Managing Small and Medium Enterprises: Snagajob Report

This report examines the management of Snagajob, an online staffing platform connecting job seekers and employers, focusing on its SME operations. The report begins with an executive summary, followed by an introduction outlining the company's nature and the report's objectives. The main body covers Snagajob's startup process, business concept, competitive advantages (including its specialization in hourly work), and the current level of demand and competitive environment. The report also analyzes Snagajob's growth, challenges, and the government's measures to overcome these challenges. The report compares Snagajob with Monster.com. Findings and recommendations are presented, offering insights into the company's strategies and future prospects. The report highlights Snagajob's focus on hourly jobs and its efforts to meet client demands. The report also addresses the challenges faced by the business, such as reaching the right audience and face-to-face user engagement. The report concludes with findings and recommendations for Snagajob's future.

MANAGING SMALL
MEDIUM SIZED
ENTERPRISES

EXECUTIVE SUMMARY
The report is all about SME's which requires business owners use their education, expertise and
knowledge to successfully run their businesses. Managing enterprises thus include annual events,
performing duties of management and maintenance. The report started with Nature of business
which was selected as Snagjob. Snagjob is an online staffing platform which connects job
seekers and employer. Start up process has been included in the report which emphasis on
Competitive advantage. Current level of demand which includes providing better goods and
services to clients for satisfying their needs. Environment of competitiveness had discussed in
the report. The environment gives a comparison between Monster and Snagajob. Also,
Development and growth of Snagajob have discussed where achievement on various stages were
highlighted. Snagajob also faces challenges which were highlighted in the report. Current growth
also discussed in the research. Measures taken by government to overcome these challenges were
elaborated that helps them in maintaining a growth in this industry. At last, findings of the
research were discussed and some recommendations have been highlighted for Snagajob.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Nature of business and its type...............................................................................................4
Start-up processes of Snagajob...............................................................................................4
Business concept and source of competitive advantage.........................................................6
The current level of demand and competitive environment...................................................6
The growth and development of the business to date.............................................................8
The challenges of managing and running the business..........................................................9
The current growth of Snagjob and their adopted development strategies............................9
Measures taken by UK government to overcome the challenges faced by the business.....10
FINDINGS.....................................................................................................................................11
CONCLUSION..............................................................................................................................12
RECOMMENDATION.................................................................................................................13
REFERENCES..............................................................................................................................13

INTRODUCTION
Small and medium sized enterprises are managed through generation of GDP, providing
employment and their turnover. Managing these enterprises includes maintenance, annual events
and performing duties of management (Skarpova,and Grosova, 2015). In this report, Snagajob
will be taken for understanding of management in these small and medium sized enterprises.
Snagajob is a private industry prevailing in platform of online staffing. The company was
founded in 2000, by Shawn Boyer. Shawn operated this business in this home which is in
Washington, DC. The business is dealing in providing job to unemployed peoples of UK. The
aim of report is to manage a business which is small and medium size to gain competitive
advantages and strategies for overcoming challenges face by such businesses. The report will
cover process of start-up of Snagajob and their sources of Competitive advantage. Also, current
level of demand and their environment of competitive will be discussed in the report.
Development and growth of Snagajob and challenges faced by the company will be elaborated.
Current growth will also emphasise in the report. The measures taken by government to
overcome these challenges will be highlighted. Findings from this research will also be discussed
in the report.
MAIN BODY
Nature of business and its type
Nature of Snagajob is to connect job seekers and employers. They provide job opportunities
and career advise to job seekers. The Snagajob is an online website for employment and
company focus on hourly works. The company is America's first company that provide hourly
marketplace which connects job seekers and employers. The company deals with providing
employment and career opportunities to job seekers. This website allows employers to post
requirement regarding their jobs (Obara, and Nangih, 2017). Snagajob.com provides reviews of
employer, job search advice and career advice and different job description also described by the
company Snagajob.
Start-up processes of Snagajob
Following process of start up followed by Snagajob for establishment in world of staffing
business in UK.
