To start an unarmed security guard company, you’ll need the right licenses, a proper business structure, and a plan to attract clients. Getting set up starts at around $35,000 and involves handling legal requirements, building a reliable team, and marketing your services effectively. Today, we’ll walk you through everything you need to know to launch and grow your security business.

In this article, we’ll cover: 

• What an unarmed security guard company does
• Legal requirements and licensing
• Estimating startup costs
• Helpful tips
• Marketing and growing your business
• FAQ

Let’s start by discussing what an unarmed security guard company does.

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What does an unarmed security guard company do?

Unarmed security guard companies provide unarmed officers to clients who need them. They also manage the guards and make sure they’re up-to-date with their licenses and certifications to avoid legal complications.

Unarmed guards, also known as non-commissioned security officers, have many security-related duties. Here’s what they typically do:

• Discourage suspicious activity: Just having security around is usually enough to make people think twice before causing trouble.
• Control access: Guards make sure only the right people get into buildings, events, or restricted areas, often working with access control systems like ID cards and biometric scanners.
• Patrol properties: If tasked to, unarmed guards patrol designated areas, helping to catch anything suspicious before it becomes a bigger issue.
• Monitor security systems: Guards keep an eye out for anything unusual by monitoring surveillance cameras.
• Help customers and employees: Depending on where they work, security guards are often the first people visitors interact with, so they also handle questions and basic assistance.

Why hire unarmed security instead of armed guards?

Many businesses choose unarmed security because it’s more affordable (plus there are lower liability risks since no firearms are involved). These guards are also ideal for lower-risk environments like hotels, office buildings, or residential areas where people may still want a watchful presence while keeping a welcoming environment.

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Legal requirements and licensing

Starting an unarmed security guard company isn’t just about hiring guards and finding clients, you also need to get the legal side of things in order. Here’s what you need to know about registering your business, licensing, and insurance:

Registering your security business

Before you can officially open your doors, you need to set up your business properly. Here’s how:

• Choose a business structure: Most security companies register as an LLC (Limited Liability Company) or a corporation to protect their personal assets. Check with your state’s business office to see which structure works best for you.
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• Pick a business name: Choose something professional and unique, then check your state’s database to make sure the name isn’t already taken.
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• Get a state business license: Most states require unarmed security companies to have a general business license before offering services. You typically have to apply through your state’s licensing office or Secretary of State website.
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• Get security licenses: First, you’ll need to get your private security license, and then you can start looking at any other licenses you may need to operate as an unarmed security company.

Guard licensing and compliance 

Every state has its own rules when it comes to security guard licensing, so it’s important to know what’s required where you plan to operate. In general, you’ll need:

• Licensed guards: Since your company will be providing unarmed guards, your employees will likely need a Level 2 security officer license (also known as a non-commissioned officer license, or a guard card).
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• State-specific training mandates: Some states require guards to complete training on topics like de-escalation techniques, emergency response, and report writing before they can start working.

As a security company, it becomes your responsibility to make sure that you and your guards keep your licenses up-to-date. Keeping track of everything can be overwhelming, but tools like Belfry can help you keep track and get alerts when renewals are coming up. 

Insurance requirements for security companies

Security work comes with risks, so getting the right insurance is a must. Most clients won’t even consider hiring your company unless you have proper coverage. You’ll likely need:

• General liability insurance: This protects your company if a guard accidentally damages property or if someone claims negligence. Many states require a minimum coverage amount, so check the minimum in yours.
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• Workers’ compensation: This covers medical costs and lost wages if an employee gets hurt on the job. This is required in most states if you have employees.
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• Bonding: Some states require a surety bond, which is like a financial guarantee that your company will follow the law and fulfill contracts. Even if it’s not required, having one can help you to build trust with clients.

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Estimating startup costs and securing funding 

The costs for starting an unarmed security guard company typically start around $35,000 for smaller-scale operations. Larger-scale operations could start from $150,000 but cost $500,000 or more.

Here’s a breakdown of key startup expenses:

• Business registration and licensing: $40 to $3,000 for business setup and security licenses.
• Insurance and legal fees: $4,000 to $12,000 for general liability insurance, workers’ comp, and legal services annually.
• Equipment: $1,800 to $50,000 for uniforms, radios, mobile devices, and ID badges.

Other startup costs may include office space, payroll setup, and marketing. You’ll also need to consider the hiring and training costs per guard, which could be anywhere from $20,000 to $70,000 annually.

