How to Start a Child Care Center or Home Daycare in Mississippi: MSDH Licensure and Registration

If you want to open a daycare in Mississippi, you deal with two separate systems. The first is business formation: you register your entity with the Secretary of State. The second is child care licensing: the Mississippi State Department of Health (MSDH) decides whether you may care for children. Mississippi has no state general business license, so the Secretary of State filing is a registration, not a license. The license that lets you operate a daycare comes from MSDH, and local governments may add their own requirements on top. This guide covers the steps in the order most operators find easiest, with the fees we could verify and the points you must confirm directly with the agency.

This article is informational content, not legal, tax, or child care licensing advice. Rules and fees change. Confirm every figure with the agency named before you sign a lease, buy equipment, or accept enrollment, and talk with a qualified attorney or CPA about your entity and tax setup.

Step 0: Decide whether you need a home license or a center license

Mississippi's Child Care Licensing Law (Miss. Code Ann. 43-20-1 et seq.) defines a child care facility as a place that provides shelter and personal care for six or more children under 13 who are not related to the operator within the third degree. Day care centers and preschools fall into that category. Homes caring for five or fewer children follow their own MSDH rule set, the childcare family home license under 15 Miss. Admin. Code 11-55, Chapter 3, as amended November 14, 2024.

The capacity line matters because it determines your application, fee schedule, and inspection path. Count only children who are not related to you within the third degree, and count every child in your care at one time, including your own children if the law counts them. If your plan sits near the line, call MSDH before you commit money to a lease or a business name, and get the answer in writing.

Materials and documents you will need

Gather these items before you start the paperwork. Many delays come from a missing document rather than from the agency itself.

• A legal business name, and a Certificate of Formation (Form F0100) for an LLC or Articles of Incorporation (Form F0001) for a corporation. Either filing costs $50.
• A registered agent with a physical Mississippi street address. A post office box cannot serve as your registered office.
• A signed lease or deed for the facility, and written confirmation from your city or county that the zoning allows child care at that address.
• A floor plan of the space, and a description of the outdoor play area if you plan to use one.
• Water and wastewater approvals for the building.
• An MSDH fire inspection (Form 333) and a fire safety walkthrough of the space.
• A payment method for the MSDH application fee and the license fee, and a budget for the fingerprint cards.
• A staff roster with background check paperwork for every adult who will work with children.
• CPR and first aid certificates for staff who need them under MSDH rules.

Step 1: Confirm zoning and local privilege licenses before you form anything

Start with the place, not the paperwork. Call the zoning office for the city, town, or village where the building sits, or the county planning office if the site is outside city limits. Ask whether child care is a permitted use in that zone, whether a conditional use permit is needed, and how long that process takes. A business name and an LLC do not give you the right to use a building for child care.

Mississippi has no state general business license. Instead, every city, town, and village issues its own privilege license under Miss. Code 27-17, and counties license only businesses outside municipalities. That means a daycare inside city limits deals with the city clerk, and a daycare outside them deals with the county. Ask the clerk whether your business category requires a privilege license and what it costs. Do not rely on amounts from third-party websites, because local schedules change and vary by city.

Step 2: Register your business entity with the Secretary of State

Most daycare owners form an LLC because it separates personal assets from business debts and is simple to maintain. A corporation works too, but the filing and reporting steps differ. Either way, the Mississippi Secretary of State, Business Services Division, handles the filing, and online filings through the Business Services online filing portal at corp.sos.ms.gov are usually approved immediately or within 24 hours when staff review is required.

For an LLC, the costs and rules are as follows:

• Certificate of Formation (Form F0100): $50 filing fee.
• Name: The name must include the words limited liability company or the abbreviation L.L.C. or LLC. It must be distinguishable on the Secretary of State records from other registered entities and reserved names.
• Name reservation: $25 for 180 days, if you need time to secure financing or a location before you file.
• Registered agent: Required at all times. The agent must be a Mississippi resident individual, or a qualified business entity, with a Mississippi street address. A commercial registered agent files a listing statement with the Secretary of State for $100 and must accept or decline your appointment within 14 days.
• Annual report (Form F0108): Due April 15 each year, filed online, with no fee. Failing to file can lead to administrative dissolution, which is an easy mistake to make in year two.

