How to Start a Home Security Business

The outlook for providing home security services is expected to remain stable, with approximately 2 million reports of robberies in the United States annually. But there are several steps that should be considered when starting a home security business. A competitive analysis should be completed and the proper licenses and insurance should be secured. Here’s how to start a home security business.

Evaluate your competition. Before starting your business, you need to research your competition. Make a list of all competitors so you can learn more about the demand of home security services in your area. Contact each competitor to find out what types of services are offered and what prices are charged.

Consider becoming an authorized dealer. Becoming an authorized dealer for a large company such as ADT or Brinks provides an established brand and national advertising. You also have access to free training opportunities. To determine if becoming an authorized dealer is right for your home security business, contact each company and get the revenue sharing and payment structure.

Create a business plan. Before launching your home security business, you will need to develop a business plan. This will lay the groundwork for the launch of your business. If you haven’t created a business plan before, using a template is an easy way to get started. Companies such as offer free templates online.

Get the necessary licenses. All states require that you apply for some type of business license when launching a home security business. Contact your City’s business office to apply for a license. You will need to fill out an application and pay a fee ranging from $50-$100.

Consider purchasing liability insurance. Purchasing liability insurance will protect your business from potential lawsuits. If you are a member of your local chamber of commerce, you may qualify for a group discounted rate.


  • Invest in marketing. When getting your new business off the ground, it’s important to invest in marketing. Your marketing programs don’t need to be expensive, you can facilitate word of mouth programs where you incent current customers to provide referrals.


  • Establish a bookkeeping process. When your business is small, a program such as QuickBooks can be helpful in tracking accounts payable and receivable. Establish a process before you begin generating income for your business.