How Can I Ensure My Background Check Clears When My First Job Was at a Tiny Firm?

Dear seniors,

First of all, I thank you in advance for investing your time in reading and answering my query. I sincerely solicit your advice on my problem. Many of you might have experienced this situation or must have seen others go through it. One piece of advice from experts like you may help thousands like us.

Introduction

This is Kamal. I am an MBA with 10 years of experience in content management [print and web]. I have worked for three companies during these ten years. The second company is the world's second-largest market research company, and the third is a British media giant [I am currently working here].

My First Employer

The first firm I worked with is a really small firm—a home-based proprietary publishing firm [sole proprietorship] that publishes almanacs [a book on Hindu religious traditions, etc.] and travel guides [for four different cities] in our regional language [Telugu]. Occasionally, it published travel guides in English. I worked here as an Editorial Assistant from October 2002 to August 2007 [5 years]. I worked for Rs 6,580 per month [CTC: Rs 78,960/annum]. There were no deductions for tax, PF, or anything. There were no payslips. I was paid cash in hand.

The publishing firm was not registered under the Companies Act, 1956. However, it was registered with the Registrar of Newspapers of India [RNI], which is like a license to run a publishing firm. The firm had a total of eight employees—6 contracted & commissioned sales boys, me, and the proprietor. The proprietor had a single-room office setup at his uncle's huge house. He outsourced all the printing and designing work. We had total sales of 5,000 to 8,000 copies a year. It was out of the bracket of commercial tax. However, we still maintained our bills or receipts given to our clients [highly reputed public and private sector clients] who placed advertisements in our books. Please note: my proprietor alone has contacts with the concerned personnel from these companies when dealing in ads.

Issue with Background Check

Having worked with the proprietor for such a long period—5 years, I have a good relationship with the proprietor and have been in touch with him till now. I am aware that he is still running the firm. He told me recently that he moved to another city, where he is running the business in an apartment [single office room setup] with just a nameboard [his name, proprietor, publishing firm's name]. He also stopped publishing the travel guides after I left the firm. He is now solely dependent on almanacs. Also, his RNI license is now expired—he says he is going to renew it. It was valid when I was working for him. The proprietor issued me both an offer letter and an experience certificate.

I am now getting calls from big players like Accenture, Google, and TCS. The HR teams of my second and third employers contacted the proprietor via phone and confirmed my details. However, the practice with big companies is different altogether. They send background check agencies to locations and get the employee details verified.

It's a small firm with no big name boards. So, people around would not know it well. The address on my offer letter and experience certificate is old. Also, the landline number is not functioning anymore. The proprietor's mobile phone is functioning. I am, anyways, going to provide the prospective employer with the new address of the firm. But I am still worried as to what the third-party agency would view it as if the business or office is such a small one and is running at home. Would they mark me as a red flag? I am 33 years old, and at this point, I can't afford to lose good offers. Why is it a problem to prove something that is genuine and legitimate?

Kindly help me with this issue.

Awaiting your replies/advice.

Regards,
Kamal

Who said it is a problem to prove something that is genuine and legitimate? Based on what you mentioned, it looks like it's YOU who is assuming. There's no guarantee that the address of your past employer has to be the same as in your experience letter—many companies change locations for various reasons. Though most change to larger premises due to business expansion, that's not mandatory—many do it due to downsizing also (which seems to be the case here).

Just go ahead and give the current address—but suggest giving some background to the new company (preferably in writing) after discussing with the proprietor on the reasons—what you mention to your prospective new employer has to match with what the proprietor says. The fact that this earlier job was your first one should make matters simpler and less apprehensive to any BC Agency.

All the best.

Regards,
TS

Great! Thank you so much for your advice, Satish. It was quite enlightening and soothing. What you said is right—to be upright about details. I am now confident enough to go ahead with the facts and reasonings.

Nice to have mentors like you around. Hoping for continued support from you and your peers...

Cheers,
Kamal

Dear Kamal, No need to worry about any verifications if you have really worked with that concern. Your experience and workmanship are always regarded. Regards, V.N. Kishore

It is natural that verifications are common these days because people who have worked for more than three years don't know the basics and just submit fake experience certificates. If a person works with an organization, they will have a minimum attachment to it and will not disclose anything, whether good or bad, about the candidate. One must ensure that the exit from a company is legally correct. The size of the company or turnover is not a mandate for the caliber of the candidate.

Regards,
Kishore V.N.

I have worked with only small or medium-sized companies, so I am not familiar with the practical procedures of larger companies or MNCs. However, all departments work according to their laws, education, and experiences. I must say that if you disclose your correct information and it is verified by the background check agency, there should not be any issues. You must clarify your details verbally or in writing to the HR team of your prospective organization.

I hope my words may be helpful for your situation. I wish you all the best.

Regards

Good to know you are one among people like me. Thank you, and it's nice of you to have posted a reply to my query. Yes, your reply did soothe me. I am on the lookout for advice from employees/HRs from big companies too. That should dismiss my tensions altogether.

Cheers and good luck to you too,

Kamal

Similar is the case with me. I worked with a coaching class from 2018 to 2020, which obtained a GST number in 2021. Now, an MNC has requested my GST number for background verification. I am worried whether there might be any issues since they didn't have a GST record before 2021. The coaching class is a registered proprietorship and obtained a shop act license in 2020. Payments were made in cash, and no salary slips were issued. However, they did respond to the MNC's background verification email confirming my employment between the same years. Please help.

Hi, you can submit whatever proof you have, including a relieving order related to your work experience between 2018 and 2020, which is the maximum you can do.

Background Verification (BGV) Limitations

The BGV should be limited to your past employment details only. I really don't understand the purpose behind asking for the GST number. Are they planning to hire you, or are they going to purchase your old company?

GST Number Requirement

Any vendor having a business transaction with the employer will require a GST number. It is not mandatory for your past employer to provide a GST number for employment verification.

Based on the available information, if they hire you, it would be good. If not, look for another employer.

I am not in a position to look for new opportunities since it's a campus placement. A multinational corporation (MNC) offered a senior position to me, and it's a big brand. What should I reply to them if they raise the question that your previous employer doesn't have tax records during your tenure of working? So we can't trust whether it's a legitimate firm or not.

Hi, your question is not logical! The purpose of verifying the GST number, as per my assumption, is to ascertain the existence of the company. If your past employer now has a GST number, sharing that information should be sufficient. There is no need for the GST number to have existed during your tenure with that company.

Got their reply stating...

Verification received from the public domain. Kindly share the bank statement for the complete duration.

But I don't have a bank statement as the payment was in cash. I replied the same, stating that the mode of payment was cash in the email. Will this be okay now?