Learn these top 7 Lessons about PSARA License before You Start Security Agency

Security Agency
Dashmeet Kaur
| Updated: Dec 06, 2019 | Category: PSARA

The crime rate in India has gone too far, be it kidnapping, rapes, or, thievery; our nation has become unsafe in every way possible. The growing crime rate calls for some actions in the form of a security agency. Since one cannot always remain in the terror of any mishap, so it’s indispensable to take severe steps against it. If you wish to start a security agency, then you need to obtain a PSARA license.

As the procedure to obtain PSARA license is quite complex; therefore, you must learn some key aspects related to it. Hence, this blog will help you understand the essential things about PSARA license that will assist you in setting up a security agency company.


PSARA license is prerequisite that a person needs to acquire before starting a private security agency in India. The private security company is an entity that offers the services of security guards and acts as a perfect alternative to the police. The Private Security Agencies Regulation Act, 2005, regulates the everyday operations of all the private security agencies.

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Things to consider before starting a Private Security Agency

While determining the present day scenario of our menacing society, one cannot deny the urge of security services. However, stepping into the realm of security agency as a newbie is a daunting task. As the competition in the industry of security is very high, several Entrepreneurs fail to achieve success. The most common reason behind the failure is a lack of comprehensive research and knowledge.

One has to focus on the modern-day security needs of the masses and mould their strategies accordingly. Therefore, you should first have a thorough insight into the security domain and then apply for PASARA license. Even after procuring the license, a private security company has to compel the strict rules and regulations of the PASARA Act.

Here are some tips to ease your difficulty in the way of becoming a successful security agent:

1. Determine the security type– The foremost step to enter a security business is to select the category of services which you wish to offer. Don’t provide a wide range of services that requires ample amount of funds and resources. Pick the type of security business which fits well with your social and economic goals.

2. Choose an apt Business Model- Opting the right business model is also a crucial step that one has to undertake. You can either choose to acquire an established security agency and leverage the perks of its customer base and reputation or purchase a franchise.

3. Get PSARA license and other permits– Once you select a business model; it’s time to get the required permits and licenses. The most imperative license that you have to procure before indulging in a security business is PASARA license. Also, remember that each state has a variant set of rules and regulations. So, follow the additional conditions laid by your state.   

4. Make a unique Business Plan– Create a vision of your future endeavors. Write down a detailed description of your company, products &services, financial goals, and key responsibilities in advance. A good business plan will help you take the right path in tough situations. Further, it gives you a clear picture of the road-map that you need to follow to establish your company.

5. Design a spectacular company’s logo- A logo becomes the identity of business; thereby, it ascertains whether a customer will take an interest in your business or not. The logo gives authenticity to a brand and describes its functionality. It plays a vital role in forming the public image of a company. Thus, make sure that your security agency’s logo is unique and outstanding.

6. Create a website for your business– The existence of business gets nullified if it does not have a website. Nowadays, everyone relies upon the internet more than anything, so the best way to gain potential customers is to make an authentic website promoting your company.

7. Gather Funds- No business can run without having sufficient funds. Even the best business plan proves to be void if the Entrepreneur does not have enough capital to implement the plan. One must have an ample amount of money to start a private security company. Mostly, people find friends and relatives to be a reliable source for gathering funds, but in such cases, there is less degree of accomplishment. Hence, look for secure financial institutes like banks to borrow funds for your business.

Documents required for procuring PSARA License

Documentation is an essential part of getting PSARA license. Have a look at the documents that you must submit before opening a private security company:

  • The Certificate of your Company’s Incorporation;
  • Documents of security guards;
  • Signed MOA (Memorandum of Association) along with the training institute;
  • Residential proof of your registered office;
  • Identity proof of all the employees and directors;
  • An Affidavit obtained under PSARA;
  • PAN card of the promoters;
  • Registration attained from the service tax department;
  • The logo for your security agency;
  • A Certificate of registration under Shops & Establishment Act;
  • Provident Fund Registration;
  • ESI Registration
  • A Certificate obtained under the Contractual Labour Act;
  • Two passport size photographs of promoters;
  • Affidavit of the security training;
  • An Armed license;
  • ITR copy of all directors;
  • Character verification certificate for every employee.

Guidelines for Security Agencies under PSARA

The Private Security Agencies Regulation Act, 2005 has set some major compliance for all the security companies. If you strive to establish a private agency entity, then you must comply with these guidelines:

  • The proposed security agency shall provide specialized training to all the security guards with the needed skills;
  • As per the Act, if a candidate has three years of experience in defence, then the company should give him first priority over others;
  •  All the Private Security Agencies must hire and retain supervisors to administer the working of guards;
  •  Further, the PSAs much follow every qualification, disqualification, and criteria for the security guard as inscribed in the PSARA Act;
  • Lastly, the hired security guards must follow the uniform policy according to the Act.

Final Thought

Enrolling as the contributor of safeguarding the nation is a tremendous responsibility. Nonetheless, it is our principal duty to destroy the crime rate in India and make it a safer place to live. The only way to do so is by starting a security agency business. Therefore, clinch onto the opportunity to serve the nation and get PSARA license for your agency. In case you find the process much troublesome, feel free to contact us today. We hold 20 years old experience in serving millions of clients to get through in legal and financial matters.


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