How to Evaluate a Security Provider Before Signing a Contract

Most organizations only reassess their security provider at one of two key moments:

• When something goes wrong

• Or when a contract renewal approaches

At that point, the discussion often revolves around costs, coverage hours, and the more detailed contract terms. 

But security is not a commodity purchase. 

According to the U.S. Bureau of Labor Statistics, workplace violence continues to account for hundreds of fatalities each year in the United States. For organizations responsible for employees, contractors, or public-facing environments, security coverage is part of a broader responsibility to reduce preventable risk. 

Two proposals can look similar on paper, yet operate very differently once deployed. 

Understanding how to choose a security company requires evaluating more than the rates. It means examining how personnel are selected, how supervision works, and how escalation is handled. 

Before signing or renewing an agreement, the following criteria will help you assess which provider is right for you: 

Define the Outcome Before Comparing Providers

Before you even request a proposal, define what you want security to achieve.

An effective starting point is:

What are we trying to prevent?

• Is the goal deterrence and visible presence?

• Is access control the biggest concern

• Is the focus on preventing theft? Workplace disruption? Public intervention?

• Are there any known vulnerabilities or risks?

Security coverage should align with operational realities. 

For example: A construction site with valuable materials has different exposure than a corporate office with public access.

Without defining the objective first, it’s easy to revert to comparing headcount and hourly rates, rather than how well a provider can meet your requirements.

Review Personnel Selection and Site Fit

Security personnel are professionals operating in real-world environments. Placement decisions should reflect that. 

While many providers rotate officers across sites and shifts, assignments should be managed intentionally, not simply filled based on availability. 

When evaluating a security company, ask:

• How are officers assigned to a site?

• Is prior experience in similar environments considered?

• What screening and background checks are documented?

• What minimum training standards are required?

• How are last-minute changes handled?

Different environments demand different skillsets. 

A construction site may require vigilance and perimeter awareness. 
A corporate facility may require a different level of professionalism.
A warehouse may require strict access procedules and detailed reporting accuracy.

A structured provider should be able to answer these questions openly and honestly.

Evaluate Supervision and Escalation 

A security program is only as strong as the supervision behind it. 

When reviewing a provider, clarify how supervision is structured:

• Who directly supervises the officers assigned?

• How often is supervisory review conducted?

• Are site visits documented?

• If an incident escalates, who has the decision-making authority?

In higher-liability environments, clarity on these points are especially important. If an issue arises, there should be no uncertainty about who is responsible for making decisions or communicating with stakeholders. 

Clarify Reporting and Documentation Standards

Documentation is not paperwork that should be filed away. It determines how standards are maintained and improved over time. 

Structured reports turn incidents (even if minor) into learning opportunities. It allows teams to identify patterns and prevent procedural slips from compounding into larger problems.

Strong documentation does three things:

1. Creates accountability

2. Identifies recurring risks

3. Protects all parties if an incident is reviewed

Professional security frameworks emphasize the role of documentation in maintaining operational standards. Organizations such as ASIS International, which published industry guidance and security management standards, highlight the importance of structured reporting and review processes in professional security programs: https://www.asisonline.org/standards-guidelines/

When evaluating a provider, ask:

• Are daily activity reports standard practice?

• Are incident reports reviewed before submission?

• Are supervisory reviews documented?

• Are recurring issues formally addressed?

In environments where regulatory scrutiny are required, this distinction matters.

Confirm Regulatory Compliance

Licensing and insurance are non-negotiables. They are baseline requirements. 

Every security provider should be properly licensed in the state(s) where coverage is provided. Before signing a contract, confirm: 

• The company holds an active security license

• The license covers the specific services provided (armed, unarmed, etc.)

• Individual officers meet state registration requirements
  Insurance certificates are complete and accurate
  

You can verify licensing requirements through official state regulatory bodies. The National Conference of State Legislatures (NCSL) maintains an overview of state licensing frameworks and regulatory structures: https://www.ncsl.org/

Compliance documentation should be readily available and current. Due diligence at this stage prevents complications later.

Review Contract Terms Carefully

Beyond what has been listed above, there are other terms you should pay particular attention to:

• Renewal and auto-renewal provisions

• Notice periods for termination

• Rate adjustment clauses

• Scope change flexibility

• Transition procedures if coverage changes

A proposal may appear competitive at surface level, but contract language determines how flexible the relationship will be over time. 

Lower rates do not automatically reflect better value. Long-term agreements without clear performance mechanisms can limit your ability to adapt if your needs change.

Make the Decision With Clarity

Choosing a security company ultimately comes down to the contract details. The right provider is one whose structure, oversight, and accountability align with your responsibilities and expected outcomes.

If you would like a clearer breakdown of how different security companies are structured, including the difference between brokers and direct operators, read our guide on The Difference Between a Security Broker and a Security Operator.