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Why Background Checks Are Vital For Your Business

By Randy Mann

With the number of lawsuits that are instituted on a daily basis, businesses are continually at risk. Nowadays it is not enough to protect your business from outside; you also need to ensure that when you employ people, they will not become an internal risk to your business. Employees represent your company; if they are proven to be negligent, your business could be held responsible. It is therefore becoming increasingly important to hire people who can represent your company well. If you don’t run background checks, you could unknowingly hire someone with a criminal record. The record may be as a result of a minor misdemeanor or it could be as a result of fraud. This could put your business at risk. Having accurate information on prospective employees will give you the peace of mind about employing them.

What Type of Background Checks Would You Do?

There are several types of background checks that you can do. These include academic records, credit records, social security numbers, driving records, personal references, criminal records and workers compensation records. If you know that the person has never lived outside of the state, you can run a local credit or criminal check which is reasonably affordable. There is an outside chance though that the prospective employee may not have provided accurate information about having lived and worked elsewhere. The reasons for this are often because they were fired or ran into trouble with the law. To make sure you are getting the most comprehensive check, you can do a nationwide search. These are a little more time consuming and expensive but could prove well worth it if it reveals information you weren’t suspecting.

What Background Checks Tell You About a Prospective Employee?

Aside from verifying facts and particulars about the prospective employee, background checks also give a good indication as to the person’s level of integrity. If all the facts check out then you can be more certain that they would be a fairly honest employee. If you find discrepancies, you may wonder why they felt the need to hide the information. Also some information would not come up in work interviews, such as a person’s drinking habits. Even if a person is not an alcoholic, they could make a habit of regularly going out and socializing in bars until the early hours of the morning. The result is that they may turn up for work unable to focus on the task at hand. This may not happen every day but once a week or once a month would be enough to set back productivity. Personal references from previous employees or even driving records might show this information and that could save you from hiring a problem employee.

Should You Consider Background Checks on Business Associates and Prospective Partners?

Background checks are frequently a standard part of a due diligence process. If you are buying into a business or forming a partnership with another company, you will want to know that the people you plan to associate with are trustworthy. A background check can confirm their business track record, highlight any areas for concern, and give you peace of mind about going ahead with the transaction.

Precautions for Running Background Checks

There are a number of laws protecting privacy and discrimination in the workplace that prevent you from asking certain questions in the interview process. As a result, you may not be able to get all the information you require about the person in order to make your decision regarding their suitability for employment. But you also cannot go delving into people’s private lives without their permission. Most employees, if they are honest, will understand that you may want to verify information about them. It is recommended that you put a clause about background checks on your job application form so when applicants sign up to apply for a job, they automatically give their consent to run background checks.

How Background Checks Can Help Your Business

Background checks provide you with inside information about a prospective employee. Poor driving records for speeding or drunken driving show that a person is reckless or heedless of the consequences of their actions. This would be a red flag in terms of a prospective employee. They may be good at their job; however, if they are not willing to take responsibility for their actions, this could cause problems further down the line. Most importantly, background checks verify information that you have about the applicant and provide you with peace of mind about employing them.

Instant People Check is a leading provider of an instant background check online. For just a few dollars you will learn a lot more about your potential new hire than they may want you to. You can do national or state-specific criminal records checks quickly and cheaply.

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Article Citation
MLA Style Citation:
Mann, Randy "Why Background Checks Are Vital For Your Business." Why Background Checks Are Vital For Your Business. 5 Jul. 2010. 13 Oct 2014 <>.

APA Style Citation:
Mann, R (2010, July 5). Why Background Checks Are Vital For Your Business. Retrieved October 13, 2014, from

Chicago Style Citation:
Mann, Randy "Why Background Checks Are Vital For Your Business"

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