due the last day of the 12th month after the month the LLC was organized, and then every year. The SCC assesses the fee about two months ahead. A late payment adds a $25 penalty, and the LLC is canceled at the end of the third month after the due date.

A stock corporation files Articles of Incorporation (Form SCC619) for $75. Its annual registration fee is due the last day of the formation month, and its annual report is due the last day of the 12th month after formation. The fee is $100 for up to 5,000 authorized shares, plus $30 for each additional 5,000 shares. Check the SCC annual fee schedule for current amounts.

Name reservation costs $10 and holds the name for 120 days. It can be renewed in the 45 days before it expires. An LLC name must contain “limited company,” “limited liability company,” “LC,” “L.C.,” “LLC” or “L.L.C.” and must be distinguishable from names already on file. Search the SCC database before you reserve anything.

A Virginia entity must keep a registered agent who is a Virginia resident with a Virginia street registered office, available during business hours. The agent must be a member of the Virginia State Bar, or a member, manager, officer, trustee or general partner of the entity. An entity cannot be its own agent.

If you will operate under a name other than your legal name, file an Assumed Name Certificate with the SCC for $10. The filing goes to the SCC, not the circuit court, and no newspaper publication is required.

Get the local business license, if your locality levies one

Virginia has no general statewide business license. The local license you may need is the Business, Professional and Occupational License (BPOL) tax under Va. Code 58.1-3700 et seq. Each city, county or town administers its own BPOL, usually through the Commissioner of the Revenue.

Not every locality levies a general BPOL tax. Va. Code 58.1-3704 allows a locality to levy none. Stafford, Rockingham, Bedford County, Washington County, Montgomery County, Louisa and Fluvanna are examples of localities without a general county license. Towns can displace the county tax, so check both the town and the county where your building sits.

Population sets a floor on what a locality may require. A locality with more than 50,000 people cannot require a license for gross receipts under $100,000. A locality with 25,000 to 50,000 people cannot require one for gross receipts under $50,000. Below 25,000 people, no floor applies. Localities over 50,000 may waive the license for gross receipts up to $200,000, but verify that waiver ceiling with your Commissioner of the Revenue before you plan around it.

Localities set their own rates and filing deadlines. Do not assume a rate you read for another city or county applies to you, and never treat one locality’s rate as a statewide figure. Ask your Commissioner of the Revenue for the current rate, the filing deadline and the gross receipts threshold that applies to a child day center. Localities also report business licenses issued to child day centers to the Department of Education twice a year under Va. Code 22.1-289.012, so keep your local and state filings consistent.

Zoning, building and fire approvals

Zoning, building and fire approvals are local, and they take real time. Before you sign a lease, get written confirmation that the zoning allows a child day center at that address. Then confirm that the building can receive a certificate of occupancy for that use. A building that was previously office or retail space may need inspections and upgrades that an existing school or child care facility would not.

Ask the local fire marshal and building official what they require for the number of children you plan to enroll. Your planned capacity will likely matter to them, so give them the real figure rather than a low estimate to save time.

If you plan to prepare meals on site, Virginia has no statewide food-handler card rule. A Certified Food Protection Manager is required in food establishments, so ask your local health department whether your food service triggers that requirement.

Step 6: Set up the center

While approvals are moving, set up the operating side of the business.

• Insurance: Get written quotes for general liability and property coverage. Ask each carrier whether its policy covers child care operations specifically, because a standard small business policy may not.
• Workers’ compensation: Whether you must carry it depends on your number of employees, and the threshold is set by the Virginia Workers’ Compensation Commission. Check the commission directly rather than relying on a figure from another source.
• Buildout: Get at least three written bids covering safety upgrades, restrooms, play areas, kitchen or food prep space if applicable, and storage. Buildout costs vary too widely by building to give a reliable range in a guide like this one.
• Policies: Draft your enrollment, health, medication, emergency and discipline policies before your first family tours the center. Families and inspectors both expect to see them in writing.
• Records: Set up organized staff files, training logs and background check records from the first day. Disorganized files cost time.

Localities report business licenses to VDOE twice a year, so the local license you obtain becomes part of the record the state keeps. Keep copies of every local approval in your licensing file.

Common mistakes to avoid

• Treating the fee as the total cost of licensing. The $28 to $400 figure is a two-year fee. Staff, space and insurance cost far more.
• Using the oldest child’s ratio in a mixed group. The youngest child’s ratio governs the whole group, so staffing to the older children leaves you short on your first inspection day.
• Signing a lease before confirming zoning and the certificate of occupancy. Fixing this after signing is expensive and hard to reverse.
• Assuming every Virginia locality has the same BPOL rate or any general license at all. Some localities levy none, and rates and deadlines are set locally.
• Filing a DBA with the circuit court. An Assumed Name Certificate is filed with the SCC for $10.
• Hiring before background checks clear. Plan your start date around the clearance timeline, not the other way around.
• Relying on an older guide. Child care licensing sections were amended in 2026, and older rules may no longer apply.

What to expect

Owners who prepare carefully often find that local zoning, building and inspection steps set the opening date more than the state license does. A realistic plan leaves room for slow responses from the locality and for inspection rescheduling, and it treats the opening date as a target rather than a fixed promise.

Careful planning may also help you avoid the most expensive problems: a building that cannot be approved for your planned capacity, a staffing budget that does not match the ratios, or a license application that arrives with missing documents. The results you get will depend on your building, your locality and your enrollment plan, so treat this as a general expectation rather than a guarantee.

Next steps

Start with three tasks this week. First, get written zoning confirmation for a specific address. Second, call your Commissioner of the Revenue for the BPOL rate, filing deadline and gross receipts threshold that apply to you. Third, read 8VAC20-780 and 8VAC20-821 directly rather than relying on a summary.

Check the Department of Education for current licensing requirements. Chapter 917 of the 2026 Acts of Assembly amended the licensing sections, and its effective date should be confirmed with VDOE before you finalize your application. For free planning help, the Virginia Small Business Development Center network at https://www.virginiasbdc.org/ can review your plan with you.

This article is informational content, not legal or tax advice. For complex situations, such as choosing between an LLC and a corporation, structuring ownership or planning a multi-location program, consult a qualified attorney or CPA.