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Read e-book Building A Successful Private Investigation Business

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By any stretch of the imagination, they are successful. But doing all of that would take a toll on my definition of success. The financial success will come later. Although I still have some work to do, by my own definition, I have been successful. But my success is not defined by how much money I make.

Resolutions, Business and Money - How to Run a Profitable PI Company

Private Investigator. Devoted husband and father. Sports junkie.

Surety Bonds and Liability Insurance for PI Agencies

The first step to starting a private investigation business is to obtain a private investigator license for the state in which you plan to operate. For more detailed information on licensing, visit our Private Investigator Licensing section.


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Learn about business licensing and insurance coverage requirements. Many states require a business license in addition to a private investigator license.

How To Start A Private Investigator Business (With Pictures) | Startup Jungle

Check with the state licensing authority to learn about the specific requirements for your state. It takes a while for your application to be processed, so get started on this right away. Insurance requirements for private investigators will vary from state to state and will also vary based on the type of work being performed. In most cases, private investigators will need the same type of coverage as any business, but there are some unique situations to consider.

There are other specialized types of private investigator insurance that may be necessary depending on the type of work being performed. Discuss the details with your insurance agent and lawyer, and contact multiple insurance companies to get price quotes before making a decision. Having an office will provide you with a place to conduct your private investigation business, meet with clients, interview witnesses, and store materials, equipment and supplies.

Private Investigation License

In addition to its functional benefits, a physical office space may help promote your business, especially if it is located in a high traffic area. Street and window signage will serve as important marketing and advertising tools to let people know about your business and your services. The downside of having a physical office space is, of course, the cost. The potential expenses associated with maintaining an office include: rent, utilities, equipment, supplies, parking and other expenses. On the other hand, a private investigation business can be run without a physical office.

A private investigator can easily run a business out of their personal residence. Meetings with clients and witnesses can be conducted in convenient public places such as restaurants and coffee houses, or a more private location if necessary. The money you save from not having to pay for an office can be redirected to marketing and advertising efforts, or toward additional profit for your company.

Private Investigator Business Success: 10 Tips to Grow Your Business

The type of equipment and supplies you need will depend largely on the types of services you plan to provide. If you are used to buying personal products through Amazon.

With an Amazon Business Account, you can select from thousands of business-only products. If I had to make an educated guess as to why the majority of investigation agencies fail, it would certainly be from a lack of regular business and an overall lack of case assignments. Remember: No clients equals no money.

How to Start a Private Investigation Business

Many new business owners feel that they can overcome these obstacles using traditional advertising strategies, but soon discover that most of their monetary investments are wasted. Very few people hire a detective due to seeing an ad in the newspaper or in the phonebook.

Instead, most ask for referrals from their attorneys, an industry insider or do their research online. If you are thinking about opening your own detective agency , take the time to build quality long-term relationships in every related industry that you can. No connection is a bad connection, but a lack of connections will ensure the death of your company when it is still young and susceptible.

Remember that personal and business referrals are the best and cheapest source of advertising and the surest way to gain new clients.

Building a Successful PI Business

It is also wise to diversify the services you will offer in your investigation business. Instead of providing just one type of service, consider offering many, especially until you become established in a particular niche. I personally recommend process service as a natural fit for almost all types of detectives, but other related services work well also. Consider private security, repossession work and even charity work to establish those all important connections. Remember, one happy client can bring in dozens more.