Introduction

Looking at the present condition of India the increased crime rate has raised the demand for the security in many areas. Nowadays, security is needed everywhere from schools, offices, banks, malls, colleges till the ministry level. There is no place in India which could work without the security.

At present, the security service sector in India is valued at about 40,000 crores and has over 15000 security services firms and it is extended to over 600 districts.

The rapid growth of this sector has grabbed many sights. People around the world want to tap into this sector and want to gain from it. Moreover, this sector has become the most lucrative career option for many youngsters and retired defense personnel too.

Therefore, this write – up will provide norms and procedure for all people out there who wish to open a security company. The composition will provide a step by step method.

1. Make a plan for your security company

The first thing which is very important to be done before starting any kind of business is to make a plan. A well-researched plan helps you to proceed with your idea with ease. The things which you need to care while preparing a plan is what type of security service you will provide, your business strategy and what ways to take for financing the business.  

However, you need to take extensive training of about six to eight months to nourish your skills in the area and to get the certification of eligibility from the government to commence company.

2. Registration of a Company 

Once the business plan is ready, the next natural step is to register your company in order to execute the plan. To run a security business, it is mandatory to register a private limited company or a Limited liability partnership (LLP). Hence, here are few important points which will guide you to start your own security company in India

• Nature of the company: The company should be registered as a private limited company or limited Liability partnership.  Where your need to purchase the business license for all your security arm. Furthermore, the company should obtain the GST registration as well.
   

• Documents required for registration: Following are the documents which you required while registering your company -

• PAN card
• ID proof  (Aadhar card, driving license) 
• Address proof (electricity bill, phone bill)
• Passport size photo

All the documents for submitting should be scanned. No hard copy is required. The details in the prescribed documents should be correct and true to your knowledge.

• Name of the company: Decide a unique name for your company, the name should not be too general and similar to any other existing company name. An also, the name should not be related to any reserved word like – Prime Minister, President.
   
• Capital Invested: After preparing all documents and filing of the name the next step is to decide the capital invested. There is no minimum capital criteria prescribed for registering the company, but you should have a handsome amount of capital in your pocket to pay the salaries of your guards and staff.
   
• Registered office: In the last, you have to set up an office which will register as a head office for your company. You can even open you're registered in your home too. All legal and professional documents from the government would address to that office.

3. Apply for PSARA License

Private Security Agencies Regulation Act 2005 in short known as PSARA license,  is issued to the private security companies involved in the activity of providing services of the security guard to organizations, corporations, malls etc. No person or company can commence their business without having the PSARA license under PSARA.

Hence, let us understand the process of PSARA license in India

• Eligibility: The first thing you should do is to check the eligibility test in India and apply for PSARA license in India. Here are few guidelines for the same;
  • No person or company should be convicted of an offence involving fraud or including undischarged insolvent.
     
  • No person or company should be convicted by any competent court for any offence where the  punishment of imprisonment is over 2 year.
     
  • No person or company should keep links with any organization which is banned by law on account of the activities which is against the security of the nation.
     
  • Disqualified by the government for involving in the activity of any misconduct. Any person or company not falling in the above-mentioned list is eligible for obtaining the license. A person from army, navy or air force having 3 years of experience are welcome with open-handed.

• Documents required for PSARA license: Once you have checked the eligibility for PSARA license, the next step is to gather all the required documents:

• Certificate of Incorporation of company or LLP
• Detailed armed License
• MOA & AOA of the partnership deed
• Affidavit as per PSARA act
• Ownership proof for a place of business
• Identity card for all employees
• Character certification of all employees
• Logo for a security agency

• Application for grant of license: The application for grant of License shall be made to the Controlling Authority in the form prescribed state wise, like the Delhi Private Security Agencies (regulation) rules, 2009 include a specific form to be filled accordingly.

The applicant shall submit an affidavit stating the information like name, address detail, or any previously opened security agency or any criminal cases pending against you.

• Accompanied Fees: Every application made to the government should accompany with a fee of:

• Five thousand rupees for the security company operating in one district of a state.
• Ten thousand rupees for the all the security company operating in more than one but up to five districts of the state.
• Twenty-five thousand for all the security company operating in the whole of the state.
• No security company can provide security service outside India without getting the permission from the central authority which will seek the permission from the central government .

Conclusion

We have explained you as how you can open security agency and hence, if you need any help for the same, kindly email us at info@hubco.in.

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