Income verification platform Truework has partnered up with Gusto, which helps power small and medium businesses with tools like HR, payroll and benefits to support income and employee verifications for employees on Gusto’s platform.
The partnership will grow Truework’s network by over 100,000 small businesses and their employees who use Gusto.
The partnership will simplify verifying information for employees on the Gusto platform by letting them have control over how their employment data is shared. By using Truework, the company claims employment information can be shared directly with third-party verifiers after employees give their consent.
Truework provides a platform for employment and income verification that lets consumers control their personal data, and digitizes the verification process for human resource departments, banks and others. The company makes the verification process faster for folks when applying for loans, apartment rentals and jobs.
Ryan Sandler, CEO and co-founder of Truework, told FinLedger that the company did a slow roll-out of this partnership in January and now it’s fully accessible. Sandler said he’s excited about this partnership and the extension of reach it has enabled.
“We’re really centered around the concept of consent, with over 35 million employees on the network, we ensure that there’s explicit consent by the consumer before the data is released, while enabling them to get their transaction quickly,” Sandler said. “Gusto is an employee-first company that also wanted to ensure that their employees have full control over their data.”
Meanwhile, Somrat Niyogi, Gusto’s Head of Business Development, said in a statement that Gusto believes that companies are data custodians, not data owners and employees should have control over their personal data.
“In partnering with Truework, we’re giving employees the privacy and consent they need to better own and control their data while significantly reducing employers’ time spent on the employee verification process,” Niyogi said.
Truework was launched in 2017 and is backed by the likes of Sequoia Capital, Khosla Ventures, Activant Capital, and others. Truework now has over 15,000 financial institutions on its network.
Sandler said digital lenders and traditional lenders are investing more in their digital experiences because of the COVID-19 pandemic, and Truework has benefited from that digital transformation.
“Generally, we’re seeing a ton of momentum that’s going to carry long after COVID-19 where income and identity information is a core piece of that funnel,” he said.
Although the company wouldn’t release revenue numbers, it does have 120 employees and expects to hire 30 more this year. Transactions on its platform grew 5X in 2020. The company covers over 35 million employees. Truework raised a $30 million Series B funding round in May 2020 with an extension from American Express in December.
“We want over 100 million consumers on our network in the near-term, where lenders can verify them instantly,” Sandler said.
In other recent news Ramp, which provides a corporate card and spend management platform, has raised $115 million in new funding at a $1.6 billion valuation. The latest round brings its total venture and debt funding raised to date to $320 million.