E.B.
I have run a successful in home daycare for 9 years now and I really enjoy it. The key is to remember that it is your job and not something you do between household stuff. The most frustrating days for me are when I think I need to something (laundry) while the kids are doing free play... never works = )
I find the hardest issue to be the parents and not the kids. It does take awhile to establish a good group of compatible kids, but it is worth it. The hard part is staying professional and not letting policies slide because you are their friends. Even the best of parents will take advantage of that and then you are the one in a bind.
If you are serious about providing child care, I would ask around to your local providers and ask if you can volunteer for a few days to try it on. I am sorry to hear how cut throat things are in S.L.M's area. I have not found it to be that way here in Colorado. Some of the best resources that I have for both new clients and information are other local providers. We call each other when we cannot help someone and refer them on to another provider that can possible help.
I think that there are pro's and con's to both an in-home center and a commercial center, but I prefer the quieter and more homey atmosphere of a good in-home center.