PSARA License In India

Overview of PSARA License 

In today’s era, every person wishes to start his own business, and therefore, there is a need to safeguard and protect such businesses. For this purpose, a number of Private Security Agencies (PSAs) have registered to provide security to small businesses. These agencies provide security guards, both armed and unarmed for protection. By offering services including patrol services, parking security, guard dogs, and bodyguards, PSA contributes to global security.

Private security firms can offer protection to both public and private enterprises, eateries, lodging facilities, housing associations, individual residences, and so on. The Private Security Agencies Regulation Act of 2005 (PSARA) governs the registration and regulation of PSAs. Moreover, it is important for every PSA to get a PSARA before starting its business operations in India. No PSA is allowed to send its guards to any organization or business office without first getting this license

What is PSARA Act?

Private security agencies are organizations that provide security services, which include security guard training. The Private Security Agencies Regulation Act, 2005, or simply PSARA, governs the operation of private security agencies. To put it simply, private security agencies cannot operate or provide security without a license. 

The public’s interest in private security administrations has gradually increased as they want to keep their assets protected, which has led to the expansion of these organizations. The legislature has protected private security administrations by enacting the Private Security Agencies Regulation Act, of 2005.

Benefits of obtaining a PSARA License

The benefits of obtaining a PSARA license are listed below: 

• A PSARA-licensed organization gives the agency additional authority and draws in more clients.
• The business having a PSARA license can safeguard the rights of its clients and provide security services to the customers
• The credibility and worth of the agencies increase when they take a PSARA license as this is a license issued by a governmental agency. 
• This license acts as an assurance for the PSAs that their agency is legal and complies with all the legal requirements. This also helps customers trust the services of licensed agencies. 

Who can register for a PSARA License?

Any of the following business entities can work as a private security agency by getting a PSARA license under the Public Security Agencies Regulation Act, 2005: 

• Private Limited Company
• Limited Liability Partnership Firm
• One Person Company
• Association of Persons
• Sole Proprietorship
• Partnership Firm

Eligibility for obtaining a PSARA License

In order to apply for a PSARA license, the following conditions must be met:

• The entity applying for a PSARA license must be an LLP, sole proprietorship, private limited company, partnership, etc. 
• To be a director or principal office of the organization, the person must be an Indian citizen, who has attained the age of 18 years or more. 
• The director must have enough financial resources so that he can easily bear the expenses of the organization. 
• The application must not have been convicted and shall have a clear record. 
• The security agent must also be an Indian citizen between the age group of 18 to 65 years.
• The security personnel must possess previous training, must fulfil all the physical requirements, and shall provide a conduct certificate that signifies his conduct and behavior. 

Documents required for obtaining the PSARA License

The following documents will be required while filing an application for obtaining the PSARA License: 

• PAN card of the applicant
• GST number of the organisation
• ESI Registration (Employees State Insurance)
• Registration under the Labour Act
• Documents establishing that the entity has been registered under the Shops & Establishment Act
• Proof of MSME/ SME Registration
• Security training certificate.
• Business address proof
• Employee’s details and identity cards
• Agency’s logo
• License for using Arms 
• Character certificate of employees
• Training certificate for employees
• Duly signed MOA with the institute that provides training
• Passport size Photograph of the employees in uniform

Note: All the documents must be notarized except the affidavit as it has to be attested by the executive magistrate. 

The PSARA license must be obtained to conduct business lawfully anywhere in India. If you’re unsure about the application procedure for a PSARA license, this is a clear and concise step-by-step guide that can help you. By following these steps, you will easily get a PSARA License online while complying with the requirements of PSARA, 2005.

Gather the necessary Documents

Depending on the kind of application, make sure all necessary documents are accurate and complete (e.g., business, LLP, partnership firm). Collect the required documentation that we have just discussed for an easy registration process. 

To prevent inconsistencies, the documentation related to the different registrations and the details of applicants and directors must be transparent. Upon obtaining the necessary documentation, you can complete the application process online. For conducting all the process via online means, the e-signing facility will be required. 

Signing MOU with the Training Institute

A Memorandum of Understanding should be signed with a reputable security training provider. It will be the responsibility of this institute to train supervisors and guards. For this reason, training facilities have been approved by each state. Our experts will help you in selecting the best training institute in your state. 

Submission of Application

Submit an application for a PSARA license with the state regulating authority where the business operates or will be operating its functions. Please note, that you won’t get a central license to perform your operations anywhere in the country. Consequently, each state requires the submission of a separate application.

Verification of the application

After submitting the application, the company’s background is checked and the verification process of the directors is conducted. The jurisdictional Controlling Authority and the local police are involved in the verification process.

Issue of PSARA License 

The Controlling Authority grants the PSARA License after the complete verification of the supporting documentation and directors. An in-person interview with the application may be necessary in some circumstances.

PSARA License Fees

The government fee for getting a PSARA License is an importent part of the total application cost. Here is the various government fee structure:

• For applying to 1 district, the fee is Rs 5,000.
• For applying to up to 5 districts, the fee is Rs 10,000.
• For applying to more than 5 districts or for an entire state, the fee is Rs 25,000.

PSARA Regulations for Private Security Agencies

The regulations provide that when the PSARA license is granted, a number of enforcement requirements must be fulfilled. These are listed below:

• It is expected by all security companies to choose and hire supervisors to look after the work of security guards that have been hired by the agency.
• Such a security organization must provide its employees with the necessary instruction and knowledge.
• Ex-defence personnel with three years of experience should be given preference over others.
• The PSARA has explicitly established the requirements, eligibility, and disqualification for a security guard that must be adhered to.
• The Act safeguards the candidates’ eyesight, health, and uniform who are appointed as security guards.

Disqualifications for PSARA License

Under the following circumstances, the applicant will be disqualified from applying for the PSARA license:

• If an individual is found guilty of a crime related to any fraud or wrongdoing against them in connection with a business, including a debtor
• If a person is found guilty by a competent court and given a minimum two-year jail sentence.
• Any individual who maintains contact with any organization that the law forbids due to its potentially dangerous activities for public order or national security, or in situations where specific information about that individual is available to act in a way that could be dangerous for those purposes.
• Any such individual has already experienced a dismissal or expulsion from the public sector due to wrongdoing.
• Any entity that is not an Indian citizen, is not registered in India, or has a majority shareholder, partner, or director who is located outside of the country.

Timeline for getting the PSARA License Online

The time required for obtaining a PSARA license is solely determined by the state agency to whom the application is submitted and how quickly it handles applications. Generally, from the date on which the application is filled, the authorities grant the license within 60 days.