Starting a Security Company in Nebraska | A Step-by-Step Guide

Steve Bennett
Business Formation Expert  |   Fact Checked by Editorial Team
Last updated: 
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Nebraska Security Company

Starting a security company can be a lucrative business opportunity in Nebraska, especially in today’s world, where the demand for security services is rising. However, Nebraska requires careful planning, a thorough understanding of the industry, and diligent execution to ensure success. This article will provide a comprehensive guide on how to Start a Security Company in Nebraska and help you navigate the various steps involved in setting up your own Limited Liability Company.

Webinarcare Editorial Team will help you gain knowledge through thorough research and market study. Before starting your Nebraska security company, all the steps in this article must guide you.

What is a Security Company in Nebraska

A security company in Nebraska is a business organization providing varying protection services to individuals and other businesses. These services can range from personal protection, akin to bodyguard services, to security systems for large corporations. Such companies aim to safeguard their clients’ assets by mitigating potential threats and breaches. State laws regulate them; they must obtain appropriate licenses and certifications before starting their operations.

To start a security company in Nebraska, one may form a Limited Liability Company (LLC). Setting up an LLC in Nebraska adds credibility to the business, protects personal assets, and often simplifies tax filing processes. With an LLC, the company’s assets and liabilities are separate from those of its owners. Therefore, the owner’s personal property cannot cover the company’s debts.

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How to Start a Security Company in Nebraska

To form an LLC for a security company, there are various steps you need to be aware of, especially if you will form it in Lincoln. Here are the necessary steps and proper guidelines for starting a security company. 

Step1: Research the Market and Competition

Before starting a security company, studying the market and competition in Nebraska is essential. This will give you a better understanding of the existing security companies, their services, and their target clients. You can use various resources such as the internet, local business directories, and networking with security professionals in your area.

While researching the market, focus on identifying the demand for various security services, such as armed or unarmed security guards, alarm monitoring, and security systems installation. This will help you determine the type of services your company will offer and the target audience.

Step 2: Develop a Business Plan

A well-thought-out business plan is crucial for starting a security company in Nebraska. The business plan should outline your company’s goals, target market, services, marketing strategies, and financial projections. It should also include an analysis of the competition and potential challenges your company might face.

A solid business plan will help you stay organized and focused on your objectives and will also be required when seeking financing or investment for your security company.

Step 3. Choose a Business Structure

When starting a security company in Nebraska, you must choose a business structure that best suits your needs and meets the legal requirements. Here are the most common business structures to consider:

Sole Proprietorship

This is the simplest business structure, where you, as the owner, have full control over the business and are personally responsible for all debts and liabilities. This may be suitable for small security businesses with minimal risk exposure.

Partnership

Starting a limited partnership or general partnership in Nebraska is also an ideal business structure since it is owned by two or more individuals who share the profits, losses, and responsibilities. This can be a good option if you’re starting a security company with a partner and want to share decision-making and financial responsibilities.

Limited Liability Company (LLC)

An LLC combines a corporation’s and a partnership’s benefits. Owners, called members, have limited personal liability for the company’s debts and actions while also enjoying flexible management options. This is a popular choice for small to medium-sized security companies, as it provides some protection for personal assets.

Corporation

A corporation is a separate legal entity owned by shareholders. It provides the most protection from personal liability but also involves more regulations, paperwork, and costs to set up and maintain. Corporations in Nebraska are typically more suitable for larger security companies with multiple employees and substantial assets.

When starting a security company in Nebraska, consult with a Business Attorney in Nebraska to determine the most suitable business structure for your specific needs and goals. We recommend to start an LLC since it offers limited liability protection for your business.

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Step 4: Register Your Business

Once you’ve chosen a business structure, register your security company with the Nebraska Secretary of State. This typically involves filing the necessary paperwork and paying a registration fee. Here are the things you need to apply for or hire to register your Nebraska security company.

