On a sale of a business interest, yes: the licence stays with the company to which it was granted; the licence itself cannot be transferred, so a buyer does not acquire it on a sale of the enterprise. The new managing director must, however, meet the same conditions as on the grant of the licence, and a new member holding an interest of at least 15% must be of good character and reliable, with changes notified to the regional directorate within 15 days. If the sole managing director leaves, or a statutory representative ceases to meet the conditions, the regional Police Force directorate suspends operation for up to three months and, if the grounds persist after that period, withdraws the licence.
A security company owes its market value above all to its licence, its client contracts and its trained people. On a sale, or on a change of management, buyer and seller therefore ask whether the licence “passes”. Act No. 473/2005 Coll. on Private Security answers that with two rules: the licence belongs to the company and cannot be transferred, but the people who run and own the company must meet the statutory conditions without interruption.
A sale of the interest yes, a sale of the licence no
A licence to operate a security service is a public instrument and is non-transferable (Section 9(3)). On a sale of a business interest the licence holder does not change; the company continues to hold it. On a sale of the enterprise or part of it, however, the buyer does not acquire the licence and, if they wish to perform the client contracts themselves, they need one of their own. The difference between the two forms of transaction has very concrete effects here, and it needs to be weighed before a purchase agreement is signed.
The new director and the new member are checked
The conditions applying to the company are not assessed only on the grant of the licence. Every statutory representative must satisfy the conditions of Section 11(1), including being at least 21, of good character, reliable, and medically and professionally competent, and an individual holding an interest of at least 15% must be of good character and reliable (Section 12(1)). The same requirements as for a statutory representative apply to a procuration holder and the operator’s authorised representative (Section 12(2)). When assessing the reliability of a member holding an interest of at least 15%, a procuration holder and the operator’s authorised representative, as well as the statutory representatives of a licence applicant, the police always request an opinion from the Slovak Information Service (Section 14(4)).
Changes to the details in the licence application, including new documents, must be notified by the operator within 15 days (Section 29(1)), as must any change in the facts decisive for the good character and reliability of those persons (Section 29(7)). A buyer who already owns another security company must also bear Section 36 in mind: a statutory representative of a legal entity operating a security service may not be a statutory representative, procuration holder or authorised representative of another legal entity holding an authorisation to operate a security service, so the same person cannot be the managing director of both companies.
What happens when the conditions are not met
For these situations the Act provides no transitional period during which operations could continue unrestricted:
The regional directorate shall suspend the operation of a security service (a) if an individual who is a statutory body of a legal entity or a member of it, a procuration holder, the head of a branch of an enterprise, the operator’s authorised representative, the head of an enterprise of a foreign legal entity or a responsible representative ceases to meet the conditions laid down in Section 11(1)(a), (c) to (g), for a maximum of three months from the day on which they ceased to meet those conditions, (b) if an individual who is the only person authorised to act on behalf of the legal entity ceases to act within it, for a maximum of three months […]
— Section 31(1) of Act No. 473/2005 Coll. (unofficial English translation)
The same applies where a member holding an interest of at least 15% ceases to be of good character or reliable (Section 31(1)(c)). Operations may resume only after a decision by which the police lift the suspension; that decision is issued within three days of proof that the grounds have ceased (Section 31(2)). If the grounds persist after the period has elapsed, the police withdraw the licence; they proceed likewise where the operator failed to notify those facts within 15 days and that period has expired without result (Section 33(1)(a) and (d)). The consequences are long term: a new licence may be granted to the same operator only after three years (Section 33(6)), and the people from its management may not hold such positions with any operator, or hold a licence, for the same period where their activity was connected with the ground for withdrawal (Section 33(9)).
How to prepare the transaction
The new managing director and the purchasing member should be checked before signing, not once the change has been entered in the Commercial Register: good character, reliability, education and the competence card, any conflict with Section 36 and the obstacles under Section 37, such as a completed bankruptcy or a silent partnership agreement. The change of management should be timed so that the company is not left for even a day without a statutory representative who meets the conditions, and the notification with its documents should be ready to send as soon as the change takes effect. We summarised the conditions of licensing in what you need for a private security licence. We check the individuals and prepare the notifications through our private security licences service, and the purchase agreement with terms tied to the licence through our sale and purchase of a company service.
This answer provides general information on the law as at 12 September 2026. It does not constitute legal services or replace an assessment of an individual case. The details of your situation may differ. Book a consultation to discuss them.
