Can you name one place that doesn’t have a security guard? These are rare places, most of the places around the world require protection. You would wonder what about the police? Yes, they are already protecting us, but they can’t be everywhere. Security guard service is demanded in most of the places.
Increasing safety issues in India have called for better security services. You have abundant services out there. But are they meeting the increasing demand? No, they don’t. You need to figure out how you can fill this gap.
The complete process of identifying a unique point to licensing to marketing, we are here to guide you. Just pen down the process and use it as your go-to plan.
- 0.1 Here is a 12 step guide that lists out all the details to start a successful security guard company in India.
- 1 Design a Business Plan.
- 2 Research Your Market.
- 3 Overall Investment.
- 4 Attracting the First Customer.
- 5 Pricing.
- 6 Profit Margin.
- 7 Expansion Of Business.
- 8 Brand Name and Logo.
- 9 Choice of the Legal Structure.
- 10 Legal Needs.
- 11 Recruiting.
- 12 Workers Insurance.
- 13 Marketing.
- 14 Conclusion.
Here is a 12 step guide that lists out all the details to start a successful security guard company in India.
Design a Business Plan.
A business plan supports you at every stage. While starting a security guard company, you need to identify what kind of market you will target. Preparing a market research plan helps you out. Then, what kind of staff and services you will offer. A plan will define every goal of the security guard company
How detailed your business plan is, decides your success. It means that all aspects you are covering, and too much detailed business plan means you are not missing out on anything. Don’t be scared if you are a newbie. We are there for you, read the steps and you are good to go.
Research Your Market.
The market is huge for a security guard company. You may not know but finding your market is important to target a specific client. You cant approach a hotel for providing a day duty security guard. They have parties at nights and they mainly need night duty guards.
Choose wisely those areas which you think have great potential in the market and customers are willing to pay for those. A guard is also provided at the locality but they don’t change it often, whereas schools need multiple shifts of guards.
You would wonder then what are the market niche to choose from. Here is a list of the areas where you can begin, further you can expand services in a different area too.
- Public building guards
- Transportation security screeners
- Government bodyguards
- Residential buildings
- Construction companies
- Industrial companies
- Hotels and restaurants
You need to consider that there two kinds of guards. It is day duty guards and night duty guards. According to the suitability of the market niche, you should choose the kind of guards. Provide skilled guards by using the specifications of the clients.
Let us first know what will be the overall investment required for a security guard company. It will help you to budget the expenditure and estimate future returns.
Answer this, Are you offering residential or commercial or both services?
Depending on the services that your company will offer, the number of investments will differ. The large part of the investment will be incurred on the insurance cost. The overall investment will be between 10 lakhs to 30 lakhs for a commercial security guard provider while for a residential security guard service company incurs 5 lakhs to 15 lakhs of the initial investment.l
Attracting the First Customer.
The first customer of any company is of huge importance. How you spread the word to get more clients depends on the very first service you provide. Your services are the differentiator from competitors.
Here is a list of techniques that will guide you to attract first customers.
Inaugurate Your Company
The first and foremost way of getting your name on the streets is the inauguration. Once you are visible to people, they will naturally give you a chance of providing services. You need to think out of the box and maintain good services.
Creation Of A Unique Services
Why any client requires your service if they are the same as what is provided already. The additional value that you are creating as a service provider makes you a recognized brand. You should let your customers know, in which market niche you provide services.
There is a vast scope in a security guard company. You can provide additional services to the customers such as background checks, guards with customized needs of clients, etc. This will help to make your services different from others.
Prices of the services that you provide depend upon the kind of manpower you are providing. After you have researched the market, you already know what kind of prices are out there.
- Don’t set up the prices that are very high or very low in comparison to your competitors.
- Don’t forget your customers, you must know what they will pay for you. Their budget is your budget. You can get more from them but at the initial stage focus on quality.
- Your pricing should be worth the value you provide. An example, Security guards at a colony are less experienced than those at malls, so you can charge higher while providing manpower at a mall.
- Review the prices you have set every six months. It can help to change the market conditions.
- There are various other factors that can affect the prices, such as salaries you are providing can be increased at some point in time. You must provide clients with affordable prices.
What is a business started for? Profit is the main aim of the business. Deciding on the profit margin is the most crucial factor of the business. Once you have set the prices of the services you are providing. You must know what profit margin you can get.
To calculate the profit margins, The first step is to know the cost at which you are getting those services. Don’t forget to include marketing costs, the maintenance costs of manpower, salaries, electricity bills, and transportation cost. Insurance cost is a huge factor here, do include that too.
After knowing the cost of services and the prices of services. Subtract them and you will get the amount which is the profit in value. Now calculate your profit percentage by dividing profit with costs and multiply with a hundred.
The profit margin should be changed according to market conditions.
Expansion Of Business.
Once your business is settled, now it is important to keep improving. How do you improve services? How do you improve your business experience? How to expand the business? How to increase the targeted market? These questions are answered here. You can understand the process of growing your business from a small scale to large scale business.
The main factor is your services for which customer pays. Those services should be expanded in a period of time, to ensure that you reach maximum customers. If you have started as a provider of commercial guards provider then start fro providing security guards at the event. If you are already providing at residential houses then go for public places to provide security guards.
Build connections at events. That event which you find boring is the most appropriate place to get new clients and even new candidates. These events will give you an opportunity to grow.
