The Most Important Considerations About Background Screening for Small Businesses
Small businesses face unique hiring challenges without dedicated HR departments, yet making the right hiring decisions is critical to success, especially with 60% of small businesses struggling to find qualified candidates. A proper background screening provider can help small business owners navigate hiring risks and protect their business, employees, and reputation.
Picture yourself as the owner of a small business. You're juggling margin, overhead, market factors, cash flow management, and the sale of your products or services. All of these aspects are top of mind. Chances are, you're managing a modest team of employees, perhaps without the luxury of an HR department. Hiring and retention might not be your primary focus. In fact, the responsibility of recruiting new team members could fall to you or someone else juggling multiple job roles!
However, identifying the right individual for a job is vital to the success of any business, especially in small companies. With a smaller workforce, each hiring choice holds greater significance. At a time when 60% of small business are challenged finding qualified job candidates, having a good process for candidate selection is essential, no matter the size of your business.
Small businesses have the same risks that larger organizations encounter, possibly without an HR or Talent Acquisition team to help manage these risks. It’s still imperative that you know who you are hiring to help protect your business, other employees, and your reputation. A proper background screening provider can help you navigate those challenges.
But what are the issues to be aware of, and what should employers look for in a screening provider? Here’s an overview of some important things to understand.
The Challenges Small Businesses Face Around Safe Hiring
For larger companies, bigger scale means there are more resources to direct towards hiring and other processes. For small businesses, fewer employees can mean more work - and often a more direct involvement from owners or managers in the hiring process. Let’s review some issues that can crop up for smaller businesses trying to handle hiring and screening.
Education around risk assessments
As previously noted, small businesses frequently find themselves managing numerous responsibilities simultaneously, and hiring responsibilities may fall to the owner or another employee without specialized HR knowledge. Background screening might be unfamiliar territory, and there may be a lack of understanding about its critical role in safeguarding the business.
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A larger number of hourly workers
In larger companies, much of the workforce may be exempt or salary based. In contrast, small businesses usually rely on the flexibility of hourly workers, and turnover can be high. Staffing this way has advantages but can create difficulties when screening. You’ll need to handle more candidates while still collecting all the appropriate data.
Understanding compliance
In an environment where you’re hiring frequently and coping with turnover, cutting corners can be tempting. However, you must still meet your compliance requirements with every candidate. Employment legislation and compliance requirements can be difficult to understand even with a fully staffed legal and HR department, let alone a small team! Small businesses should, however, consult with legal counsel when designing or reviewing their screening program, as they must always be in alignment with the local, state, and federal legislation.
Conducting specialized screening
Hiring for some roles might strain your processes because of the need for more information. Some positions may need more screening than others. For example, if you need to hire someone to drive a company vehicle, you may wish to examine their motor vehicle records. If you’re hiring a new accountant or financial officer, you might be looking to conduct a credit check. All of these additional steps could add time and complexity to your approach.
The Critical Elements of a Background Screening for Small Businesses
If you are a small business owner with your hands full running your business, you likely don’t have much time to think about background screening. What are the most important elements of a screening program that small businesses might look for?
Comprehensive services
The right background screening partner can provide an employer with a tailored service for their required screening. Extensive criminal background checks, resume verification, reference checks and more - one provider should be all you need. With everything you need in one place, you can centralize and streamline screening efforts instead of relying on a patchwork of different providers. Some can even help you go beyond basic background checks with extensive due diligence services or provide education and informational resources on compliance and other aspects of screening that may be unfamiliar to you.
Streamlined experience
Ordering a background check on a candidate needs to be straightforward. The easier it is to start, the faster you may be able to review results. Directly integrating your screening provider with your Applicant Tracking System (ATS) helps streamline and manage different hiring technologies. Opt for a provider who makes a good user experience a priority. Simple interfaces, clear instructions, and accessibility are all key attributes to look for in a provider.
Fast turnaround times and robust support
Time is of the essence for hiring. Delays in hiring, including background checks, can have a significant impact on a small business. Avoid delays and bottlenecks by using a service that prioritizes speed and clarifies when to expect results. Likewise, customer service and support from your background screening partner should be responsive and informative resources you can rely upon for help.
Hiring may be challenging but making sure you’ve done your due diligence during the hiring process doesn’t have to be complicated. With the right background screening services, identifying candidates that are the best fit for your organization can be much simpler. Streamlined processes, comprehensive services, and fast turnaround times can free up your valuable time and allow you to focus on what matters most: growing your business.