How to start a preschool in Tennessee

Aspiring preschool founders in Tennessee will navigate the licensing process through the Tennessee Department of Human Services (TDHS) Child Care Services. The TDHS is dedicated to ensuring early childhood environments are safe, healthy, and conducive to development. Obtaining proper licensure is not merely a formality; it is a legal requirement for any individual or entity providing care and supervision to five or more unrelated children for three or more hours per day, unless specifically exempt. Operating without the necessary license is a Class A misdemeanor criminal offense, subject to investigation, potential restraining orders, and legal penalties. This guide provides a comprehensive overview of the regulations, costs, timeline, and funding opportunities specific to opening a child care agency in Tennessee. Understanding these requirements from the outset will streamline your journey to providing quality early learning experiences. The TDHS conducts regular monitoring visits, both announced and unannounced, to ensure compliance, underscoring the importance of adhering to all established rules and regulations. By familiarising yourself with the information provided, you can lay a strong foundation for a compliant and successful child care operation in the state.

Regulations

Health safety: Health and safety are paramount, with rules designed to maintain adequate health, safety, and supervision. Child care agencies must adhere to specific regulations covering 'Food and Food Service' (1240-04-01-.13), 'Health and Safety' (1240-04-01-.12), and 'Emergency Preparedness' (1240-04-01-.18). Agencies are mandated to report suspected child abuse and neglect, aligning with the duty outlined in Rule 1240-04-01-.10. Furthermore, 'Incident Reporting' (1240-04-01-.09) is a distinct requirement, ensuring that all significant events are documented and addressed appropriately. Immunisation policies and illness exclusion criteria are generally covered under comprehensive health and safety regulations for child care agencies to prevent the spread of communicable diseases.

Licensing overview: Licensing in Tennessee is primarily for the protection of children, ensuring they are in safe, healthy, and educationally rich environments. The Tennessee Department of Human Services (TDHS) is the vigilant authority. Licensure is required for any child care agency providing supervision and protection to five or more unrelated children for three or more hours per day. The application process involves ten steps, which can be reviewed on the TDHS website. Once licensed, child care agencies receive a minimum of four monitoring visits per year: two announced and two unannounced. These visits assure ongoing compliance with licensing requirements. Agencies are also subject to investigations in response to complaints.

Licensing authority: Tennessee Department of Human Services, Child Care Services

Staff qualifications: Specific staff qualification details for lead teachers and assistants are not fully detailed in the provided sources, however, it is a general requirement across jurisdictions that all staff undergo thorough criminal background checks and state registry/records reviews. Ongoing training related to health and safety precautions, as well as the detection and reporting of child abuse and neglect, is fundamental for all child care personnel. For Drop-In Child Care Centers, training requirements are specifically limited to basic health and safety precautions and child abuse and neglect reporting. Directors of Child Care Centers are the on-site staff responsible for the overall operation, implying a need for leadership and management qualifications, though specific credentials like a Child Development Associate (CDA) are mentioned as recognized for early childhood education.

Facility requirements: The provided sources indicate that child care agencies must adhere to physical facility requirements, though specific details such as square footage per child, outdoor space mandates, and precise fire/safety code regulations are not explicitly outlined. However, the comprehensive 'LICENSURE RULES FOR CHILD CARE AGENCIES CHAPTER 1240-04-01' includes sections on 'Physical Facilities' (1240-04-01-.16) and 'Equipment for Children' (1240-04-01-.14). This implies that detailed standards exist within the full regulatory document concerning the physical environment and resources provided to children. General requirements in such rules typically cover aspects like adequate space, ventilation, lighting, and safety measures to ensure a secure and healthy setting for children.

Curriculum requirements: Tennessee's licensing rules aim to promote developmentally appropriate practices that enhance early learning. While a specific mandated curriculum framework like EYFS or NQF is not explicitly named in the provided sources, the 'LICENSURE RULES FOR CHILD CARE AGENCIES CHAPTER 1240-04-01' includes a section on 'Program, Language, and Literacy Development' (1240-04-01-.15) and defines 'Curriculum' as a planned program of activities and experiences that promotes learning and social and emotional development. This indicates an expectation for child care agencies to implement a structured program of activities and experiences aligned with children's developmental stages, fostering learning and social-emotional growth, and incorporating language and literacy development.

Startup costs

Startup costs can fluctuate significantly based on the chosen child care agency type in Tennessee. A home-based Family Child Care Home will naturally incur lower initial expenses, primarily related to minor renovations, safety equipment, and initial supplies. Conversely, establishing a large, purpose-built Child Care Center for 60-100 children involves substantial investment in property acquisition or long-term lease, extensive construction or fit-out, specialised educational equipment, and higher initial staffing costs. Monthly operating costs similarly vary, influenced by rent/mortgage, staffing levels, utilities, and the scale of the programme offered.

Timeline

1. Review Licensing Rules and Types (2-4 weeks): Aspiring providers in Tennessee must first thoroughly review the 'Child Care Rules and Regulations' and understand the 'Types of Licensed Child Care' offered by the Tennessee Department of Human Services (TDHS). This crucial initial step involves familiarising oneself with Chapter 1240-04-01 of the Department of Human Services' rules, which outlines the comprehensive requirements for licensure. Understanding whether your proposed operation fits the definition of a Family Child Care Home, Group Child Care Home, Child Care Center, or Drop-In Child Care Center is fundamental before proceeding with the application.

