It’s not everyday a solutions provider in our space gets $100 million bucks in funding. But it just happened.
Earlier this week, John Chuang, the CEO of TRI Ventures, wrote that check to Scout Exchange. The large investment is intended to help the startup company grow and advance its current technologies. Scout Exchange is a platform used for marketplace recruiting, and hundreds of companies have begun using the platform for their growth.
Chuang has invested in startup companies before, such as Angie’s List, which was the first home review platform of its kind. At the time, Angie’s List was just begun, and now, it is one of the highest-ranked home review sites. Before becoming the CEO of TRI Ventures, Chuang founded a creative staffing agency called Aquent, the world’s largest creative staffing agency.
Currently, he is the chairman of the company. TRI Ventures is a global staffing firm based in Boston focused on finding talent and finding solutions for the marketing and creative needs for Fortune 1000 companies. The company invests in startup companies like Scout Exchange as it supports innovative technologies to aid in the search for talent and appropriate recruitments.
Why has John Chuang decided to invest in Scout Exchange?
“Talent acquisition is more imperative for today’s businesses than ever before,” said Chuang in a release. “While technology has streamlined many HR processes, corporate recruiting is still more difficult and time consuming than it should be, presenting real opportunity to disrupt the $500 billion global recruiting market. By combining intelligent software with the proven efficiencies from B2B marketplaces, Scout is pushing the limits of what’s possible to create a new category of recruiting that’s much more efficient and effective than traditional approaches.”
Scout has recently been described as providing “intelligent software” by a top industry analyst. It is a platform that connects employers to find and acquire potential future hires. The platform is integrated with applicant tracking systems, which allows Scout to electronically fulfill recruitment needs.
By analyzing the text of job postings, Scout Exchange is able to connect firm recruiters with available positions. The goal is to allow recruiters to fill positions quickly and at a low cost. Their system also goes beyond the 1:1 ratio which typically only allows connections between search firm recruiters and employers with people they already know.
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“By curating the best recruiters for each job, Scout ensures higher quality candidates, faster time to fill and reduced cost,” said Liz Bradley, director of communications for Scout Exchange, in an interview with Built in Boston.
The company is currently run by CEO Ken Lazurus. He was previously the CEO of Lilliputian Systems, a company formed to “develop fuel cell technology for charging consumer devices.” Scout offers employer training and onboarding for new and existing firm owners. Reporting performance and analytics is also available, so recruiters know how well the software is working for them.