Entrepreneur Manual

Tuesday, February 3, 2009

Background Checks

I have been getting requests to write a post about hiring. Why do we hire? Is it to support our desired lifestyle of more time off or is it to make more money? At the core, it is usually to support one or both of these objectives.

Hiring is one of the riskiest things we can do in our business, yet many entrepreneurs spend an hour or less bringing someone into their business. They base it on a "gut" feeling. So much effort is put on driving down exposure within the company, such as safety training, purchasing new equipment, etc. but without someone properly guarding the front door to the business, all of those efforts can become wasted. Why take the chance on a gut feeling when there are so many readily available, low cost background and credit checks. It is incomprehensible.

Here is a blog that I read that has great tips on this topic as well as hiring in general. It was written by Adam Robinson of Illuma, Inc. He is in the business of hiring and has absolute command of his craft. His blog drills down on many topics and provides many best practices and gives a different perspective on hiring.

It is a must read for anyone looking to add to their team.

1 comment:

Tamara N. Holder said...

This is an interesting read. I also read Adam's post.

As an attorney whose focus is clearing criminal records, I like to read what employers are saying about background checks.

You are right: a person may not "look" like he has a mountain of debt or an arrest for, say, domestic battery.

Yet once the employer sees that credit report or criminal history, that person is essentially OUT.

It's really important that people with an arrest record, even if the case was dismissed, get their record cleared (expunged, sealed, pardon). Employers don't want to know the "what happened was story" with an prospective employee's credit or arrest.

Employers don't want to take a chance. Especially in this market. Recent studies suggest there are 6 applicants per 1 job-opening. That means, an employer may whittle the applications down based on arrests/credit reports alone.

Just like it's not worth the employer taking a risk on a person with a record, it's not worth the applicant's risk in NOT getting the job just because of bad credit or a record.

Sincerely,
Tamara Holder
www.xpunged.com