The acts of criminal activities are reaching heights and with the rise in crime rate, the demand for private security agencies are also on top. This has also become the opportunity to explore by the entrepreneurs and people now has started spreading their business in the areas of private security agency. As the number of businesses in this field has also got an increase but they need to know about the licenses and the permission as well for the smooth functioning.
The private security agency business is governed by PASARA Act, 2005 and the one who is looking to start this business must obtain PASARA license.
As per PASARA Act,2005, Private security agencies involved in providing security services including training of security guards shall obtain PASARA license. After obtaining the license, the licensee shall commence operations within six months of obtaining license.
Appointment of Controlling authority by State Government
Issuance of PASARA license is a State matter as the rules is different for different states. The PASARA Act allows the State Government to appoint an officer not below the rank of Joint Secretary in the Home Department of the State.
Validity of the License
The validity of PASARA license is 5 years and can be further renewed for next 5 years on payment of the prescribed fee.
Prescribed fee for obtaining PASARA license
- Private security agency operating in one district: Rs.5000/-
- Private security agency operating in one to five districts: Rs.10000/-
- Private security agency operating in entire state: Rs.25000/-
PASARA License Process
All the documents mentioned above need to be submitted to the concerned authority along with the prescribed fee. After getting the application submitted the concerned authority is required to dispose off the application with in 60 days.
Documents Required for PASARA License-
- Allotment of PAN
- Registration with service tax department
- Provident fund (PF) Registration
- Employees State Insurance(ESI) Registration
- Registration of establishment under Shops & Establishment
- Registration under Contractual labour Act
- All Below documents should to be in proper format and shall have to be notarised
- Affidavit as per PASARA Act.
- Affidavit of security training
- Ownership proof for principal place of business
- Logo for the security agency
- Identity card for all employees. Tie ups for different yearly compliances
- Detailed armed licenses
- Character verification certificate for the employees
- Uniform Pattern
Advantage of PASARA License-
Business Credibility: Security is a very serious matter and trust can only be upon those who has permission from the Government and obtaining license can increase your credibility in the market at very early stage of your business.
Smooth Functioning: PASARA license allows the Private Security Agencies to function smoothly as after obtaining it a business don’t need to obtain the same for 5 years.