 Research for business idea
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Shawn Boyer developed an idea of online employment platform which comes with a concept of
hourly work. These jobs will pay employees an hourly payment which is determined by their
contribution of hours in work. A basis 40 hours work per week is target set in hourly work and
any extra contribution will pay them incentives by the employer. Shawn feels that this concept
will be helpful in accomplishing needs of people of UK (Vodák, Soviar, and Lendel, 2015). As
the UK peoples are more likely to opt flexible working hours and this idea of hourly work fits the
same.
 Finance planning
Then for launching and execution of Snagajob, Shawn needs finance. For this Shawn has
financed privately as the business was small and can financed privately. Later, it raised over
$141 million by investors such as rho acceleration, Adams Street Partners, New Spring Capital,
Baird Venture, Partners Star Vest Partners, August Capital And C&B Capital.
 Structure of Business
Snagajob is a business with sole proprietorship by Shawn Boyer. As the business is small in
nature and there is less complexity in environment, Shawn decided to kept Snagajob is a sole
proprietorship business.
 Registration of Snagajob
Snagajob registers with virtual office held at UK. This office give them access to protect privacy
of businesses (Ahmad, 2016.).
 Licensing and permissions
As the company Snagajob is focusing on providing jobs to job seekers. They need to licensed
with Gang-master & labour Abuse authority (GLAA) to regulate the supply of labours into sector
of Agriculture, shellfish gathering, food processing and packaging and horticulture.
Also, Snagajob is licensed and registered with Regulation and Quality improvement Authority
(RQIA) to regulate employment regarding nursing and health care peoples. Like nurses.
 Business location
Shawn sets Snagajob in his basement of his home which is in Washington, D.C. Shawn decided
this location because the business is set up by him will deal online through their official website
which is snagajob.com
 Team of Snagajob
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Snagajob has set up with a team of 25 employees till 2005 and reached 100 employees till 2007
(Obara, and Nangih, 2017).
 Promotion of Snagajob
The company promotes by sending broadcast mails to target audience. Also, the company
engages in creating social media groups, content network promotions and contacted online
communities.
Business concept and source of competitive advantage
 Discounts on Volume jobs
The company Snagajob provides discounts to job seekers as well as employers when to ask for
recruitment of multiple jobs. The company offers discounts only to persons who ask for jobs in
volume (Samuel, and Joe, 2016). Also, this will help them to gain competitive advantage from
rivalries. Snagajob follow this discount tactics to attract more number of customers to rely on
their employment services.
 Speciality in Hourly work
Snagajob is the only company which is concentrated in providing hourly work to job seekers.
This pattern of work help them to attain an identical image in world of staffing agency. The
Snagajob is first company of America who focuses on hourly work. By understanding the work
culture of the UK, company is wholly concentrated on hourly work. Because it offers employees
flexibility to work and manage their work and personal life well. So, company gain a competitive
advantage from this strategy of focusing on Hourly work. Other rivalries like Monster.com does
not prefer hourly jobs by which Snagajob attain competitive advantage.
The current level of demand and competitive environment
Current level of demand at snagajob
To fulfil the purpose and demand of corporate clients, they have to understand the need of clients
like what kind of employees they are looking for which can be best for their company. Therefore,
the main motto of snagajob is to provide motivated, qualified and skilled employees to the
corporate clients. They should ensure the proper background verification is being done before the
joining which depends upon the demographic factors like age, birth place, religion etc. The
recruitment team should satisfy the needs of clients and also check the eligibility of a person
whether firm is fulfilling clients demand or not. The main aim is to provide the better goods and
services and mostly clients look for from their staffing agency and third party recruitment
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business (Vasin, and Gamidullaeva, 2015). The main demand of clients is the lucrative business
i.e. providing a great deal or profit. The snagajob understands the demand and then consult them
with the best employees, so they can fully appreciate it and be partners in the future. That is why
demand of its consultancy services are increasing day by day.
As the competition is increasing within the companies day-by-day, so the demand of
talented individuals within the company is also rising. So, there is need of talented group within
the company which can give competition to others companies such as monster, myriad etc.
The competitive environment:
Basis Snagajob Monster
Estimated employees 400-500 1000-5000
Total revenue of 5
rounds of funding
$148.3 M $583.5 M
Nature of companies
It is a small start up based
company which need more
workforce and products to expand
their business.
