​Checkr has raised approximately $679 million across multiple funding rounds. Its latest funding was a $120 million Series E-II round in April 2022, elevating the company's valuation to $5.75 billion. Key investors include Durable Capital Partners, Fidelity Management & Research, Franklin Templeton, Accel, Y Combinator, and T. Rowe Price. ​

Checkr was founded in 2014 by Daniel Yanisse and Jonathan Perichon, two engineers who previously worked at Deliv, an on-demand delivery startup.

They experienced firsthand the challenges of slow, manual background checks when hiring delivery drivers and saw an opportunity to build a more efficient, API-driven solution.

The timing coincided with the rise of the gig economy, and Checkr quickly gained traction with platforms like Uber, Lyft, and Airbnb that needed to rapidly onboard workers.

Checkr's platform automates the background check process through a digital approach. Employers submit a candidate's basic information, the candidate provides consent through a mobile-optimized portal, and Checkr automatically pulls relevant records from various sources including criminal databases, sex offender registries, and motor vehicle records.

The platform's AI-powered system categorizes criminal charges, filters non-reportable information based on relevant laws, and verifies data accuracy.

Results are delivered through an employer dashboard or API integration, with tools to help make consistent hiring decisions. The "Assess" feature applies standardized evaluation criteria, while "Candidate Stories" allows applicants to provide context for negative findings. Checkr also offers continuous monitoring to alert employers about new criminal records after hiring.

The platform has evolved to include international background checks, industry-specific solutions, and features promoting fair chance hiring, all while maintaining its focus on speed and automation.

Checkr revolutionized background checks by creating an API-first platform that automates and streamlines the traditionally slow, manual verification process. The company charges per background check rather than through subscriptions, aligning costs directly with hiring volume.

Their pricing structure offers three main tiers: Basic+ ($29.99/report), Essential ($54.99/report), and Complete ($89.99/report), with each tier providing increasingly comprehensive screening services. Checkr also offers over 30 add-on services priced individually, from federal criminal searches ($10/check) to drug testing (from $60/test).

For enterprises conducting more than 300 checks annually, Checkr provides custom pricing with volume discounts. Their "Assess" adjudication tool follows a similar tiered approach with free and premium versions available.

Checkr initially gained traction with gig economy platforms like Uber and Lyft that required rapid worker onboarding. They've since expanded to serve traditional employers across various industries, with particular strength in high-volume hiring environments.

The company's competitive advantage stems from its API-first approach, allowing seamless integration with existing HR systems. Their AI-powered platform automates 99% of the background check process, delivering results in 1-3 days versus the industry standard of 3-7 days.

Checkr has expanded beyond basic background checks to create a comprehensive workforce risk management platform. Recent additions include Checkr Pay for instant payments to gig workers, continuous criminal monitoring, and expungement services.

Checkr operates in a background check market that includes established legacy providers, tech-forward competitors, and specialized verification services.

The market is anchored by well-established players with decades of experience. Sterling (founded 1975, acquired by First Advantage in 2024 for $2.2B) offers comprehensive screening solutions with particular strength in regulated industries like healthcare and financial services. Their approach emphasizes thorough checks over speed.

HireRight (founded 1990, acquired by General Atlantic in 2024 for $1.7B) maintains a strong global presence across 200+ countries, screening over 26 million applicants annually for 37,000+ customers. They excel in international screening capabilities and enterprise relationships.

Accurate Background (founded 1997) balances technology with traditional screening methods, operating in 170+ countries with robust compliance tools. They've established a reputation for both accuracy and reasonable turnaround times.

These legacy providers typically maintain advantages in global reach, established enterprise relationships, and experience in regulated industries, though often with less modern technology infrastructure.

Newer entrants are challenging the market with modern approaches. Certn (founded 2016) emphasizes AI-driven real-time checks and international capabilities with a user-friendly interface.

GoodHire (founded 2013, acquired by Checkr in 2022) focuses on small and mid-sized businesses with an intuitive interface designed for non-HR professionals. Their self-service model and transparent pricing appeal to occasional users.

