US-based venture fund Matrix Partners India is investing in a 10-month-old Gurgaon start-up GrownOut
Early-stage venture capitalists are eyeing specialised online recruitment start-ups at a time when employers are looking to go beyond the plain-vanilla job posting portals that currently dominate the Indian hiring market, as reported by the Times of India.
VCs are increasingly seeding this next-generation, tech-backed start-ups that claim to have differentiated offerings compared to the existing players — most of which had sprung up in the late 1990s during the first wave of Indian internet start-ups, the report states further.
US-based venture fund Matrix Partners India is investing in a 10-month-old Gurgaon start-up GrownOut, which enables companies to leverage their employees' professional network and automate referral hiring.
Other recent early-stage deals include Helion Venture Partners' investment in Talentauction.com, an auction-based marketplace for jobs, Nexus Venture Partners' financing of ZLemma and myNoticePeriod.com, which raised its first round of funds led by IDG Ventures.
"We are building the next-generation referral hiring platform to make recruiting more efficient and cost-effective. Despite incredible innovations in technology in the last decade, recruiting still remains a fundamental challenge in the industry. We believe there is a disruptive market opportunity which can change old methods and make hiring a painless process," Sumit Gupta, co-founder and CEO, GrownOut told TOI.