Measuring And Improving.
Measure the level of services you are providing. It is time to move forward from them. You should now be aware of your competitors. Upgrade yourself with the technological advancements. These will help you to provide quality services. Make sure you provide something added to those services which are provided by the competitor. It will be only possible if you are always improving your services.
From the above point, you would wonder how to improve services every time. The feedback of customers always helps. Proper ratings for your work will help you to know if it is best or not. A suggestion column should be strictly followed n your company. Don’t follow the rule, always giving feedback forms to customers, extend this rule. Give feedback forms to employees as well.
Brand Name and Logo.
Decide on the name and logo of the security guard company. It helps to stand out in the marketer. There are various aspects that need to be looked at while deciding on the unique feature of your service.
Consider These Tips :
Tip#1 Your business must be described in the logo.
Tip#2 Maintain a unique style that is not common in the market
Tip#3 Logo should be customized according to the services you are providing.
Tip#4 You can consider online logo making websites to get suggestions.
Tip#5 Use high-quality images for the loge.
Tip#6 You can create business cards with the logo and preview it before printing out.
Tip#7 The name of the brand should not be copied.
Tip#8 Create a name that is short, simple and catchy.
Choice of the Legal Structure.
A business should be registered under the laws of the government. To register a business, the first step is to know the legal structure of the business. According to the legal structure, you can move ahead.
Basically there are three kinds of legal structure:
- Sole proprietorship
- Corporate company
Most security guard companies form a company to have a balanced legal structure. You will have a large number of employees base, so it is essential to form a company.
A security guard company has some specific licenses that are needed to be applied and granted by the government. If you are not up to the mark then it can shut your company even at the start.
Go through the below licenses.
PSARA License: It is the most important licensing required by a security guard company. You can directly apply to the website online.
Training Licenses: All the manpower you are providing to your clients must have training licenses. These can be issued from a recognized organization.
Fire alarm License: It is mandatory to have fire alarms and its license. You can get the license directly online.
Business Registration: After deciding about the kind of legal structure that you choose. The business must be registered under the laws of the government.
At a security guard company, who are your employees? The manpower that you provide to the clients is your employees. These are those employees who will create an image for your company. Selecting, training and providing them to the clients is an important part. If you are missing out even a single thing, Then you are ready to fail
Follow the whole process while recruiting security guards.
Post for positions: Now this is entirely your choice whether to post online or offline for the vacancy of the job. Nowadays every job position is quickly filled if posted online. Consider naukri.com. With this, you are ready to have a number of applications to choose from.
Application For Job: Provide the basic details of the job on the posting. Give them your contact details to apply. Also, you have the opportunity to give an option of filling appropriate knowledge, if they have. This way you are calling only those applicants who are suitable for the job.
Qualifications: Check their qualifications, they may say they know English. But is the reality it might not be the case. Whereas a mall security guard needs to know basic English.
Call For Interview: After you are done with the online procedure, you are ready to start with face to face conversation. It is very important to know them personally. Once you settle the conversation by talking to them, you can go further.
Background and Medical Check: You may know a person by face, but to know them personally requires some work. You can call their references and know about them. You can get the adhaar cards to know their identity. You can even check their medical and criminal records.
Selection: It is time to select them, once you know them and verified their credentials you can select. You should only choose those candidates whom you can rely upon.
Training: It is important that the candidates know their roles and duties. They should be familiar with the organizations, they are working in. After basic training procedures, they are ready for the job.
Manpower providing services should ensure the safety and compensation of their employees. In case of any emergency, you will need to compensate the employee or their family, this will call for some amount of money.
You can apply for insurance for the workers, so as to avoid the liabilities in the future. Some states already have rules and regulations so as to provide for workers compensation insurance compulsorily. This is not just for the fulfillment of the worker but it will save you too from the cost that can be incurred.
The marketing tool is what every company uses. What makes your company unique in its own way of providing services, makes an impact. Now the question arises How do you create that impact? You can make sure the important points and techniques listed below.
Use Social Media.
Most of the businesses are present on social media. But do all of them create sales through promotions on social media? That’s not what happens. Eventually, you end up being in that bundle. Marketing is a good tool if used wisely.
Use these tips.
Tip#1 Use a number of hashtags on Instagram and Facebook to appear on top of the list.
Tip#2 Provide interesting content. consider a content writer to work for you.
Tip#3 Never copy the content, it can create legal issues further.
Promote through Email Marketing.
Gmail is the highest used mailing application. No one in today’s era doesn’t use it. While promoting your services and mailing good offers will spread your services to a large market. You can consider hiring an email marketer to produce high-quality mails and a group of the market to send them.
By obtaining your first customers, you are ready to refer your services to other potential clients through them. This technique is effective when you maintain a good relationship with your clients.
We know you are at the chaos in your mind. You are hurdling to know the thorough process of setting up a security guard company. This guide is a complete process. its main focus is to give you information about not only the process but the important aspects of the security guard company.
Here is a tip as mentioned above also, you need to improve business services. While improving the business don’t forget to upgrade your skills too. It is you who will execute this plan. You should be well aware of the business. Start with the online courses that can help you to know the basics of business.
Want to start learning now Do follow these complete reading books guide to help you start a new business.
I hope you are ready to give 100% in the business. Just be consistent with the hard work. Focus on the clientele. You are ready to be successful.