For a corporation, the Articles of Incorporation cost $50, and the Corporate Annual Report (Form F0008) costs $25 and is due April 15 each year for profit corporations.

Tax treatment also differs by entity. An LLC taxed as a partnership reports its income on the members' Mississippi returns. An LLC taxed as a corporation pays Mississippi corporate income tax and the franchise tax. The franchise tax applies to corporations, not to an LLC taxed as a partnership, and for tax year 2026 it is $0.50 per $1,000 of capital above $100,000 with a $25 minimum. It is scheduled for repeal effective January 1, 2028. Confirm your tax classification with a CPA before you file.

Step 3: File a fictitious name if you will operate under a different name

If your daycare will operate under a name other than the legal name of your LLC or corporation, such as a brand name on a sign, you need a fictitious (assumed) business name registration. The form is Form F0070, it costs $25, and it is filed with the Secretary of State, not the county chancery clerk. Filing it with the wrong office is a common error, and the Secretary of State fee schedule is the place to confirm current amounts.

Step 4: Register with the Department of Revenue if you need a tax permit

Whether a daycare needs a sales tax permit depends on whether you sell taxable goods, such as retail merchandise, and not on the child care service itself. If you do sell taxable items, the Department of Revenue sales tax permit is a tax registration, and there is no fee for it, although a bond may be required for applicants without a permanent Mississippi location. The state sales tax rate is 7%. There is no county add-on, and city levies apply only in Jackson and Tupelo. Use the Department of Revenue registration page to confirm whether your business needs the permit.

If you hire employees, Mississippi has no state minimum wage law, so the federal minimum wage applies. Payroll registration, withholding, and unemployment insurance setup are separate from MSDH licensing, so ask the Department of Revenue and a CPA how to set them up before your first payroll.

Step 5: Prepare the facility for inspection

Before MSDH inspects your space, you need approvals from several authorities. For home licensing, MSDH requires a fire inspection on Form 333, water and wastewater approvals, and zoning approval. Expect the same categories for a center, but ask MSDH which items apply to your capacity and building type. Plan these inspections early, because they often determine your opening date. Schedule the fire inspection and the water and wastewater reviews as soon as your floor plan is final, and keep written copies of every approval for your application file.

Step 6: Submit the MSDH application and pay the fees

Submit your application to MSDH child care licensing, and pay the fees that apply to your license type. The table below shows what we could verify. Fee schedules change, so treat each figure as a starting point to confirm with MSDH before you budget.

License or item	Fee	What to confirm with MSDH
Childcare family home license (five or fewer children), application	$130 application fee plus $50 license fee for the six-month temporary license	Annual renewal fee and the full license conditions after the temporary period
Child care center, application	$130 application fee	Current annual license fee schedule. The MSDH fee rule was amended January 1, 2020, and its fees are set by capacity, from $97.50 for 12 or fewer children up to $520 for 151 or more. Ask for the band that matches your capacity.
Fingerprint cards (center)	$50 per fingerprint card	How many cards each applicant and staff member needs

Budget for more than the application. Fire inspection, water and wastewater approvals, zoning, local privilege licenses, CPR and first aid training, and background checks each add cost, and most of them are paid to someone other than MSDH.

Step 7: Complete background checks and staff training

Every staff member who will work with children must pass an MSDH background check, which requires fingerprinting. Start this step the day you hire, not after your inspection, because clearances take time and an uncleared employee cannot work with children. Confirm with MSDH whether owners, household members, and other adults in the home need checks as well, since the answer differs for homes and centers.

Require CPR and first aid certification for the staff MSDH identifies, and keep copies of each certificate in the file MSDH reviews. Training records are one of the first things inspectors ask for, so store them in a single binder or secure folder.

Step 8: Move through the temporary license and inspections

For a family home, MSDH issues a six-month temporary license before a full license. Use that period to run your program under real conditions, keep your records current, and fix any deficiencies from inspection. Do not accept children beyond what your license allows, and do not start care before your license covers your enrollment. Ask MSDH in writing what your license permits on the day it is issued, including capacity, ages served, and hours.

