Want to start a security company in South Africa but not sure what it will cost? You’re in the right place. In this comprehensive 2026 guide, we break down every expense involved when you start a security company — from CIPC registration (R990) and PSIRA licensing (R8,500+) through to equipment, salaries, insurance, and your first month of operations. As a result, you’ll know exactly how much to budget before spending a cent.
Want us to handle the entire registration?
CIPC + SARS + Business Plan + PSIRA registration — from R2,490.
Quick Summary — How Much to Start a Security Company
First, before we dive into the details, here’s a high-level overview of what you can expect to spend:
In other words, the biggest variable is whether you offer unarmed guarding (lowest startup cost) or armed response and patrols (requires vehicles, firearms licences, and insurance). Consequently, most first-time entrepreneurs start with unarmed guarding and scale up.
1. Company Registration Costs
First of all, before you can register with PSIRA, you need a legally registered company. PSIRA only accepts Pty Ltd companies or Close Corporations (CCs) — in other words, sole proprietors cannot register a security business.
Total company registration cost: approximately R990. However, if you use our full security business package, CIPC and SARS registration is already included.
2. PSIRA Registration Costs
Next, we come to the largest mandatory cost. Every security company must register with PSIRA (Private Security Industry Regulatory Authority) before operating. Specifically, there are two separate registrations required:
Director Individual PSIRA Registration
At least one director must hold individual PSIRA registration before the business can apply. In addition, this involves background checks, fingerprinting, and training verification.
- Individual PSIRA registration: R550 per grade per person
- Minimum requirement: Grade B for directors
- If your director is not yet PSIRA registered, budget an additional R550–R1,100
Business PSIRA Registration
After that, once the director is individually registered, you apply for business registration:
Total PSIRA cost: R8,500 – R15,000 (including business plan and professional assistance). Furthermore, the R8,500 PSIRA application fee is non-negotiable and paid directly to PSIRA — no consultant can reduce this. In contrast, our facilitation fee covers the business plan, documentation, portal submission, and certificate collection.
💡 Important: The PSIRA application fee (R8,500) is separate from any consultant’s service fee. Be wary of companies advertising “PSIRA registration for R2,000” — they are likely excluding the PSIRA official fee. At Bekin Consulting, we are transparent: our service fee starts from R2,490, and the PSIRA official fee is paid separately to PSIRA.
3. Compliance and Employment Costs
Additionally, once your company and PSIRA registration are sorted, you need further compliance registrations before employing security officers:
Total compliance cost: R1,930 – R2,920 depending on which services you need immediately. For example, COIDA and PAYE/UIF are essential from day one if you’re hiring guards. On the other hand, BEE and CSD can wait until you bid on tenders — although having them ready gives you a competitive advantage.
4. Equipment and Uniform Costs
Similarly, the equipment you need depends on the type of security services you plan to offer:
Unarmed Guarding (Lowest Cost)
Armed Response and Patrol (Higher Cost)
In contrast, if you plan to offer armed response, patrol, or cash-in-transit services, you’ll also need to add these costs:
- Patrol vehicle: R150,000 – R350,000 (or R5,000 – R12,000/month lease)
- Vehicle branding: R3,000 – R8,000
- Firearm licences: R200 per firearm (SAPS application)
- Firearm safe: R2,000 – R5,000
- Body armour: R3,000 – R8,000 per vest
- GPS tracking system: R300 – R600/month per vehicle
Our recommendation: Therefore, start with unarmed guarding and access control. As a result, this keeps your startup costs under R40,000 and allows you to reinvest profits into vehicles and armed response capabilities later.
5. Office and Administration Costs
Moreover, PSIRA requires a physical business address. However, you don’t need a fancy office — many security companies start from a home office or shared workspace.
Budget admin setup: R3,500 once-off. In contrast, a standard setup runs R15,000 – R30,000. However, many successful security companies started from a home office with just a laptop and a phone.
6. Insurance Costs
In addition, insurance is essential for any security company — it protects you against claims from clients, employees, and third parties.
Minimum insurance budget: R800 – R2,500/month. Above all, most corporate clients will ask for proof of public liability and fidelity guarantee insurance before signing a contract.
7. Marketing and Client Acquisition Costs
Naturally, you need clients to generate revenue. Here’s what marketing typically costs for a new security company:
- Business cards and flyers: R500 – R1,500
- Google Business Profile: Free (essential — set this up immediately)
- Social media pages: Free (Facebook, Instagram, LinkedIn)
- Basic website: R3,000 – R10,000
- Google Ads (optional): R2,000 – R5,000/month
- Vehicle branding: R3,000 – R8,000 (doubles as mobile advertising)
Budget marketing: R500 – R2,000. Meanwhile, the most effective free strategy is networking, cold calling, and registering on the Central Supplier Database (CSD) to access government tender opportunities.
