On Monday, Jobandtalent, a leading job-matching startup, has announced that it raised $42 million from Series B round led by Skype founder, Niklas Zennström, of VC firm Atomico. Last year, it closed out a $39 million Series A round.
The Spain based firm, founded in 2009, has offices in United Kingdom, Spain, Mexico and Colombia. It has more than 10 million registered users, and over 450,000 new users each month, all via mobile. It serves as a platform for over 150,000 businesses to find employees, according to its official website.
Jobandtalent claims it uses innovative and complex machine based learning techniques to filter out right jobs for the right people across millions of users and hundreds of thousands of employers. Its algorithm learns from the users and their interaction with the platform and suggests vacancies, taking into consideration jobseekers’ preferences and professional profiles. Besides, the mobile app can tackle the paperwork including employment contract and staff payroll, reducing employers’ hiring cost.
Instead of aiming at large companies, the firm currently pivots to small-and-medium-sized-enterprises (SMEs) that struggle with hiring talent people, want to get rid of paperwork, and focus on core business. SMEs are not only numerous but also have a higher employee turnover than large companies, so theoretically this can be a great opportunity for Jobandtalent.
"LinkedIn was great for the highly qualified and highly skilled professionals and big corporations. It's the perfect tool for them, they have nailed it. But then when you see the rest of the labor market, you see 80 percent of the population has a lower qualification than the typical profile on LinkedIn. On the company side, you see over 70 percent of jobs generated by SMEs, and LinkedIn is not focused on that," Juan Urdiales, co-founder of Jobandtalent, told CNBC in a phone interview.