Security services are among Nigeria's most essential B2B industries. From guarding residential estates and commercial properties in Lagos to providing armed escort and cash-in-transit services, Nigerian security companies operate under long-term contracts with significant monthly billing. Getting your invoicing right is critical to cash flow and compliance.
This guide covers professional invoicing for Nigerian security service providers.
Security Service Pricing Models and How to Invoice Each
1. Monthly Guarding Retainer (Most Common)
A fixed monthly fee for a defined number of guards, shifts, and locations.
Invoice example - commercial property guarding: | Description | Qty | Rate | Amount | |---|---|---|---| | Day guards (12-hour shift, 26 days) | 2 | ₦85,000/guard/month | ₦170,000 | | Night guards (12-hour shift, 30 days) | 2 | ₦95,000/guard/month | ₦190,000 | | Supervisor (full month, all shifts) | 1 | ₦150,000/month | ₦150,000 | | Patrol vehicle fuel allowance | 1 | ₦35,000/month | ₦35,000 | | Subtotal | | | ₦545,000 | | VAT (7.5%) | | | ₦40,875 | | Total | | | ₦585,875 |
2. Event Security
Per-event pricing based on the number of guards, event duration, and risk profile.
Invoice example: | Description | Qty | Rate | Amount | |---|---|---|---| | Event security guards (10-hour shift) | 8 | ₦25,000 | ₦200,000 | | Team supervisor | 1 | ₦40,000 | ₦40,000 | | Crowd control equipment provision | 1 | ₦30,000 | ₦30,000 | | Subtotal | | | ₦270,000 | | VAT (7.5%) | | | ₦20,250 | | Total | | | ₦290,250 |
3. Armed Escort / Cash-in-Transit
Priced per trip or per kilometre, with a risk premium.
Invoice example: | Description | Amount | |---|---| | Armed escort - bank branch to head office (March 2026, 20 trips) | ₦1,200,000 | | Subtotal | ₦1,200,000 | | VAT (7.5%) | ₦90,000 | | Total | ₦1,290,000 |
4. Electronic Security (CCTV, Access Control)
Installation priced as a project; monitoring priced as a monthly retainer.
Invoice example - installation: | Description | Amount | |---|---| | CCTV system installation - 16 cameras, DVR, cabling (20 locations) | ₦4,800,000 | | Subtotal | ₦4,800,000 | | VAT (7.5%) | ₦360,000 | | Total | ₦5,160,000 |
Invoice example - monthly monitoring retainer: | Description | Amount | |---|---| | Remote CCTV monitoring - March 2026 (24/7, 16 cameras) | ₦85,000 | | Subtotal | ₦85,000 | | VAT (7.5%) | ₦6,375 | | Total | ₦91,375 |
Mandatory Elements on a Nigerian Security Company Invoice
- Company name and address - registered address as per CAC
- TIN and VAT registration number - security companies billing large corporate clients are almost always VAT-registered
- Client name and TIN
- Invoice number - sequential (e.g., SEC-2026-041)
- Invoice date and due date - typically invoiced monthly on the 1st, due by the 7th
- Service period - e.g., "Security services: 1–31 March 2026"
- Itemised personnel and services - number of guards, shift type, location
- VAT at 7.5% - as a separate line
- Bank details or Paystack link
- Contract reference - e.g., "Re: Security Services Agreement dated 1 January 2026"
VAT for Nigerian Security Companies
Security services are fully VATable at 7.5%. If your annual billing exceeds ₦25 million - which most commercial security companies will - VAT registration is mandatory.
Important: FIRS closely monitors security companies because of the large monthly invoice volumes. Ensure your VAT returns match your issued invoices exactly.
Withholding Tax (WHT) on Security Invoices
Corporate clients deduct 5% WHT from security company invoices. This is one of the most common WHT transactions in Nigerian B2B billing.
Example:
- Monthly invoice: ₦545,000 + VAT ₦40,875 = ₦585,875
- WHT deducted: 5% × ₦545,000 = ₦27,250
- Client pays: ₦558,625
- WHT credit note: ₦27,250
Ensure your contract explicitly acknowledges WHT deductions. Some security companies gross up their pricing to account for WHT - e.g., quoting ₦573,684 as the base so that after 5% WHT the net received is ₦545,000. This is acceptable but must be disclosed.
Billing Cycle Best Practices for Security Companies
- Invoice in advance - bill at the start of each month for that month's services. Do not wait until month-end.
- Collect a deposit on new contracts - one month's fee upfront before guards are deployed.
- Include a stop-service clause - state that services will be suspended if invoice is not paid within 7 days of due date. Enforce it.
- Reference the contract on every invoice - this prevents disputes about rates or scope.
- Maintain guard deployment logs - evidence of service delivery to support every invoice.
Create Your Security Company Invoice
InvoiceGenerator.ng is free for Nigerian security companies. Create professional monthly retainer invoices with VAT, Paystack links, and WhatsApp delivery - fast and FIRS-compliant.
For more on invoicing compliance, VAT returns, and payment terms, see our full Nigerian Invoicing Guide.