[thelist] Does the Web need another Job-Placement site?

Hershel Robinson hershelsr at yahoo.com
Sun Jul 15 08:55:59 CDT 2001


My question is not technical at all (which most posts lately appear to be)
but the official guidelines for this site state: "Anything that relates to
Web development is up for discussion."  Anyhow, I would like to ask for some
professional (or at least educated) opinions on the following question.

I have been asked to join as a partner of sorts (a revenue sharing
situation) in a new .com venture.  The entrepeneuer currently runs a
successful local job-placement agency in the United States.  His plan is to
build a job-placement web site, auction style, where companies and
contractors will pay a small percentage to him for his placement services.
He will be offering his services to a primarily Technical (Engineering, IT,
Scientific), Professional, Managerial candidate and company market

I told him such sites already exist and he responded that he has 3
advantages over existing sites:

1 The employer of record service to keep the legalities of contract work
taken care of.  It also offers health insurance and other benefits to the
contractors, if they wish.

2 Sponsoring H1b (technical foreign worker ) visas to the US.

3 The primary marketing focus is an affiliate program, offering a larger
first commission (40% to 50%) AND offer an ongoing 20% commission on any
further business we do with either a contractor that is referred OR a
company.  Many existing affiliate programs offer around 1%.

I am a programmer and not much of a marketer nor a businessman.  I do keep
my checkbook balanced most of the time, but that's about it.

I am looking for advice on the feasibility of this business model.  I need
to make a decision whether or not to join this project on a revenue sharing
basis.

Thanks,
Hershel


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