Are you about starting a security guard company? If YES, here is a complete sample security guard business plan template & feasibility report you can use for FREE.
There is hardly any corporate building, business facility or highbrow residential estate that doesn’t have security guards. This goes to show that the security industry is an integral part of our world especially in periods such as this when crime and terrorism has reached an all – time high.
A security guard company is any company that provides both armed and unarmed security related services to both private and public clients at an agreed fee. According to the united states of Bureau of Labor Statistics, a private security company engages in services like providing security guards (bodyguard, guard dog, parking security and security guard services) and patrol services et al.
A Sample Security Guard Company Business Plan Template
1. Industry Overview
The private security industry that security guard business falls under is indeed a fast – growing industry, at present there are about 2 million full – time security workers in the United States of America and this number is expected to grow by an estimate of 21 percent by 2022.
The global private security services industry was worth approximately 96 billion U.S. dollars in 2013 and statistics has it that the largest share of this market was held by Europe at almost 30 percent, then followed by Asia (with the exception of Japan) and North America.
The income of the private security services industry was set to reach an estimate of about 25 billion U.S. dollars in the United States in 2014. Security alarm services alone in the United States of America generated a whooping sum of 17 billion U.S. dollars per year between 2008 and 2014.
Statistics shows that in 2013, the money generated by the global security technology and related services market rose to just over 67 billion U.S. dollars and it was projected to reach an estimate of about 86 billion by the year 2016. Statistics also has it that the global spending on ICT related security services was set to reach approximately 50 billion U.S. dollars in 2015.
The private security industry is indeed a large industry which is why some of the leading private security companies worldwide such as UK-based G4S, Sweden-based Securitas AB and U.S.-based ADT Corporation – in 2013 could boast of generating 12.08 billion, 10.12 billion and 3.31 billion U.S. dollars respectively in just a calendar year.
In the United States of America, the fastest growing private security company in 2013 was Innovative Surveillance Solutions with a three – year combined revenue growth of about 5,605 percent.
The private security industry is one industry that is growing despite the fact that the government of various countries are not relenting when it comes to providing security for her citizens. One thing is certain, the private security industry is an evolving one and new technology and approaches are being employed when it comes to delivering standard and safer security services.
The industry can’t be said to be oversaturated simply because there are different areas (niches) a private security company can specialize in and if you are good with what you do, then you won’t struggle much to attract clients.
The factors that encourage entrepreneurs to venture into the private security industry is the ability to get good returns on their investment with minimal risks. For example, when you secure a contract to provide security guards for an event or an organization, the norm is that you will be financially mobilized before executing the contract.
People also get encouraged start their own private security companies because on the average it is cost effective to manage the business. It is the practice for private security outfits to recruit and train security guards, body guards and security dogs et al only when they have a security contract to execute which is why they don’t usually maintain a large workforce.
2. Executive Summary
Triple Protect® Security Guard, Inc. is an international security guard company that will be based in Beverly Hills – California. We have been able to secure all the required security clearance to run a security guard company in the United States.
We are aware that to run a standard security guard outfit can be demanding which is why we are well trained and equipped to perform excellently well. Triple Protect® Security Guard, Inc. is a client-focused and result driven security guard company that provides broad-based security services at an affordable fee that won’t in any way put a hole in the pocket of our clients.
We will offer standard and professional security services such as the prevention of unauthorized activity or entry in a specified perimeter, traffic regulation, access control, fire and theft prevention and detection, security advisory and consultancy services, roving patrol, bodyguard, and guard dog services et al to all our clients at local, state, national, and international level.
We will ensure that we work hard to meet and surpass our clients’ expectations whenever they contract their security concerns to our organization.
At Triple Protect® Security Guard, Inc., our client’s best interest would always come first, and everything we do will be guided by our values and professional ethics. We will ensure that we hire professionals who are well experienced in a wide variety of private security services.
