Berlin -based recruitment startup, Zenjob, which operates a digital platform connecting students with highly flexible temp jobs in sectors such as retail, logistics and hospitality, has closed a €27 million ($30M) Series C led by Forestay Capital. Also participating in the funding round: Redalpine, Acton Capital, Axa Venture Partners and Atlantic Labs.
The 2015 founded startup says it plans to use the money to further expand in Germany, where it currently offers a service in 14 cities -- letting employers book student workers by the hour, with as little as 24 hours' advance notice. Flush with Series C cash it's now aiming to be nationwide by the end of the year.
It is also planning its first international expansion -- spying opportunity amid the coronavirus crisis as it suggests social distancing requirements are generating demand for additional staff in certain sectors. (Which is something we've also heard from other recruitment startups in recent months.)
"We expect to go international and launch two further countries in the next 12 months. We are looking into expanding into neighbouring countries such as France, Scandinavia or the Netherlands," a spokeswoman for the company told us.
"The coronavirus crisis requires social distancing, which has created increased demand for staffing in, especially, logistics and retail," added Fritz Trott, co-founder and CEO, in a statement. “Our service means that we can assist in the almost effortless digital hiring of hundreds of new students every day to fill these gaps.”
The new financing will also go on tech development to push for greater efficiency gains for users.
Zenjob says it wants to be able to use algorithms to further help predict staff demand in future, for example.
As well as job matching, the platform handles billing to cut down admin requirements for employers wanting temps to plug seasonal and/or short term vacancies.
Zenjob says its app reaches more than 15,000 students daily at this stage. It hasn't provided data on how many employers are signed up to use the service.
Commenting on the Series C in a statement, Forestay Capital’s managing partner, Frederic Wohlwend, said: “We are delighted to have invested in Zenjob and are very much looking forward to working with Fritz and his highly talented team. Zenjob is a company that has deployed disruptive technology to shake-up the temporary employment market and which, prior to this coronavirus crisis, had already proven itself to have an exciting future. Now, during this pandemic, its flexible digital recruiting service has, in our eyes, further been confirmed as a model for keeping the working world moving.”
This report was updated with additional comment