Private Security Agencies (Regulation) Act, 2005, commonly known as the PSARA Act, was established to regulate the functioning of private security agencies in India. Under this act, all private security agencies are required to obtain a license known as the PSARA License to operate their business in the country. In this article, we will discuss everything you need to know about obtaining a PSARA License in India.

What is a PSARA License?

PSARA License is a mandatory license that all private security agencies operating in India are required to obtain. This license is issued by the controlling authority of the state where the agency intends to operate. The license authorizes the agency to provide security services to its clients. The license also ensures that the private security agency is following all the guidelines and regulations established by the government.

Who is Eligible to Apply for a PSARA License?

To apply for a PSARA License, the private security agency must fulfill the following eligibility criteria:

1. The agency must be registered as a company under the Companies Act 1956 or 2013.
2. The agency must have a minimum capital of Rs. 50 lakhs.
3. The agency must have a minimum of 25 employees, out of which at least 50% should have completed their basic training in the private security industry.
4. The agency must not have any criminal records.
5. The agency must have a proper office space and infrastructure.

How to Apply for a PSARA License?

To apply for a PSARA License, the private security agency must follow the below-mentioned steps:

Step 1: The agency must submit an application for a PSARA License to the controlling authority of the state where they intend to operate.

Step 2: The agency must submit all the necessary documents required for obtaining the license, including their registration certificate, proof of the minimum capital of Rs. 50 lakhs, employee details, and office space details.

Step 3: Once the application is received, the controlling authority will conduct an inspection of the agency’s office space and infrastructure to ensure that they meet the prescribed standards.

Step 4: The agency must then pay the prescribed fee for the PSARA License.

Step 5: After the successful inspection and verification of documents, the controlling authority will issue the PSARA License to the private security agency.

Documents Required for Obtaining a PSARA License

The following documents are required for obtaining a PSARA License:

1. Proof of company registration under the Companies Act 1956 or 2013.
2. Certificate of minimum capital of Rs. 50 lakhs.
3. Employee details, including proof of training for at least 50% of employees.
4. Office space details and infrastructure.
5. Police verification certificate for all the directors of the private security agency.
6. GST Registration Certificate.
7. PAN Card of the company and its directors.

Renewal of PSARA License

The PSARA License is valid for a period of five years. After the expiry of the license, the private security agency must renew it to continue operating in the industry. The agency must follow the same procedure for renewal as they did for obtaining the license. The agency must also pay the prescribed fee for the renewal of the license.

Conclusion

Obtaining a PSARA License is mandatory for all private security agencies operating in India. The license ensures that the agency is following all the guidelines and regulations established by the government. To obtain the license, the agency must fulfill the eligibility criteria, submit the necessary documents, and pay the prescribed fee. The license is valid for five years and must be renewed after the expiry.