These tech-forward competitors typically offer faster results, more intuitive interfaces, and easier integration with modern HR systems, though they may have less comprehensive international capabilities.

The background check ecosystem also includes companies focused on specific verification components. Truework (founded 2017) specializes in employment and income verification rather than comprehensive background checks.

Cisive (founded 1977 as CARCO) focuses exclusively on regulated industries with tailored compliance solutions for high-risk sectors.

The market remains fragmented with dozens of providers competing across different segments. While Checkr holds approximately 2.2% market share, the broader industry is experiencing consolidation through acquisitions.

Competition is particularly intense in the small and mid-sized business segment, while enterprise customers often prioritize established relationships with traditional providers. The industry continues to evolve as technology-driven solutions gain market share against legacy providers, especially as companies increasingly prioritize efficient hiring processes and seamless integration with existing HR systems.

Checkr has tailwinds from the growing gig economy, increasing regulatory scrutiny in hiring, and the shift toward API-first solutions. The company has the opportunity to grow beyond its current $6.6 billion employment screening market into adjacent markets like identity verification, workforce risk management, and financial services for workers, potentially accessing a combined TAM exceeding $50 billion.

Checkr's background check process naturally begins with identity verification, creating an obvious expansion opportunity. The global identity verification market was valued at $9.93 billion in 2023 and is projected to grow at 17.5% annually to reach $34.8 billion by 2030.

Checkr has already begun exploring this space through its IDV service but could expand significantly into enhanced document verification, biometric verification, and digital identity solutions for remote onboarding.

The company's partnership with CLEAR demonstrates the synergy between identity verification and background screening. As remote work becomes more common, demand for seamless cross-border screening and verification will only increase.

Checkr is evolving from a point-solution background check provider to a comprehensive workforce risk management platform. This strategic shift expands Checkr's addressable market from one-time pre-employment checks to recurring revenue throughout the employment lifecycle.

The continuous monitoring market allows Checkr to verify ongoing compliance with regulatory requirements, particularly valuable in regulated industries like healthcare, transportation, and financial services. Credential management for professional certifications and licenses represents another significant opportunity.

By developing predictive analytics to help employers identify potential issues before they become problems, Checkr can deliver significantly more value than traditional background check providers.

Checkr's expansion into payments with Checkr Pay opens significant opportunities in financial services for workers. The earned wage access market alone is projected to reach $9.13 billion by 2028, growing at 15.8% annually.

Checkr can leverage its position at the intersection of employers and workers to offer specialized banking, tax management, and financial planning tools, particularly valuable for independent contractors in the gig economy.

By facilitating payments between companies and their workers, Checkr positions itself as essential infrastructure in the modern workforce ecosystem. This creates opportunities for transaction fees, interchange revenue from debit card usage, and premium plan fees for enterprise-level features.

As Checkr processes more background checks, identity verifications, and financial transactions, its systems become increasingly accurate and efficient, creating powerful data network effects that strengthen its competitive position across all these adjacent markets.

Regulatory landscape shifts: Checkr operates in a highly regulated industry where background check laws vary by jurisdiction and continue to evolve. As "ban-the-box" legislation and fair chance hiring laws expand across more states and municipalities, Checkr's compliance engine and adjudication tools may require constant updates to remain effective, potentially increasing operational costs and development resources.

Gig economy concentration risk: Despite expansion into enterprise and SMB markets, Checkr still maintains significant revenue exposure to gig economy platforms like Uber and Lyft. Any major downturn in the gig economy sector or consolidation among these platforms could disproportionately impact Checkr's revenue, especially as these companies represent high-volume customers with significant bargaining power on pricing.

Identity verification commoditization: As Checkr expands into identity verification services, it faces intense competition from specialized providers with established technology. This market is becoming increasingly commoditized with downward pricing pressure, potentially limiting Checkr's ability to maintain margins as it diversifies beyond its core background check offerings.