Do Small Businesses Need Background Screenings More Than Large Businesses?

2 Mins read

The simple answer is yes. Here’s why. 

Small businesses have a limited number of employees, most of which interact closely with one another and perform multiple business functions. Each employee carries a significant load, giving them the ability to have a substantial impact on the overall health of the organization. One bad hire in a small business setting can do a lot of damage. A sound hiring policy that includes professional background screenings is an excellent way for small businesses to set themselves up for success and future growth.  

Quality Applicants

Small business HR departments, if the person who does the hiring even qualifies as a department, don’t have time or resources to waste sifting through piles of resumes and applications. A straightforward background screening policy serves to filter candidates from the get-go.

Industry Compliance

In some professions, background screenings are mandated by law. Examples include home health care providers, educators, and drivers.

Experience and Education Verification

False information on resumes and applications is all too common. SMB background checks verify that the candidate has the education and the experience required for the job. Plus, you’ll find out early if integrity is an issue. 

Risk Mitigation

Negligent hiring lawsuits are expensive and are all too common. And, for a small business owner, one suit has the potential to bring a business to an end. Imagine the damage a less-than-scrupulous accountant can do or the expense of workplace violence or accidents. Failing to protect your business, customers, and employees from these types of potentially foreseeable events by conducting pre-employment background checks leaves you exposed to costly liability suits. 

Workplace Safety

Background checks ensure a safe environment for your customers and employees, which improves morale and builds a positive reputation. 


You might be tempted to think that skipping background checks saves money, but think again. While professional screening comes at a cost, the value added is significant. And the financial risks of hiring someone who is not qualified or poses a threat to your organization are too high to ignore. Getting hires right the first time requires due diligence, and a significant component of that diligence is a background check. 

The Best Approach

Hiring a screening agency is the best approach to pre-employment background checks. A professional, accredited agency will provide thorough, reliable information that you can use to make savvy hiring decisions. They also offer critical compliance tools that are essential to conducting legal background checks. Choose an agency that works with small businesses. Many agencies will help you define your background check policy, considering the specific needs of your business. In addition, look for pricing and screening packages that allow for flexibility. The bottom line: don’t leave hiring for your small business the chance. Get it right the first time with professional small business background checks.