88 467 € (249%)
of 35 462 - 99 666 € goal funded
373 € minimum investment
Skillific is a skills-based talent search engine with artificial intelligence (AI) features. It discovers, pre-selects and connects employers to the best job candidates from all possible sources.
Skillific is the fastest and the most reliable tool for locating and connecting to talent.
We follow the trends of employment services’ market carefully and anticipate the inevitable triumph of AI in recruitment services. This encourages us to put our maximum efforts into creating a truely intelligent talent search engine. We aim to automate the whole recruitment process within the next 5 to 10 years.
Our solution is unique and follows te most recent trends of the labour market. We utilize the opportunities created by technology to connect employers and talent.
We invite you to join us on our journey towards a more transparent and more efficient labour market.
Find out more about us at www.skillific.com
Problem & Solution
The labour market has shown clear signs of starving need for innovation for a while now. One of the biggest problems is the efficiency of recruitment processes. The situation does not correspond to technical opportunities created by modern times. A lot of solutions offered by service providers are obsolete and do not offer the kind of efficiency that could be achieved by using the smart solutions and data sources available today. The era of classical CV portals is over. The way they have been built makes it impossible to offer fast and reliable talent search.
Job portals use limited CV databases that cannot compete with search coverage offered by multi-source search engines. That said, the multi-source search engines available today don’t offer the necessary quality in matching job requirements and talent. Most ot of the search engines conduct fairly primitive keyword based full-text searches that result in a large number of inaccurate matches. Recruiters have to do the rest of the huge work to achieve the final result. These search engines don’t really achieve the result they are meant for – to find a suitable motivated job candidate promptly and with reasonable cost.
On the other hand the offline talent search and headhunting services offered by recruitment companies usually remain modest in search coverage, are expensive and tend to take time.
Having experienced these problems first-hand throughout years we decided that a better solution needs to be developed. This is why we decided to build Skillific.
We combined an intelligent cross-platform search with self-learning matching algorithm to provide the best available search coverage and the best candidate match. It’s a reliable and cost-effective solution for connecting employers to the best and the most motivated talent.
Traction & Accomplishments
We started working on Skillific in October 2014. Step-by-step the team members have raised the stakes and by now five of us contribute full-time. In addition to the core team we have two regularly contributing and very experienced advisors. It’s a strong and experienced team that will not give up until we reach our goals.
We launched beta in Estonia in July 2015 to test the platform and to get initial feedback from our users and customers.
We are now serving about 20 customers, including couple of paying subscribers. Our customers are Elisa, Transferwise, Nortal, Mooncascade, Starman, Swedbank, LHV Pank, SEB Pank, Danske Bank etc.
For now our solution works best in technology sector (ICT) – a sector with extremely high demand for qualified workforce. We’ve put a lot of effort into mapping skill profiles and improving performance of the matching algorithm. We gradually include new sectors as we move on.
By now we have on-boarded 5,700 users and we’re planning to increase our nuber of talent profiles to 200,000 in the coming months using our cross-platform crawling algorithm.
We have proven our ability to attract users with moderate marketing cost – we have had exeptionally good results in our marketing campaigns. CTR (click through rate) has been around 7% throughout our test campaigns and conversion rate on our page is constanlty close to 25%.
Both metrics imply high interest among talent and support our outlook for talent base growth.
We have invested 45,000 euros into our activities so far. We’ve developed the first version of the product and worked hard on the concept. We’ve put a lot of focus on developing customer relations and introducing our brand.
The need for taking the next step, growin revenue and starting preparations for entering bigger markets has brought us to this investment round.
Skillific in media
- BestMarketing (in Estonian)
- Startup Digest: startup of the week
- Geenius: startup of the week (in Estonian)
- Postimees (national daily newspaper, in Estonian)
- Personali Praktik (HR magazine, in Estonian)
- Marianne Mikko about Skillific in the Parliament (in Estonian). After clicking the link please press ctrl+F and search by using Skillific as keyword
How We’re Different
In section „Problem & Solution“ we covered the biggest shortcomings of the available recruitment services. Skillific is unique because it compensates for all these shortcomings in one compact solution. We utilize the opportunities offered by modern technology, know-how and data sources.
We combine two very powerful intelligent algorithms: a search engine that locates talent with specific skill sets and skill matching algorithm that pre-selects the best ranking candidates. This eliminates the need for employers to conduct any manual talent searches and candidate pre-selection rounds.
Here is a case study to illustrate competition and Skillific’s opportunity.
The closest to our kind of combination is the very recently announced co-operation between Connectifier and LinkedIn. Skillific’s solution has overlaps with both companies.
