Reducing Internal Theft with Comprehensive Background Checks

Reducing Internal Theft with Comprehensive Background Checks

We all like to think that we’re a good judge of character, but when it comes to choosing who to trust with your company’s inventory, intellectual property, and assets, it is always wise to defer to the facts. Today, we live in a world where 90% of all significant thefts from businesses are internal, and almost a third of businesses bankruptcies are triggered by the very same issue. This makes lifting the curtain on your next applicant’s true credentials key to stopping internal theft. 

Yes, in such troubled times, it is high-risk behavior to assume that every resume is honest or that every employee is as clean and crease-free as their pressed work attire. Instead, the best tactic is to up your background-check-game and ensure that you catch any and all rotten candidates before they step into the first day of onboarding. For that, you’ll need the right collaborator, so let’s explore what makes some background checks more comprehensive than others and how that difference dictates their effectiveness for stopping internal theft in its tracks.

Outsourced Background Checks Can Be a Smart Investment

Employee screening is something that tends to happen on a sliding scale of seriousness. At its most basic level, your HR team may diligently check the references of employment candidates, however these can easily be faked. When dialing the number on an applicant’s resume, there’s no way of knowing that you’ll find their true past employer on the other end of the line.

The next step that a company might take is requesting a criminal record check on would-be trainees. This is an excellent idea as it can reveal if a questionable past lies between the letters of their application. However, this still means only piecing together small segments of that individuals character and track record. To really grant a clean bill of health to any applicant status, the best option is to turn to a corporate investigator who is equipped to efficiently present a complete composition—the full sense of who this person is and whether they will fit on your team, or pose a worrying threat.

So what might a background check from Lauth Investigations International tell you? Well, our investigators are licensed to access the same verified databases used by law enforcement. This allows up to compile an intelligence report on your candidate, presenting a full and contextual history of the subject as it relates to their potential role in your enterprise. Pertinent paths of exploration might include confirming the validity of their employment record and credentials; uncovering criminal, financial, and litigative history; and joining the dots between the various pieces to ensure that each element adds up.

Stopping Internal Theft Before It Starts

As each new employee is welcomed into your team, with them comes a distinct vulnerability to a diversity of theft types. Undoubtedly, stopping internal theft doesn’t only mean preventing inventory or office supplies from drifting away. It also means safeguarding against financial theft, embezzlement, fraud, data theft, intellectual property theft, and more. To put the scale of this threat in context, we can turn to research from the U.S. Department of Commerce, which tells us that American businesses lose roughly $50 billion each year as a result of employee theft—and that this number is rising by 15% annually.

Avoiding becoming a part of these alarming statistic begins foundationally with background checks. It is always better to prevent the kinds of disastrous disappearances that can undermine your operation than it is to launch into post-crisis damage control. And by developing a dependable collaborative relationship with a corporate investigations firm—one that understands your business and is always ready to provide dynamic support—you can dramatically reduce the risk of internal theft on an ongoing basis and act quickly if the unexpected occurs.
Without a doubt, comprehensive background checks are a powerful tool for stopping internal theft before it gets the chance to start. Health-checking your company’s culture with a Corporate Culture Audit is also a highly effective way to reveal risk before it evolves into criminal behavior in the work place. To discuss these services and more with a member of our team, reach out for a no-obligation consultation today—because we know that every unique business calls for unique solutions, so let us help guide you towards yours.

How to Equip Your HR Members to Potentially Weed Out Bad Recruitment

How to Equip Your HR Members to Potentially Weed Out Bad Recruitment

Think the humble employee background check is an unnecessary expense? Think again. Because there’s nothing like a spate of bad hires to leave a gaping hole in the finances of your business. With research placing the average cost of a single bad recruitment choice anywhere from $17,000 to $240,000, every organization should have weeding out flaws in their HR department’s strategy high on the agenda. 

Poor recruitment practices can be a drain on morale and company culture, wasting time and money and placing a heavy burden on the shoulders of those forced to take up the slack. So what can Human Resources do to mitigate this potential disaster? From background screening to watching for red flags, today we’ll dive into how your HR team can streamline their recruitment process and protect your bottom line

The Warning Signs of a Recruit You’ll Regret

A great candidate CV has landed on the desk of your top HR manager, and they’re excited at the prospect of having this individual on board. All the desired competencies and experiences appear to be in place, but there’s no escaping the fact that a CV can be doctored to hide a disastrous history or terrible work ethic.