Choose a Name

Choosing a name for your Nebraska security company is important in establishing your brand identity and reflecting your services. Here are some tips and suggestions to help you choose a name:

  • Keep it Simple and Memorable: Choose a name that is easy to pronounce, spell, and remember. This will make it easier for potential clients to find and remember your company.
  • Incorporate Keywords: Including words related to security, safety, or protection in your company name can help potential clients understand what services you provide. Some examples of keywords are “guard,” “patrol,” or “surveillance.”
  • Reflect on Your Niche: If your Nebraska security company focuses on a specific niche, such as residential, commercial, or event security, consider incorporating this into your company name.
  • Consider Using Your Location: Incorporating the name of your Nebraska or a specific city or region can help potential clients identify your company as a local business and establish a connection to your service area.
  • Check for Availability: Before settling on a name, ensure it is not already used by another security company in your area or registered as a trademark. You can check the availability of a name by searching the Nebraska Secretary of State Corporate & Business Entity Search‘s website and the United States Patent and Trademark Office (USPTO) website.

Based on these tips, here are some sample names for a security company in Nebraska:

  1. Nebraska SecureGuard Services
  2. Nebraska Sentinel Protection
  3. SafeShield Security Nebraska
  4. Nebraska Premier Patrol
  5. Nebraska Homeland Security Solutions
  6. Nebraska Watchtower Security Services

Remember to choose a name that reflects your company’s values, services, and target market while being unique and memorable. There is a complete guide on Nebraska Business Name Search for you to have a proper Nebraska security company name. 

In Nebraska, if you do not wish to file your security company right away but want to hold the name that you have decided on, then you can reserve your security company name for 120 days. You must file a name reservation application with the Nebraska Secretary of State to keep the name. 

You can register your business under a different legal name if your preferred name isn’t available. Once you have chosen a name, you can submit an application for Nebraska DBA (doing business as)

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Hire a Registered Agent

In forming a security company in Nebraska, the role of a Registered Agent is crucial for ensuring compliance with state regulations and maintaining a line of communication with the state government. A Registered Agent is a person or entity responsible for receiving important legal documents, and government notices on behalf of your security company. Here are some key roles and responsibilities of a Registered Agent in Nebraska:

  • Legal Document Reception: A Registered Agent receives legal documents, including lawsuits (also known as service of process), subpoenas, and other official correspondence related to your business. They promptly inform you of legal actions or requirements affecting your security company.
  • Government Correspondence: A Registered Agent receives official notices, correspondence, and documentation from the state government, such as Biennial Report notifications, tax notices, and other compliance-related information.
  • Compliance Assistance: A Registered Agent will help your security company maintain good standing in Nebraska by promptly notifying you of legal and compliance-related matters. This can be crucial for avoiding penalties, fines, or even the dissolution of your business.
  • Maintaining a Physical Address: A Registered Agent must have a physical street address (not a P.O. Box) within Nebraska, where they are available during normal business hours to receive legal documents and government notices. This is particularly important for businesses that do not have a physical office location in the state or for out-of-state business owners.
  • Record-Keeping: A Registered Agent may also offer additional services, such as maintaining and organizing your business records, tracking filing deadlines, and assisting with annual report submissions. 

You can serve as your Registered Agent, appoint a friend or family member, or hire the Best Nebraska Registered Agent Services.

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File The Certificate of Organization 

If you form an LLC for your security company, you must file the Nebraska Certificate of Organization, which costs $105. It is crucial to provide accurate and complete information on this document, as errors or omissions may result in delays or rejection of your filing.

Create an Operating Agreement

An Operating Agreement in Nebraska is a legal document outlining the ownership structure, management, and operating procedures of a Limited Liability Company (LLC). While not always required by law, having an operating agreement is highly recommended for security companies in Nebraska to ensure clear communication and expectations among the owners.

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Obtain an Employer Identification Number

You must first obtain an Employer identification number (EIN) in Nebraska from the IRS if you will open a bank account or hire an employee for your Nebraska security company. 

