The demand for security guards has increased quickly as a result of the rise in offices and commercial buildings. In order to fulfil the requirements for a PSARA licence, more agencies will consequently develop as the need for security guards rises. The PSARA Act, 2005’s primary goal was to enhance the functioning of private securities agencies in India. To implement the regulations relating to private security firms, this was approved by parliament in 2005.Hence, the primary goal of this law was to raise the bar for Indian securities agencies. In this blog, we will discuss how to apply for PSARA License Online in India.
What is a Private Securities Agency?
A private security agency is any company or business that works to train private security guards for workplaces, shopping centres, and other kinds of establishments. It is crucial that the private security company receive the PSARA licence before beginning operations.
Statutory Requirements for a PSARA License Online
All of the operations carried out by a facility that engages in the provision and training of security guards are governed by the Private Security Agencies Act, 2005. According to the act, any agency that engages in these activities without getting the necessary licence is not permitted to function in accordance with the act’s provisions. As a result, the applicant would need to submit an application to the state in which they now reside. The licence would be issued by the state agency. One state may have different application criteria than another. This type of licence has no centralised system.
What Actions Are Subject To The PSARA Act’s Regulations?
The PSARA Act regulates the following activities:
- The establishment of securities agencies.
- Securities agencies’ training.
- Governing of Securities agencies.
- Securities agencies are disqualified.
Advantages of Obtaining a PSARA License Online
Getting a PSARA License Online has the following advantages:
By obtaining this licence, the business would be able to offer training-based services to all securities of private securities agencies.
Of course, a consumer would use the services of a company that holds this kind of licence. So, this licence has a greater impact on the private security company’s image.
Adherence to the Law
The agency’s compliance with the law is ensured by obtaining this licence.
The credibility of the organisation would expand as its reputation grew.
Supports Efficient Functioning
Without any legal challenges or issues, the organisation may successfully function.
Qualifications for Obtaining a PSARA License Online
To be eligible for a PSARA License Online, you must meet the following requirements:
Every Kind of Entity
The organisation might be any type of entity that is governed by the relevant laws and regulations. The applicant may submit an application for the aforementioned licence whether they are a sole proprietorship, partnership, limited liability company, private limited company, or one-person business.
To perform the company’s duties, a director must be chosen. The person chosen to serve as a director must meet the following requirements:
- A resident Indian must be the director.
- The director is required to be older than 18 years old.
- The director cannot be found guilty of any criminal or other infraction.
- The director can’t be insolvent.
- The director needs to be stable financially.
Minimum Conditions for Obtaining a PSARA License Online
To receive this kind of licence, the following conditions must be met:
Information and Objectives of the Applicant
The application should first and foremost include information about the firm name. The applicant must also state the company’s details and goals in addition to this. Such goals must be outlined in the company’s memorandum of association (MOA). So, the firm must have “Private Securities Agencies or Offering Private Security Agency Services” as one of its goals.
Memorandum of Agreement with Training Institution
The company or organisation must have signed a Memorandum of Understanding (MOU) with a facility that offers securities training and other services. The state government must accredit the institution and have high regard for it. This institute must provide the training courses.
Business Created in Natural Interest
Any institution or organisation that the Indian government has barred from operating will not be issued a PSARA licence. Hence, only organisations and agencies that serve the needs of the nation would be granted this licence. Here, the nation’s national interests must be taken into account.
There Is No FDI
India allows foreign direct investment. Yet, several industries are barred from accepting any kind of foreign direct investment. A corporation that is not a resident of India would not be eligible to receive such a licence, according to section 6(2) of the Private Security Agency (Regulation) Act, 2005. This type of licence would not be given even if the directors were foreign nationals.
Documents Required For PSARA License Online
Following are the documents required for PSARA License Online:
- Identification documents for every company leader.
- An agency’s registered address serves as proof.
- A valid affidavit obtained in accordance with the 2005 Private Security Agencies Regulation Act.
- The Private Security Agency’s logo. This will serve as the agency’s trademark.
- PAN information on the members’ and promoters’ cards.
- Two images of the promoters the size of a passport.
- Information about registration was obtained from the Service tax division.
- Certificate issued in accordance with the Shops and Establishments Act’s regulations.
- Registration by ESI.
- Registration of PF.
- Certificate of Security Training.
- Armed Permit.
- Employee character certification.