In support of background screening—which we’ll come back to later—the interview process provides a key opportunity to observe candidates and be on the look out for obvious red flags such as showing up late or poor presentation, but you can leverage this time together even more effectively. Be sure to question candidates thoroughly on the contents of their credentials, experience record, and application to ensure that every detail adds up.

Make Sure the Right Cards Are on the Table

You’ve ensured that the job description posted fully reflects the position offered and that the candidate comprehends every aspect of the role. Now is the time to lay all the pertinent cards on the table, letting them know your expectations and making sure that you understand theirs.

This can include going over the standards that you require from employees—in terms of conduct, responsibilities, team engagement, and appearance—and ensuring that they intend to be with you for the long haul. Far too many employers invest substantially in new recruits, not realizing that they only view the position as a stepping stone. There can be no mincing words when ensuring that everyone is on the same page.

Turn to a Trusted Investigations Firm for Comprehensive Background Screening

Any savvy recruiter understands the importance of verifying references and credentials when hiring a new team member. Unfortunately, bad actors in the recruit pool may go to great lengths to deceive, faking vital certifications or enlisting the help of nefarious friends to provide false references.

Your HR team may do their best to conduct a thorough employee background check, but only a licenced investigative firm like Lauth Investigations International will be able to run your potential recruits against the same databases used by law enforcement agencies, or check storied histories that require gathering information across state lines.


When it comes to weeding out bad recruitment, anything less than comprehensive background checks carried out by licenced investigators is a risk that could mean trouble in the making. If you’d like to learn more about how we can support your business in its strides towards greater prosperity, contact our team today.

Renovating? Here’s Why You Should Hire a Private Investigator to Check Out the Candidates

Renovating? Here’s Why You Should Hire a Private Investigator to Check Out the Candidates

Is a background check for construction workers really necessary? We all like to move through life with faith that the people we encounter are honest and decent Americans. However, we only need cross paths with one bad egg to get burned in a big way, and few professionals gain greater access to our personal or professional lives than those hired to undertake construction. 

In the case of renovations, fundamentally, we give strangers free access to our inner sanctums—we trust them to give accurate quotes and use up-front deposits in the way that they promise. While the majority of construction companies may conduct themselves with integrity, what you don’t know, you simply don’t know. When all is said and done, skimping on a background check for construction worker candidates might leave you with a nasty hole in your wall, and an even bigger one in your bank balance.

Aren’t References Enough?

Checking the references of a contractor bidding for your next renovation project is a great place to start, but it isn’t the be-all-and-end-all. Sadly, references can be faked and contact details manipulated. Of course, the more readily any vying candidate offers up their credentials the better, but there’s more to consider than references alone. Especially when we consider that as many as one in three American homeowners will fall prey to a renovation scam in their lifetime.

For anyone operating outside the construction industry, navigating the task of verifying the validity of references and confirming that contractors are appropriately licensed, bonded, and insured can be a daunting task. Even if you can draw this body of information together, unless the construction worker or company in question has hit the headlines in a catastrophic way, you’re unlikely to be able to check their operational safety record. You don’t want to place your renovations in the hands of someone with a trail of destruction in their wake. The only solution is to reach out to a corporate investigations firm who can vet your candidate for you, with a cost-effective and bespoke background check for construction.

Requesting a Background Check for Construction Workers

Whether you aim to recruit a freelance construction worker for a home renovation or a large construction company to give your corporate offices a major overhaul, a specialized background check for construction from Lauth Investigations International will give you total peace on mind. Don’t leave your contractor’s credentials up to chance. Instead, turn to a corporate investigator who can quickly and diligently check that their financial track record is gold standard; that they are as equipped, qualified, and capable as they say they are; and that the individuals in question don’t have any nasty skeletons in their closet.
When renovations go wrong, individuals and companies alike can find themselves victim to bodged work, theft, financial fraud, and worse. Getting scammed means becoming an unhappy statistic, but a background check for construction workers can ensure that the scammer is the one who loses out, rather than you. Discover more about our comprehensive background check service, or contact our team today for obligation-free guidance on how we can best meet your needs.

Get In The Know On Due Diligence In Construction Operations

Get In The Know On Due Diligence In Construction Operations

Planning a big construction project is an exciting proposition indeed. Whether you’re getting ready to take the plunge on a profitable enterprise or envisioning the edifice from which your future ambitions will emerge, a world of possibility lies before you. However, before you leap, this is the moment to take a precautionary pause. The importance of construction due diligence cannot be overlooked. From vetting the site and the construction company, to confirming the budget and meeting compliance obligations, every aspect has to be on point if the project is going to succeed.