Triple Protect® Security Guard, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible. We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
Our plan is to position Triple Protect® Security Guard, Inc. to become one of the leading brands in the private security services industry in the whole of California, and also to be amongst the top 10 security guards company in the United States of America within the first 10 years of operation.
This might look too tall a dream but we are optimistic that this will surely come to pass because we have done our research and feasibility studies and we are enthusiastic and confident that Beverly Hills – California is the right place to launch our security guard business before spreading to other parts of the United States.
Triple Protect® Security Guard, Inc. is private – partnership business that is owned by Nicholas Johnson and his friend and business partner Leonardo Michael. The organization will be managed by both of them. Mr. Nicholas Johnson and Leonardo Michael graduated from the University of California – Berkley (First Degree), and University of Harvard (MBA).
Nicholas Johnson is a Certified Security Project Manager (CSPM), Cisco Certified Security Professional (CCSP), Certified Security Compliance Specialist (CSCS), and Certified Information System Security Professional (CISSP), while Leonardo Michael is certified Industrial Security Professional (ISP®) and Global Industrial Cyber Security Professional (GICSP).
They have combined to help build Triple Protect® Security Guard, Inc. to favorably compete with leading players in the private security industry in the United States of America and on the global stage.
3. Our Products and Services
Triple Protect® Security Guard, Inc. is going to offer varieties of services within the scope of the private security services industry in the United States of America. Our intention of starting our security guard company is to make profits from the industry and we will do all that is permitted by the law in the US to achieve our aim and ambition.
Our business offerings are listed below;
- Supply of bodyguard and guard dogs
- Prevention of unauthorized activity or entry in a specified perimeter
- Traffic regulation services
- Access control services
- Fire and theft prevention and detection services
- Security advisory and consultancy services
- Roving patrol services
4. Our Mission and Vision Statement
- Our vision is to build a security guard company brand that will become the number one choice for both individual and corporate clients in the whole of Beverly Hills – California.
- Our mission is to provide professional and trusted private security services that will assist individuals, businesses and non-profit organizations.
- We will position the business to become the leading brand in the private security services industry in the whole of California, and also to be amongst the top 10 security guard companies in the United States of America within the first 10 years of operations.
Our Business Structure
Triple Protect® Security Guard, Inc. is a standard security guard company that intends to start small in Beverly Hills – California, but looks to grow big in order to compete with leading security guard companies both in the United States and on a global stage.
We are aware of the importance of building a solid business structure that can support the kind of world class business we want to own, this is why we are committed to only hiring the best hands within our area of operations. At Triple Protect® Security Guard, Inc., we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business that will benefit all our stake holders.
As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer
- Chief Security Officer/Manager
- Security Consultant
- Admin and HR Manager
- Marketing and Sales Executive
- Accountant
- Customer Services Executive
- Security Guards
5. Job Roles and Responsibilities
Chief Executive Office:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- In charge of fixing prices and signing business deals
- Responsible for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Reports to the board
Chief Security Officer/Manager
- Manages the overall activities of security staff members and equipment
- Achieves maximum profitability and over-all success by controlling costs and quality of service
- Schedule employees as necessary to ensure adequate and consistent levels of security service
- Responsible for security control policies and completion of necessary forms
- Co-ordinates the general execution of security services as requested by clients
- Summit security reports on a regular basis to the management of the organization and give professional advice as at when due
Security Consultant
- Responsible for interviewing and hiring security guards, vendors, selecting and ordering materials, negotiating rates, coordinating the sequence of events as it relates to security services
- Plans, designs and produces security solutions (software and hardware et al) while managing all project delivery elements within time limits
- Liaises with clients to identify their security needs and to ensure customer satisfaction
- Conduct market research, gather information and negotiate contracts prior to closing any deals
- Provides security feedback and periodic reports to stakeholders
- Ensures compliance with insurance, legal, health and safety obligations
- Specifies staff requirements and coordinate their activities
- Cooperates with marketing and PR to promote and publicize safety concerns
- Proactively handle any arising issues and troubleshoot any emerging problems on the event day
- Conducts pre- and post – security evaluations and report on outcomes
- Offers security advisory and consultancy services to clients
