Business Overview

This is a needed business because companies and individuals often don’t have the resources to perform their own security detail. Security guard services usually charge hourly fees for the services being provided. The prices charged will increase based on the number of security guards provided for the clients.

Who is this business right for?

This business is suitable for individuals who are passionate about personal security and want to help others feel more secure in their homes and businesses. It may require working long hours or unusual schedules, like nights and weekends. Because of this, the business may not be suitable for individuals with family commitments or other obligations that fall outside of traditional 9-5 work days.

What happens during a typical day at a security guard company?

Day-to-day activities of a security company include preparing security-related documents like incident reports and proposals, strategic or tactical initiatives and reviewing these documents. Management also needs to provide ongoing training and education for subordinates, plan security detail for special and high-risk events, and review financial reports to make sure security operations are never in jeopardy.

A security company’s management also needs to maintain its budget for security operations, order security-related supplies and equipment, coordinate operations and activities with law enforcement (and other agencies), and attend meetings and professional seminars. In rare circumstances, you may also have to coordinate and provide support during emergencies.

What is the target market?

Security companies typically work with wealthier clients who have valuable property to protect. These clients are usually businesses that guard valuable information, tangible items, or individuals within their premises.

On rare occasions, a company might be hired to protect an individual, like a local or national celebrity, a political figure, or CEO of a large company.

How does a security guard company make money?

Most security companies charge clients an hourly rate or flat fee for services. Larger security guard companies have corporate or commercial clients. The ideal client is one who signs a multi-year service contract. However, when you’re just starting out, these types of clients are hard to get.

What is the growth potential for a security guard company?

These businesses can be run at a small or large scale. A small security business can be run by just a handful of individuals. When operating a small company, the biggest concern is usually cost control and recouping the startup costs, like insurance, office space, and equipment.

All other things being equal, it’s easier to recoup these costs with a minimum staff of 5 people than with 3. The more guards you can hire, the better.

Large operations are more expensive to run, but also tend to have more stable income and more lucrative service contracts because they are more likely to land large multi-year corporate contracts.