The application of an EIN in Nebraska can be through the following:

  • Apply Online- The online EIN application is the preferred method for customers to apply for and obtain an EIN.
  • Apply by Fax- Taxpayers can fax the completed Form SS-4 application to the appropriate fax number), after ensuring that the Form SS-4 contains all of the required information.
  • Apply by Mail- The EIN application Form SS-4 can be filed via mail. The processing time frame to receive the mail is four weeks.
  • Apply by Telephone-International Applicants – International applicants may call 267-941-1099 (not a toll-free number) from 6 a.m. to 11 p.m. (Eastern Time) Monday through Friday to obtain their EIN.

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Step 5: Obtain Licenses and Permits

Starting a security company in Nebraska requires obtaining specific licenses and permits. These may vary depending on your location and the services your company will offer. Some of the common licenses and permits needed for a security company include the following:

  • Security Company License: This mandatory license allows you to operate a security company in Nebraska. The requirements for obtaining this license may vary depending on your location but generally include submitting an application, paying a fee, and passing a background check. The cost of filing a security company license ranges from $50 – $150 (depending on the license type).
  • Security Guard Licenses: If your company employs security guards, they must be licensed in Nebraska. This typically involves completing a state-approved training program, passing a background check, and paying a licensing fee.
  • Firearms Permit: If your company provides armed security services, you and your employees must obtain firearms permits. The requirements for obtaining a firearms permit in Nebraska may include completing a training course, passing a background check, and paying a fee.
  • Business License: Nebraska may require a Business License. The business license fee in Nebraska ranges from $50 – $300.

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Step 6: Get Insured

Insurance is crucial to starting a security company in Nebraska. You’ll need to obtain various types of insurance to protect your business and employees, including:

  • General Liability Insurance: To protect your company from claims of bodily injury, property damage, and personal injury resulting from your services.
  • Workers’ Compensation Insurance: To cover medical expenses and lost wages for employees who are injured on the job.
  • Professional Liability Insurance: To protect your company from claims of negligence or failure to perform professional duties.
  • Commercial Auto Insurance: If your company uses vehicles for business, you’ll need commercial auto insurance to cover accidents or damage.

You can apply for Nebraska Business Insurance for your Nebraska security company. 

Step 7: Hire and Train Employees

Hiring and training qualified employees is essential for the success of your security company in Nebraska. When hiring security guards, look for individuals with previous security experience, military or law enforcement backgrounds, and strong communication skills.

Once you’ve hired your employees, you must provide them with the necessary training to perform their duties effectively. This may include state-approved security guard training programs, firearms training, specialized first aid, crisis management, and customer service courses. In addition, before hiring and training employees for your Nebraska security company, you must obtain an EIN with the Internal Revenue Service.

Step 8: Invest in Equipment and Technology

Your Nebraska company must invest in high-quality equipment and technology to provide top-notch security services. Some essential equipment for a security company in Nebraska includes:

  • Uniforms and badges for your security guards
  • Firearms and non-lethal weapons (e.g., pepper spray, stun guns)
  • Security vehicles
  • Surveillance cameras and alarm systems
  • Communication devices, such as radios or smartphones
  • Computer hardware and software for managing your business operations

Step 9: Market Your Security Company

Effective marketing is essential for attracting clients and growing your security company in Nebraska. Some marketing strategies include creating a professional website to showcase your services and expertise; printing and distributing business cards, brochures, and flyers; advertising online, in local newspapers, and on radio or television; offering discounts or promotions to attract new clients; networking with local business owners and community organizations; and participating in trade shows and industry events.

Step 10: Provide Excellent Customer Service

Providing excellent customer service is crucial for the success of your security company in Nebraska. Strive to meet or exceed your client’s expectations by providing high-quality security services, addressing their concerns promptly, and maintaining open communication. You’ll build a strong reputation and encourage repeat business and referrals by consistently delivering exceptional customer service.

