How to start a daycare in Ontario

Table of contents

Getting started
Other resources


The child care industry primarily consists of businesses that provide daycare services for infants and children. Your daycare can be a home-based operation, or it can be a commercial centre that serves a particular area or community. You can offer several different types of services, and the choice of size, location and specific services will depend on you.

Some examples of daycare services include:

  • Babysitting
  • Child care for older children (before and after school care )
  • Unlicensed or licensed home-based daycare
  • Licensed centre-based daycare
  • Licensed child care agency
  • Nanny services (work in home of employer as a live-in or live-out nanny)
  • Early childhood education services

Caring for someone else's children involves a lot of responsibility and a serious commitment. When the children are in your custody, by law, you are responsible for their safety and well-being.

Getting started

When you start a business there are several things to consider before you can sell your product or service. Most businesses in Ontario need to complete a minimum of three basic steps:

  • Find out what licences and regulations apply to your type of business
  • Choose a business structure and register or incorporate your business
  • Determine if you will need to collect and remit HST

Our business start-up guide will give you more information on these steps and other basic requirements for starting a business in Ontario.

Read online:
Starting a Business


Your business may need licences and permits from the federal, provincial and municipal levels of government.

In addition to the information you will find in this guide, you can use the Canada Business Permits and Licences Search, powered by BizPaL, to find licences and regulations that may affect your business. You can also contact us to speak to someone about starting your business.

Contact us:
Permits and licences search

Some common licences, permits and regulations that may apply to starting your daycare include:

General child care licensing standards

Child care centres and some home-based daycares in Ontario are licensed by the Ministry of Education. You may plan to offer unlicensed home-based child care, however  you will need a licence if you:

  • Care for more than 2 children under the age of 2 (including your own children)
  • Care for more than 5 children over the age of 2 (including your own children under the age of 6)

A licence is also needed for private home daycare agencies that contract individual caregivers who provide child care out of their own homes.  

As a licensed and regulated home-based daycare provider, you need to meet provincial health, safety and caregiver training standards including:

  • Caregivers must be over the age of 18
  • Caregivers for special needs children must have valid first aid certification

A home visitor will meet with licensed home-based daycare providers on a regular basis to conduct general inspections and provide support.

Additional licensing may be required if you want to care for children with a physical, visual or auditory disability, or if the child has a developmental, communication, behavioural or a chronic medical problem.

Contact the Ministry of Education - Child Care Quality Assurance and Licensing Offices:
Regional offices

Read online:
Child care licensing resources
Home-based child care providers 
Licensed home-based child care 
Information for child care professionals

Music licence

When your business uses recorded music, you are responsible for obtaining the right licence(s) for that use. The Copyright Board of Canada works with individual copyright collective societies who provide music licensing. Contact the following two organizations for more information.

Society of Composers, Authors and Music Publishers of Canada (SOCAN) Music Licence

SOCAN is a not-for-profit organization that represents the performance rights of music creators and music publishers. They can help you learn about your obligations and obtaining the required licence(s).

Contact SOCAN:
Tariffs & forms - Music in a business

Re:Sound Music Licensing Company

Re:Sound is the Canadian not-for-profit organization that represents the performance rights of artists and record companies, and provides the legally required licence(s) for businesses. You can get help determining what licence(s) will be required, what the licensing process will be and how much it will cost.

Contact Re:Sound:

If you plan on preparing or serving food as part of the daycare services you provide, the following food safety regulations may apply:

Food safety and labelling

Your local health unit is the main contact for information on food safety. Local health authorities are responsible for carrying out food service inspections.

You should contact your local health authority and arrange an inspection of the premises, equipment and processes to make sure your business is complying with provincial and federal legislation.

The following link provides contact information for local health authorities that perform inspections on restaurants and food businesses in Ontario.

Read online:
Local public health contacts

In addition to contacting your local health unit, if you are involved in the production, service or processing of food products, you will need to comply with safety standards and labelling regulations from the Canadian Food Inspection Agency (CFIA) and the Ontario Ministry of Agriculture and Food and Rural Affairs (OMAFRA).

Contact CFIA:
Regulated products and sectors

Contact OMAFRA:
Regulations for the food industry

Legal questions

If you have legal questions, contact a lawyer who deals with business regulations. The Law Society of Upper Canada's Law Society Referral Service may be able to assist you in finding a lawyer or paralegal, based on your needs.

Use online:
Law Society Referral Service


Depending on your location and the type of products or services being offered, federal, provincial and/or municipal business taxes may apply.

Read online:
Taxation guide

If you sell goods and services in Ontario, you may need a business number to collect and remit the Harmonized Sales Tax (HST). Most businesses that make less than $30,000 in any 12-month period are not required to charge HST; however, you can register voluntarily and claim input tax credits. Speak with the Canada Revenue Agency (CRA) for more information.

Contact CRA:
Canada Revenue Agency


Canada Business can help you find government financing options for your business. There are programs that apply to businesses across Canada and others that apply only to businesses in Ontario. Use the Canada Business financing search tool or browse by type of financing.

Search online:
Canada Business: Government grants and financing

Other resources


From day-to-day operations to long-term planning, learn how to manage your business efficiently.


If you are interested in finding an association, use our secondary market research service request and have us search for one based on your needs.

Industry-specific information

You can also find books, magazines and other relevant print material at business service organizations in your community. To locate a Canada Business Ontario (CBO) community partner, contact us at 1-888-576-4444.