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Designs job descriptions with KPI to drive performance management for clients
- Regularly hold meetings with key stakeholders to review the effectiveness of HR Policies, Procedures and Processes
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Defines job positions for recruitment and managing interviewing process
- Carries out induction of new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversees the smooth running of the daily office activities
Marketing and Sales Executive
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
- Responsible for handling business research, marker surveys and feasibility studies for clients
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develops, executes and evaluates new plans for expanding sales
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
Accountant
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the company
- Serves as internal auditor for the company
Client Service Executive
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients provide the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the manager in an effective and timely manner
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
Security Guards:
- Responsible for prevention of unauthorized activity or entry in a specified perimeter
- Handles traffic regulation services
- In charge of access control services
- Responsible for fire and theft prevention and detection services
- Security advisory and consultancy services
- Part of the roving patrol services team
- Offers bodyguard services
6. SWOT Analysis
Due to our drive for excellence, we were able to engage some of the finest business consultants in Beverly Hills – California to look through our business concept and together we were able to critically examine the prospect of the business and access ourselves to be sure that we have what it takes to run a standard security guard company.
In view of that, we were able to take stock of our strengths, weakness, opportunities and also the threats that we are likely going to be exposed to in Beverly Hills – California. Here is a of what we got from the critically conducted SWOT Analysis Triple Protect® Security Guard, Inc.;
- Strength:
Aside from the fact that our security guard company is of world – class standard and the business is well positioned and well-equipped to meet the 21st century demand of both high profile corporate and individual clients, we have a team that can go all the way to give our clients value for their money; a team that are trained and equipped to pay attention to details as regard security concerns. We are well positioned and we know we will attract loads of clients from the first day we open our doors for business.
- Weakness:
As a new private security outfit, it might take some time for our organization to break into the market and gain acceptance from corporate clients in the already saturated private security services industry; that is perhaps our major weakness.
- Opportunities:
The opportunities in the private security services industry is massive considering the number of corporate and individual clients who can’t afford to leave the security of the properties and lives to government security agencies. As a standard security guard company, we are ready to take advantage of any opportunity that comes our way.
- Threat:
Some of the threats that we may likely face as a security guard company operating in the United States are unfavorable government policies, the arrival of a competitor within our location of operation and global economic downturn which usually affects purchasing cum spending power. There is hardly anything we can do as regards these threats other than to be optimistic that things will continue to work for our good.
7. MARKET ANALYSIS
- Market Trends
The security industry is one of the industries that are highly regulated so as to prevent costly security breaches. So, if you are looking towards starting a security guard company, then you should acquire international security certifications; it will give you an edge over your competitors. The truth is that the more relevant security certifications that you and your team have, the easier it is for you to convince people to patronize your services.
Although if you are able to build a successful security company, you can pitch your business in any part of the world and still make success especially if you run a security consultancy and advisory business. But if you are just starting out; especially if you are a newbie in the security industry, it is important that you locate your business in an area with healthy business activities.
Social media has now become one of the most important tools security guard companies leverage on to disseminate information about their security concerns, solicit feedback, and create year-round engagement with their target audience. Furthermore, new software apps and emerging technology have made it easier for security guard companies to gather all the needed data and information that will help them plan and project for the future.
8. Our Target Market
Even though Triple Protect® Security Guard, Inc. will initially serve small to medium sized businesses, from new ventures to well established businesses and individual clients, but that does not in any way stop us from growing to compete with the leading security guard companies in the United States.
As a well – equipped security guard company, Triple Protect® Security Guard, Inc. offers a wide range of security guard services hence we are well trained and equipped to service a wide range of clientele. Our target market cuts across people of different classes and people from all walks of life.
