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A daycare contract is typically signed when a parent hires daycare services for their child. Daycares serve as places for children while parents are at work or fulfilling other commitments. There are various types of daycares: 24-hour facilities for overnight care, center-based daycares where children are dropped off at a commercial location, and home-based daycares where children go to a residential setting. Costs can vary, with infant and toddler care often being more expensive. Daycares must comply with state regulations regarding safety, building codes, and the adult-to-child ratio. They must also hold a valid license and be registered with the state’s childcare administration office.