Zoltar Speaks!


ACQUISITIONS -- FUNDING -- and mechanical fortune tellers? WTAF is going on during this week's show?


Well, the boys are all over the place, talkin' acquisitions:

  • Sourcr by SEEK

  • Jobillico by Harris Computer

  • and Lessonly by Seismic.

As well as investments in:

  • Anthill.ai

  • and Retrain.ai, the Zoltar of hiring tech (a competitor Pymetrics.)

Then the LinkedIn-for-doctors, Doximity, is crushing it, along with a nurse who's now making bank on OnlyFans. Oh, and mandatory COVID time.. sorry to end on such a down note.


Another orgasm for your ears, powered by Jobvite, JobAdx, and Sovren.


PODCAST TRANSCRIPTION sponsored by:

Disability Solutions is your RPO partner for the disability community, from source to hire.


INTRO (1s):

Hide your kids! Lock the doors! You're listening to HR’s most dangerous podcast. Chad Sowash and Joel Cheeseman are here to punch the recruiting industry, right where it hurts! Complete with breaking news, brash opinion and loads of snark, buckle up boys and girls, it's time for the Chad and Cheese podcast.


Joel (21s):

Oh yeah. Here's hoping we get through this week without chaos ensuing. What's up kiddies? It's your favorite orgasm for the ears aKA the Chad and Cheese podcast. This is your co-host Joel "Bitcoin over bitches" Cheeseman.


Chad (37s):

And this is Chad "I'll take that COVID booster" Sowash.


Joel (41s):

On this week's show three acquisitions, two big investments and one rich ass nurse. If you love them a mile wide and an inch deep this episode has your name written all over it. So I got to explain Bitcoin over bitches.


Chad (55s):

Okay.


Joel (56s):

I was at a concert this week for old white people. It was Counting Crows and some dude had a t-shirt that said Bitcoin over bitches and it made me laugh so I thought I'd put that in the intro. He had a hot date too, so I didn't quite understand that, but it's a sign of the times.


Chad (1m 13s):

I did not unfortunately go to the Counting Crows event but I did want to give a shout out to good old Columbus, Indiana, because in the Wall Street Journal, there was an article that actually talked about diversity in small town USA and in Columbus, Indiana, one in seven residents, in a city about 50,000 strong, so not big at all were born outside the US. Public school students collectively speak more than 50 languages and dialects at home. A 45 minute drive south of Indy, the main manufacturing and transportation hub set in the middle of a sprawling farm land is emblematic of how the nation's growing ethnic and racial diversity building for decades and the coastal cities and other immigration hubs is gaining in new areas across the United States.


Chad (2m 7s):

Now Columbus was actually built to be diverse. So I mean, that's one of the reasons why we are so diverse because of Cummins Engine Company they wanted diversity, but I think it was like a hundred plus years ago. You can't just be this overnight.


Joel (2m 22s):

As you know, I have family from Columbus and still there. And yeah, my whole life has been sort of a mini cornucopia of creative and diverse goodness. Most people listening will not know Columbus at all.


Chad (2m 37s):

Yeah.


Joel (2m 37s):

But in terms of architecture, art, you mentioned Cummins, which has been a staple in that community and really doing great things around the arts and creativity and understanding how diversity impacts cities for the good they've been incredibly beneficial there and recently opened up a pretty big office in downtown Indianapolis. So I know that that good love and is spreading all around the state. So yeah, good for Columbus and good.


Chad (3m 5s):

They leveraged the hell out of H1B visas. So, you know, again, when you're a company and you're looking to try to diversify, they know what they're doing.


Joel (3m 14s):

I mean, it's a recruiting success story that you can get people out of the UK, Germany, Israel. I mean all the countries that you know.


Chad (3m 22s):

Argentina.


Joel (3m 23s):

Like the secret sauce, I don't know. I mean, it's not Chicago or New York or Miami. I mean, the way that they sell that city is pretty impressive. They should write a book.


Chad (3m 35s):

I can dig it.


Joel (3m 37s):

Shout out to Jessica Vermette at recruitershare.net. She's just a big fan. And I wanted to give her a shout out.


Chad (3m 43s):

I love it!


Joel (3m 44s):

I love the big fans.


Chad (3m 45s):

Shout out to our favorite country, Western star and Bright Hire co-founder Teddy Chestnut for the snazzy zip-up hoodies, Julie swiped mine, and she looks good in it. Overall.


Joel (3m 58s):

It really brings out our eyes. I think it really is a nice, nice addition. Shout out to a few of our friends that made Inc Magazine's annual list of America's fastest growing private companies. Couple of our friends that were on the list, Jobvite, oh, number 3,589. This is a list of 5,000.