We are coming into the industry with a business concept that will enable us work with highly placed people and companies in the country and at the same with lowly placed people and smaller businesses. Below is a list of the people and organizations that we have specifically design our services for;
- Blue Chips Companies
- Corporate Organizations
- Religious Organizations
- Political Parties/Politicians
- Households
- Estates and Communities
- Celebrities
- Schools (High Schools, Colleges and Universities)
- Sport Organizations
- Entrepreneurs and Start – Ups
Our Competitive Advantage
Surviving in the business world as a security guard company requires more than your expertise, but also how to network with key people that matters.
There are loads of big time investors such as Halliburton et al that have stakes in the private security industry, but one thing is certain, there is room big enough to accommodate both the large and small security guard companies.
What smaller security guard companies need to do to survive in the industry is to concentrate on providing security services to households, event planners, estates, communities, schools, hospitals and hotels et al before bidding for big security contracts from corporations.
Triple Protect® Security Guard, Inc. might be a new entrant into the private security services industry in the United States of America, but the management staff and owners of the business are considered gurus. They are highly qualified private security experts in the United States.
Lastly, our employees will be well taken care of, and their welfare package will be amongst the best within our category in the industry, meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Triple Protect® Security Guard, Inc. is established with the aim of maximizing profits in the private security services industry and we are going to go all the way to ensure that we do all it takes to attract clients on a regular basis. Triple Protect® Security Guard, Inc. will generate income by offering the following security guard services for individuals and for corporate organizations;
- Bodyguard, and guard dog services
- Traffic regulation services
- Access control services
- Security advisory and consultancy services
- Roving patrol services
10. Sales Forecast
One thing is certain, there would always be corporate and individual clients who can’t afford to leave the security of their properties and lives to government security agencies.
We are well positioned to take on the available market in Beverly Hills – California and we are quite optimistic that we will meet our set target of generating enough profits from the first six months of operation and grow the business and our clientele base beyond Beverly Hills to other cities in California and other states in the U.S.
We have been able to critically examine the security guard services market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Beverly Hills – California.
Below are the sales projection for Triple Protect® Security Guard, Inc., it is based on the location of our business and the wide range of security guard services that we will be offering;
- First Fiscal Year: $350,000
- Second Fiscal Year: $750,000
- Third Fiscal Year: $1.25 Million
N.B: This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown within the period stated above, and there won’t be any major competitor offering same services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
We are mindful of the fact that there is stiff competition amongst security guard companies in the United States of America; hence we have been able to hire some of the best business developers to handle our sales and marketing concerns.
Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization. We will also ensure that our excellent job deliveries speak for us in the market place; we want to build a standard security guard services business that will leverage on word of mouth advertisement from satisfied clients.
Our goal is to grow our security guard services company to become one of the top 10 security guard services companies in the United States of America which is why we have mapped out a strategy that will help us take advantage of the available market and grow to become a major force to reckon with not only in Beverly Hills – California but also in other cities in the United States of America.
Triple Protect® Security Guard, Inc. is set to make use of the following marketing and sales strategies to attract clients;
- Introduce our business by sending introductory letters alongside our brochure to corporate organizations, religious organizations, schools, households and key stake holders in and around Beverly Hills – California
- Promptness in bidding for private security services contracts from the government and other cooperate organizations
- Advertise our business in relevant magazines, newspapers, TV and radio stations
- List our business on yellow pages ads (local directories)
- Attend relevant international and local expos, seminars, and business fairs et al
- Create different packages for different category of clients in order to work with their budgets and still deliver quality private security services to them
- Leverage on the internet to promote our business
- Engage in direct marketing approach
- Encourage word of mouth marketing from loyal and satisfied clients
11. Publicity and Advertising Strategy
We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us penetrate our target market. We are set to take the private security services industry by storm which is why we have made provisions for effective publicity and advertisement of our security guard company.
