Should You License or Build? A Framework for Security Company Owners

Should You License or Build? A Framework for Security Company Owners

Private Security specialist in Beverly Hills with MSB Protection writing Software for a High Net Worth principal

Before diving into the article, I want to emphasize why I firmly believe we offer the absolute best bodyguarding service in Beverly Hills and Southern California.

As I break down the pros and cons of building vs. licensing technology, I also want to highlight the incredible research my team has conducted on AI-driven protection assistants — tools designed specifically to support security personnel via radio and phone.

This early repo marks the beginning of that journey. We started by training a realistic AI model to handle restaurant calls — some of the busiest and most complex in the country. Our thinking was simple: if our AI could take accurate, nuanced orders under pressure, it could absolutely handle incoming requests from a small, fast-paced security team.

In today’s private security landscape, custom software has become a powerful differentiator. From visitor management tools and incident reporting systems to mobile patrol platforms and integrated surveillance dashboards—your tech stack can define your operational efficiency, client trust, and growth capacity.

But when security companies begin exploring technology solutions, they often face a critical question: Should we build our own software in-house or license an existing solution?

This isn’t just a tech question. It’s a strategic business decision that affects everything from your cash flow and liability profile to your market competitiveness and long-term scalability.

At MSB Protection, we’ve faced and answered this question ourselves. As a high-end protection firm serving areas like Beverly Hills, Malibu, and Hidden Hills, we’ve walked the build path—and we’ve helped others decide when to license. In this article, we’ll share a clear framework to help you make the right decision for your firm.


The Build vs. Buy Debate—Why It Matters in Security

In many industries, the build vs. buy debate boils down to cost and convenience. But in private security, the stakes are higher:

  • Client confidentiality is non-negotiable
  • Real-time data integrity is critical
  • System failure can expose your firm to liability or reputational risk

That means choosing the wrong path can damage more than your budget—it can impact your brand, your client relationships, and your long-term viability.


What Does Licensing Software Mean?

Licensing means subscribing to a software solution developed by a third-party provider. You pay monthly or annually, usually on a per-user or per-site basis.

Pros:

  • Fast deployment
  • Lower upfront cost
  • Regular updates handled by the vendor
  • No need to manage hosting or development

Cons:

  • Limited customization
  • Potential data privacy concerns
  • Vendor lock-in
  • Generic features that may not align with your workflows

Popular licensed options exist, but very few are built specifically for the private residential and executive protection space, especially in upscale regions like Beverly Hills.


What Does Building Software Mean?

Building means developing your own proprietary platform—either with an internal team or contracted professionals—tailored to your company’s exact requirements.

Pros:

  • Fully customized to your SOPs and clients
  • Total control over features, security, and integrations
  • Creates intellectual property (IP) as a business asset
  • Easier to scale or pivot as your business evolves

Cons:

  • High upfront investment (often $150K–$250K+)
  • Requires in-house or long-term dev partnership
  • Time-intensive to design, test, and launch
  • Requires ongoing maintenance and updates

A Strategic Framework for Deciding

Let’s walk through a decision-making framework built for security firm owners and operators.

1. Assess Your Core Competency

Are you a protection company that needs software—or a firm trying to become a technology company?

Build if: You have in-house technical leadership (or are ready to hire it) and want to treat software as a long-term differentiator.

License if: You want to stay focused on field operations and aren’t prepared to manage a software team.

2. Evaluate Your Operational Complexity

Do you operate static posts with predictable routines, or dynamic multi-agent teams across high-profile estates?

Build if: Your operation is complex, multi-location, or high-touch—such as managing estate access for celebrities in Beverly Hills or coordinating protection teams for VIP travel.

License if: Your workflows are relatively simple, and off-the-shelf systems meet 80% of your needs.

3. Analyze Your Growth Trajectory

Will your business need to scale quickly in the next 2–5 years?

Build if: You want to scale without being taxed per user or site, or you plan to license your own tech to others in the future.

License if: Your operation will remain boutique, or you need a stopgap while exploring your long-term tech strategy.

4. Consider Data Ownership and Privacy

Do your clients expect the highest level of discretion and data control?

Build if: You want to control your servers, encryption, user permissions, and audit trails. This is especially critical in jurisdictions like California where data privacy regulations (e.g., CCPA) apply.

License if: The vendor offers robust compliance documentation, end-to-end encryption, and clearly defined access controls.

5. Review Your Budget and Timeline

Can you invest six figures and wait 6–12 months for a fully built solution?

Build if: You have the capital and patience to invest in long-term infrastructure.

License if: You need a functional tool now and have limited IT budget.


Real-World Case: MSB Protection’s Decision to Build

When we started designing our own visitor management and incident reporting software, we looked at multiple licensed tools. Some were decent. But none truly aligned with:

  • Our multi-estate deployments in Beverly Hills
  • Our need for video-verified visitor logs
  • Our mobile-first workflows for protection teams
  • Our confidentiality standards for UHNW clients

We knew that relying on generic platforms introduced risks we weren’t willing to accept. So we built in-house, assembling a U.S.-based team of software developers, DevOps engineers, and field supervisors who provided real-world input.

Today, our software doesn’t just run MSB Protection—it reflects our ethos. It’s built for our exact standards, integrates with our other systems, and evolves with our needs.

And for the right partner companies, we make our tools available under a binding U.S.-based Confidentiality and Non-Solicitation Agreement, giving them access to field-tested software without the cost of building from scratch.


Hybrid Approach: Build the Core, License the Rest

Sometimes the best option isn’t all or nothing. Many successful firms take a hybrid approach:

  • License generic tools for back-office tasks (HR, payroll, scheduling)
  • Build core operational software for security-specific workflows

This lets you control what matters most while staying lean in areas that don’t need customization.


Hidden Costs and Long-Term Considerations

Whether you license or build, don’t forget to account for these often-overlooked factors:

🛠️ Maintenance and Support

Even licensed software may require internal support or training resources. If you build, assume 10–20% of initial development cost per year for maintenance.

🔐 Security and Compliance

Make sure your vendor (or in-house team) handles encryption, data retention, access controls, and disaster recovery. You are still responsible for client data.

🚫 Vendor Lock-In

Check your licensing terms. If the vendor shuts down, gets acquired, or hikes prices, can you export your data and move on?

🧠 Knowledge Retention

If your custom software is built by a contractor who leaves, do you have the documentation and team in place to maintain it?


Final Thoughts: The Decision Is Strategic, Not Just Technical

Ultimately, the decision to license or build custom security software depends on who you are as a firm, where you’re going, and what you’re protecting.

If your clients are trusting you with high-risk, high-profile assignments—like the kind of work MSB Protection handles in Beverly Hills and Malibu—you owe it to them to scrutinize your tech with the same intensity you bring to every physical protection detail.

There’s no shame in licensing. There’s no glory in building for the sake of it. But there is power in making the right decision for your operation—with clear eyes and long-term vision.


Looking for guidance? Whether you’re evaluating a vendor or mapping out a potential build, we’re happy to share what we’ve learned building tech that protects real people in the real world. Reach out to MSB Protection to start the conversation.

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