Background Check Services (BGV) for Startups

The introduction of new business models in India is changing the way we do business. Entrepreneurship has taken hold in a major way and India is now recognized as a booming start-up location. The ecosystem is currently experiencing a “flood” of entrepreneurship backed by new ideas, thanks to angel investors, crowdfunding organizations and projects.

With the growth of startups, employee background checks (BGV) are becoming an increasingly common practice throughout recruitment processes in India. Employers are more concerned about the employees they hire because there is a strong association between the values ​​and personal characteristics of the people they hire for business development.

Why do investors insist on background checks on startups?

While the thriving startup culture is good news for India’s economy, there are risks associated with some jobs in the sharing economy. The development of contract employment, temporary workers and shared models raises security risks. The continuing wave of potential misrepresentation of documents or identity involving office support staff highlights the importance of proper employee background checks and personnel screening. Where previously only employees were subject to background checks before hiring, companies today require employee screening and due diligence for startups.

Technology solutions can be a boon to the background check requirement that can build trust and accelerate business partnerships or seed funding. Out-of-bundle hiring costs far more than money, and reputational damage is often irreversible.

New domain with evolutionary motivation

Startups that adopt BGV demonstrate that they want to invest in the potential pool of talent with proven experience in their respective fields. Employers dealing with third-party paid contractors bear the responsibility of confirming since their brand is represented, and recruiting firms have little incentive to conduct rigorous background checks. Misrepresentation of information continues to be a major source of challenges in the talent acquisition process, prompting companies to collaborate with BGV platforms to mitigate these risks and develop a work atmosphere based on trust, security and responsibility.

Here are the top five reasons emerging startups should invest in background checks:

  1. Protect the company against possible litigation – When a company is considering hiring someone, they must perform a background check to find any criminal past the individual has. A company can potentially limit the adverse legal implications that can result from hiring someone with a criminal past through the use of a detailed background check.
  1. Protect valuable data- Background checks are an important security measure because a company would not want to hire anyone who could harm the organization in any capacity, including stealing or corrupting data assets.
  1. Minimize Vulnerability- Negligent employment lawsuits are costly, time-consuming, and detrimental to a company’s brand. Fortunately, doing a routine background check on candidates is an easy method to help mitigate these claims. Startups may be more adaptable than larger companies, but they’re also much more responsive. Even though many start-ups recruit through personal connections and referrals, a standard background check procedure should be in place to protect the organization.

  1. Validate study diplomas- When trying to launch your startup, there can be a lot of pressure to make the right decisions because making the wrong ones can be disastrous for an organization. Let’s face it: there just aren’t enough funds at the start of an entrepreneurial journey to recruit as many people as you want, so it’s essential to hire people who meet a diverse set of needs and of skills. This is where background checks come in to make hiring easier for companies. A company can confidently make a recruitment screening for the start-up by validating a candidate’s professional and educational background through a background check.

  1. Save Branding – Starting a business comes with a number of responsibilities, one of which is deciding who to hire. It is essential for start-ups to do a background check for their security. This not only potentially reduces the risk of tarnishing the company’s reputation, but also helps companies recruit the best possible person to help their business thrive.


Long story short, every startup is unique, and the background check process for these expanding entrepreneurial operations can vary widely. As stated earlier, the stakes with every hire are very high, which is why the company must conduct a thorough background check to ensure the image, integrity, and ultimately the future of their business.

(The author is Mr. Amit Singh, Business Manager, First Advantage India, a leading employee background screening company headquartered in the United States and the views expressed in this article are his own)