Founder • Steve Schmitt • Founder & CEO • 25 years of Experience “With the fundamental belief that Social Media and other advancements in Internet technology will signiﬁcantly impact many industries...”
Macroeconomic Trends • IRS plans to audit 6,000 companies • IRS to hire 100 new personnel • 50% of jobs created during the economic recovery were contractorshttp://www.inc.com/news/articles/2010/02/cracking-down-on-contractors.html
HOW DOES THE MARKET WORK Corporations/Governments/Consulting Firms$110,000,000,000 Revenue Stafﬁng Firm Stafﬁng Firm Stafﬁng Firm 17,000 Stafﬁng Firms 200,000 Recruiters Independent Recruiters Independent Recruiters Independent Recruiters 12,900,000 Contractors Hired! THE ENTIRE POPULATION OF PENNSYLVANIA
THE PLAYERS Recruiter Recruiter with with Job Contractor Stafﬁng Firm Stafﬁng Firm or or Independent Recruiter Independent Recruiter
• For professional recruiters• Private, Secure & Trusted• Recruiters can meet & share in opportunities• Common platform• First of it’s kind!
The Loud Mountain Platform Loud Mountain Marketplace Post Post Job Contractor Recruiter Recruiter with with Open Job Qualiﬁed Contractor CONTRACTOR IS MATCHED TO JOB ALL FEES ARE SPLIT BETWEEN THE TWO RECRUITERS
The Loud Mountain Platform .com Recruiter LinkedIn Integration with Recruiter’s ATS Integration with Recruiter’s ATS Marketplace Integration Post Post Contractor Job Recruiter Applicant Rating Tracking System System https://vimeo.com/51552398 Mobile Platform Loud Mountain offers a complete solution for recruiters. A common platform for recruiters to run their business at no cost.
In Summary 1. Everyone is now connected 2. Visibility of trading partners 3. Prisoner’s Dilemma (eBay, Amazon, Airbnb) 4. Free Software 5. Trust the Cloud (Mobile Banking Industry) 6. Contrarian 7. Elimination of Noise
In Summary 1.WE HAVE A PRODUCT 2.WE HAVE CUSTOMERS 3.WE HAVE REVENUE
Revenue ModelScenario: A contract software engineer is placed into a new assignment on theLoud Mountain Marketplace.* Contractor’s hourly rate is $52/hour (30% Gross Margin) 14%* Contractor works a total of 2,000 hours for 1 year* Total revenue generated is $104,000 4% 68% 14% Revenue Breakdown $70,000 Contractor $15,000 Recruiter with Job $15,000 Recruiter with Candidate $ 4,000 Loud Mountain
Revenue Model Loud MountainScenario: A contract software engineer is placed into a new assignment on theLoud Mountain Marketplace.* Contractor’s hourly rate is $52/hour 14%* Contractor works a total of 2,000 hours for 1 year* Total revenue generated is $104,000 4% 68% 14% Revenue Breakdown $70,000 Contractor $15,000 Recruiter with Job $15,000 Recruiter with Candidate $ 4,000 Loud Mountain
Revenue Model Loud Mountain $20,000 Revenue per 400,000 Recruiter x Potential Market 4,000 Recruiter $80 Million 4,000 Revenue Recruiters working in Staﬃng Industry Loud Mountain’s Goal
HERE IS AN EXAMPLE OF ONE OF THESE RECRUITERS....
Jeff Coulter - GenTech 2012 12 PLACEMENTS $200,0000 ADDITIONAL REVENUE “Revenue that would not have happened without the Loud Mountain Platform”
Experience ✓ We have built a product based on years of ﬁrst hand experience in this industry. ✓ A product that has been embraced enthusiastically by our customers. ✓ For the simple reason that it makes their businesses more proﬁtable.
Call to Action ✓ There is a “War for Talent” ✓ We have the tools to help these organizations compete in this War. ✓ We provide the ﬂexible workforce necessary to be successful in a global economy.
Building the Community1 Outside Sales Deﬁnition Small Outside Sales Team focused on building relationships with medium & Key Points • Small Team large sized staﬃng and consulting • Mobile ﬁrms. Primary responsibly is crowdsourcing jobs.2 Inside Sales Deﬁnition Inside Sales is responsible for recruiting both users of the free ATS and Key Points • Former Recruiters • Everywhere converting them to Active Recruiters or Traders on the Exchange.3 Referrals Deﬁnition Members can sign up to 10 connections in their network. They receive a 5% Key Points • Dropbox Model • Viral override with the potential of earning an • Trust additional $40k a year. • Loyalty4 Direct Sign Up Deﬁnition Direct Sign Up’s are Members who come to the Marketplace directly from Key Points • Social Media • Ad Words our eMarketing & Social Media campaigns.
