Dilemma? How to start a home security business?

Let me break your curiosity and show you the right destiny you were looking to park your vehicle!

In this article, we are going to discuss every aspect related to the home security business.

Before we proceed to the steps, we need to follow to start this business, let’s first understand what a home security business is, its various types, required devices, and what makes us start this business.

What is Home Security Business?

Home security companies use a network of physical electronic equipment to protect homes or offices (in some cases) from burglary, home invasion, fire, flood, or any other environmental disaster.

The components involved in this business are a control panel, motion detectors, door and window sensors, a high decibel alarm system, wired or wireless security cameras, and a few signs for your windows and yard.

A home security organization installs and maintains these security systems in your home for some monthly charges for sure.

Let us understand the functions of the components used to secure your home.

Function of the components used for a home security system

Control Panel: It is a computer in a whole that performs multiple tasks such as arming or disarming the security systems, communicating with each installed device, indicating alarms when a security zone is breached, and communicating with an alarm monitoring company.

Security Cameras: These are actually smart security cameras that are hooked up to wi-fi and used to enable us to live-stream footage of our system remotely. We receive notifications when our cameras detect any piece of movement.

Such cameras may include infrared or color night vision and cloud or local storage. Some security cameras have a two-way audio system inbuilt that allows us to speak to whoever is on the camera. You also can go with the cameras that have smart platform integrations such as Google Assistance and Amazon Alexa.


Motion Sensors: The motor sensors are placed in the main entryway on the ground floor so that they can detect any motion and alert us if the system is armed. Few such sensors are pet-sensitive that they don’t go off if our pets walk by every time.

Entry Sensors: These sensors are also referred to as contact sensors. Entry sensors are magnetic which helps them to determine when one of these entrances is opened or closed. Such sensors have two parts, one is to set up on doors and windows and another is on the frames.

It alerts us every time the entry point is opened; therefore, it is recommended to be set up on the ground floor only.

Most Importantly

A Glass Break Sensor: Burglars are even smarter and they may directly break the windows open to avoid setting off the entry sensors. Then, a glass break sensor comes into the role since it can detect the sound of glass breaking and alerts us via mobile.

The Siren: It is helpful not only to generate a loud and piercing sound but also to flash lights when it is triggered by intruders in and around our home.

The Keypads: These can be mounted to the wall or be placed on a flat surface to enter code for arming or disarming the security system.

The Key Fob: It is as special as our car keys and can be used if we don’t have the keypads to arm or disarm our security systems. Such a key is preferred when we are upstairs and don’t want to come down again and again.

The Panic Button: It is the easiest and fastest way to alert emergency services when something goes wrong. Unlike a key fob or keypad, it is always kept around in case of any emergency and is highly recommended to keep at the bedside table.

Base Station: It is a grand central station and it syncs all the connected devices with our handset applications so that we can receive all the notifications on our mobiles.

The Yard & Window Signs: These are the signs used to warn any intruder regarding our security systems. In many cases, thieves and burglars turn around and run after seeing these signs.

The Smoke & CO Detectors: These devices detect smoke and carbon monoxide and play an important system in your security.

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The major types of Home Security Systems

We learned the different components used in a home security system above. Let’s us now know the classifications of these systems:

  • Monitored Alarm
  • Smoke Alarm
  • Intruder Alarm
  • CCTV Camera
  • Security Guards

10 Major Steps to Become a Home Security Agency

If you have decided to open your home security business, you can follow the below-required steps to become an agency.

1. Apply for a license and secure certificates

First of all, every new business requires to register with the state to receive a state tax identification unique number and an employee identification number from the IRS (Internal Revenue Service) officer.


They will also consider multiple things about you and your employees such as your background, knowledge about the security system, the place you are going to start your business from, and many more.

2. Research your competitors

A very important step is to know about your competitors’ history and where they are located. It would be easier for you if you know how the competitors are operating and marketing their services.

This strategy will also help you to know if your business will be profitable or not, and to know about the best possible location to start from. One more thing, by researching them, you can avoid the mistakes they committed for their business setup.

3. Contact Franchisors

Before diving into setting up your agency, find out and contact the franchisor you are considering working with. Once your franchisor gets ready for all the terms, conditions, and fees, you should be supplied with detailed instructions and recommendations for training, insurance, marketing, staff, and other expenses.

4. Make a business and marketing plan

A business plan is related to the area you will work in, the number of employees you keep, total investments (for devices, salary, rent, budgets), plans, and so on.