Chad (4m 21s):

Wow.


Joel (4m 21s):

So pay attention. Greenhouse number 1,932. Okay. Joveo, number 1,369. Phenom number 928 and bringing up the top of the list for friends of the show Paradox comes in at number 225. So congratulations to those currently private companies. We'll see how, how much longer they stay private.


Chad (4m 47s):

That's a big jump right there. That's a big jump. Big shout out to Kim Ron Hill who pointed out last week, we had a big miss on the show. Apparently the whole sax works thing. He thought we should have ran with that. So I gotta love when listeners call us out for not hitting the sex jokes that we should be hitting. No dude, we weren't sleeping we just missed it. Although we are hyper awake and looking for it this week, I promise.


Joel (5m 15s):

Literally our listeners are a bunch of degenerates and I love when they bring up the sex jokes that we missed during the show. Shout out to Jobcase who is now on TikTok. Holy shit. If you haven't seen this Fred golfing company are on TikTok and they're making it rain and all kinds of crazy shit. So go check them out on TikTok.


Chad (5m 39s):

Gave away $5,000. That was, yeah, that was pretty awesome. A big shout out to Michael "don't call me a porn star" Cox. He enjoyed the social media background checks interview we did with Bianca Lager so much that he asked Bianca, how do I delete all of the stuff that I shouldn't have posted over the past many years? Bianca was kind enough to respond, but Michael, I hate to say, dude, I think you're screwed.


Joel (6m 6s):

Can we get Michael Cox and Hungrily on the same show? Can we, can we make that happen?


sfx (6m 11s):

Oh Hell No.


Joel (6m 13s):

Shout out to a HR Tech this year, they are requiring vaccine proof to attend the conference. One well-known CEO who I will not name will remain anonymous, texted me, HR Tech fucks all exhibitors by eliminating 45% of the country that doesn't agree with them while half the vaccinated people are hiding in their closets. Anyway, the ones that would show up aren't allowed.


Chad (6m 40s):

Yeah. I don't know who that CEO is, but they can fuck off. Big shout out to Ryan Filming who gets a shout out for getting co-workers hooked on the Chad and Cheese. It's not good enough, Ryan, you got to get your entire LinkedIn network hooked up. Come on, Chad and Cheese, everybody. Seriously thanks for listening and sharing. And don't forget to rate Chad and Cheese wherever you listen to podcasts.


Joel (7m 6s):

Oh yeah. Shout out to the NFL. The NFL is heading into this season with 12 female coaches a record high and women now make up 38.2% of NFL office jobs. That's progress, Chad.


Chad (7m 20s):

That's a start. That's a start. Also the NFL has two teams who are requiring proof of vaccinations, the Raiders and the Saints. So I guess your CEO, buddy, won't be going to those fucking football games either.


Joel (7m 36s):

Shout out to songstress Mariah Carey. Mariah has launched a new Irish Cream Liqour named Black Irish, original white chocolate and salted caramel are all the flavors that you can get. Mariah Carey's Black Irish. I'm in Chad. How about you?


Chad (7m 56s):

Oh man. You're getting me all worked up already. Shit. Okay. So shout out to Jasper Spanjaart over at To Talent, he wrote an article entitled why Why Wall Street should start focusing on purpose rather than ‘Gordon Gekko-like greed’ talking about gen Z on Wall Street. Two things here. Thanks for being a loyal listener, Jasper and thanks for molding an article around Goldman Sachs and Morgan Stanley news reports and my personal rants. I loved it.


Joel (8m 27s):

Even if he is one of my favorite movie characters of all time, Gordon Gekko. Guys, if you haven't gotten free shit from us, you need to sign up chadcheese.com/free. We're giving away free t-shirts from Emissary, beer from AdZuna and liquor from Sovren. We just had a tasting last night with our buddy, Rob Arndt.


Chad (8m 46s):

Good stuff.


Joel (8m 47s):

Love the whiskey. Win some of that shit folks sign up at Chadcheese.com/free today


Chad (8m 52s):

And not to mention, you know, our favorite Robert from Sovren was on the call as well. Robert Ruff.


Joel (8m 59s):

Robert Loved the black and white facade. Very mysterious.


Chad (9m 4s):

Very classic. Shout out to Symphony Talent who shared a transformed segment of our discussion in Lansing on LinkedIn. And Keith Campagne called Torin Sackett you and me sophisticated gentlemen.


