STARTING A CHILD CARE BUSINESS
Starting a local business providing child care and early education is both meaningful and challenging — and the rewards make it well worth the investment. You’re not just building a successful business; you’re providing an essential service your community depends on. In the U.P., we’ve built unique programs to help entrepreneurs navigate the process and succeed long term.
Understanding Structures & Licensing
The first step in launching your child care business is to understand the available options and key steps in getting licensed. From home-based businesses to commercial facilities, each type has different requirements, regulations, and benefits to consider. In general, you’ll pick between two types:
Child Care Center – Care in a commercial space/building for one or more children under age 13, generally for less than 24 hours per day.
Child Care Home – Caring for unrelated children in the provider’s residence. Family Home you can care for 1-6 children, Group Home 7-12 children. Group Homes may require zoning approval.
To get started, the Michigan Department of Lifelong Education, Advancement, and Potential (MiLEAP) has created the Strong Start Program which includes information on the various types of licenses and associated requirements.
Connecting with Business Development Partners
The ecosystem in the U.P. is rich with support for local entrepreneurs. From the U.P. Small Business Development Center and Small Business Support Hubs to local economic development organizations in most counties, you don’t have to do this alone. In fact, we wouldn’t recommend you do.
Some local economic development organizations (EDO) are official partners with the U.P. Child Care Coalition and have created dedicated pages on this topic. Connect with your local team to get started.
ALGER COUNTY:
Alger County Chamber of Commerce
BARAGA COUNTY*:
Economic Development Corporation of Baraga County
CHIPPEWA COUNTY:
Economic Development Corporation
or Sault Ste Marie EDC
DELTA COUNTY:
Economic Development Alliance
DICKINSON COUNTY*:
Dickinson County Economic Development Alliance
GOGEBIC COUNTY:
No local EDO (efforts under way to establish)
HOUGHTON & KEWEENAW COUNTIES*:
Keweenaw Economic Development Alliance
IRON COUNTY:
Iron County Economic Chamber Alliance
LUCE COUNTY*:
Luce County Economic Development Corporation
MACKINAC COUNTY ALLIANCE:
No website available
MARQUETTE COUNTY*:
Lake Superior Community Partnership
MENOMINEE COUNTY:
Menominee Business Development Association
ONTONAGON COUNTY:
No local EDO (efforts under way to establish)
SCHOOLCRAFT COUNTY*:
Schoolcraft Tourism and Commerce
*Signifies an official U.P. Child Care Coalition partner
Other great resources such as the Small Business Development Center, local small business support hubs, and more can be accessed through your local EDO. If you live in a county without a local EDO, you should contact these regional partners directly.
Child Care Business Essentials
New in 2026, Child Care Business Essentials is a support hub from the SBAM Foundation built specifically for child care providers and entrepreneurs across Michigan. Whether you’re just starting out or looking to grow, the program connects you with one-on-one business advising tailored to your goals, practical tools for operations, HR, and financial management, and direct connections to partners who understand the child care landscape. Depending on your needs, you may also gain access to training, peer learning opportunities, or funding pathways.
Child Care SPARK: A U.P.- designed Solution
In 2023, partners in early childhood education, economic development, and community empowerment came together to create a unique combination of resources and guidance to help entrepreneurs interested in providing child care and early childhood education via a home-based business. Initially built in Marquette County, Child Care SPARK is now accessible across the entire region. If you’ve read the licensing requirements and feel a home-based model is right for you, reach out to get started.
Learn more about Child Care SPARK
Great Start to Quality
Great Start to Quality is more than a rating — it’s a support system. The Upper Peninsula Resource Center, serving all 15 U.P. counties, works alongside providers at every stage: guiding new programs through licensing, helping established ones navigate the Great Start to Quality framework, and connecting you with professional development that fits your goals. The Resource Center also offers a lending library of materials and equipment, plus coaching on the business side — budgeting, enrollment, and long-term sustainability. Whether you’re just getting started or looking to strengthen what you’ve built, support is available at no cost.
Learn more about GSTQ
You may also call their office directly at 906-228-3362
Additional Resources
Every entrepreneur’s journey is different but once you’re up and running, you’ll have common requirements to remain aware of. Michigan is home to many resources that can help you do that including:
Child Care Hub Information Records Portal (CCHIRP): CCHIRP simplifies the way providers manage their license and communicate with us. There are many useful tools to help secure, maintain, and manage a license. The public can also search the statewide database and file a complaint.
Child Care Licensing Bureau (CCLB): Have a question on licensing, billing, background checks, etc? We always encourage going straight to the source when you can! You can also contact the CCLB Monday – Friday during normal business hours by calling 517-284-9730.
Office of Child Development and Care (CDC): The CDC supports low-income working families by providing access to affordable, high-quality early care and afterschool programs. To reach this goal, the office supports numerous efforts designed to assess and improve the level of quality across the spectrum of Michigan’s early learning and care settings.
Search this website for more information