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A daycare contract is signed when parents hire daycare services for their children. Daycares are businesses that provide care while parents work or have obligations. There are various types of daycare: 24-hour, center-based (commercial locations), gym-based (for parents while they work out), and home-based (residential settings). Infant and toddler care is often more expensive. Daycares are regulated by each state's child care administration, with specific laws regarding building and safety codes, and adult-to-child ratios. All daycares must be licensed and listed in their state's daycare registry to be in compliance with these regulations.