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And now for the video script... :)

The Private Security Industry Regulatory Authority or PSIRA is a State Owned Enterprise mandated to regulate and control all aspects of the private security industry. It legally requires every individual, business and training facility operating in the security industry to be registered with them. This includes everyone from security guards, private investigators, locksmiths, security manufacturers and installers.

The private security industry is massive with over 11k registered security companies and 0.5m active registered security officers. By comparison The South African Police service has 150k police officers which makes the private security industry nearly 4 times larger than our police force.

To fund the oversight of the industry; PSIRA requires each individual, security business and training facility to pay a host of annual fees. This table show the comprehensive list of the various fees which in total generates more than R300m each year for the state owned entity.

Security is a serious business and shouldn’t be entered into lightly. It requires substantial investment and stringent adherence to the registration requirements with heavy penalties and forfeits for non-compliance. My recommendation is that you should only register a security business if you have a minimum of R50,000 available to invest in the venture.

Before this process can even start all the directors of a security company are required to complete compulsory training up to Grade B at an accredited security training facility. This training is separated into five grades; starting with grade E as the entry level and ending with grade A for Managers. Each grade usually takes about a week of training and for directors of security companies, a grade B qualification is the minimum requirement. Therefore, as a prospective director, you can plan on 4 weeks of training which will set you back a few thousand rand.

On completion of your training, the training facility will forward your the course report to PSIRA who will then create a PSIRA registration number for you which allows you to track the application online. This process is only available to individuals with a South African ID number. You will then need to complete the individual application form which includes fingerprints and a police clearance certificate. Once you have paid your individual registration fees to PSIRA they will notify you to collect your certificate at their branch, but be warned you will be turned away if you don’t make a booking in advance; either online or via the WhatsApp number. This process usually takes 6 weeks The good news is that you only have to do the training once, however individuals are required to pay renewal fees every two years and businesses every year to keep their certificates active.

Let’s assume the directors of the company have done their training and have received their individual PSIRA registration numbers. The next step is to get the company registered. This is also a pretty comprehensive process, starting with the company documents and shareholders declaration. They also require a business plan which should include a 1 year financial projection to demonstrate the viability of the business as well as an infrastructure plan where an inspector from PSIRA pays a site visit. Furthermore, you will need a tax clearance, if applicable firearm licenses, resolution to nominate an authorised party to sign the application documents on the company’s behalf as well as personal sureties and a design for a business insignia. So, as you can see it is very comprehensive

I would just like to draw your attention to the surety, this is where the individuals, either the directors or the owners of the company stand surety in their personal capacity for any fees due to PSIRA on behalf of the business. This is an onerous document so be sure to read and understand it before you sign it.

To gain better understanding of the costs associated with the registration; I have taken a new start-up security company as an example and broken down the application process into five phases.

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