ON THIS PAGE
- How to Start a Security Company
- How Big is the Security industry?
- What are the Key Segments of the Security Industry?
- What External Factors affect the Security Industry?
- What are the Key Customer Segments in the Security Industry?
- What are the Key Costs in the Security Industry?
- Why You Should Hire a Security Firm
- What are the Keys to Launching a New Security Company?
- How to Hire the Best Security Company
- Choosing the Best Home Security Company
- What are the Typical Startup Costs for a New Security Company?
- How much do Security Company Operators Make?
- Ten Helpful Apps for Your Security Company
- Helpful Videos
- Additional resources in the Security Company Industry
How to Start a Security Company
If you’re looking to start a security company business, you’ve come to the right place. Since we’re going to show you exactly how to do it.
We’ll start with key security company industry fundamentals like how big the market is, what the key segments are, and how revenues and profits are generated.
Then we’ll discuss keys to not only starting a security company business, but succeeding in it!
How Big is the Security Industry?
According to IbisWorld, there are 11,133 security companies in the U.S. that generated $31.7 billion in revenue last year. This represents an annual growth rate of 3.1% over the past 5 years.
What are the Key Segments of the Security Industry?
Security guard services for buildings and grounds are, by far, the largest revenue segment for the industry. Investigation services account for 16% of the industry’s revenue and the remaining revenue is compromised of armored vehicle services, special event security and other service.
What External Factors affect the Security Company Industry?
A number of factors affect the performance of the security company industry. These drivers include:
- Corporate profit – Changes in corporate profit can determine the renewal or upgrade of contracts and the recruitment of new clients. An increase in corporate profit will cause businesses to spend more on outsourced services, including those offered by this industry.
- Number of businesses – An increase in the number of businesses will boost demand for security services, since more businesses will require security services. The number of US businesses is expected to increase slowly in the coming years.
- Crime rate – Actual and perceived increases in crime lead to upgrades of security systems and services. The crime rate is expected to decline this year, representing a potential threat for the industry.
- Value of private nonresidential construction – An increase in this driver is likely to boost industry demand because many of these structures require security services. The total value of private nonresidential construction is expected to increase in the coming years.
What are the Key Customer Segments in the Security Industry?
The key customer segments in the security company industry are:
- Retail and Leisure
- Residential and other
- Government clients
- Financial Institutions
What are the Key Costs in the Security Industry?
Wages – Wages is the largest cost for this industry is wages.
Purchases – Purchases account for almost 10% of total industry revenue
Other – Rent and utility costs account for a small portion of total industry revenue. Marketing costs are also small and expected to comprise 1.0% of revenue.
Why You Should Hire a Security Firm
What are the Keys to Launching a New Security Company?
Here are some of the important keys when launching a Security Company:
- Certifications and Licenses –
Depending on the State or City where you plan to launch your Security business you have to check which requirements you need to secure certifications, trainings and licenses.
- Accredited Training Programs –
You will need to find an accredited security-training program and take the course(s). These training program can take 6 to 8 months before certification is release. You should also participate in any physical trainings to improve competence and reactions.
- Private Patrol Operator’s License –
You will need at least 12 months of work experience before you can acquire your Private Patrol Operator’s License, which you will need to operate your business.
- Registration and Legalities –
As part of the requirements, security companies should be registered to a local police department. The company should also hire a lawyer to create and draft contracts for clients and employees.
- Getting Liability Insurance –
A Security company should purchase a liability insurance to protect their company from any risk of subjections imposed by lawsuits and/or related claims.
- Finding and Hiring Employees –
It is important to look for qualified personnel that are fit to do the job as well as meet all necessary legal requirements.
- Marketing Plan –
Utilize various marketing tactics such as social media advertising, email marketing and direct mail to introduce your Security Company’s services to businesses and homeowners in your target market area.
- Launching Your Security Company –
Secure and double-check all needed contracts to make sure that each party has understood their rights and accountabilities to prevent further and future dilemmas.
How to Hire the Best Security Company
Choosing the Best Home Security Company
What are the Typical Startup Costs for a new Security Company?
What are the typical startup costs for a new security company?
How much do Security Company Operators Make?
Security company operators and executives receive varied pay amounts based on the success of the company.
Ten Helpful Apps for Your Security Company
How to Market and Manage a Private Security Firm
How to manage a Security Guard Company
Additional resources in the Security Industry
For additional information on the security market, consider these industry resources:
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