PSARA License

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Step 1

File Registration Application with the Ministry of Corporate Affairs (MCA)

Step 2

Obtain Certificate of Incorporation for your New Company.

Step 3

Overview of PSARA License

The ever-expanding business landscape in India has escalated the requirement of private security. From banks to lavish restaurants, car showrooms to highly-advanced factories, everyone seeks adequate protection to keep criminal elements out of the equation or to ensure proper upkeep of their fences.  This growing safety concern has led to the birth of the Private Security Agencies (Regulation) Act, 2005 (PSARA). The said Act offers the leverage of establishing a legalized private security agency in India. Besides, this Act governs every aspect of private security agencies in India, be it securing registration or hiring candidates for security services.

Fundamental Role of Private Security Agency in India

Private security agencies refer to a business entity that facilitates security services to businesses from different verticals. PSARA Act, 2005 came into effect to underpin a certain standard of professionalism in the regime of security services. PSARA license serves as a fundamental mandate for security agencies in India. Apart from facilitating security services, the security agencies offer adequate training to selected candidates for their security-centric careers.

Eligibility Criteria for Obtaining PSARA License in India

1: In Terms Of The Type Of Business Organization

The Following Business Structures Can Apply For PSARA License

  • Sole Proprietorship,
  • One Person Company (OPC),
  • Partnership Firm,
  • LLP,
  • Association of Persons, and
  • Private Limited Company.

2: In Terms Of The Role Of A Director/Principal Officer

The PSARA Act Has Underpinned Specific Criteria For Individuals Intending To Serve The Position Of Director/Principal Officer;

  • Individual must be an Indian national
  • An individual should not be minor as far as age is concerned.
  • Individual must have ample financial resources to cater to business expenses.
  • Individual must have crime-free track records.

3: In Terms Of The Role Of A Security Guard

Individuals intending to become security guards must fulfill the given conditions:

  • The person should be an Indian national.
  • The person should not be a minor and neither over 65 years of age.
  • The person ought to behave adequate training
  • The person must have a seamless service track record without any termination
  • The person should match the desired physical attributes.
  • The person must secure character certificate from a previous firm

Documents Necessary for Obtaining a PSARA License

  • PAN
  • Provident Fund Registration
  • ESIC ( i.e. Employees State Insurance Corporation) Registration
  • Registration under Shops and Commercial Establishments Act
  • Registration under the Labour Act
  • Proof relating to the identity of the directors as well as employees
  • Copies of the IT returns of the Directors
  • Two passport size photos and PANs of the promoters
  • Proof relating to the address of the Agency Office
  • Affidavit as u/s 7 (2) of PSARA, 2005
  • Security training affidavit
  • Certificate of Incorporation (COI)
  • Signed Memorandum of Understanding i.e. MOU with the authority-recommended training institute

Contact ApkaTax’s Experts to Avail Top-notch Assistance on PSARA License

The incorporation process is way more complicated than it seems. Make sure to avoid the loose ends while filing the application or uploading the documents since it is a tedious and time-consuming process. You can also opt to avail Corpbiz services in case time is constrained for you, or you are not well-versed of applicable compliances for registration.

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In view of the above registrations and requirements, it is beneficial to avail support of an expert firm which can assure seamless delivery of the same without much hassle. That is what CorpBiz is all about. We are a professional firm which has more than five years of experience in licensing regime.

Frequently Asked Questions

Steps for apply for Psara license

  • First, arrange the required documentation.
  • Second, Sign MoU with a certified training institute
  • Third, file application in form 1
  • Fourth, complete the formalities regarding police verification

Indian national or citizen of such other nation as the Central Gov. may, by Official Gazette, specify; Individual who have attained 18 years of age but has not exceeded the age of 65 years; Individuals who duly satisfy the agency about his antecedents & character.

Indian national or citizen of such other nation as the Central Gov. may, by Official Gazette, specify; Individual who have attained 18 years of age but has not exceeded the age of 65 years; Individuals who duly satisfy the agency about his antecedents & character.

Typically, a PSARA license comes with a validity of 5 years which can be extended further by filing the relevant application online. However, in the states like Chhattisgarh & Uttarakhand, it is valid for one year only.

The government fees payable can be divided into the given categories:

  • For one district — Rs. 5,000/-
  • For 2 to 5 districts in a state — Rs. 10,000/-.
  • For the entire state — Rs. 25,000/-.

Supervisors are liable to administer the agency’s operation and all the affairs related to security guards.

The application pertaining to license renewal must be filed 45 days prior to the expiration date.

Yes, the grant of PSARA license is done on the state-wise basis.

MOA, GST registration, MoU with training institute, PF and ESIC Registration, so and so forth.

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