Are you experienced in the security industry? Are you naturally protective of people and their properties? Are you passionate about the safety and security of individuals and properties in your community? If yes, then you may have what it takes to start a security company, and this video is for you. Owning a security company is a desirable business, and this is because, many companies and individuals are willing to secure their lives, properties, staff, information, and interests safely from vicious acts like robbery, cybercrime, mutilation, terrorism and more. The rate of crimes globally increases daily as businesses, startups and construction projects are increasing, thereby, increasing security consciousness.
What is required to set up a security company?
The most important thing you need is to plan your business. This involves choosing a security service to offer (i.e. a niche in the security industry to stick to). This could be either a private security business such as home security & CCTV monitoring services, body guarding, parking security, stationary guard services, patrolling services, crisis management consulting, or cybersecurity. Then you need to determine your specific business needs and costs.
How much does it cost to start a security company?
A security company is a low-cost business startup. To start a security company you will need around $7,500 in startup capital for insurance, leased office for 6 months, licensing and legal documentation, equipment, marketing and website development, and emergency fund, according to SecurityOfficerHQ. The cost of office space can be overlooked, depending on if the state requires a physical office space or not. A shared office space is the best way to save costs, and this costs between $100-$1,000 per month, depending on the city and state you live in. The location, type of security business you run, and size determines the cost of licensing and legal registration.
Acquiring basic equipment and uniforms costs also varies based on the experience of owners, intended plans to use armed or unarmed guards, etc. Typically, uniforms cost about $100 per guard or officer. Furthermore, hiring, training and certification usually costs about $13,000-$16,000 at the start of their career. Marketing, website designing, and maintenance costs would be between $1,500-$3,000 annually. The cost of insurance is the biggest cost to encounter in a security business. It is usually called general liability insurance.
How much does general liability insurance cost for a new security company?
No security company can operate without general liability insurance. This insurance cost varies from state to state. Typically, it will cost anywhere between $3,000-$6,000 per year. This insurance is set to protect your security company, clients and staff from theft, assault & battery, errors and omissions, custody and control, and punitive damages, etc. Although the security industry may not be a glamorous business to venture in, it has been growing rapidly over the past few years and it has been proven overtime to be very lucrative. If you’re ready to get started, reach out to the business planning and funding experts at QT Business Solutions to learn more.