Competition Split Network Competitors ATS Competitors Weaknesses Weaknesses • No Recruiter Rating System • Expensive License & Startup Fees • No Applicant Tracking System • No Recruiter Marketplace • No integration with Social Media • Fee Based Competitive Advantage • Loud Mountain provides a complete solution for recruiters because we provide a Free Applicant Tracking System combined with a Network or Marketplace of sharing jobs and candidates.
Competitors - Split NetworkTop Echelon is an industry leader in BountyJobs guarantees eﬃcient Private bidding and recruitment tool The Hire Syndicate empowers recruiters toproviding recruiting software solutions collaboration with the headhunter channel allows Employers and Agency Recruiters manage and grow their trusted splitto search ﬁrms for the purpose of through a single Web-based application. It to connect and make quicker networks and close deals in real–time fromhelping them make more placements is the preferred contingent search solution placements. their desktop and mobile devices.in less time. for more than a third of the Fortune 500, Facilitates both Direct-hire and Contract/ with a marketplace featuring more than Temporary jobs in all industries. 10,000 approved headhunters.Weaknesses Weaknesses Weaknesses Weaknesses• No sharing ability • Employers post jobs not • Need to “Win” Jobs - • Have to pay a monthly• Expensive ATS recruiters competition not sharing Membership Fee• No integration into Social • Recruiters compete for • Free to join but make money • No ATS Media (SM) placements through advertisements • Doesn’t easily integrate into SM • Low success rate • No ATS • No ATS • Doesn’t integrate into SM • Doesn’t integrate into SM Why We’re Better ✓ Free Applicant Tracking System ✓ Completely conﬁdential ✓ Share information on candidates & jobs easily ✓ No monthly membership fees ✓ Integration into Social Media (LinkedIn) ✓ Free to post jobs and candidates ✓ Better matching ✓ No Startup costs
Competitors - ATSJobDiva is a full service provider with a Bullhorn is a web-based software Bond International Software, Inc. Zoho Recruit is an easy to use ATS andrecruitment and applicant tracking providing services to improve the way developed a staﬃng and recruiting recruiting software that aids staﬃngplatform to serve large and mid-sized employees and employers come together. software to aid staﬃng and recruiting agencies and recruiting departments tostaﬃng organizations. Their innovative As a software as a service (SaaS) provider, ﬁrms of any size to improve their growth track job openings, resumes, candidatestechnology allows for easy searching of recruiting and staﬃng professionals utilize and proﬁtability through the ability to and contacts quickly and eﬃciently.resumes through speciﬁed criteria. Bullhorn to communicate and collaborate improve ﬁnding, placing and managing with contacts, colleagues and clients to ﬁll talent. job orders at any time.Weaknesses Weaknesses Weaknesses Weaknesses• Full service solution - for employers • Cost/user - start at $99 for the basics • Expensive setup costs and training • Closer to a CRM not just an ATS - tracks too not just staﬃng ﬁrms and increase • Cost/user - $125 sales instead of candidates• Many diﬀerent products - hard to • Hard to navigate through system - isn’t • Many unnecessary features • Lots of add on features that are choose exactly what you need intuitive • Hard to navigate through system - unnecessary like Project Management,• More features you want - more • Can only customize if you have a isn’t intuitive Accounting, etc. money you pay - not customizable higher subscription • Can only customize if you have the • Automate emails to candidates - takes highest subscription out personal element Why We’re Better ✓ No Cost ✓ Ease of use ✓ Made speciﬁcally for the stafﬁng industry (not corporate HR) ✓ Connection to Loud Mountain’s Recruiter Marketplace
Exit Notable Transactions Facts Human Capital Management Acquisitions there is a real war for talent Success Factors by SAP for $3.4b Taleo by Oracle for $1.9b it is a global problem and getting worse Salary.com by Kenexa for $80m every year Job Board Acquisitions organizations with access to this talent Hot Jobs by Monster for $225m Rigzone by Dice for $39m will be in demand CareerBuilder by Gannett for $135m the recruiting space is very active for investments and transactions IT Professional Services Acquisitions Ness Tech by CitiGroup for $337m loud mountain cuts across many potential Intelligroup by NTT Data for $173m acquirers Patni Systems by iGate for $1.2b - Global Stafﬁng Firms (Adecco, Allegis, Robert Half, Manpower) - Global Consulting Firms (Accenture, Capgemini, Pwc, CSC) Buy/Sell Exchanges - Global IT Firms (TATA, iGate, InfoSys, TekSystems) Redﬁn by Draper for $60m - Global Job Boards (Monster, Dice, Career Builder) Zillow on IPO for $500m Cap - Buy/Sell Platforms (eBay, Priceline, Amazon) Bounty Jobs by Greylock for $60m
Recruiter Metrics 230 -19 211 Recruiters do not These 211 Qualiﬁed depend on their own Candidates who are database of submitted to positions, candidates. They are and are not placed, constantly seeking represent wasted effort new relationships. and lost revenue. Summary: Recruiters work very hard to built new relationship but are inefﬁcient in monetizing all the work.