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A daycare contract is typically signed when parents hire daycare services for their children. Daycares are businesses that care for children while parents work or fulfill other obligations. Different types include 24-hour, center-based, gym, and home-based daycares. Infant and toddler care tends to be more expensive. Daycares are regulated by state child care administration offices, which enforce laws on building safety codes and adult-to-child ratios. Each daycare must hold a license and maintain good standing to be listed in the state daycare registry. Specific requirements vary by state to ensure compliance with regulations.