The initiation ceremony is conducted by five initiated Sikhs, the Panj Piare, in the presence of the Guru Granth Sahib Ji. They may be any five who keep the rehat, of any background, and there is no priesthood involved.
Water is stirred in an iron bowl with a khanda, a double-edged sword, while the five recite the five banis. Sugar crystals, patase, are added, attributed to Mata Sahib Kaur Ji.
The initiate drinks, has it sprinkled on the eyes and the hair, and repeats the Mul Mantar. They are told the rehat, given the name Singh or Kaur, and told that their previous caste, lineage, occupation and rites are ended.
The formula names Guru Gobind Singh Ji as father and Mata Sahib Kaur Ji as mother and Anandpur as the birthplace, for every initiate. It is a deliberate replacement of the facts of birth.
The prohibitions taken are on cutting hair, on tobacco and intoxicants, on meat killed in the halal manner, and on adultery.
Most Sikhs are not initiated. The distinction between amritdhari, keshdhari and sahajdhari is real, is understood by everyone in Punjab, and is a source of continuous argument about who counts.
Five amritdhari Sikhs conduct it, standing for the Panj Piare of 1699, and the amrit is prepared with water and patasas stirred with a khanda while five banis are recited.
The candidate takes the four prohibitions and the five kakars and the names Singh or Kaur, and there is no priest, no fee and no hereditary officiant anywhere in it.
The five who conduct it can be any five who keep the rehat, which means the authority to initiate is not held by an institution. That is unusual among religions with a formal initiation.