It became the highest growing
company by providing goods and
services at the reasonable cost.
Number of branches
They have fewer branches as
compared to others and are not
worldwide located. Therefore, the
followers and customers are less.
They have more branches and have
more followers and customers and
are worldwide located
As the competition is tough, so as the marketing of product, to overcome this competition firm
need to provide better goods and services at reasonable rate to the customers and the quality and
quantity of product should be genuine so that customers can trust with their money and create a
relationship based on the services' enterprise provide them. Just for instance, the CEO, Shawn
Boyer, created the app called goHappy to help people about getting together with friends and
families (Boskov, 2017). Individual wanted people to be real with face-to-Face and build their
relationships and live a happier life.
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The growth and development of the business to date
Snagajob incorporation owns and operates and provide jobs to workers on hourly basis and also
help employees to give hourly workers. It helps users to find job on basis of fulltime, part-time
jobs, hourly jobs etc.
TIME ACHIEVEMENT (STAGE OF
BUSINESS)
DETAILS
2005-2007 Strength of employees has increased. Snag work force in starting of 2005
was about 25 employees and till 2007
they increased their employees by 100.
2008-2009 Small Business Person and Virginia
Business magazine's Person of the Year.
Shawn boyer, the founder of the
company was named America's Small
Business Person of the year in 2008 by
the Small Business Administration and
Virginia Business magazine's Person
of the Year in 2009.
In 2011 Atmosphere of work in company
became good (Bagieńska, 2016).
The company was named the best
small business to work for by the
Great Place to work.
In 2016 Hired another company to resolve and
manage workforce.
They connected with the company
called People Matter that help the
employers to manage their workforce
and helped them to increased their
workforce over 500 employees
2008 President Bush talks on national TV
about Snagajob
It took eight years to build this
company successful and get praised by
the President on National TV about the
company which was kind of great
feeling.
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The challenges of managing and running the business
TIME CHALLENGES DETAILS
2000-2008 To reach their target audiences. They aim to reach the right audiences with
the right message at the right time by
boosting their social media content up-to-
date, so they take the help of the
company, Owler which helps them to
publish their daily blogs and
announcements.
In 2017 To get users face-to-face plans rather
than using technology to bond.
He created the app called go Happy to
help people about getting together with
friends and families. He wanted people to
be real with face-to-face and build their
relationships and live a happier life
(Bagieńska, 2016).
In 1999 No knowledge about recruiting and
internet
He continued to get serious about
Snagajob or how to recruit people through
online app and did the research on it and
launched their company in 2000.
In 2000-2005 Fund raising problem for the start up of
the company.
To set up the company they need a large
amount of money to run the business, so
his parents helped him to raise money
from their family and friends. They also
put their life savings into it and set up
their first office at Williamsburg.
The current growth of Snagjob and their adopted development strategies
TIME TARGET OBJECTIVES
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2000-2008 Raising revenue Since 2000, Snagajob participated in 5
rounds of funding and raised total of
$140.3 M
2000-2008 Expansion of business for growth and
development strategies (Obara,and
Nangih, 2017).
They got successful in expansion of their
business with the office set up in
Washington, D.C., Richmond, Virginia,
Charleston and South Carolina.
2005-2007 To increase the employees Snag work force in starting of 2005 was
about 25 employees and till 2007 they
increased their employees by 100
In 2016 Hired another company to resolve and
manage workforce.
They connected with the company called
PeopleMatter that help the employers to
manage their workforce and helped them
to increased their workforce over 500
employees(Obara, and Nangih, 2017).
Measures taken by UK government to overcome the challenges faced by the business
Every company faced the challenges when it comes into the existence so to overcome from
these challenges' government has been very focused towards the SMEs and has taken many
measures to support them and being more focused toward the SMEs. Government has supports
such small firms like SnagAJob company in many ways :
 Reducing Operating Expenses
At the time of incorporation every company need the fund to run the business in day to day
activity, Snagajob also faces the same for this, the government has come forward and taken the
measures to reduce the cost by the ICFC(Industrial and Commercial Finance Corporation) which
ran from 1945 to 1987 and now it is termed as FTSE-listed form as 3i, group of venture capital
funding institution, bank has to release the funds to finance the SMEs by using the technology so
that they can reduce the cost. Private Sector technology groups or SMEs have created
opportunities in this area and some financial institutions outside the UK have begun to invest in
innovative business ideas. Snagajob has being help out through this and reduce its operating cost.
