Internet recruitment system co Redmatch raises $3m
US media company TownNews led the round.
Batya Feldman 31 Oct 04 17:51
Start-up Redmatch Ltd. has raised $3 million in its second financing round led
by US media company TownNews, which helps 850 US daily and weekly newspapers publish
online editions. Redmatch's existing shareholders and private investors also participated
in the round. The investment is intended to increase Redmatch's share of the online
US classified ads market. Redmatch raised $3 million a year ago in a financing
round led by DZ Israel Associates, the only venture capital fund to invest in
the company, and private investors. Redmatch is developing a smart help-wanted
platform that offers salaries analysis, jobs and employees search functions. The
system can tell a person if his or her salary reflections his or her market worth,
whether there are suitable positions available, even if he or she is not seeking
a job. The system enables employers to screen candidates for jobs, and make smart
searches for candidates for available positions. The system can be set to automatically
match job-seekers with suitable jobs, and enable them to call anonymously. Redmatch's
revenue from the US and Europe is reportedly $4 million a year. Redmatch cofounder,
president, and COO Daniel Avidor yesterday said the break into the US market had
been difficult, but the company began consolidating its position as the leader
in the US online help-wanted ads market beginning in February. TownNews therefore
showed an interest in the company. "As of a month ago, our company had the
second largest job listing in the US. The proceeds from the financing round are
designated for opening an office in the US, in order to achieve our sales target
of $57 million in 2007," said Avidor. He predicts that the company will become
profitable in 2006. Redmatch chairman Alan Schonberg predicts Redmatch will reach
$2 million in revenue in 2004. Schonberg is also co-chairman of the Ohio-Israel
Chamber of Commerce.