Joel (9m 19s):

By the way, have you seen Torin's new profile pic on social media? Very, very interesting. I thought of the Michael Jackson when he tips his hat and he's dancing with the bright socks. So that was another black and white. Everyone's going black and white now.


Chad (9m 33s):

I think he has the Kings, he has two boys. I think he has the Kings follow him around everywhere he goes with the camera.


Joel (9m 43s):

That's fatherhood for you. I don't I got nothing for that one. If you haven't listened to some podcasts from the week, I want to point out we had some great interviews with some great ladies. We got JCK and Bianca Lager on the show, talking everything from background checks to Indeed. So check those out If you haven't lately, guys.


Chad (10m 1s):

You have any birthdays?


Joel (10m 2s):

We've got some birthdays. Of course everyone's getting older on the show. So I think I mentioned Jerry Crispin last week, but he's such an icon we'll mention them again this week. Jerry Crispin celebrates another year around the sun, Stephen Fogarty he's at Twitter now, recruiting a Richard show friend of the show and your buddy from Costa Rica, Nick Livingston is celebrating a big birthday this week.


Chad (10m 28s):

Last but not least happy birthday to Beverly Collins co-founder of Click IQ, AKA the better looking and smarter Collins. I think Beverly's actually turning 30 this week. So happy birthday, Beverley. We hope to see you in Europe sometime soon.


Joel (10m 47s):

Do you think she gets the red Maserati or the black Maserati?


Chad (10m 51s):

They don't have Maseratis. They have Aston Martins. Much cooler.


Joel (10m 55s):

I always screw that up. Oh shit. Let's get to the news.


Chad (11m 1s):

Topics!


Joel (11m 2s):

All right a little hometown flavor for you. Indianapolis based online training software company Lessonly has been acquired. California based Seismic, which has developed a sales enablement platform has announced the acquisition of Lessonly and a $170 million series G funding round. Seismic says the deal creates a company valued at approximately $3 billion. Financial terms of the acquisition were not disclosed. Something I always think sucks, but Lessonly provides online trading software it says has served more than 4 million learners since its founding back in 2012. Total raised by Lessonly is around $29 million.


Joel (11m 43s):

Seismic CEO says the acquisition of Lessonly will create a quote seamless seller experience. Thoughts, Chad?


Chad (11m 52s):

Yeah. So a quote over 41% of salespeople now say their phone is the most effective sales tool at their disposal, right? So Seismic in itself is betting on virtual selling to stay. That being said, I believe this platform can be effective inside and outside of the office and it will need to be because the culture of sales is control, in general. So salespeople will be more than likely the first non essential employees back in the office. And the big reason for that prediction is because I know how sales managers are built for the most part and in general and it is always the over the shoulder.


Chad (12m 39s):

Look the touch, the I see what you're doing kind of scenario.


Joel (12m 43s):

So I have another Counting Crows story if you'll humor me. So I'm sitting there with my beautiful wife on the show and a family comes in and the father is wearing a Lessonly t-shirt. No shit. So I obviously say hi and congrats on the acquisition, dah, dah, dah. So he was one of the investors at a company called High Alpha that's here locally. So this company has had a lot of buzz here locally. So it's great to see a success story here. I just wanted to throw that in. I just want to talk about me for a little bit more.


Chad (13m 15s):

It's a small world after all.


Joel (13m 17s):

I get the remote sales stuff totally. And you understand that world better than I do, but being able to engage with sales when they're not there particularly is going to be important for a lot of companies. My question is these guys do a lot of other industries, right? They have customer service training, they have talent training. What happens to those as Lessonly gets sort of sucked up into the Seismic ecosystem because Seismic is all about sales. So do they sort of sell off some of the components on the customer service and talent side? I don't know. That's something that I would question in this acquisition.


Joel (13m 58s):

If it's all about sales, I think the other stuff is going to get put in the back burner.


Chad (14m 3s):

It's natural evolution like Salesforce when it started, it was a sales platform and then it went into customer service. Then it went into marketing. So it's, it's a natural expansion and very smart. So I think they're looking down the road on the type of content they're going to need for those other areas.


Joel (14m 20s):

Do you think the Lessonly brand will continue to, to exist say five years from now?


Chad (14m 25s):

No.


Joel (14m 26s):

So seismic will move beyond sales and cover all that stuff and use Lessonly as the backbone.


Chad (14m 31s):

I don't know about the backbone, but it's going to be, it's going to be an easier transition. And again, when you're talking about, you know, total addressable market, when you're just talking about sales and then you start to bust into customer service and then you start to bust into marketing, think about what your valuation is then.