FAQs

What are the licensing requirements for starting a security company in Nebraska?
In Nebraska, security companies are required to obtain a license from the Nebraska State Patrol.
How do I apply for a security company license in Nebraska?
You can apply for a security company license in Nebraska through the Nebraska State Patrol.
How much does it cost to start a security company in Nebraska?
The cost of starting a security company in Nebraska varies depending on a number of factors, including the type of security services offered, size of the company, and operational costs.
What types of security services can I offer in Nebraska?
In Nebraska, security companies can offer a wide range of services, including guard services, alarm response, surveillance, and private investigations.
Do I need to carry liability insurance as a security company in Nebraska?
Yes, liability insurance is mandatory for security companies in Nebraska.
What training is required to start a security company in Nebraska?
In Nebraska, security company owners and employees must pass a background check and complete relevant training courses.
Can I start a security company in Nebraska without any security experience?
Having security experience is not always necessary to start a security company in Nebraska, but it can be helpful.
What is the demand like for security companies in Nebraska?
The demand for security services in Nebraska varies depending on location, industry, and other factors.
Are there any tax breaks or incentives available to Nebraska-based security companies?
There may be tax breaks and incentives available to Nebraska-based security companies. Consult with a tax professional for more information.
Can I operate a security company out of my home in Nebraska?
Yes, it is possible to operate a security company out of your home in Nebraska, but there may be zoning restrictions and other regulations to consider.
How do I compete with established security companies in Nebraska?
To compete with established security companies in Nebraska, you should focus on offering unique and high-quality services, and developing strong customer relationships.
Is it easy to hire qualified security personnel for my company in Nebraska?
There are many qualified security personnel available in Nebraska, but it can be a competitive market.
Is it difficult to obtain contracts with local businesses in Nebraska?
Securing contracts with local businesses in Nebraska can be competitive, but having quality services and building relationships can help.
How do I develop a business plan for my security company in Nebraska?
Developing a business plan for your security company in Nebraska involves researching the market, outlining managerial and financial strategies, and projecting future growth.
Can I grow my company outside of Nebraska?
Yes, it is possible to grow your security company outside of Nebraska, depending on the state’s licensing requirements and regulations.
How do I market my security company in Nebraska?
Marketing your security company in Nebraska can be done through online advertising, social media, referral networks, trade shows, and other methods.
How can I ensure the safety of my clients in Nebraska?
Ensuring the safety of your clients in Nebraska involves strong communication, trained personnel, and efficient technology, such as surveillance cameras and alarm systems.
Should I focus on residential or commercial security services in Nebraska?
Focusing on residential or commercial security services in Nebraska depends on your preferences, expertise, and industry demand.
Should I franchise my security company in Nebraska?
Franchising your security company in Nebraska may be a viable option if you have a strong brand and business model, and are seeking growth.
How can I finance my security company in Nebraska?
Financing your security company in Nebraska can be sought through investors, loans, grants, crowdfunding, and other sources.
Can I start a nonprofit security company in Nebraska?
It is possible to start a nonprofit security company in Nebraska, but there are specific regulations and tax requirements to consider.
What operational costs are associated with a security company in Nebraska?
Operational costs for a security company in Nebraska can include personnel expenses, training fees, equipment and insurance costs, maintenance fees, and rent or lease expenses.
Are there any risks associated with starting a security company in Nebraska?
Like any entrepreneurial venture, there are risks associated with starting a security company in Nebraska, such as competition, market fluctuations, personnel issues, and legal issues.
Can I offer cybersecurity services as a security company in Nebraska?
While the primary focus of a security company in Nebraska may be physical security, it is definitely possible to expand into cybersecurity services.
Do I need to carry firearms as a security company employee in Nebraska?
Security company employees who carry firearms in Nebraska must receive specialized training and licensing.
How do I stay up-to-date with relevant security laws and regulations in Nebraska?
Answer:Keeping up-to-date with relevant security laws and regulations in Nebraska involves continuing education, utilizing industry resources, and consulting with legal professionals.
Can I employ off-duty or retired police officers in my security company in Nebraska?
Employing off-duty or retired police officers is definitely an option for a security company in Nebraska, depending on licensing and regulatory requirements.
Do I need to have a physical office for my security company in Nebraska?
