Co-founders’ Summary

The online recruitment process consists of a deeply fragmented marketplace of service offerings for both Hirers and Jobseekers. Within this soup of offerings you have Aggregators, Job Boards, Applicant Tracking Systems, Multiposters, Media Buyers, Professional Networking and Career sites to name just a few. With each of these platforms you have different capabilities and business models, from pay for performance, job postings, resume database licenses and SaaS platforms.

Each of these offerings amongst the multitude, usually provides only one component of the hiring journey. Thus, it typically requires both Jobseeker and Hirer to use multiple systems, in an almost infinite combination of linking between different platforms, user experiences and capabilities resulting in a fragmented, inefficient, and bewildering process.
There is only one service provider today that still operates within the broad Human Resources Industry providing an almost complete end-to-end hiring experience for both Jobseekers and Hirers, this is the Staffing Industry. As with the broader industry, the staffing industry is a highly fragmented industry of over 20,000 companies providing human capital solutions for all sectors and geographies.

It is a deeply inefficient system and is possibly the most expensive way of finding and onboarding talent. However, despite all this, the staffing industry grew consistently year-on-year from 2012 to 2019 ending as a $152 billion industry (USA). It is apparent that staffing appeals to and is valued by companies because it provides a one stop shopping solution to hiring. Clients are willing to pay a premium to avoid the hassle and issues of the current talent attraction process.

Staffing accounts for approximately 15 million placements (Contract, Direct Hire and Temporary) of jobseekers every year, which accounts for roughly 25% of all movement of labor in the US market annually.
Staffing solutions are not the best solution for all hires. The inefficiencies of the process incur too great of a cost to bear for many roles that companies are looking to fill. Thus, to some extent, hirers are still forced to enter into the complex online recruitment arena.

The experience for the jobseeker placed through a staffing agency can be highly variable. Some results are appalling, as recruiters are financially incentivized to place people into jobs. The misalignment of incentive and intentions does not always result in placing the best person into a job, sometimes it’s just pushing ‘bums into seats’. And ‘heaven forbid’ if a recruiter determines a jobseeker is not a good, easily “placeable” candidate, the jobseeker is likely to never hear another thing from that recruiter.

All in all, the entire Human Resource Industry is a chaotic mess of providers looking to master what they have to offer, many times a small niche offering, in an attempt to carve out market share and business. Only staffing agencies are still holding the true advantageous position, owning the relationships with the hirer and the jobseeker simultaneously throughout the process.

This is why Job.com exists. We are creating a platform that will be viewed as both a brand and service offering, akin to how consumers view Uber, DoorDash or AirBnB. We are a solution provider that caters to all aspects of the job-seeking journey and will provide clients with a multi-layer, recruitment service offering that will address all aspects of their hiring needs.

We describe ourselves as a data driven, digital staffing solution. We utilize data and a technology stack of Artificial Intelligence combined with Blockchain technology to service the attraction, onboarding and retention of talent. Our solution is designed to go on the journey with Jobseekers and Hirers alike, with many unique features that keep both audiences captive and supported throughout their journey.

It can be complex to articulate a solution that has both B2C and B2B customer offerings. For the Jobseeker, our service offering will provide:

Our Vision is one that believes in consolidation in fragmented markets, creating a true brand and service that helps companies hire better and jobseekers maximize their career. Our pursuit of consolidation has already begun and is woven into the fabric of our go to market strategy.
We are acquiring staffing agencies as our route into markets. We believe this is the most cost effective, quickest and lowest risk entry approach and provides the foundation for an explosive channel of growth for the company as our digital platform is then brought to bear. The staffing industry is saturated with many players and provides an open landscape for Job.com to choose the best sectors and geographically focused companies, acquire them to take over their client relationships, and deploy the Job.com offering fast.
Our execution strategy has several layers built upon each other, with each providing additional growth potential. First, at acquisition, we acquire instant revenue and profit through the acquired entities. Second, we gain strong client relationships that will be targets to offer data driven digital solutions to help with their overall hiring needs. Finally, the greatest growth opportunity lies in expansion, within the existing clients, servicing the “other” job requirement opportunities clients have - allow us to explain.

Following that plan, Job.com acquired HireVergence in August 2020. HireVergence is a staffing agency based in Tampa Florida and supplies Cyber Security talent to their clients. Within the CyberSecurity arena, they have built a great reputation and strong relationships with their clients based on their historic performance.

HireVergence clients also hire for many other roles in their business, but do not give these roles to HireVergence to fill, as they are not seen as a supplier for roles outside cybersecurity, until now. With Job.com’s acquisition, HireVergence can now communicate to their clients their new abilities to service almost all sectors and geographies with a myriad of tiered service offerings with all their hiring needs.

Prior to acquisition, HireVergence had been working on approximately 12,000 job roles a year for their clients. Now with their ability to offer a full spectrum of services, the number of job requirements that HireVergence may work on, is estimated to increase by 50,000 roles per annum. This offers a 4X multiple in the amount of business and revenue opportunity available to Job.com through the acquisition of the HireVergence company.

A hidden value of the acquisitions is their data. These staffing agencies are typically niche-focused and low tech. They have years of data and information which they do nothing with but is a significant value to expanding and improving the Job.com digital platform, Momentum.

HireVergence is not unique, the same opportunity is available with all niche focused staffing agencies. In the US there are over 20,000 of these staffing companies, with over 19,800 of them operating with less than $100 million in annual revenue, making the vast majority of the market prime targets for acquisition.

Additionally, these staffing agencies can typically be acquired for modest multiples of EBIDTA (4-6X). Once merged into Job.com, their assets of Data, Clients and Revenue present a massive value uplift opportunity for Job.com. In this scenario of staffing agency acquisition by Job.com, “the whole is greater than the sum of the parts”.

Today, there is not a data driven digital staffing agency in the market and Job.com is here to create a platform to alter the industry, akin to what Amazon was to bricks and mortar retailers, Job.com is to bricks and mortar staffing agencies. This is our opportunity to disrupt and shift a $152 billion industry through a consumer facing brand called Job.com that is a data driven digital business.