The devil is in the detail—or to draw on a more industry-appropriate metaphor, now is the time to measure twice, and cut once. You need the right collaborator to ensure that no stone is unturned during this vital first stage of construction due diligence, and the ideal partner can be found for this endeavor in a specialist investigator from Lauth Investigations International. Read on to discover why a member of our team is the ally you need to ensure that construction operations move forwards without a hitch.

  1. What is Due Diligence in Construction?

In a sense, we conduct due diligence in different areas of our life everyday—or sometimes suffer the consequences of failing to do so. In essence, th term means investigating ahead of an action to ensure that it represents the right course forwards. When we talk about construction due diligence specifically, we are using a term that reflects caution ahead of contractual agreements, purchases, and meeting obligations. If the substantial budget of a construction operation represents your chips on the table, you’re not going to want to gamble. Simply put, construction due diligence is how you ensure that you don’t place your faith in cowboys or commit to an unwise investment. Vitally, it’s about making sure that you get the best build for your budget.

  1. A Spectrum of Construction Due Diligence

When getting your ducks in a row for a construction project, more often than not, the very first one to step into line will be your dream construction site. At this stage, diligence means making sure that all is as it appears, from surveys to guarantees, and from legal searches to transferring planning applications. A mistake at this juncture could mean that a major problem derails the construction project mid-flow, setting your project timeline back immeasurably, or forcing you to pay contractors who have nothing to do but twiddle their thumbs. With this in mind, every minute detail of your site’s credentials is worth a second glance.

Once your site has got the green light, it’s time for the most substantial decision of the entire process—and one that relies heavily upon meticulous construction due diligence. It’s time to cast your net for RFPs from the best and brightest construction companies around. If you’ve got your finger on the pulse, one of your most pressing concerns will be avoiding exorbitant costs. As the lingering economic impacts of the Covid-19 pandemic continue to mesh with an international energy crisis, you need a construction company that can deliver upon a detailed and stringent budgetary proposal—not only in the sense of material costings, but in smart hiring and labor management too. You’ll also want to be sure that the winning bid is backed up by the appropriate licensure, certifications, and insurance.
One final aspect of construction due diligence that is often overlooked at the bidding stage is the importance of company culture. The health of the culture within any construction company will dictate whether their team are dedicated and trustworthy, or likely to use your project as an opportunity to commit fraud. It is a reliable barometer for whether a company will act as a cohesive whole, or stumble through the unexpected. As established experts on not only assessing company culture but strategically correcting it, corporate investigators from Lauth Investigations International are primely positioned to evaluate this factor alongside the many others that fall under construction due diligence. When it comes to realizing your vision, the simple act of working with an industry-seasoned investigator before the race begins will help you mitigate the risk of hurdles ahead. Reach out to our team for a no-obligation consultation, and advice on how we can best meet your needs.

Why You Should Run a Background Check on Your Foreman

Why You Should Run a Background Check on Your Foreman

If you’re at the helm of a successful construction company, then it’s safe to say that you are a master of juggling risk and balancing complex budgets. In fact, you’re currently expanding, and its time to recruit a new foreman. Sure, you might have a great gut when it comes to reading people and sussing out the credentials that you’re looking for, but what if the person you hire is intentionally out to deceive? Employee background checks are designed to protect companies just like yours, and the reasons are numerous for running a background check on your foreman candidate. In fact, this is a corner you can’t afford to cut.

The Role of a Foreman: Placed In a Pivotal Position of Trust

How important is trust going to be for this hire? Well, consider the many facets of a construction foreman’s role. The individual in question is likely going to take on project management, coordinate schedules with payroll, monitor crew attendance, take responsibility for safety compliance, order and allocate materials, oversee machinery and equipment, deal directly with customers, submit and monitor expenditures, and make sure the budget always adds up—and that’s the simplified list.

Of every individual who works for your construction company, the foreman has the greatest diversity of means to do major damage. Still not convinced? If you need further warning, consider the reality that construction fraud alone amasses a global price tag in the realm of $860 billion annually. Even worse, crimes such as billing fraud, bid rigging, substituting of materials, and employee harassment or discrimination can happen right under your nose, bringing the authorities directly to your doorstep. In such a scenario, liability is a serious prospect. So, when the time comes to hire a new foreman, make sure that your chosen candidate has been fully vetted, and that your interests are truly in safe hands.

