pros and cons of licensure

[mamamanda]

I am currently operating as a legally unlicensed child care provider. I can have quite a few children in my care in my state without needing to be licensed. I have spoken with my local licensing rep several times lately as I'm trying to decide whether to pursue that route or not. I don't believe I would take on enough children to require licensing even if I become licensed, but I'm wondering if it wouldn't be a better choice anyway. I've had several issues with parents lately and I always think it would be so nice to be able to just say, "State regulations require such and such," and be done with it instead of parents expecting all kinds of special for their little angels.

Dh is concerned that becoming licensed would be a nuisance as it would require more paperwork, inspections, etc. I see it as a plus because of more definite policies, clearer expectations, food plan, etc. I am getting ready to go on maternity leave so if I'm going to go this route I feel like this would be the time to do it. That way families can come back with new policies and procedures in place. Of course, even if I decide to remain as we are I am planning to write up a detailed handbook and clear policies to be implemented at children's return.

I guess I am just wondering from your experience, what are the positives or negatives of being licensed if child ratios are not an issue? Thanks in advance.

[Unregistered]

I would check out what route QRIS is taking in your state. Are you able to opt out (if you want to), or will you have to comply with that whole set of rules too?

[Annalee]

I am currently operating as a legally unlicensed child care provider. I can have quite a few children in my care in my state without needing to be licensed. I have spoken with my local licensing rep several times lately as I'm trying to decide whether to pursue that route or not. I don't believe I would take on enough children to require licensing even if I become licensed, but I'm wondering if it wouldn't be a better choice anyway. I've had several issues with parents lately and I always think it would be so nice to be able to just say, "State regulations require such and such," and be done with it instead of parents expecting all kinds of special for their little angels. Dh is concerned that becoming licensed would be a nuisance as it would require more paperwork, inspections, etc. I see it as a plus because of more definite policies, clearer expectations, food plan, etc. I am getting ready to go on maternity leave so if I'm going to go this route I feel like this would be the time to do it. That way families can come back with new policies and procedures in place. Of course, even if I decide to remain as we are I am planning to write up a detailed handbook and clear policies to be implemented at children's return. I guess I am just wondering from your experience, what are the positives or negatives of being licensed if child ratios are not an issue? Thanks in advance.

There are positives, in my opinion, to being licensed....i.e. state inspections which would prove providers are following rules if a client has an accusation, gives providers backbone with clients telling them this is how it has to be, etc....THAT BEING SAiD, if you aren't going to keep any more children than you are now, licensed family child care comes with an astronomical amount of paperwork/training hours, etc. and with where FCC is headed (QRIS), I am not sure I would get into licensing now. I am in TN and have been with QRIS since 2002 and, quite frankly, if I hadn't rolled with the change and am now 47, I would NOT start up a daycare now.... QRIS changes are in the law here and I expect it is a matter of time until these changes take place everywhere...Just consider all your options and decide what is best for YOU! Good luck!

[midaycare]

I like the extra protection being registered gives me - of course, I'm in a a state where you have to be registered.

Do you have extra insurance for your daycare in case you are sued? I'm not sure if you can do that when unregistered. If you can, that is a plus for being unregistered.

I also don't think I would get many children - even if unlicensed were an option - because parents want the tax deduction.

I think, too, around here the licensed providers get a better quality of parent to work with, rather than the one just looking for the cheapest rate. Because we do have illegal daycares here and parents who use them usually want low, low rates.

For me, I just really like being a business owner. I like having fancy business cards, and a website, and a logo - I've always wanted to own a business. I take pride in it and I actually looked forward to getting a FEIN number and license no.

Do you currently pay taxes? That is also a consideration. You will if you get licensed. For me, though, the risk of some parent suing me and losing my home was not worth me not being licensed.

Lots to think about!

[nanglgrl]

The pros of being registered (the only option in my state) are that CCRR can provide free items for your daycare (cribs, nap mats, first aid kits, fire extinguishers, smoke detectors), the grant money i get for being Childnet certified, the grant money i get for participating in QRS (at leat $500 every year), the small amount of reimbursement from the food program and the state TEACH program pays for 60% of my college tuition and textbooks.
The cons are the unannounced inspections because i hate people showing up unannounced, the paperwork and some of the regs lack common sense.
Truthfully if i wasn't going to college and having TEACH pay 60% of my tuition i wouldn't be registred. The aproximately $500 a year i get from Childnet and QRS isnt worth the hassle.
in my state a good amount of parents could care less about registration so that's also something to consider. if the majority of parents wanted a registered provider i woud probably be registered to stay competitive.

* sorry that i have no capital i's. when i try to capitalize them using my ipad it italisizes everything.

[Blackcat31]

I think for me it would depend on parent and client perceptions.

Do ALL interested clients ask about licensure? Are they concerned or not choosing you based on your unlicensed status?

If you feel being licensed would bring in more clients, then go for it.

If it makes no difference financially and you still get/keep clients then I wouldn't bother.

If you do plan on being in business for a long while, it would be a good idea to look into the QRIS movement in your state, like PP mentioned.

I truly believe it helps to stay ahead of the game sometimes.

