If you’re looking into how to start a security company in Tennessee, keep in mind that the state requires all contract security firms to be licensed through the Tennessee Private Protective Services program. You’ll also need to meet training requirements, pass a background check, and register your business before taking on any clients.

In this article, we’ll cover: 

• What the state requires to legally start a security company
• How to train and license your guards
• Steps to get your business up and running in Tennessee

Let’s jump right into the how-to.

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How to start a security company in Tennessee: 8 steps

Starting a security company in Tennessee takes some planning, but the state lays out exactly what you need to do. Here are eight key steps to help you get started the right way:

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1. Understand Tennessee’s licensing rules

Before you do anything else, it’s important to know how Tennessee handles security company licensing. The state regulates contract security firms through the Tennessee Private Protective Services program, which falls under the Department of Commerce & Insurance.

If you're starting a security company that offers services to outside clients, you'll need to apply for a license, meet training requirements, and follow insurance rules before you can legally operate. Tennessee takes this process seriously, so getting familiar with the basics now will save you time and stress later.

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2. Meet the state’s licensing requirements

To start a licensed security company in Tennessee, you’ll need to meet a few specific qualifications laid out by the state.

Here’s what’s required:

• Age and citizenship: You must be at least 21 years old and a U.S. citizen or legal resident.
  
  
• Experience or exam: You need at least 3 years of supervisory experience in security or law enforcement. If you're not sure whether your experience qualifies, the state will let you provide documentation or take a qualifying exam instead. Either way, this is a required step before you can move forward with your application.
  
  
• Background check: All applicants need to submit electronic fingerprints and pass criminal background checks through the Tennessee Bureau of Investigation (TBI) and the FBI.

How much is a security license in Tennessee?

The application fee is $300, and your license fee will vary depending on how many guards you plan to employ. You’ll pay more if you’re managing a larger team, so it’s good to know that upfront when planning your budget.

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3. Gather required documents

Once you’ve confirmed you meet the basic qualifications, you’ll need to pull together a few documents before submitting your application.

Here’s what you’ll need:

• Proof of insurance: Tennessee requires general liability coverage with minimum limits. The exact amount may vary, but $300,000 to $1 million in coverage is typical for security companies.
  
  
• Verification of experience or exam results: If you’re qualifying based on past experience, you’ll need documentation to prove it. This could be letters from former employers or other supporting records. Or, if you’re qualifying by exam, include your passing score.
  
  
• Articles of incorporation: If you're forming an LLC or corporation, you’ll need to submit your formation documents from the Tennessee Secretary of State.

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4. Submit your application online

Once everything’s in place, you’ll submit your license application through the Tennessee Department of Commerce and Insurance’s online portal. The process is handled entirely online, and you’ll be guided through each section as you go.

Here’s what to expect:

• Application fee: $300.
  
  
• License fee: Varies depending on the number of security guards you plan to employ; $125 for 0-49 guards and $425 for >49 guards.
  
  
• Supporting documents: Upload your insurance certificate, experience verification or exam score, and any other required paperwork.

After submission, the state will review your application, run your background check, and get back to you with approval or next steps. If anything is missing, they’ll let you know so you can update your file.

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5. Register your business and get insured

Along with your security license, you’ll also need to make sure your business is legally registered and properly covered. Getting this squared away early helps you avoid delays when it’s time to hire, invoice, or get new contracts.

Here’s what to do:

• Register your business: File your business name and structure (like an LLC or corporation) with the Tennessee Secretary of State.
  
  
• Get a federal EIN: You’ll need an Employer Identification Number from the IRS website for taxes, payroll, and banking.
  
  
• Carry proper insurance: Tennessee requires general liability insurance, and if you’re hiring guards, you’ll likely need workers’ compensation coverage too.

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6. Set up your operations and training

Tennessee has specific training rules for both unarmed and armed guards — and you’re responsible for making sure your team is licensed and well-trained on their security duties. 

Here’s what’s required:

• Unarmed guards: Must complete a minimum of four hours of pre-assignment training before starting work. Topics include basic patrol techniques, legal limits, and report writing. Don’t forget unarmed licenses must be renewed regularly, so keep track of TN unarmed security license renewal deadlines for your team.
  
  
• Armed guards: Need the unarmed training plus additional firearms training and qualification. This includes classroom instruction and a live-fire test at a certified range. You’ll also need to make sure your guards stay up-to-date on their licenses.

In addition to state training, you’ll want to build out your company procedures:

• SOPs (standard operating procedures): Clear instructions for how your guards should handle common situations, like disturbances or emergency calls. You might want to check out these security guard safety tips to help you build your SOPs.
  
  
• Employee handbook: Lay out rules on uniforms, schedules, job expectations, and what to do if there’s an issue.

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7. Hire and market your business

With your company set up and ready to go, it’s time to build your team and start getting clients. Whether you're starting small or aiming for steady growth, the goal is to get your name out there and earn people’s trust.

Here’s where to start:

• Hiring: Post job ads online, check in with local workforce programs, and ask around in your community. Always run background checks and verify that guards meet training and licensing requirements.
  
  
• Marketing: Set up a simple website with your services, service area, and contact info. Claim your Google Business Profile so local clients can find you.
  
  
• Networking: Reach out to apartment complexes, shopping centers, event organizers, and property managers. Many folks prefer working with a local company they can trust.

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8. Grow (and stay compliant)

Once your security company is up and running, it’s important to keep things tight, both in how you operate and how you grow. Staying organized, responsive, and legally up to date will help you keep clients happy and avoid surprises down the road.

Here are a few ways to keep things moving in the right direction:

• Stay on top of license renewals: Both your company license and your guards’ credentials (especially firearm certifications) have expiration dates. Keep a system like Belfry for tracking renewals so nothing slips through the cracks.
  
  
• Check in with clients: A quick follow-up after a job or contract period shows you care and helps you fix small issues before they turn into bigger ones.
  
  
• Explore new services: Once you’re steady, consider expanding into things like mobile patrols, risk assessments, or working with bigger commercial clients.

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How Belfry can help you streamline operations in Tennessee

The security statistics show that the contract security industry is growing. And now that we’ve discussed how to start a security company in Tennessee, you might be ready to start and grow your own. You probably know that running a security business means juggling schedules, guard performance, client reporting, and payroll, all while staying compliant with state rules. Belfry can help.

Belfry is security guard software that helps take the pressure off running your security operations by putting everything in one place. Here’s how: 

• Easy scheduling: Minimize scheduling conflicts and avoid unmanned shifts thanks to Belfry’s automated scheduling features that assign shifts based on site requirements, officer certifications, and training.
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• Increased officer accountability: Belfry has GPS tracking and NFC-based guided tours to help you make sure your guards are adhering to their post orders. Geofencing alerts help alert you if a guard leaves their designated area.
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• Digital incident reporting: Goodbye pen and paper — guards can more easily keep you up-to-date by sending digital incident reports through the Belfry mobile app. They can even attach any evidence if needed.
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• Track certifications: Prevent license compliance lapses by inputting your officers’ licenses and certifications. Belfry tracks renewal dates automatically and sends notifications when they’re coming up.
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• Custom reporting: Need to create reports? Belfry allows you to design tailored reports, including incident documentation, patrol activities, and compliance status.
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• Simplified payroll: Belfry automates time and attendance tracking to make payroll easier. It also tracks overtime, labor expenses, and timesheets to make financial reporting a breeze.

Ready to run your Tennessee security company the smart way? Schedule a free Belfry demo today.