The growth and protease production by Bacillus coagulans MTCC 492 was examined in the present investigation. The maximum protease activity was 127 U/ml using 1% (w/v) of potato peel extract as the carbon source. Potato peel is an inexpensive and readily available domestic waste and thus it can be used as the cost effective crude material for the production of an extracellular protease. The organic nitrogen source, fish scrap powder proved to be an effective organic nitrogen source, where the protease activity was 227 U/ml. A maximum protease activity of 2308 U/ml was produced in 24h in a 3L bioreactor. The molecular weight of the enzyme determined by SDS-PAGE was 36 KDa. The enzyme acted optimally at pH 9 and temperature 45ËšC. 2% NaCl concentration was suitable for efficient enzyme production. The activity of the enzyme was inhibited by all the inhibitors tested. The organism was resistant to antibiotics like bestatin and penicillin. In the growth curve studies was found to be fast growing. Among the metal ions tested calcium chloride and magnesium chloride enhanced the protease by 5%. The enzyme retained more than 70% of its activity after 60 min of incubation at 40ËšC in the presence of various detergents.