Expect unannounced inspections once you are operating. An inspector who finds a missing fire form, an expired certificate, or a background check gap will write it up, so the best preparation is an organized file that you update each month.

Step 9: Calendar your renewals and reports

Put every recurring deadline on a shared calendar with two reminders each. For an LLC, that means the annual report due April 15 each year, which is filed online at no cost. For a corporation, add the $25 annual report due April 15 for profit corporations, or May 15 for nonprofit corporations. For your MSDH license, calendar the annual renewal and the date you must submit it, and confirm the current renewal fee with the agency. Missing one renewal can interrupt your operation, so set the reminder early.

Common mistakes to avoid

• Forming the entity before checking zoning. A registered LLC does not give you the right to use a building for child care, and you may pay for a name you cannot use at the address you chose.
• Treating the Secretary of State filing as your license. The filing is a registration. Your child care license comes from MSDH.
• Filing the fictitious name with the county. Under Mississippi practice, the $25 fictitious name registration is filed with the Secretary of State.
• Assuming a county privilege license covers a city address. Cities issue their own privilege licenses under Miss. Code 27-17, so the office you call depends on the address.
• Using outdated fee amounts. Many websites still show older fee schedules. Confirm the current amount with MSDH and the local clerk.
• Miscounting children. The six-child threshold depends on which children count, and relatives within the third degree are treated differently. Get MSDH's answer for your household before you advertise.
• Hiring before background checks clear. An uncleared staff member can stall your application and your opening date.
• Missing the April 15 LLC annual report. The filing is free but mandatory, and failing to file can lead to administrative dissolution.

Tips that save time and money

• Call MSDH child care licensing before you sign a lease. A short call can confirm whether your plan is a home or a center, which changes your whole budget.
• Ask the city clerk or county office for the privilege license requirement in writing, along with the current amount.
• Use free advising. The Mississippi Small Business Development Center Network, led by the University of Mississippi, has 19 locations statewide at https://www.mississippisbdc.org/. The SBA Mississippi district page at https://www.sba.gov/district/mississippi lists additional resources.
• Keep one binder with every approval, receipt, certificate, and inspection report. Inspectors and lenders both ask for them.
• Name the business after you confirm the name is distinguishable. Run the Secretary of State business search at https://corp.sos.ms.gov/corp/portal/c/page/corpBusinessIdSearch/portal.aspx before you order signs.

What results to expect

Results vary by location, building, and how complete your file is when you submit it. Owners who file a full application on the first attempt often find the entity portion moves quickly, because online Secretary of State filings are usually approved immediately, or within 24 hours when staff review is required. The MSDH side generally takes longer, and its timing depends on inspection scheduling, document completeness, and background check turnaround. Ask MSDH for its current processing timeline, and plan your opening date with a buffer rather than treating any single estimate as a guarantee.

Many operators also find that the real cost of opening sits in the building work, staffing, and insurance rather than in the state fees. Build a budget that covers those items, and keep a reserve for the months before enrollment is steady.

Official resources

• Mississippi Secretary of State, Business Services Division: https://www.sos.ms.gov/business-services
• Secretary of State online filing portal: https://corp.sos.ms.gov/corp/portal/c/page/corpnewfilings/portal.aspx
• Secretary of State business search: https://corp.sos.ms.gov/corp/portal/c/page/corpBusinessIdSearch/portal.aspx
• Mississippi Department of Revenue: https://www.dor.ms.gov/
• Sales and use tax registration information: https://www.dor.ms.gov/business/sales-use-tax/registration-information-sales-and-use-tax-applicants
• Mississippi State Department of Health, child care licensing: msdh.ms.gov (locate the child care licensing page and confirm current forms and fees there)
• Mississippi Small Business Development Center Network: https://www.mississippisbdc.org/
• SBA Mississippi district: https://www.sba.gov/district/mississippi

Get professional help for complex situations

A daycare touches zoning, licensing, employment, insurance, and tax law at the same time, and mistakes in one area can stall the others. If you are buying or leasing a building, hiring a team, or choosing between an LLC and a corporation, consult a qualified Mississippi attorney. If you are unsure how your entity will be taxed or how to handle payroll, consult a CPA. Use this guide to know which questions to ask, then get answers in writing from the agency or professional who is responsible for each one.