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 Reduction in cost
Snagajob is started as a SMEs so they are resource constraint in their initial phase and faced the
challenges for that, the government has taken another measure to finance the SMEs through the
European Banking Authority and they gave additional incentives to banks. Through these
measures they have reduced the capital weighs and capital cost for this type of lending and
support the start-ups (Bagieńska, 2016). This measures helps the Snagajob to become more
competitive and have an existence in the market and also helps to reduce the burden of capital
requirement. Snagajob also maintains the prudent and balanced approach towards the bank to
mitigate the risk.
 Handling of Loan Losses
When Snagajob started its operations they may have gone in the face where they default the loan,
Bad loans will always be the main concern for the bankers that is being given to the small
business ,start ups etc., but for the Snagajob as it was the start up, government always supports
and encourage for the smooth functioning of business through the U. K's Enterprise Finance
Guarantee (EFG) launched in 2009 also ensure them to take the full advantage of the options
given by the bank. At the same time Snagajob always give the required information to the bank
so to minimise the bank loan losses. In fact the government has provided the guarantee to the
lenders that they will not interfere and having no role in the decision making process. And the
bank ensures that they will operate according to their policies and business priorities.
 Wide Perspective
Snagajob has taken all the above measures and this would be proved more effective in making a
greater part of the universe in the early stage of their incorporation. However, they have faced
the problem and expect more radical measures like reformation in tax policies, easy procedure to
enrol etc will be required for not to have any shortfall. Snagajob has also being very nimble and
did the business in the platform that reduce its cost (Ioana, Constantin, and Moldovan, 2015)
From the help of all these measures, the existence of Snagajob become smooth and also become
successfully in this competitive world, as in the initial years they have faced many difficulties for
the existence but they become the successfully entity.
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FINDINGS
It has been found in the report that Snagajob puts job seekers in right fit position so that
peoples can maximise their potential and live to their fullest. This way the Snagajob prefer job
position with potential of job seekers which help them in maintaining their interest. This way
Snagajob manages their small enterprise business with goal achievement and customer
satisfaction to retain more customers with the company. Also, they are creating their customer
base to gain competitive advantage among rivalries like monster.com. The aim of report is to
manage business like Snagajob which is small business and to gain competitive advantage and
strategies implemented by Snagajob for overcoming those challenges face by them.
It is also founded that in 2008, the CEO of Snagajob (Shawn Boyer) won the award of
small business person and also won Small business administration and Virginia business
magazine's Person of the Year in 2009. In 2008, President bush praises efforts of Snagajob on
national TV. Then in 2005 number of employees employed in Snagajob is almost 25 but till end
it has been increased upto 100 employees. Also, in 2011 the company Snagajob named as “the
best small business to work”. As the employees they hired are satisfied working with the
company. 2016 is the year of making connection with the company People matter which helps
employers to manage their employee's and this helped them to increase upto 500 employees.
It has been founded that funding of Snagajob raised upti $140.3 million.They are
successfully expanding their business in South Carolina, Virginia, Richmond and Charleston.
They are not connected with People matter, to help employers to manage their employees and
this helps them to increase their workforce more than 500. which was just team of 100 in 2007.
Environmental factors is explained with number of employees, total revenue of funding, nature
of companies and number of branches which was given a comparison between monster and
Snagajob.
From the research of management Small and medium sized enterprise, it has been founded that
operating expenses of Snagajob was reduced by UK government by Industrial and Commercial
Finance Corporation. Also, cost reduction was reduced by efforts of government as they take
measures to finance SME's like Snagajob by European Banking Authority. This helps Snagajob
in increasing their competitiveness. The loans of such SME's are also handled by UK
government. In 2009, Enterprise Finance Guarantee was launched to take care the problems of
SME's loans. This helps Snagajob in fulfilling their requirement of funds.
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