This paper explores strategies for financing early care and education services for infants and toddlers that is delivered in market-based child care centers, defined as centers that rely primarily on revenue from tuition and fees paid by families or CCDF subsidies paid by government on behalf of a specific child. While the strategies described in this paper may in some cases have relevance for child care services delivered in family child care homes or in centers directly operated by Early Head Start/Head Start grantees or school districts, the intention is to focus on the unique needs of child care centers that rely primarily on market forces to generate revenue. These small businesses play an important role in state early care and education systems and pose unique challenges for policymakers who see to effectively finance infant and toddler care. (author abstract)