2. Pre-Licensure Preparation (4-8 weeks): Before formally applying, prospective child care providers should engage in pre-licensure activities. This includes identifying a suitable location that can meet facility requirements, developing a comprehensive business plan, and outlining the proposed curriculum and programme. While specific details on this phase are not extensively provided in the sources, it is a general best practice informed by the 'Procedures for Becoming a Licensed Child Care Agency' to ensure all operational and regulatory aspects are considered, and potential issues addressed, prior to submission.

3. Submit Application for Licensure (Variable): The formal application for a child care agency license is submitted to the Tennessee Department of Human Services (TDHS) Child Care Services. The TDHS website outlines 'ten (10) steps to becoming a licensed child care provider,' which includes the application submission process. This step requires the applicant, who is the owner or the owner’s authorized representative, to sign the application. It is important to ensure all required documentation, including those related to staff background checks and facility plans, are complete and accurate to avoid delays. An incomplete application may be subject to administrative closure after notification of deficiencies.

4. Undergo Monitoring Visits and Inspections (Ongoing after provisional license): Once an application is in process, or upon receiving a provisional license, the child care agency will be subject to monitoring visits by the Tennessee Department of Human Services (TDHS) Child Care Services. These visits ensure compliance with licensing requirements. A minimum of four monitoring visits per year are conducted, with two being announced and two unannounced. Additionally, agencies can be investigated in response to complaints. New agencies typically receive a ‘Continuous License’ after successfully completing a provisional licensure period and demonstrating consistent compliance with all regulations.

5. Obtain Continuous License (After provisional period): Upon demonstrating consistent compliance with all licensing laws and regulations throughout the provisional licensure period, a child care agency will be issued a Continuous License by the Tennessee Department of Human Services. This signifies that the agency has met the necessary standards for operation and is committed to maintaining them. Child care agencies are required to conspicuously post their license and QRIS score card where parents can easily view them, ensuring transparency and accountability in their operations.

6. Ongoing Compliance & Monitoring (Continuous): After receiving a continuous license, child care agencies in Tennessee are subject to ongoing monitoring by the Department of Human Services. This includes a minimum of four visits per year, two announced and two unannounced, to ensure adherence to all health, safety, and programmatic regulations. Agencies must stay current with any rule changes, such as the '2026 Child Care Licensure Rules', and maintain accurate records as per Rule 1240-04-01-.08. Continuous compliance is essential to avoid potential complaints, investigations, and legal enforcement actions.

Next steps: explore the IPC curriculum, read about preschool enrollment, or browse all start-a-preschool guides.

Frequently asked questions

Who regulates child care agencies in Tennessee?
The Tennessee Department of Human Services (TDHS) Child Care Services is the primary regulatory authority for all child care agencies in the state. Their role is to ensure the protection of children by establishing and enforcing minimum requirements for safe, healthy, and educationally rich environments. The TDHS conducts regular monitoring visits and investigates complaints to ensure continuous compliance with licensing rules and regulations. All official rules and regulations are accessible via the Secretary of State's website, as referenced by the TDHS.
What types of child care require a license in Tennessee?
In Tennessee, a license is required for any 'child care agency' providing supervision and protection to five or more children who are not related to the primary educator for three or more hours per day. This includes 'Family Child Care Homes,' 'Group Child Care Homes,' 'Child Care Centers,' and 'Drop-In Child Care Centers.' Operating such an agency without the required license, and not meeting criteria for an exempt status, is a Class A misdemeanor criminal offense, subject to legal action by the Tennessee Department of Human Services.
How often are licensed child care agencies inspected in Tennessee?
Licensed child care agencies in Tennessee receive a minimum of four monitoring visits per year from the Tennessee Department of Human Services (TDHS). Two of these visits are announced, allowing the agency to prepare, while the other two are unannounced. These visits utilise an Observation Tool to ensure ongoing compliance with licensing requirements. Additionally, the TDHS investigates child care agencies in response to any complaints received, further ensuring that providers maintain appropriate standards for child welfare.
Are there any exemptions to child care licensing in Tennessee?
Yes, the Tennessee Department of Human Services (TDHS) outlines several exemptions to child care licensing, with recent changes effective July 1, 2025. New categories include Gym Care, Tennessee Professional Sporting Events, Parent’s Night Out or “special events,” and YMCA school-age programs in good standing. Updates to existing categories expand camp programs, allow 12 hours per week for Parent’s Day Out, and clarify educational, recreational, and nursery/babysitting exemptions for Houses of Worship. Some exempt programs, like Educational, Parent’s Day Out, and Camps, are required to register with the TDHS, while others, such as Boys and Girls Clubs and Houses of Worship, are automatically exempt and do not need to register. A full list and criteria can be viewed on the DHS website.
Where can I report suspected child care violations in Tennessee?
To report suspected licensing violations or potentially illegal child care operations in Tennessee, you should contact the Child Care Complaint Hotline directly at +1-800-462-8261. You can also email your information to ChildCareHotline.DHS@tn.gov. For suspected abuse, neglect, or exploitation of a child, the Department of Children’s Services Hotline should be contacted at +1-877-237-0004, or a report can be made online via the tn.gov website. The Tennessee Department of Human Services takes all reports seriously and investigates to ensure child safety and welfare.
What is the Child Care Certificate Program in Tennessee?
The Child Care Certificate Program is a funding initiative managed by the Tennessee Department of Human Services (TDHS) to assist working families with child care costs, also known as Smart Steps Child Care Payment Assistance. Child care providers interested in offering services through this program are encouraged to visit the TDHS recruitment webpage for more information on becoming a participating provider. This program utilises federal funds to support child care solutions that benefit both families and child care providers, aiming to promote quality care across Tennessee.