Yardstik Raises USD 30M Series B to Tackle Post-Hire Workforce Fraud

Yardstik, which describes itself as the Human Trust Platform for employers, has raised a USD 30 million Series B led by Harbert Growth Partners, with participation from existing investors Rally Ventures, MissionOG, Crosslink Capital, Grotech Ventures, and Great North Ventures. The round brings Yardstik's total funding to USD 65 million and follows what the company reports as 149% year-over-year revenue growth alongside a 98% account retention rate over the past three years.

What Yardstik Builds

Most background-check and identity-verification products stop monitoring a worker the moment they are hired. Yardstik is built around the opposite premise: that risk continues to accrue after hire, through expired licenses, lapsed insurance, OIG exclusions, and motor vehicle record changes that employers rarely track in real time. The platform layers continuous post-hire monitoring and automated alerts on top of traditional pre-hire background checks, aiming to close what the company calls the industry's most significant blind spot.

Why This Round Matters

Workforce fraud and compliance risk have become sharper concerns for employers managing distributed and gig-adjacent labor forces, where a worker's credentials or standing can change well after the initial hiring check clears. Yardstik's growth numbers suggest employers are willing to pay for continuous monitoring as a distinct product category rather than treating background checks as a one-time hiring gate. For founders building HR-tech or trust-and-safety infrastructure, it is a signal that the market is rewarding products that extend coverage across the full employment lifecycle rather than compressing everything into onboarding.

The round also reflects a broader pattern in compliance-adjacent B2B software: products that started as a single-purpose checkbox tool, a pre-hire background check, expanding into an ongoing monitoring relationship with the same customer base. That expansion path, deepen wallet share within an existing account rather than chase new logos exclusively, tends to produce exactly the kind of retention numbers Yardstik is reporting, and it is a template other point-solution founders in HR-tech and compliance can study directly.

What This Means for Founders

A strong retention number, 98% over three years, did more work in this raise than the headline growth rate, underscoring that investors evaluating recurring B2B infrastructure weight retention and account expansion heavily against top-line growth alone. Founders building in HR-tech, compliance, or trust-and-safety should track and lead with retention metrics as deliberately as growth metrics when approaching later-stage investors. Founders can use the investor match tool on AngelLinx to find B2B SaaS and HR-tech focused funds, browse the investor directory by sector and check size, see the live listing for comparable enterprise SaaS raises, and review ARR benchmarks relevant to expansion-driven SaaS businesses. Founders ready to connect with active investors can register on AngelLinx to get started.

AngelLinx Intelligence | angellinx.ai