The last few years have been a great time for small and niche companies who require external capital. According to Crunchbase the investors financed around $300 billion in 2021. Funding for late-stage companies came particularly well, taking home $208 billion, more than double estimates from 2020. One example of a high-profile company that is booming in the investment scene can be found in Truwork.
This trend indicates a few things. The first is that investors are keen to invest their money into innovative ideas. Second, The New York Times proved right in its prediction that enthusiasm for startups, specifically targeted at technology startups and startups, will not be waning any time soon. Thirdly, successful businesses shouldn’t be afraid of making additional rounds of funding.
After proving its worth and experiencing both Series A funding and the series B fund, Truework returned again. In the end, its founders were able to secure $50 million in series C funding by 2022.
It’s not just the large haul that merits a review. It’s the fact that , like many startups, their success resulted by identifying a need and reducing the complexity of it, specifically, the process of proving employment. This issue was unnoticed by many, and only a few had addressed it. The solution they developed secures the privacy of identity data for customers and improves the company’s relations with prospective customers.
Truework’s Entry Into the Income and Employment Verification World
When you or any other person is trying to find an interview, the recruiter will want to know about your employment background. Everybody expects this. Employers who are considering hiring you will ask questions about everything from previous employers, to the approximate date when you began and ended your employment.
In this case the prospective employer has two options. Employers can either trust you or perform extensive research to ensure that your work record is correct.
Naturally, nobody would suggest the first choice. The ResumeLab survey from 2020 demonstrates the reasons. It appears that 27 percent of professionals admit to not being honest about their job experiences during interviews. It’s a 1-in-four possibility that a candidate’s work experience could not be on the right track and up.
Therefore, the alternative is to take. But, it could pose many issues, including slowing down the process, and placing candidate information at risk since it’s passed on to third party.
This is the point at which Truework enters the picture. Through its own proprietary technology and extensive network of network, Truework is able to verify individuals’ earnings and employment records. All employers need to do is sign up on the single-stop platform and input the details of their candidates. The candidates are asked to confirm if are comfortable about their work background being made available to the prospective employer. If yes, Truework starts the verification process and then provides the results to the employer.
Improving Hiring Processes for Both Sides of the Recruitment Experience
It’s important to note that Truework’s benefits aren’t only about protecting employers from fraud on applicants. Truework’s unique solution also protects new employees, too. The most important benefits of Truework are greater data security, significant savings in time, and simplified workers onboarding.
For example, Truework uses the same secure HTTPS with TLS 1.2 that financial institutions rely on to ensure the security of their data. In addition, since employees have to consent to access to their personal data the data is under their control throughout the procedure. Through high-level threat scanning that is conducted all hours of the day, Truework ensures all data is kept safe and only accessible in situations where it is necessary to know.
This level of security does not hinder Truework’s speed However, it does slow down the speed of Truework’s processing. Nearly four-fifths all pre-employment checks are done within a short 48-hour timeframe. The Truework processes are so quick due to its partnerships that span more than 150 payroll service providers and the capability to connect to the database of more than 35 millions employee data.
What can this do to help with to ease the process of onboarding? If you’ve experienced an uneasy process trying to be accepted as a new employee you’re aware of how difficult an extended wait could be. The faster your background checks are completed and verified, the faster you’ll be able to start working and earning.
According to an Harvard Business Review article notes that only 13% of employees would rate their employers a high rating regarding onboarding. Therefore, there’s plenty of room to improve in all aspects, starting with speedier employment and income verification.
Beyond Work Verification: Truework’s Entry Into Other Markets
As with all companies, Truework had to prove its worth in the beginning. It did, and then it gained a fan base. What’s the point of an investment round in the series C in the first place? The company is currently in rapid growth phase.
It’s clear that the pre-employment verification data isn’t only valuable to employers. The same kind of data could be extremely beneficial to mortgage lenders and other lending companies for consumers and property managers.
Remember the most recent time you applied for large loans or to lease an apartment with an estate management company. It is likely that you had to provide certain details about your earnings and perhaps the location you were employed. Who knows who was looking at the data you provided particularly in the case of paper? There are many people who could have manually transferred your personal data prior to being used to determine whether you were a reliable or unreliable borrower or renter.
Truework’s system allows for the more secure transfer of personal records. In the final analysis the creditors, Property managers and other third entities receive the verification they require immediately. This lets them avoid the lengthy method of verification as well as boost the rate of conversion. While doing this, the system is able to keep sensitive personal information out of the reach of prying eyes. It’s only used for the purposes it was intended to serve.
Truework: A True Fintech Standout
What’s the future for Truework? According to co-founder and CEO Ryan Sandler, the company will make use of the funds from its 50 million in cash to help fund future product development plans, further hiring, and help ensure its growth in the future as a secure, efficient and user-friendly system for verification of income and employment.
In the time, Truework is continuing to expand its client list. As of now, its most popular clients are Fairway Independent Mortgage, Caliber Home Loans, Octane, and Carvana. Encompass has also been a partnersince its their loan processing teams can confirm every U.S employee using Truework.
In the end, Truework serves as an source of inspiration for founders and entrepreneurs who are just beginning to explore looking for capital investment. If you can tackle one problem successfully then you’ll be able to put yourself on the path to achieve greater than what you initially set out to achieve and investors will hesitate to put their trust and money into helping you achieve success.