Daycare Roadmap

Plan Your Business

Visit the plan your business landing page for more information!

State Daycare Regulations

If you care for more than two unrelated children for more than four hours a day, you likely need a license unless you qualify for an exemption. Visit the NC Division of Child Development and Early Education (DCDEE) for detailed requirements.

Plan Your Location

Finding your location
If you are considering opening a daycare within your residence, please refer to the detailed guidelines provided in this document: Family Child Care Home Licensing Process.

If you are planning to open a commercial daycare business, Raleigh's thriving economy and dynamic entrepreneurial environment provide a wealth of opportunities to find the perfect space. Selecting the right location requires careful consideration of your budget, operational needs, and the atmosphere you wish to create for your daycare.

Choosing the right location for your daycare is essential. Here’s why location matters:

Visibility: A daycare in a prominent location can attract more inquiries from parents who pass by, increasing awareness of your services.
Accessibility: The location should be convenient for parents and staff. Consider factors like parking availability, proximity to major roads, and ease of drop-off and pick-up.
Safety: The area should be secure, with minimal traffic hazards and a family-friendly environment.
Demographics: Select a location in a neighborhood with a high concentration of families or near workplaces, where parents are more likely to need childcare services.
Cost: Prime locations may come with higher rents, so it’s important to balance visibility and accessibility with your budget to ensure long-term sustainability.

Remember, the perfect location for your daycare business depends on your specific needs and may require a balance of these factors. It’s always a good idea to do thorough research and consider seeking advice from real estate professionals or business advisors. You can find resources on the city’s website to help you make the best decision for your business.

Lease negotiations
Before signing a lease, negotiate with the landlord to meet your business needs. Understand key leasing matters and seek financial, legal, and business advice to comprehend your rights and obligations.

A successful lease negotiation is crucial for your business. Key tips include:

Know your financial limit
Keep emotions out of negotiations
Take time to review lease terms
Seek legal and financial advice
Document all agreements
Be ready to end negotiations if needed

Understanding TICAM
TICAM, an acronym for Taxes, Insurance, and Common Area Maintenance, is a significant factor in any lease. Understanding TICAM is crucial for budgeting as it directly impacts your operating costs. TICAM adds to your store’s operating costs and can affect your profitability. TICAM costs are a legal obligation. Failure to pay them can result in penalties.

Include TICAM in your initial budget planning. This helps ensure you have sufficient funds to cover this cost. Seek Professional Advice: Consider consulting with a real estate expert to understand how TICAM will impact your business.

Zoning
The City’s Unified Development Ordinance (UDO) designates zoning of properties in Raleigh, including which uses are allowable in each zoning district. Check the Allowed Principal Use Table in Section 6.1.4 of the UDO to find the zoning districts where restaurants are allowed. Then use the City of Raleigh’s iMaps tool to confirm that your location’s zoning allows restaurant uses, or to find a location with appropriate zoning for your daycare.

Design professionals
You may need to hire one or more registered design professionals and a licensed General Contractor to help design your space and navigate the process to obtain the appropriate permits for your business.

Special districts
Your location may have additional requirements if it lies within a special district, such as a historic overlay district or a flood plain. You can check your location’s status by enabling the Zoning Overlay Districts and Flood Hazard Areas layers in iMaps.

Site Plan Review
If your location involves new construction or substantial site work, you are likely to need to submit plans for approval via the City's Site Permit Review (SPR) process. The SPR process and requirements are outlined in Section 10.2.8 of the UDO.

Historic Review
Some locations and buildings need to have renovations reviewed by the Historic Development Commission (HPC).

Plan Your Space

Register for City of Raleigh Permit & Development Portal
The city offers a tool you can use to manage your permitting and development activity. You can schedule inspections, pay fees, and monitor all projects in the portal.

Building permits
You will need to work with your design professional(s) to obtain a building permit for your restaurant. View estimated turnaround times for this process.

Private Use of Public Spaces
The Private Use of Public Spaces permit (PUPS) was established to regulate the private use of public spaces in Downtown Raleigh. It ensures that these spaces are used in a manner that contributes to an active and vibrant community. This permit allows you to use sidewalks and other public rights-of-way spaces for your business operations.

Monitor your progress
Stay current with the progress of your building plan review status, permits, and Certificate of Compliance online.

Sign permits
You will also need to obtain a sign permit for any signage planned for your business that will be visible from the public right-of-way. You can find out the types of signs allowable in your location’s zoning district by checking the table of Signs Allowed by District in Section 7.3.2 of the UDO.

Furnishing your space
When planning your daycare, it’s crucial to budget for furnishings and furniture. These items play a significant role in defining the look and feel of your center.

Upfitting your space
The City of Raleigh's Building Up-fit and Facade Rehabilitation grants encourages growth and development by assisting property owners who want to activate their vacant or underutilized commercial building space in Raleigh by funding part of the costs of exterior or interior upfitting.

Contact the fire department

To ensure your building meets the N.C. Fire Code, you should contact the Raleigh Fire Department. Submit the city’s Fire Request form to request a Daycare Inspection.

Follow Regulation & Requirements

Food Service Regulations
Wake County’s Environmental Health & Safety Division permits and inspects facilities that provide food service. Applications for Health & Safety Plan Review can be submitted online at the same time as submitting plans to the City of Raleigh for building permits. Visit Wake County’s Plan Review & Permits page for more submittal guidelines.

Review the North Carolina Food Code Manual and ensure that you have one employee who is a certified food protection manager. Review and understand the rules governing food protection and sanitation (.2600 Rules).

Once permitted, the establishment will be inspected on a regular basis, one to four times a year. These inspections are not announced so ensure that food service workers are following required laws and have good hygiene.

Plan Your Operations

Do you think you're ready to open? Visit the plan your operations landing page for planning business operation to learn more about topics such as employer requirements and planning your opening.