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What Small Businesses Should Know About Background Checks

Background checks can serve as an effective and inexpensive method to relieve you from making hiring decisions based on your gut feelings instead of solid facts.

Here are our 10 reasons why you should invest in a reliable background check service.

  1. Stay compliant — Using a third party to conduct background checks removes the burden of learning and monitoring Fair Credit Reporting Act regulations, all while protecting your business interests.
  2. Avoid costly hiring mistakes — The U.S. Department of Labor estimates that the average cost of a bad hiring decision can equal 30 percent of the employee's potential earnings during the first year of employment.
  3. Keep out of negligent hire law suits — If background checks are found to be inadequate or missing information, you could be subject to a lawsuit.
  4. Put a stop to workplace violence — Each year over two million American workers are victims of workplace violence, a problem background checks can greatly reduce.
  5. Protect proprietary information — Background checks show who should be trusted with your business' and your clients' sensitive information.
  6. Don't fall victim to résumé fraud — Four out of 10 employees admitted they were not completely truthful with the information they provided on their job applications, including résumés.
  7. Cut employee theft — The U.S. Chamber of Commerce estimates that employee theft costs American companies $20 to $40 billion per year.
  8. Get the info without the work — Background check services relieve you of gathering the required, most up-to-date and accurate employee information.
  9. Impress clients — When you can say your employees have undergone background checks, your clients feel confident that their work will be completed by reliable professionals.
  10. Purchase background checks at your hiring pace — Most background check Web sites are self-service, meaning you can purchase background checks as needed without signing contracts or agreeing to a minimum-purchase commitment.