Overview of PSARA License

The PSARA License is the legal requirement for any person to establish a private security agency in India. The license is issued under the PSARA Act of 2005. It ensures that private security agencies act within the legal and ethical provision on guarding, watching and performing other security activities. The states grant the license to the agency, and to secure it, the procedures involve having the agency members undergo tests, training of officers and others, and the agency having to meet standard norms.

PSARA Licenses are required to fulfil and pass legal requirements of the security business, such as financial tests, criminal backgrounds, and standard training for the guards. The PSARA license is valid for five years, but it is renewable. It brings professionalism, accountability and reliability to the private security sector. Regulations under PSARA provide that operating outside these regulations is unlawful; hence, an establishment must ensure that it complies with the PSARA regulations to gain operational legitimacy, a failure which will attract penalties. The licensing procedure concerns submitting documents and police checks and receiving approvals from state authorities, proving that the agency works within the legal framework.

Benefits of PSARA License

• Empowers Training: The PSARA license mandates structured training programs for security personnel, enhancing their skills and ensuring they are well-prepared to handle various situations effectively.
• Attracts More Customers: Being licensed under PSARA makes a security agency more appealing to potential clients, as it reflects legal compliance and professional standards, increasing customer interest and demand.
• Avoids Denial of Rights and Services: Operating without a PSARA license can result in legal complications and denial of certain operational rights. With the permit, agencies can access these rights and services without hindrance.
• Helps in Gaining Potential Customer's Trust: By getting certified under PSARA, clients have confidence that the agency follows the government regulations and complies with standards set by the regulating body.
• Increases Credibility of the Agency: The PSARA license enhances the agency because it gives the impression of its agency's authenticity, efficiency, and professionalism in providing security services.
• Ensures Smooth Functioning of the Organization: PSARA regulations enhance efficiency, reduce chances of legal prosecution, and set a professional tone for the agency's functioning.

Eligibility Criteria for PSARA License

• In Terms of Business Organization:

a) Legal Structure: The business must be registered as a proprietorship, partnership firm, LLP, or a private/public limited company.

b) Indian Entity: Only Indian-owned and controlled entities are eligible. Foreign participation is restricted under PSARA regulations.

c) Financial Viability: The organization must have sufficient resources to operate and maintain its services effectively.

d) State-Specific Requirements: The organization must comply with the guidelines and additional conditions set by the respective state where the license is being sought.

• For Directors/Principal Officer:

a) Indian Citizenship: In this case, the agency's directors or principal officer has to be Indian only.

b) Clean Criminal Record: They should not have previous convictions or should not have been involved in activities that are discriminatory to the national security or safety of the public.

c) Age Limit: They must be eighteen years and above.

d) Professional Competence: Directors or the principal officer must have enough ability and knowledge to operate private security agencies efficiently.

• For Security Guards Role:

a) Age: The applicants must be between 18 and 65 years of age.

b) Education: The applicants must possess a minimum education level of 8 or 10 classes, as directed by the state authorities.

c) Fitness: Guards must meet specific non-negotiable physical fitness and mental faculties to be hired by the company.

d) Background Check: Should have a clean criminal record, verified by the police.

e) Nationality: Must be an Indian citizen.

f) Training Certification: Completing mandatory training from a PSARA-certified training institute is required before deployment.

Documents Required for PSARA License

• Certificate of Incorporation
• Permanent Account Number (PAN)
• Goods and Services Tax Identification Number (GSTIN)
• Registration for the Provident Fund
• Registration with the Employees State Insurance Corporation (ESIC)
• Registration by the Shops and Commercial Establishments Act
• Registration under the Labour Act
• Identification proof for both directors and employees
• Copies of the Income Tax Returns for the Directors
• Two passport-sized photographs of the promoters, accompanied by their PANs
• Evidence of the Agency Office'sOffice's address
• Affidavit as stipulated in Section 7 (2) of the Private Security Agencies Regulation Act, 2005
• Affidavit regarding security training
• Signed Memorandum of Understanding (MOU) with the training institution.

The procedure for getting PSARA License

• Document Organization: Collect all the relevant documents and stack them so that the application process can be carried out much more accessible. There is a need to have clear and readable documents about registers and information about directors and promoters. Opt for the e-signing facility for an easy application submission process and use the online site.
• Enter into MOU: In particular, the applicant must partner with an organisation that has a proper training background for security personnel. The Training Institute or the training Organization has to be accredited by the state regulatory agency. In particular, these training programs provide unique accommodation and flexibility to the ex-servicemen.
• Proceed with Police Verification: The following process is when the applicant goes through police clearance. This can be achieved by using Form-I. All directors and shareholders are supposed to go through Police Verification when the applicant is an organization or a partnership.
• File the Application: After the police verification that it's true, it is necessary to apply to the proper state authority for PSARA. If the police authority has granted a No objection certificate (NOC), the state authority will grant the PSARA license or reject the application.
• Time Period for License: The time taken on this license may vary depending on the state authority on PSARA and may not take the same time as other states. Usually, the process lasts approximately two months, depending on the project size.
• Specifications Related to Supervisors: The applicant shall be expected to appoint supervisors. These supervisors are supposed to manage the affairs carried out by the security guards. The first of these requirements is that anyone who is supposed to be a supervisor must have not less than three years of experience of service in the army or the navy.

Validity and Renewal of PSARA License

The PSARA License is for five years. However, the license is valid for one year in Chhattisgarh and Uttarakhand. Every applicant must apply for a renewal of the permit 90 days or three months before the expiration of the license. The renewal application shall be assigned all requisite documents and the fee to satisfy the PSARA Act requirements.

Fees applicable for PSARA License

Government fees for the license are established based on the operational area of the agency.

• The fee structure is as follows:
• For a single district: Rs. 5,000/-
• For up to five districts: Rs. 10,000/-
• For more than five districts: Rs. 25,000/-
• For the entire state: Rs. 25,000/-

However, it is essential to note that fees may vary across different states in accordance with their specific regulations.

How Whizseed can help you?

• Expertise You Can Trust: We offer a range of specialist services, including PSARA license processing for various states – our team will help to ensure your application is complete.
• Time-Saving Solution: We take the time-consuming paperwork for you so that you may concentrate more on your organizational undertakings rather than the licensing procedure.
• Pan-India Services: Whether you need a license for a single district or multiple states, our nationwide network provides comprehensive support across India.
• Digital-First Approach: User-friendly online portal for document submission
• Electronic documentation management
• Secure storage of all required documents
• Dedicated Support Team:
• Single point of contact for all queries
• Prompt response to concerns
• Regular progress updates
• Professional guidance throughout the process