Joel (14m 50s):

All right. All right. I can dig it. I can dig it. You convinced me. Let's see if you can convince me in French because our next story from the great land of Quebec who the residents are called Québécois, God bless Chad if I said that correctly. So Jobillico which we think is pronounced correctly. The Quebec job site was acquired by Harris, a supplier and acquire of software, serving vertical markets. This acquisition opens the doors of the online recruiting solutions market to the operating group of Constellation Software, which acquires and manages software companies. Jobillico has over 3 million users in Canada. This is a country of about 30 million people so that's pretty good percentage.


Joel (15m 32s):

The digital platform is mainly developed and maintained in Quebec. Although it obviously has English speaking jobs and what is most of Canada? So Toronto, you can get your jobs in English. Chad thoughts on the acquisition up north?


Chad (15m 48s):

Yeah. I actually reached out to our Canadian friends Shelly and Serge over at the Recruitment Flux podcast. Serge says I was surprised by the acquisition, I thought they would have been acquired by talent.com or ZipRecruiter. Jobillico did not gain traction outside of Quebec because no one knew what they were and was based on outdated duration based job post model. Okay. Then Shelly ads, Harris will quickly be up to speed on the dog shit they just bought and they keep it on life support for clients in Quebec. Oh hell no.


sfx (16m 28s):

Oh hell no.


Joel (16m 29s):

She is bullish on the acquisition?


Chad (16m 32s):

Exactly.


Joel (16m 32s):

Yeah. Serge sort of stole my thunder on that one. My initial thought was how did New VU/talent.com sorta let this one get away and Zip, as we remember, just some context around his Zip comment, Zip was rumored to be in the running to get Workopolis, which probably by far the most well-known and most traction of any job site in Canada. They lost that deal to Indeed. So for them, like that would have been an easy sort of countermove to Workopolis getting sucked up by Indeed to go in and get some claws into Canada. I don't know if Jobillico called ZipRecruiter, but they certainly should have if they didn't, why Zip would pass on a move like that?


Joel (17m 16s):

I don't know. I don't know, but I think they missed an opportunity.


Chad (17m 19s):

I think you would have had to kept keep the brand because it is so Quebec focused and centered. So you would have had to kept the brand. But from my understanding, there was way too much technical debt. It was, they have the same problems of the old Monster has today. So you wouldn't be buying it for the tech. You'd be buying it for the Quebec foothold. That's really what you'd be buying it for.


Joel (17m 44s):

As well as the clients and the profiles.


Chad (17m 47s):

Yeah. That's what I meant. The Quebec foothold. Yes.


Joel (17m 50s):

How do you, how do you say Zip in French?


Chad (17m 54s):

Zee.


Joel (17m 57s):

We know how to say Sourcr in Australian.


Chad (17m 59s):

Sourcer no E.


Joel (18m 1s):

Firing Squad alum Sourcr. That's spelled S O U R C R.com kind of like Flickr for us old school students has been acquired by Australian based super job sites Seek. Listeners will remember Sourcr is kind of a Glassdoor for recruiters where candidates leave reviews for staffing agents and agencies. The terms of the deal were not disclosed, Seek and Sourcr will begin this partnership by launching an integration, allowing Sourcr's ratings and reviews to be showcased alongside recruiters' ads, helping drive quality candidates to roles and to use trust, to amplify their reputation with prospective job seekers.


Joel (18m 42s):

You pretty excited about this acquisition, Chad?


Chad (18m 44s):

I think it's smart because Chris and James turned this into a corporate vanity play, with sexy profiles and widgets.


Joel (18m 53s):

Yeah.


Chad (18m 53s):

It feels like a Realty play. It's a vanity play much like Realty is. So I believe this is a great diplomatic buy for seek. It was, I bet it was cheap. They only took 310 K in funding. There's big money in staffing and making an old style staffing company looks sexy and more trustworthy will be well-received. They call this the reputation economy. I believe they should change that into the trust economy, especially because they're focusing on staffing and this also, I believe to some extent will help them from a diplomatic standpoint in their area of the world to hopefully hold off Indeed.


Chad (19m 41s):

And the take on staffing cash there.


Joel (19m 44s):

We talk a lot about transparency on this show and a job seekers love some transparency and what's going on with the people and organizations that I'm dealing with. And to me, this piggybacks a lot of last week's story with ZipRecruiter partnering with Comparably, obviously listeners will remember Glassdoor getting sucked up by Recruit Holdings who also own Indeed. So there's sort of this business of job boards needing to provide transparent information about companies and agencies and recruiters that they're dealing with, I think is really important. And similarly to maybe the programmatic universe, there should be a lot more buyers than there are sellers of sort of this technology and content.