While having a physical office for your security company in Nebraska is recommended, it is not always required.
Is it necessary to obtain a license to start a security company in Nebraska?
Yes, you must obtain a license from the Nebraska Secretary of State’s Office.
What are the minimum qualifications required to obtain a license for a security company in Nebraska?
The applicant must be at least 19 years of age, have no felony convictions, and pass a criminal background check.
How much does it cost to obtain a security company license in Nebraska?
The initial application fee is $1,500, and there is a $50 renewal fee each year.
Do I need any specific qualifications or experience to start a security company in Nebraska?
No, but it may be helpful to have prior law enforcement or military experience.
Do I need insurance for my security company in Nebraska?
Yes, you must have at least $500,000 in liability insurance.
Are there any restrictions on the types of security services I can offer in Nebraska?
Yes, you must obtain a separate license for unarmed, armed, and roving patrol services.
Is there a minimum or maximum number of employees required to start a security company in Nebraska?
No, but you must have at least one licensed security officer.
What types of training do security officers in Nebraska need?
Security officers in Nebraska must complete at least eight hours of training in things like legal authority, crisis intervention, and use of force.
How do I obtain a training certificate for my security officers in Nebraska?
The training must be provided by a certified instructor or training school that is approved by the state’s Private Detective Licensing Division.
Are there any continuing education requirements for security officers in Nebraska?
Yes, security officers must complete four hours of continuing education each year.
Can a security company employee carry a firearm in Nebraska?
Only licensed armed security officers may carry a firearm in Nebraska.
Can security officers make arrests in Nebraska?
Yes, as long as they have the authority to do so and follow proper procedures.
What forms of identification are required to work as a security officer in Nebraska?
Security officers must carry a photo identification card issued by their employer and wear a uniform that displays the company name and logo.
Does Nebraska recognize security licenses from other states?
No, Nebraska requires that security officers and companies be licensed in Nebraska specifically.
Can I have more than one security company location in Nebraska?
Yes, but each location must have a separate license.
Do I need to renew my Nebraska security company license every year?
Yes, you must apply and pay for license renewal annually.
Is there anything in particular I should know about local ordinances and licenses in Nebraska?
Depending on where exactly your security company is located in the state, certain cities may require additional licenses or fees.
Will I need to undergo a second background check to renew my Nebraska security company license?
Yes, you must submit to a criminal background investigation every time you apply for license renewal.
How long does it typically take to process a security company license application in Nebraska?
Processing time for a new license can take up to six to eight weeks after receipt and review of application, including criminal history checks.
Will Nebraska state authorities perform any on-site inspections of my security company?
Yes, the state’s Private Detectives Licensing division reserves the right to conduct annual or emergency inspections of your security company.
How can I apply for a verified electronic security or alarm contractor license in Nebraska?
Contact the Nebraska State Electrical Inspector.
Will state and local taxes apply to my Nebraska security company?
Yes, some state and local taxes may apply to your security company operations, inventory, and sales.
Can I have a part-time security company in Nebraska?
Yes, as long as your company meets all the necessary state requirements and licensure criteria.
Are there any Nebraska-specific regulations on security cameras and surveillance equipment?
State confidentiality and privacy laws apply to footage and images captured of individuals by closed-circuit televisions.
How would I report accidents or injuries as the owner of a security company in Nebraska?
Contact the State of Nebraska Workers’ Compensation Court.
What steps should I take if I need legal help running my Nebraska security company?
Seek the advice of a licensed attorney practicing in Nebraska who specializes in corporate and security law.
Can my Nebraska security company work in confidential and intellectual property environments?
Security companies in Nebraska that manage penetration testing, corporate espionage, and counterterrorism services must submit an application to the state’s Private Detectives Licensing division to be authorized and accredited to perform these tasks.
Are private investigator and private detective licenses the same thing as a security company license in Nebraska?
No, these are separate types of licensing for investigation and surveillance services.

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Conclusion

Starting a security company in Nebraska can be rewarding and profitable. By following the steps outlined in this guide, you’ll be well on your way to establishing a successful security business in your area. Remember to be patient and persistent, as building your client base and reputation may take time. Your security company can thrive in the competitive Nebraska market with dedication and hard work.

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