How To Open A Background Check Business – Featured Collection: Overselling, How to Rule…Donald Shearer Shut Up and Listen!: Hard Business Facts That Will Help… Tilman Fertitta
Mike McCarthy, Founder and CEO of Secure Employment Solutions and SafeVisitor Solutions. We are a security technology company that provides comprehensive background checks to schools, ministries, volunteer organizations and corporations. Our company is continuously adopting and developing new solutions for the market. We launched the SafeVisitor solution 7 years ago and it is one of the fastest growing visitor management systems in the United States. Because it knows who is entering the facility, including background checks, volunteer and vendor management, biometrics, real-time arrest alerts and remote verification. you will be .
How To Open A Background Check Business
Five years ago we launched Reflynk for clients struggling to get reference information about their jobs or volunteer candidates. RefLynk is a script that turns reference checking into a mobile software solution.
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We also signed a national security alliance with a partner that provides an integrated security solution. Our national alliance brings together the best safety and security providers.
More than 7,000 customers have joined us Inc. in the past 5 years. 5000 list and ranked as the 16th fastest-growing private company in the Indianapolis area by the Indianapolis Business Journal.
In 1994, I served as a Violent Crimes Investigator for the Metropolitan Police Department in Nashville, Tennessee, helping develop and implement the largest domestic violence prevention program in the United States. I left law enforcement in 1999 to start a violence prevention consulting firm. Nashville models across the US and Europe. She consulted with the U.S. Department of Justice – Office of Violence Against Women, the U.S. Department of Defense, the U.S. Security Service’s Center for Federal Law Enforcement Training, many state attorney general’s offices, and grassroots organizations.
Business ideas are easy. The big question is, are people willing to pay for your idea? Many young entrepreneurs need to invest in learning and market research.
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When I was on the American Bar Association’s advisory board, I was involved in a youth violence initiative after one of our schools made headlines on the nightly news for hiring two sex offenders. Both sex offenders passed state-required background checks. This is what prompted me to research this issue and launch Safe Recruitment Solutions as a solution for schools to report and remove sex offenders from their students.
As a former violent crimes investigator, I understand the psychological profile behind violent offenders, such as sex offenders, and the efforts they will make to gain access to our children. My mission was to create a background check product that flags them, not hides them. Once that was done, the next step was to work with the school to make sure they understood the problem and were willing to pay for a solution.
The first 100 customers were public and private schools. We currently have over 7,000 organizations as customers in all markets.
Recruitment started with a small amount of money. My father bought me a computer and my father-in-law invested $500 to get me started.
How To Conduct Employee Background Checks
Specifically, the school used state police and FBI criminal record databases. While this may sound “nice” and “official”, the schools that hired the two criminals were using these databases. A quick study showed that when 10 sex offenders were entered into this database, only two were entered into the database. Although this is a small sample, sex offenders have an 80% failure rate. Why are these databases inefficient? The problem is that states rely on county courts to send criminal convictions back to the state, and many don’t. Many countries restrict data based on convictions or certain levels of crime.
The shooting at the Sutherland Baptist Church two years ago highlighted the issue of government background checks. The shooter was able to pass an FBI background check and buy a gun because the Air Force did not forward his conviction to the FBI.
The background check industry is still an industry with little regulation. Most compliance comes from the federal Fair Credit Reporting Act or specific state laws that provide protections for negative information that can be reported and consumers who can challenge that information. The rules do not mandate that classification companies follow best practices. Most companies publish cheap criminal database searches with horribly flaws.
We’ve created a background check system that’s built around so many checks and balances that if one of our databases gets messed up, it’s a court record.
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Six years ago, a large customer inquired about the flow of visitors to their organization as well as background check management. We worked with both school districts to establish SafeVisitor, a comprehensive visitor and volunteer management system.
At least we’ve developed a product that allows schools to screen visitors by scanning government-issued ID cards while checking sex offender and disqualification databases and printing expired badges. We continue to develop SafeVisitor to integrate best-in-class security solutions that include crisis management, biometrics, student information systems and parent notification systems.
Then I approached a local school district I had known for 25 years. I ran a background check on the existing process until I was confident that the process was not only ready, but actually returned more data. We then approached 10 regional school districts. We grew to 100 customers in about 18 months before implementing a much larger marketing and sales strategy.
I’ve been careful not to be driven by individual investors because they focus on profit over product quality and scale too quickly. This was important because one mistake could injure a student or staff member! So, I built my first website on a small budget.
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The first 12 months were “ramen season” for me and my family. I was fortunate to still be able to place a share request and this helped supplement our income and provide the capital we needed to start our business. Did I mention that my wife isn’t working now because we just had our second child? I thought it would be an interesting timing to start my own business too!
I always talk to young entrepreneurs and encourage them not to avoid “ramen season.” Our culture has evolved a desire for the “now” where you can find anything you want online or order it from Amazon and get it delivered the same day. I believe this mindset is often detrimental to entrepreneurs who not only lead their companies to sustainable profitability, but may lose a deep connection to their companies by avoiding the effort of starting a business.
The first few years are critical to building a foundation to support business growth. As a private investment firm, we had to be careful not to go after the wrong customers too soon.
In the first year, we met a large international retailer that could turn thousands of dollars in monthly revenue to over $20,000 per month. After months of working on what they needed, including custom development options, we finally realized that if we woke up one morning and brought this client this time around, they would ask for 99% of our effort. The shop stays for another year or two, and they don’t want my work to continue. So I had to step back, direct an immediate cash injection, and focus on building the company organically rather than on key customers. If I have 30 customers making $20,000 a month, I’d be better off losing one without affecting my business.
Ai Driven Background Check Startup Intelligo Raises $22m
Our focus has been on strategic partnerships. We didn’t have the money to build a large sales and marketing team, so we focused our energies on partners like the big insurance companies (Brotherhood Mutual, Mennonite Mutual, Wright Insurance) and group buying organizations that could help us. Acquire prospects These organizations already have trusted relationships with prospects.
The challenge most startups face is generating cash flow. I didn’t want to give up control of my vision, so I wasn’t interested in external financing that would allow me to hire a sales force. I have strategically planned a long list of potential partners who are already working with the markets we are working in.
I initially focused on large state-owned insurance companies that recognized the risks of lax security when paying monthly claims for the negligence of insured employees. Our approach has been “value added” for insurance companies. We offered discounted rates to policyholders, and insurance companies began promoting our services through independent insurance agents across the country.