Find Peace of Mind With Employee Background Checks From Lauth Investigations

If you think that your HR department are equipped to carry out the background check for such a vital position, you might want to think again. Why? Because not all background checks are created equal, and the kind of due diligence required for such a multifaceted role calls for a specialist skill set. A dedicated corporate investigation firm will be able to conduct background checks that incorporate a deep-dive screening of employment history, financial records, credit reports, and criminality. Leveraging access to the kinds of restricted databases used by law enforcement agencies, they will be able to trace your foreman candidate’s track record—even if it crosses state or international borders.
It may feel heavy handed to conduct such a cautious vetting process, but the reality is that background checks can save an employer thousands or even millions over the years. This preventative practice protects against escalating employee turnover, theft, white collar crime, and the myriad of devastating impacts to both morale and profit margins that can follow a disastrous hire. In contrast, a bad recruitment decision can lead not only preventable losses, but also the perils of discrimination litigation. While it’s true that a corporate investigator will be an ally indeed should any of these uglier situations arise, you can pre-emptively mitigate the risk today with our industry-tailored employee background checks. Learn more about this process, or contact our team today for impartial and no-obligation advice.

What is a Lifestyle Investigation? It’s an Investment

What is a Lifestyle Investigation? It’s an Investment

What is a lifestyle investigation? To put it quite simply, it’s an investigation into all possible points of interest in a subject’s daily life. While lifestyle investigations can provide crucial clarity in most aspects of our lives, what’s imperative is finding the right investigator to conduct it.

When it comes to welcoming people into the fold of our everyday lives, we typically depend on our instincts to tell us who to bring close and who to keep at arms-length. We believe we can spot red flags from a mile away when someone shows us who they really are. The fact of the matter is that no one could anticipate all the other shoes that could potentially drop in any given situation.  

We all have a circle of people we consider close, trusted individuals. They could be our family members, our friends, our coworkers, or all of the above. This applies to both our personal lives and our jobs, but it’s important to remember that we can’t always trust our instincts when it comes to individuals outside that circle. When you’re considering bringing a new person into or near that circle, it’s important to have all the facts, and that’s where a lifestyle investigation comes in.

Lifestyle investigations can come in handy in a number of situations, but principally, the can be triggered by significant changes in our lives:

Long-term contractors

When you’re vetting candidates to perform long-term contracted services for you, it’s important that you know the broad scope of their character, particularly if they’re going to be in your home and close to your family. This may apply to positions such as home renovation companies, caretakers, or housekeepers. It’s common practice to check references for these contractors, but very few employers go beyond the scope of the job, which can have unpredictable consequences. For instance, if an individual has never stolen in the workplace, but had a history of stealing from loved ones, that would not come up in checking their professional references. Having a private investigator verify details like this can spare your family a lot of headaches.

Business partners

Conducting background checks on prospective employees should be standard practice when it comes to hiring protocol, but when it comes to bringing a new business partner into the fold, this calls for a much broader lifestyle investigation. A prospective partner’s business reputation may proceed them—they may have maintained successful businesses, built a strong network with other reputable industry leaders, and have a positive relationship with their clients. But what if they have a history of sexual harassment, that’s not necessarily something that might come up on a personal reference. For a litany of reasons, incidents of sexual harassment may go unreported, uninvestigated, and ultimately determined to be non-relevant to any future reference. Without due-diligence, current partners have no idea of knowing how a candidate’s interpersonal behavior may negatively impact their business.

Custodial guardians

There are few situations as important to exercise due-diligence as the safety and welfare of minors. Across the country, there are hundreds of thousands of children who are being coparented by divorced individuals, cared for by grandparents or other non-familial guardians, or are being placed in foster care when their own living situations become unacceptable. A lifestyle investigation into guardian(s) in question can sometimes literally be the difference between safety and danger for minor children. For example, two grandparents whose daughter has become unable to care for her children. With the children’s father still being alive, custody then goes to him, but the grandparents are concerned for their grandchildren because the father has a history of instability. Maybe it manifests in the form of substance abuse, or gambling addiction, but whatever the case—unless it is well-documented by the court, the court may have little cause to deny custody. A lifestyle investigation would mean that an independent private investigator can document relevant issues in a prospective custodian’s lifestyle that could negatively impact a child’s welfare.

If you are in need of a lifestyle investigation, call Lauth Investigations International for information on our catalog of lifestyle investigation services. We carry an A+ with the Better Business Bureau, and are one of the top-rated private investigation firms in the United States. Call 317-951-1100, or visit us online at www.lauthinvestigations.com.