A marketing plan will be related to the strategies to market and advertise your business and brand. Most probably, you should have a specialized social media marketer to handle such things.

Most Importantly

5.Secure Start-up Funds

If you are financially not very sound, you need to contact your banks or other financial institutions to secure start-up franchising fees for your business. You can start your home security business in partnership if possible.

You can contact HDFC for business loans as they provide the loan easily or you can directly visit the Bajaj Finance website to apply for up to 45 lacs loan at https://www.bajajfinserv.in/collateral-free-business-loans.

In addition, you can opt for an MSME loan. All the private companies, sole proprietors, and private companies engaged in trading, manufacturing, or services sectors are eligible to apply for this loan.

Several other franchise institutions are helping for setting up small or large-scale businesses.

6.Required Training

You will be offered the franchise training by your franchisor and you can’t avoid that even if you are a seasoned business person. This will help you to become an expert in the home security service field and for future obstacles.

Such pieces of training are really helpful when we require to train or monitor our employees.

7.Select a perfect location

After completing your training and securing funds, you need proper research to find the location for your home security business.

Agency nearby residential areas would be a great idea. If new plots are allotted, you can decide your plan there as new families will come and they will need a home security system for their home for security.

Make sure, there shouldn’t be any home security service providers who can challenge you in the future. In addition, the location should be customer-accessible.

Your business must adhere to the government rules and work within the given guidelines. You can consider both rental or purchase options.


8.Hiring staff

This business needs qualified employees for sales, operations, and administration. A few technicians for electrical and technical set up are also required. You should have a team of at least 7-10 members in total at the start of the business and you can enhance the number once the agency starts earning accordingly.

We recommend having a documented hiring process, training program, and employee guidelines so that new hires know exactly what to expect while working for your agency.

9.Launch sales and marketing initiatives

Depending on the agreement, your franchisor should provide you with a basic marketing plan. You also can use social media platforms for ads and campaigns to market your brand online.

Promotion through newspapers and posters also works sometimes and you must apply for that. You can appoint some local workers to promote your business in the local location.

Train your employee in such a way that they also can help with your company’s promotions.

10.Hit operations

Now, you are ready to begin the operations with smart planning and preparation. Set up your security system for your own office first that leads your customers to convert into clients asap.

“Customers are god” is always the best policy, therefore try giving the best services to your customers. For mouth-to-mouth promotion, it is recommended that people opt-in for your services, and don’t betray them either in terms of money or services.

This will certainly fill your bucket with unlimited hope!

Total Investments required for this business

Starting a home security service is not an easy-going business if we talk about monetary terms. You not only require monetary but also non-monetary resources equally.

Buying a franchise can cost you around 10 Lacs INR initially.

The licensing and registration will cost around 1 Lac INR.

The cost of the equipment can cost you around 10 Lacs INR and more.

Employees’ salary per month will cost you 1-2 Lacs INR depending upon the number of staff.

There will be ongoing expenses too for maintenance and others.

You also need to keep around 10 Lacs INR or more in your account anytime for security purposes.

Is a home security service profitable?

Due to the increasing crime, home security is a need now. According to the new market research, the home security businesses are marked as one of the most taxpayers. This report also means that such agencies are earning a large amount.

We want you to know the reasons why people opt for home security services:

  • To protect their valuables such as electronics, pieces of jewelry, high-value items, and lives.
  • To deter crime.
  • To allow themselves remote access to their home.
  • To lower homeowner’s insurance.
  • To protect the home from fire or gas issues.
  • To take care of kids.
  • To manage and improve electricity.
  • To make the home for a piece of mind

However, the more clients you have the more you earn. The agencies must deliver the best services.

On average, a home security agency earns 5 Lacs to 8 lacs INR a month and approximately around 1 Crore INR in a year. Some Agencies are making more than the above amount.


In this article, we have discussed everything that is required to start your agency for a home security system. Any wrong decision or planning can ruin the whole concept of the business and that’s why we need to consider every point equally. Every business needs a lot of effort and funds accordingly, so is required by this business plan too. It is recommended to do your proper research, take proper training, select the best franchisor, complete paperwork, secure funds,  prepare a healthy team and train them, rent an office, buy equipment, and start your operations with the services you are considering to proceed with.

Our assistance, as well as best wishes, are always with you.

You can write us anytime you are stuck anywhere; we are here for you!

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