Information memorandum for a recruitment tech firm

Information Memorandum for a Recruitment Tech Firm

Consumer Internet | Jobs

Client Need: To assess the market potential and develop a compelling business case for raising capital

The client, an experienced ex-employee of a leading technology firm was looking for a business advisor. He founded an HR/Recruitment tech platform, as he saw enormous untapped potential in the large and fragmented recruitment space. He wanted to challenge the incumbents with a revolutionary recruitment platform to the “conversation/chat loving generation”. The product would remove the friction between recruiters and job seekers by making the communication seamless — it would integrate instant messaging into a recruitment platform. The platform would also offer jobseekers/contractors to showcase digital portfolios to grab recruiters’ attention.

Challenges

Market Size Assessment

Business Plan Development

Pitch Deck Story & Design

Solution

Market assessment

AlphaValley Advisors estimated the market size using the top-down approach for 20 countries. The analysis also involved estimation of digital adoption of recruitment technology/apps by job seekers. A similar assessment was conducted to estimate the serviceable addressable market (businesses in the target countries that currently use digital recruitment platforms). We also presented a high-level competitive analysis to triangulate our assessment.

Business Plan & Valuation

AlphaValley conducted a financial analysis to estimate the potential adoption of the platform. The team used comparable metrics from apps in adjacent realms to arrive at thumb rules. We also performed a sensitivity analysis to identify the extreme ends of the projections. Based on these values and the market opportunity previously identified, revenues were forecasted.

Investor Presentation

The client was planning to begin the fundraising, so he wanted to prepare an investor-grade pitch deck. A key pain point that he mentioned was that he was unable to put together his thoughts in a concise and compelling style. Deep immersion and regular sessions with the clients ensured that our team examined like a cofounder while preparing the pitch deck. The goal was to ensure brevity and a compelling story while showcasing the vast opportunity.

Outcome

The analysis helped the client examine the market more granularly. His initial conversations with investors were fruitful and helped him get more meetings with VCs.
See below some scrubbed slides from the investor presentation.