Checkr, a background check startup that expedites information on new hires and delivers them to businesses, has raised $9 million.
The Sunnyvale-based company wants to expand its current business by connecting to more companies' hiring systems through an application programming interface, or API, according to the Wall Street Journal. Currently, Checkr has about 50 customers.
U.S. & World
“It’s a combination of the $4 billion [background check] market and the right technology approach,” Accel Partners Partner Rich Wong, who led the Series A round and will now be part of the company board, .told the WSJ. “I’d say 70 percent or so of the companies we invest in these days are all about software reducing inefficiencies and cutting expenses. Big data is finding patterns in things that humans can’t.”
Checkr was founded by Daniel Yanisse and Jonathan Perichon last April, and takes its data from public and private data sources, according to the report, and delivers results to employers in two days. Each report costs $25 to $35.
“We’re going to use this round to hire the most talented engineers we can,” Yanisse said. “We believe in engineers. We will use them to automate marketing and sales. We want to use them to build all the tools we can to scale the business.”
Among the investors this round: Khosla Ventures, SV Angel, Data Collective and Google Ventures. Private investors included Wesley Chan, Scott Banister and Bobby Yazdani.
It seems the new trend for successful startups is to create something useful that can be integrated into company software, rather than be a time-wasting consumer app.