Below are the platforms we intend to leverage on to promote and advertise Triple Protect® Security Guard, Inc.;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms
- Sponsor relevant community based events/programs
- Leverage on the internet and social media platforms like Instagram, Facebook, twitter, YouTube, Google + et al to promote our brand
- Install our billboards in strategic locations all around Beverly Hills – California
- Distribute our fliers and handbills in target areas
- Ensure that all our workers wear our branded shirts and all our vehicles are well branded with our company’s logo et al.
12. Our Pricing Strategy
Just like in services and consulting businesses, hourly billing for private security services is also a long – time tradition in the industry. However, for some types of contracts or clients, flat fees make more sense because they allow clients to better predict the overall service charges.
As a result of this, Triple Protect® Security Guard, Inc. will charge our clients both flat fee and hourly billing as long as it favors both parties. At Triple Protect® Security Guard, Inc. we will keep our fees below the average market rate for all of our clients.
In addition, we will also offer special discounted rates to startups, nonprofits, cooperatives, and small social enterprises. We are aware that there are some clients that would need regular security guard services or related security consulting services, we will offer flat rate for such services that will be tailored to take care of such clients’ needs.
- Payment Options
The payment policy adopted by Triple Protect® Security Guard, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Triple Protect® Security Guard, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via POS
- Payment via online bank transfer
- Payment via check
- Payment via bank draft
In view of the above, we have chosen banking platforms that will enable our client make payment for services rendered without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.
13. Startup Expenditure (Budget)
When it comes to starting any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
The resources and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked. As for the detailed cost analysis for starting a security guard services company; it might differ in other countries due to the value of their money.
These are the key areas where we will spend our startup capital;
- The total fee for incorporating the business in the United States of America – $750
- The budget for basic insurance policy covers, permits and business license – $2,500
- The amount needed to acquire a suitable office facility (Re – Construction of the facility inclusive) – $150,000
- The Cost for equipping the office (computers, software applications, printers, fax machines, furniture, telephones, filing cabins, security and safety gadgets and electronics et al) – $5,000
- The Cost of Launching an official Website – $600
- The cost for the purchase of 21st century security gadgets, software and guard dogs et al – $100,000
- Budget for paying employees for 2 months plus utility bills – $100,000
- Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
- Miscellaneous: $5,000
Going by the report from the market research and feasibility studies conducted, we will need about four hundred and fifty thousand (450,000) U.S. dollars to successfully set up a medium scale but standard private security company in the United States of America.
Generating Startup Capital for Triple Protect® Security Guard, Inc.
Triple Protect® Security Guard, Inc. is a private partnership business that will be owned by Nicholas Johnson and his friend Leonardo Michael. They are the sole financiers of the firm, but may likely welcome partners later which is why they decided to restrict the sourcing of startup capital for the business to just three major sources.
These are the areas we intend generating our startup capital;
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the Bank
N.B: We have been able to generate about $150,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $300,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The survival and profitability of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. One of our major goals of starting Triple Protect® Security Guard, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to offer our security guard services a little bit lower than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Triple Protect® Security Guard, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re training of our workforce is at the top burner.
We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List/Milestone
- Business Name Availability Check: Completed
- Business Incorporation: Completed
- Opening of Corporate Bank Accounts various banks in the United States: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of all forms of Insurance for the Business: Completed
- Securing a standard office facility and reconstruction inclusive: In Progress
- Conducting Feasibility Studies: Completed
- Generating part of the startup capital from the founder: Completed
- Applications for Loan from our Bankers: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Promotional Materials: Completed
- Recruitment of employees: In Progress
- Purchase of the needed security gadgets, patrol vans, security software application, guard dogs, uniforms, furniture, office equipment, electronic appliances and facility facelift: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business (Business PR): In Progress
- Health and Safety and Fire Safety Arrangement: In Progress
- Establishing business relationship with vendors and key players in the industry: In Progress