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talentsconnect connects talents and companies through technology. How? The company enables recruiters to effortlessly realize attractive company career pages. With their product "JobShop", these career pages are created in no time, integrated into the company’s website in their look-and-feel without additional agency costs and are fully optimized for Google for Jobs.
Expanding to SMEs and replacing existing line of credit to accelerate growth
After building up a track-record with large enterprise companies, expanding into the SME sector became the next strategic priority for talentsconnect to accelerate growth.
Thus, getting funding to support growth with the needed flexibility was crucial, as CEO Robin Sudermann highlighted: "Once we realized that there was more room to grow, the question became how to raise funds to capitalize on the opportunity at hand."
However, fundraising usually takes several months, requires additional management attention and results in further dilution of equity. talentsconnect needed a new funding option that allowed management to focus on their core business and accelerate growth.
Funding to fuel revenue growth and accelerate path to profitability
With re:cap, companies can get funding to accelerate business growth on their own terms and invest in marketing, sales or other expansion activities. For talentsconnect, re:cap checked all the boxes.
The process to get funding from re:cap took days – not months – giving talentsconnect time to focus on strategy and business, rather than investor relations and fundraising. With re:cap, talentsconnect increased the flexibility of their current capital stack and was able to act on a market opportunity quickly, without having to give away any more ownership of the company.
“Traditionally, you would need to put your focus on a fundraising round. You would have to conduct investor relations for every new contract, new venture debt, new venture capital – but with re:cap, you have the possibility to sign a framework contract and then draw the funds you need, when you need them, without new negotiations.”
Max Vogt
Director Finance, talentsconnect
re:cap’s terms made it easy to communicate the benefits to the stakeholders compared to other alternative debt products. With the received funds, talentsconnect was able to accelerate their path to profitability. With the available funds, talentsconnect has built up their cash buffer and gained substantial financial freedom.
Since re:cap’s first investment in May 2022, talentsconnect was able to increase their ARR growth by +80% compared to previous months by investing in market segment expansion and high return marketing activities.
For re:cap’s alternative debt funding, it is ideal to have a solid customer base which enables an accurate assessment of returns on investment. This was the case for talentsconnect – they knew how much impact boosting marketing channels or growing the sales team would bring and were able to expand their market presence efficiently with re:cap.