- A duplicate of each director’s ITR (Income Tax Return).
- Company’s Certificate of Incorporation.
- A properly completed and signed Memorandum of Agreement with the Training Institution
- Among all the Security Guards assigned
Different Forms for PSARA License Online
For a PSARA License, the following forms are necessary:
- Form I: This would contain information and specifics on the applicant’s personality and activities.
- Form II—Information about the security officers or the assigned supervisor.
- Form III: A character and background certificate.
- Form IV—A training-related certificate.
- Form V, which requests a new licence or a renewal for a private security service business licence.
- Form VI—Employment licence for a private security company.
- Form VII, the petition for review.
- Form VIII- the Particulars Register.
- Form IX—Photo identification for the supervisor and security guard.
Procedure for PSARA License Online
While applying for a PSARA License online, the following process must be taken into account:
The candidate must gather the necessary paperwork in the first phase. The PAN, TAN, Goods and Services Tax Registration, Provident Fund Registration, and Workers State Insurance Registration are a few examples of the paperwork. In addition, the PSARA License requires registration under the relevant Shops and Establishments Act. In addition, the applicant must submit or produce the income tax returns for each of the organisation’s directors and shareholders. The PSARA application is now submitted online via the Private Security Agency Licensing Portal as of 2019. The Integrated Criminal Justice System is connected to and integrated with this site (ICJS). Hence, all application submission, renewal, fee payment, and other operations may be completed online. This procedure is made simple by the availability of complete resources like e-signing and geo-tagging technologies.
Enter into MOU
The following stage requires the applicant to sign a Memorandum of Understanding with a company that provides security guard training. The institution or business providing training services must have received state regulating authority permission. The ex-servicemen are, nevertheless, given additional relaxation and flexibility in these training sessions.
Verify With the Police
The applicant would next need to go through the police verification process. Via Form-I, you can verify with the police. Nonetheless, all the directors and shareholders would need to go through police verification whether the application is a business or a partnership corporation.
Fill & Submit the Application Form
After this, the applicant would need to submit the PSARA application to the appropriate state authorities. If the police authority issues a No Objection Certificate (NOC), the PSARA licence granting authority will either grant the licence or deny it.
Duration of the FSSAI Licence
The length of time needed to obtain this type of licence varies from state to state since the state government has a significant role in setting the regulations linked to PSARA. Normally, obtaining this licence would take roughly two months.
Details Associated with Supervisors
In compliance with the requirements of the aforementioned statute, the applicant must designate supervisors. In order to control the tasks that security guards perform, supervisors must get involved. Every person seeking to be appointed as a supervisor must have a minimum of three years of experience working for the army or navy. Usually, this would be indicated as a preference.
Renewal for PSARA License Online
The PSARA License typically has a 5-year validity duration across all states. Nevertheless, the Uttarakhand and Chhattisgarh states’ licence renewals are only good for a year. The applicant must make sure that the renewal application is filed three months or 90 days before the licence’s expiration. The paperwork and the fee must be submitted in accordance with the PSARA Act’s requirements in order for the licence to be renewed.
Fees for PSARA License Online
- The fee structure is Rs. 5000 for a single district.
- The price structure would be R 10,000 for five districts.
- The fee structure will be Rs. 25,000/- for the entire state. There are particular restrictions, though, and states have the right to increase licence fees. As an illustration, the state of Karnataka charges Rs. 50,000 for the licence.
Does The Authority Have The Power To Withdraw A PSARA Licence?
There are particular compliances that the applicant must adhere to after receiving the licence. Moreover, the organisation or applicant must verify that a certain set of actions are not performed. The authority has the ability to withdraw the PSARA license if these acts or activities are carried out.
Section 13 of the PSARA Act of 2005 specifies the reasons for revoking this licence. The authority would have the discretion to revoke a licence in the following situations:
- If the information provided was obtained by falsifying facts.
- When any fake documents or photos are provided.
- If the licence holder impersonated a government official or committed fraud.
- If information is used improperly to carry out certain licence-related obligations.
- If the services are not rendered in accordance with the client’s needs.
- If there is a national security threat.
One may argue that having a PSARA License provides a Private Security Agency with a number of additional advantages. In order to start a security services company in Delhi, you must receive a PSARA License. Contacting Corpbiz will enable you to get the licence more rapidly. In addition, if you used our service for the same, our pros will provide you with all answers regarding PSARA License.