Among other things LinkedIn maps the professional profiles of its users, collecting data about track record, preferences, interests and skills. Nevertheless so far LinkedIn has relied only on its own user base when it comes to offering recruitment services. Despite of LinkedIn’s impressive growth its still just one-source talent hunting. And not always the best quality headhunting when it comes to skills-based matching.
Connectifier’s goal, much similarly to Skillific, is to offer multi-source talent search and skills-based matching. Connectifier is a newcomer. Like Skillific, Connectifier has understood the shortcomings of one-source talent search and is concentrating on multi-source talent search. The fact that Connectifier would start stepping on LinkedIn’s toes was mentioned on media already in summer 2015.
In February 2016 LinkedIn announced the acquisition of Connectifier. This is a meaningful milestone in the development of automated recruitment services. LinkedIn has gone through an impressive growth in user base and revenue. Its user base now exceeds 400 million and majority of its revenue comes from talent services (recruitment). LinkedIn has been around for a while now. Connectifier on the other hand became visible in the summer of 2015 when it raised a 6 million round from different investors.
The fact that LinkedIn saw Connectifier as a big enough threat and probably also as a big enough business opportunity only confirms that Skillific has chosen the right path. Automated cross-platform search and skills-based matching are overthrowing one-source talent solutions and will bite off the market share of expensive and inefficient offline recruitment services.
This is a remarkable confirmation for new and flexible movers like Skillific. Considering the huge market for recruitment services there is lots of room for newcomers. LinkedIn holds less than 1% market share (see LinkedIn’s quarterly reports and MarketLine Industry Profile – Global Human Resource & Employment Services, January 2015).
Uses of Funds & Timeline
We’ve seen that the market for our service is huge. This is why we want to use this investment to continue product development and expand into other sectors and internationally.
Our main goal is to develop the talent discovery feature and to test it out in co-operation with employers. Our target is to attract 50-100 subscriptions within 3-6 months. At the same time we will continue fundraising for the next investment round to secure the runway for the next 18 months, the period within which we will start our activities and validate the business model in UK.
To attract new customers we put a lot of focus on sales and marketing activities.
We focus mainly on phone sales to keep the customer acquisition cost as low as possible. We hold face-to-face meetings as necessary, usually with larger employers.
We have two main marketing work-flows. Firstly, brand development through different marketing campaigns, articles, public performances etc. – to smooth our sales efforts. Secondly, marketing job ads to specific target groups in different marketing channels – this helps us collect talent profiles and develop brand awareness.
Entering new markets
We start on each market by adjusting our skills database to local needs and updating the inputs of our cross-platform search engine. After that we can start sales and marketing activities. Technically the cross-border expansion should be rather painless. Main resources go to marketing and sales.
See our financial forecast for a more detailed overview:
Obligations to Investors, Profit Distribution
First of all we promise to do everything in our power to build Skillific into a world class talent search engine. We will stake all our skills and full commitment to making Skillific achieve its financial targets and to ensure a profitable investment.
We offer three possible strategies for drawing income from Skillific:
I. After closing Fundwise public campaign we will move on to our next investment round which may provide an exit opportunity for those investors who are more interested in short-term investing.
II. Some of the big players on the market (Google, Monster etc.) may want to acquire Skillific to complement their services once Skillific has matured enough.
Please see the LinkedIn/Connectifier acquisition as reference:
III. The third option is that with the help of your investment we will grow Skillific into a profitable enterprise so its shareholders can enjoy regular dividends.
Please also see our financial forecast:
We considered the following factors when setting the company value:
- the market potential and financial outlook of our concept. Please see LinkedIn’s revenue growth as reference: LinkedIn's Impressive Revenue Growth
- the strength of our team and ability to execute the vision,
- contributed time and money,
- product maturity,
- current traction,
- other similar transactions,
- feedback from potential investors.
All corporate investors are welcome to enjoy Skillific’s services at a 25% discount for the year following the campaign.
Meet us on Wednesdays
All investors are welcome to meet the team every Wednesday from 3 to 6 PM at our office in Tallinn, Ülemiste City, Lõõtsa 6, 2nd floor. This is an opportunity to get to know us better and to get answers to any questions about Skillific. Of course you can also contact us by phone: +372 5397 1255 or by e-mail: firstname.lastname@example.org
Risks and Mitigation
The main risk in Skillific's path is not having enough financial momentum to develop the technology and enter the market fast enough to beat competition. We have for some time been able to anticipate the trends of HR services market. There is no doubt about the market need for our product and now we need to move fast to execute our ideas and to be on the forefront of the innovative game changers. We are a small and very flexible player and with sufficient funding we are able to mobilize technological and business development resources to provide a top-notch service and to exceed competition.