You can self-fund your business, but sometimes, you might need a little help to get it going. If you’re low on capital, consider small business loans or bank financing. You might also be able to secure grants and low-interest loans from government and industry programs for minority and veteran-owned businesses.

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Tips for building your team and setting up operations

Establishing your own unarmed security guard company is no easy feat. Here are a few tips to help you get started:

• Hire the right security officers: Look for reliable, professional, and trustworthy unarmed guards who have up-to-date licenses.
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• Run background checks: Verify their qualifications, experience, and any required state licenses. There’s no harm in ticking all the boxes.
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• Provide essential training: Cover security basics, de-escalation techniques, and customer service skills to make sure your guards’ service is at a quality you’re happy with.
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• Develop standard operating procedures (SOPs): Create clear guidelines for guard duties and responsibilities. These may evolve as you get clients (and may be different for every client).
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• Plan for emergencies: Set up response protocols for incidents like theft, disturbances, or medical issues — preparation is key, after all.
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• Implement reporting protocols: Require detailed incident reports and regular check-ins. Establish who you want reports to go to first and how you want them to be handled.
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• Choose the right software: Security management apps like Belfry can help with scheduling, communication, and reporting. The right tools can make it easier for you to keep track of your operations and manage your guards.
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• Establish guard post orders: Once you secure clients, outline specific instructions for each site and shift so there is no confusion.

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Marketing and growing your security business

Finding clients for your unarmed security guard company takes a mix of relationship-building, smart marketing, and using technology. 

Start by connecting with property managers, event planners, and corporate offices — these industries frequently need security services, and getting in touch can result in steady contracts and potential referrals. Government and corporate contracts also provide steady work, but they often require meeting strict qualifications and going through a formal bidding process.

Here are some tips for finding clients:

• Build a strong online presence: Create a professional website and keep your Google Business Profile updated. If you don’t know how to build a website, you can pay someone to or use something like Squarespace, which makes it simpler for you.
• Use social media: Social media is one of the best ways to get your name out there. Create an account on platforms like Facebook and LinkedIn and share industry insights, client success stories, and behind-the-scenes content to build your credibility.
• Network and partner up: Attend security industry events, join security associations, and connect with local business groups to gain referrals.

Once your business starts growing, you may want to expand your services. Consider:

• Adding specialized services: Mobile patrol, event security, and concierge security can help you stand out from competitors.
• Investing in technology: Security management software can automate scheduling, incident reporting, and billing, making daily operations more efficient. You can also invest in guard tour systems, surveillance technology, and new equipment for your guards.
• Hire strategically: Bringing on more security officers and managers is part of scaling your business, but it’s important to prioritize maintaining the quality of your service first.

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Frequently asked questions 

How much does it cost to start an unarmed security guard company?

Startup costs start around $35,000, depending on state licensing fees, insurance, and equipment. Expenses include business registration, liability insurance, uniforms, and communication tools.

What licenses do I need to operate a security company?

Most states require a business license, a private security company license (if applicable), and individual guard licenses. Check with your state’s security board for specific requirements.

How can I stay in compliance with state regulations?

Keep all business and guard licenses current, follow state-mandated training, and carry required insurance like general liability and workers’ compensation. 

How do I handle payroll and scheduling for my security guards?

Security management software like Belfry or payroll services like Gusto, ADP, and QuickBooks Payroll can automate scheduling, track hours, and keep you compliant.

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How Belfry can streamline your security operations

Upon reading our guide, you now know how to start an unarmed security guard company — and you might be heavily considering starting your own. Belfry can help.

Belfry is an all-in-one security management platform that offers tons of features to simplify your operations so you can provide quality service while reducing your admin work.

Here's how:

• Reduce downtime: Belfry offers automated shift scheduling to help you fill every shift based on site requirements and guard training and certifications.
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• Simpler reporting: Your guards can use the Belfry mobile app to send you detailed reports with evidence attachments, no pen and paper required.
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• Communicate easily: Belfry’s mobile app includes instant messaging that allows you to communicate with your guards and dispatchers with ease.
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• Guard accountability: Want to keep track of your guards? Belfry’s GPS tracking features let you check if your officers are adhering to their post orders. Geofencing alerts let you know if they leave their designated areas.
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• Client transparency: Build trust with your clients with Belfry’s real-time client portal that provides access to patrol activities, incident reports, and compliance information.
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• Track compliance: Input your guards’ licenses and Belfry can help you track them, sending you alerts when they’re up for renewal.

Want to see how Belfry can make running an unarmed security company simpler? Schedule a free demo today.