[coolconfidentme]

I am in Indiana as well & my biggest drawback to licensing is the documentation & the disruption of a surprise inspection. An inspection will make the coolest cucumber nervous. Everything stops, you pull out your files & do an intense walk though. Sometimes I feel they seems to keep looking until they find something. They asked me to put a rail in front of my outdoor stage when no reg required it. Kids now do not get up there & sing like they use too, if doesn't have the same effect. I was sited once for my CPR not being current. It was 1 day past a year & my pediatric CPR is good for 2 years. There is no arguing these issue with licensing. My rep is forever telling me what a great DC I have too, . Some of the requirements are silly. I have to take a baby to the bathroom & wash there hands after a diaper change. No you cannot use baby-wipes instead. I spend my break time (naps) doing paperwork or review it, just in case of a surprise inspection. I have found the only people who care about licensing are those who are on state assistance & need it for free daycare. Those are the parents who cause the most problems btw. (That's a nightmare in itself.) Being unlicensed you can still have a policy & inform the DCP they are in violation of policy. You can also say this is also in compliance of state regulations as well. With that being said, the parents who violate your policy will still violate state regulations. I do get state referrals from the state & the food program helps with cost. They have surprise inspections as well & more frequently.

ps..., I am considering dropping my state license. It's a headache to me. I would still follow state regulation as far as training & certs. PM me if you want.

[Crazy8]

I am in Indiana as well & my biggest drawback to licensing is the documentation & the disruption of a surprise inspection. An inspection will make the coolest cucumber nervous. Everything stops, you pull out your files & do an intense walk though. Sometimes I feel they seems to keep looking until they find something. They asked me to put a rail in front of my outdoor stage when no reg required it. Kids now do not get up there & sing like they use too, if doesn't have the same effect. I was sited once for my CPR not being current. It was 1 day past a year & my pediatric CPR is good for 2 years. There is no arguing these issue with licensing. My rep is forever telling me what a great DC I have too, . Some of the requirements are silly. I have to take a baby to the bathroom & wash there hands after a diaper change. No you cannot use baby-wipes instead. I spend my break time (naps) doing paperwork or review it, just in case of a surprise inspection. I have found the only people who care about licensing are those who are on state assistance & need it for free daycare. Those are the parents who cause the most problems btw. (That's a nightmare in itself.) Being unlicensed you can still have a policy & inform the DCP they are in violation of policy. You can also say this is also in compliance of state regulations as well. With that being said, the parents who violate your policy will still violate state regulations. I do get state referrals from the state & the food program helps with cost. They have surprise inspections as well & more frequently.

ps..., I am considering dropping my state license. It's a headache to me. I would still follow state regulation as far as training & certs. PM me if you want.

I am not in your state but all of these are reasons I gave up my state registration. Only draw is parents have this (false) sense of security with it in my state.

[Josiegirl]

I've done child care for 30+ years, several of those years were unlicensed. I'd get registered then let it lapse. I finally registered in 2004 because my insurance company mandated it. My home is old enough to worry about lead issues so they required me to get licensed and have insurance, otherwise they were going to drop my coverage.
Looking back I'd have to say I prefer to be registered. I feel safer and supported. I've attended some great trainings. I've earned 3 STARS which is kind of a pain in the butt but I've also earned rewards for them. I get smaller rewards through the state. Anytime I have a question I just email or call my resource director and she's great. I'm on the food program which helps. I can take state subsidized kids which pays me more than I charge. Food program inspects 4x a year and she's super. Licensing comes in once every 2 years and that's okay. I feel they're there to offer help and make suggestions.
I'm not sure that my current dcfs would care one way or another if I was licensed or not but it makes me feel better.
By the way, we're allowed 2 dcfs, no matter how many kids they brought with them.

[mamamanda]

Thank you for all of the replies. That gives me a lot to think about. I haven't had any trouble finding dcf and my rates are pretty comparable to local licensed providers so I don't feel that being licensed would allow me to increase my rates at all. I have a background in education and offer a fun & educational preschool curriculum throughout the school year so I've found parents don't mind paying for the care. At this point I'm leaning toward just continuing as we are, but tightening up my rules and policies. I've never actually created a handbook for parents to sign and I think that has been the source of most of my problems. Most agreements have been word of mouth between parents and myself which leads to a whole lot of requests for special treatment. I've definitely decided to create a detailed handbook and have all parents sign a documented contract. I'm going to base my policies off of state regulations even though that's not necessarily required right now. Hopefully that will weed out a lot of the issues I've been struggling with. I do want to look into where QRIS is headed in our state though just so I'm aware. I will continue to mull it over, but that's what I'm thinking so far. Thanks again for the input!

[TwinKristi]

If I could watch 4 unrelated children without a license but still get the food program I would probably do that and not get licensed. It truly is a PITB and always wondering when they're gonna show up and if I crossed all my t's and dotted all my i's even if I'm providing exceptional care to the children. I operated legally unlicensed (license-exempt in CA) and watched 1 family at a time and participated in the food program the last 6 mos after I applied but before I was licensed.

[hope]

I am legally unlicensed but that doesn't mean I can follow any different set of rules. I let all parents know when they start that I absolutely have to still follow all the same rules and laws that licensed providers do. From what I understand, any parent can call the state and ask for me to be inspected at any time. I would assume that would be if they had a complaint, not sure. I never checked this to see if it is a fact.

You can stay legally unlicensed and still be strict with parents and blame regulations. Rules and laws should apply to all.

[Kelly]

I am legally unlicensed and can have up to 3 kids. I do have a FEIN, pay taxes on my income and the parents can claim the childcare deduction. I can and do accept state assistance, can get on the food program but currently am not. I have a handbook and contract and follow all state requirements just as if I was licensed. I have insurance on my daycare through my homeowner's insurance. I don't plan on having more than 3 kids right now so I just don't want to bother with the hassle of getting licensed at this time.