Joel (20m 28s):

So to me, just like, I think ZipRecruiter is probably going to gobble up Comparably at some point and make that content their own. To me, this was a smart move by Seek to say, look, this is a growing company it's super cheap, probably, terms not disclosed based on how much we make per year. You know, this is a trend that we want to get on. This is a company that's in our backyard that we want to bring on. So yeah, I think that's a great acquisition, probably really reasonably priced. I think the two guys that we know at the company are probably going to be Seek employees now. They'll be great assets to the business. And I think this'll be a trend that we continue to see, you know, StepStone needs one of these and a few others do as well.


Joel (21m 12s):

So stay tuned. Well, last week, speaking of Zip again, we talked about how Zip was a crushing it in the public markets. Since we hyped it up, it's down about 30%, but that's a whole different podcast. Doximity this week reported, the physicians networking site recently valued at $12.5 billion reported a grand slam first quarter as a public company where they a hundred percent year over year revenue gain and a record profit margin. Dubbed LinkedIn for doctors Doximity D O C S is the ticker symbol had revenue of $72.7 million for Q2 21 versus 36.4 million a year earlier.


Joel (21m 54s):

It posted net income of 26.3 million up from 1.5 million a year before. That's a big increase Chad. The bottom line represented a 36% profit margin. Doximity says 80% of us physicians and 90% of medical students already subscribed to its platform. Are you a buyer of Doximity Chad?


Chad (22m 15s):

In a heartbeat. This is, like, they call it the LinkedIn for doctors, right? And what they're providing is the largest community of healthcare professionals in the country. And they're also providing opportunities for like tele-health and referrals. So, you know, if I need, if I go to my doctor and I need a referral, they can do it over this platform and I don't even have to go possibly, to a doctor visit. I might be able to do it tele-health not to mention, you know, the old lethargic ways that our healthcare system works and using faxes and shit like that.


Chad (22m 57s):

They have a mobile app for that. So you don't have to play the fax game anymore. You can just fax it via your mobile phone. There are all these great productivity opportunities in this space. And I think Doximity is hitting it out of the park and being able to touch into the tele-health realm makes their valuation fucking explode.


Joel (23m 20s):

Yeah. Yeah. We talk a lot about Zip's, what $3 billion valuation. These guys are four times that, so again, it goes back to the people versus the postings. And I think that's why you saw LinkedIn was such a high valuation. We talked so much about these networks, obviously, LinkedIn, we talk about GitHub on the show quite a bit, and they have definitely captured the doctor/physician market in a big way. And I think that that's a great example of how you can really focus your efforts on a particular demographic, get those profiles, and then create a really valuable company. I do want to point out our buddies at PracticeLink out of West Virginia.


Chad (24m 4s):

Ken!


Joel (24m 5s):

Ken Allman is sitting on a gold mine.


Chad (24m 7s):

Yes.


Joel (24m 7s):

As far as I can tell a private company, I'm going to say competitive with if Doximity is 12.5 billion, what would you put PracticeLink at? Even if it's a fourth of that, it's an incredibly valuable company. So if you're looking for a leg into the doctor network, take a look at PracticeLink. They need to be acquired very quickly by somebody,


Chad (24m 33s):

Anybody. Yeah. I think Ken's probably happy not being acquired and sitting on the cash pile at this point. Although, you know, who knows?


Joel (24m 43s):

It's a definite opportunity if you're looking for a healthcare. I want 15% of that, Ken, by the way, if you did get called. Well, let's take a quick break and we'll talk some investment dollars and COVID. And we're back.


Chad (24m 58s):

Oh, I just got a message from Stefan Jean over at Jobillico the CMO.


Joel (25m 4s):

Okay. He said great news from up north that's right? Our main focus is going to be the Canadian market. We have a lot of respect for Indeed, but trust me, we will be ramping up in Canada. So it sounds like the strategy there is to be able to blow up past Quebec, to take Canada and kick Indeed's ass out of Canada. The question is, you know, can Harris computer help them do that with the software and all of the support that they're going to need to be able to get past Quebec? So I'll be, I'll be looking forward to seeing what they can do. I think the greater aid that they're going to get is called climate change because as more Americans want to get the fuck out of the heat and the hurricanes and everything else, and the fires they're going to go to Canada.


Joel (25m 55s):

Canada is a growth market. I hope they're ready for a lot of Texans, Arizonas and Floridians to migrate, migrate to their great country here probably sooner than they would like. That's the growth opportunity in Canada, everybody. Well, speaking of growth opportunities, we've got a couple investment companies, a couple of startups that got money. Let's talk about Anthill first,