9559179325 9559179325 Login
Documents Required for Obtaining PSARA License in India - BizAdvisors

Learning

Documents Required for Obtaining PSARA License in India

Documents Required for Obtaining PSARA License in India

Today people are venturing out and establishing their own companies at a rapid rate. The idea of establishing security and safety has also arisen from the same. Companies want to have a better-grade security system in all aspects and the increase in businesses and commercial spaces has led to the growth of private security agencies. To establish such a private security agency, the Private Security Agencies Regulation Act exists which provides for a PSARA License to regulate the functioning of such private security agencies. In this blog we are particularly going to talk about the documents which are required for obtaining PSARA License in India.  

PSARA – Private Security Agency Regulation Act 

A PSARA License is a permit authorizing an individual to establish a private security agency in India. Similar to any other licensing, obtaining a PSARA License is also mandatory to incorporate a private security agency. These private security agencies provide trained security guards and provide other security services to various organizations across the country. These security agencies are regulated by the Private Security Agencies Regulation Act. 

Private Security Agencies Regulation Act, 2005 

The Private Security Agencies Regulation Act, 2005[1], was brought to force with the aim to regulate matters of private security agencies and any other matters related to a private security agency. The act provides for regulations to be followed for setting up any private security agency. The act provides for the following-  

  • License to operate 
  • The application process 
  • The eligibility 
  • The offences 
  • The penalty 
  • Delegation of powers 
  • And other things. 

Documents Required for Obtaining a PSARA License in India 

For the issuance of a PSARA License, the following documents are required, this list is not exhaustive in nature- 

Certificate of Incorporation 

A security agency, like any other entity, is also a company for which a certificate of incorporation is necessary. To obtain a PSARA license, a certificate of incorporation is fore mostly important. The certificate of incorporation is a document issued by the Registrar of Company upon successful registration of a company. The certificate of incorporation provides details such as- 

  • Corporation’s legal name 
  • Type of corporation 
  • Company’s registered address 
  • Details about the board of directors 
  • And other significant details. 

Signed Memorandum of Understanding (MOU) 

As per the act, all PSAs are required to have an affiliation with a training institute recognized by law to obtain a PSARA License. The training institute has the facility to train members and employees of the PSA. The training includes different kinds of training such as- 

  • Training to Security Guards, Supervisors, etc. 
  • On-the-job and site-specific sessions 
  • And any other form necessary.  

An MOU is an agreement between parties stating the understandings of both parties. An MOU is not a legally binding contract but an understanding and willingness of parties to proceed together towards a common aim. The MOU consists of- 

  • Objectives of the agreement 
  • Role of the institution 
  • Role of the agency 
  • Joint responsibilities 
  • Finances, terminations 
  • And other significant details. 

Address Proof of the Registered Office  

The registered office of a company is the main office of the company. In this case the main office of a private security agency. All the documents and communications made by other organizations or the government are delivered to this address. In case there is any change in the address of the main office, it also needs to be informed to the required authority. 

Employees’ State Insurance Registration 

Employee State Insurance is maintained by the Employee State Insurance Corporation created by the Ministry of Labour and Employment by the Government of India. As of this scheme, the workers are provided with a variety of benefits such as monetary, medical, educational, etc. 

Provident Fund Registration Documents  

Companies with more than 20 employees need to have been registered with the Provident Fund Department for their employees. The provident fund registration provides benefits to the worker for their retirement, education of children, housing support, etc. The scheme provides financial security and stability to the employees of the agency. 

Identity Proof of all Employees and Directors  

The employees and directors are required to have their identity proofs to establish authenticity and prevent any fraud. 

An Affidavit Obtained as Per the PSARA Act  

The affidavit verifies that the content of the documents provided and the statements are correct and display no case of deceit. The affidavit promotes that all the terms and conditions have been fulfilled as per the direction agreed by the parties as well as the directions provided by the Act. 

PAN Details of Promoter 

Like any other individual and corporation, a private security agency is required to file its taxes. Thus, the PAN details are required for filing taxes for the agency.  

Logo & Uniform Pattern of the Private Security Agency 

Every Body Corporate needs to have its distinct logo. To obtain a PSARA License, a private security agency is also required to have a logo and similarly a distinctive uniform pattern for its recognition. 

Copy of ITR of Every Director  

Depending on one’s income, one compulsorily needs to file its income tax returns. Though it is not mandatory, it provides for better credibility for the company.  

Character Certificate of all Employees  

A character certificate of an employee briefs the employer about the conduct of the potential employee. In the case of a private security agency, the character certificate will detail the security to be provided to someone either an individual or an organization. 

Procedure for Obtaining a PSARA License 

Follow the steps given below to obtain PSARA License-  

Step 1: securing necessary documents. 

Step 2: entering into an MOU – Memorandum of Understanding, with a training institute. 

Step 3: filing the application for a PSARA license. 

Step 4: verification of the filed application. 

Step 5: grant of PSARA license. 

Step 6: appointment of supervisors of the agency. 

Conclusion – Documents Required for PSARA License

With the help of a PSARA License, a private security agency without any difficulty operates at its full capacity. The PSA is a business that specializes in training and providing security services to others. The need to provide security and protect against the diverse forms of wrongdoings can only the achieved with the help of a PSARA License. To clarify any related doubts regarding the documents required for obtaining a PSARA License and anything related thereto, one can further contact Bizadvisors. 

Read our article:A Complete Guide on PSARA License Renewal and Penalties

Post Views:

47

Related Posts

Leave a Reply

Get Expert Assistance


Subscribe Our Newsletter.

We'll never share your email with anyone else.