8. Monthly Operating Costs (Once Trading)
Finally, once your security company is registered and you start winning contracts, here are the ongoing monthly expenses you need to budget for:
What About Guard Salaries?
Importantly, the PSIRA minimum wage for security guards (2025/2026) is approximately R6,000 – R7,000 per month depending on the area and grade. As a result, this is the single biggest ongoing expense — typically 65–75% of your revenue.
Complete Cost Summary — Start a Security Company in 2026
In summary: You can start a security company that’s fully PSIRA-registered for as little as R25,000 if you bootstrap carefully and begin with unarmed guarding. Alternatively, a more comfortable setup with proper office, marketing, and equipment runs R50,000 – R90,000.
How to Start a Security Company on a Budget
Fortunately, here are proven strategies to minimise your upfront investment:
- Start with unarmed guarding — no vehicles, firearms, or specialist equipment needed
- Work from home — use your home address initially (with client meetings at coffee shops)
- Lease equipment — radios and uniforms can be leased rather than purchased outright
- Start with 2–3 guards — prove your model before scaling
- Use free marketing — Google Business Profile, Facebook, LinkedIn, and cold calling cost nothing
- Register for CSD early — government contracts provide stable, predictable revenue
- Use our Full Security Package (R4,990) — saves R1,500+ vs doing CIPC, SARS, business plan, and PSIRA separately
Revenue Potential — Is a Security Company Profitable?
Nevertheless, security is one of South Africa’s fastest-growing industries. For instance, here’s what you can realistically earn:
- Billing rate per guard: R45 – R85 per hour (depending on area and service type)
- Guard salary cost: R30 – R45 per hour (including benefits)
- Gross margin per guard: R15 – R40 per hour
- 5 guards × 12-hour shifts × 30 days: R81,000 – R216,000 revenue/month
- Typical net profit margin: 15–25% after all expenses
For example, a small security company with 5 guards on 24-hour contracts can generate R12,000 – R30,000 net profit per month within the first 6 months. Furthermore, scaling to 15–20 guards can push monthly profits to R50,000 – R100,000+.
Ready to Start Your Security Company?
Ready to start a security company? It doesn’t have to be expensive or complicated. The key is getting your CIPC and PSIRA registrations right from day one — and that’s exactly what we specialise in.
Let us handle the registration
CIPC + SARS + Business Plan + PSIRA — from R2,490. Full package R4,990.
Or read our complete step-by-step guide to starting a security company for the full process from idea to first contract.
Frequently Asked Questions
The minimum startup cost is approximately R25,000, covering CIPC registration (R990), PSIRA business registration (R8,500+), basic equipment and uniforms, and initial compliance registrations. A more comfortable setup with proper office, marketing, and equipment runs R50,000–R90,000.
The PSIRA official business application fee is R8,500–R9,500, paid directly to PSIRA. This is separate from any consultant’s service fee. A 3–5 year business plan (R3,000–R5,000) is also required. Our professional registration service starts from R2,490 on top of the PSIRA fee.
Realistically, no. The PSIRA business registration fee alone is R8,500, which is non-negotiable. However, you can minimise costs by starting with unarmed guarding (no vehicles needed), working from home, and beginning with just 2–3 guards. The absolute minimum is around R15,000–R25,000.
The PSIRA minimum wage for security guards in 2025/2026 is approximately R6,000–R7,000 per month depending on the area (Area A, B, or C) and the security grade. Guard salaries are typically 65–75% of a security company’s total expenses.
A small security company with 5 guards on 24-hour contracts can generate R81,000–R216,000 in monthly revenue, with a net profit margin of 15–25%. Scaling to 15–20 guards can push monthly profits to R50,000–R100,000+.
No. You can start with unarmed guarding and access control services, which don’t require vehicles. Patrol and armed response services require vehicles, but you can add these later as your business grows and generates revenue.
At minimum, you need public liability insurance (R500–R2,000/month) and fidelity guarantee insurance (R200–R500/month). Most corporate clients also require professional indemnity insurance. If you have vehicles, add comprehensive vehicle insurance.
From scratch, the full process takes approximately 4–8 weeks: CIPC registration (1–3 days), SARS registration (1–5 days), PSIRA business registration (15–21 business days), and compliance registrations (1–2 weeks). Using our full package speeds up the process as we handle everything in parallel.
