KarmaCheck, a technology-based solution for background checks, credentialing, and compliance, recently announced that it has raised $45 million in a Series B round led by Parameter Ventures, with participation from PruVen Capital, Velvet Sea Ventures, GC1 Ventures, and NextView Ventures. With this funding, the San Francisco-based company plans to accelerate the development of its proprietary technology platform, scale its exceptional service levels to more customers and candidates, and expand into new industry verticals.
Founded by Eric Ly, KarmaCheck offers a unique blend of advanced technology and expert-led customer service, setting it apart as an industry pioneer. Staffing administrators benefit from intuitive, automated dashboards and built-in API integrations to applicant tracking systems. Candidates stay informed through a mobile-friendly interface and can easily schedule clinic-based screenings through the platform. These innovative features lead to faster results, lower costs, and a better experience for both candidates and employers. According to head-to-head analysis, the platform can produce results up to three times faster than competitors without compromising accuracy.
Speaking about the company, Founder & CEO of KarmaCheck, Eric Ly, said:
Background checks and credentialing have long been among the most frustrating steps of the hiring process for both candidates and hiring managers. But that doesn’t have to be the case. KarmaCheck focuses heavily on both technology innovation and expert-led customer service. This combination, coupled with our AI-forward approach, is unique in the industry and enables us to deliver fast and accurate results and the industry’s best candidate experience.
The startup has seen incredible demand for its solution in highly credentialed industries like healthcare, where speed-to-hire is a significant competitive advantage and traditional background check processes are arduous and time-consuming.
Douglas Romanoff, Partner at Parameter Ventures, added:
KarmaCheck stands out as a leader in a critical sector ripe for new approaches. Its innovative product, experienced management team, and unwavering commitment to customer success align closely with our investment philosophy. We couldn’t be more excited to support KarmaCheck as it brings its transformative solutions to professional background checks, enabling greater speed, simplicity, and transparency fit for the modern workforce.
The Series B funding round follows a year of remarkable achievements and milestones for KarmaCheck. These include revenue growth of over 600%, expansion of its customer experience team by more than 300%, and delivery of millions of screenings. This significant growth and success position KarmaCheck as a promising background check and credentialing player.
