According to a recent CBInsights report, there are more than 980 unicorns in the world with a total value of more than $ 3 trillion. They are one hundred in Europe, including 26 in France. They all want to sell their goods and services in different countries in Europe, or even around the world. Everyone must accept this enormous challenge and continue to sing the same restraint on social networks: “We are actively recruiting, feel free to contact us”! “Do you want to join a dynamic team to sell technology that will change the face of the world? Call us “! The scream was deafening.
However, if unicorns are in the middle of the stage, they are not the only ones to raise funds or to cultivate growth ambitions. Other startups with lower valuations are showing similar energy. They also benefited from dynamic fundraising, a direct result of the negative interest rate policy of major central banks. They now aim to make the most of their new financial reserves.
A structural need for new talent
Considered the roots of the war, money is therefore not a problem for the moment, but it is no longer enough to attract the best profiles sought. Competition is fierce, exacerbated by the continued demand of large companies. The latter is accustomed to recruiting, not in the cradle, but at the end of the best schools or the best universities. Let’s not forget medium-sized companies (ETI) that also have a structural need for new talent. In fact, there is a pan-European movement attempting flirting in the amphitheaters of major places of education.
However, if these so -called “traditional” companies are able to bet on young engineers or novice salespeople, because they know how to train them, the company funded by one or more fundraisers has no temporal way to reach it. He had to go fast, very fast. It should stay in hypergrowth modes and design only the recruitment of the best profiles. Exercising is not easy because the hunting area is limited. Certainly, recruiting someone from Oracle, SAP, IBM, Microsoft, Facebook, Amazon, Salesforce, Google or other companies in the technological sphere is not an insurmountable task. However, getting the best from both companies is a more difficult challenge to manage.
So how? Offer a good financial package, plus a participation capital? No doubt, but we know that other criteria come into play, including the balance between work and private life, the quality of the teams formed, the search for meaning and the serenity of the mission.
There are many examples of failures
Serenity: this is an important point, often misunderstood by high-growth start-ups, who have not had the time to learn to master the various social laws enforced in the countries of activity. Simultaneously human problem, knowledge and communication, this lack of knowledge is a dangerous trap, capable of undermining a development strategy.
There are many (and unknown) examples of failures. Thus, a Californian scale-up, which wants to launch its services in the Nordic countries, has succeeded in convincing an IBM executive to take over management of its local sales force. Based in Stockholm, the man has shown in his first four weeks of activity that he is the right person to get sales off the ground. However, he realized that his pension contributions were not recorded in his employment contract. So his amazement, quite legitimate; and ask the company’s HR department: “how is my retirement”? “How, dear friend, we answered him in the sense, do you have no stock options to finance it”? The misunderstanding with each other resulted in the separation of the two parties … and money spent in vain on the scale-up.
Pension contributions, health insurance, taxation, holidays are all points that must be mastered to get the best. Offering them peace of mind is a prerequisite so that their performance is not affected by material contingencies. In fact, the subject is no longer new. In the 1990s, California venture capitalists were able to take large gambles on funding to get the best out of an industry and put them at the forefront of start-ups. Logic dictates that, for example, a Lucent vice president will not question everything, i.e., his salary, his total salary and his social status to direct the operations of a future Cisco competitor. .. while eating boiled pasta every day of the week. Getting “packages” needs to match previous work. Juniper Networks, a good story from Silicon Valley, was founded in 1996 on these principles.
Focus on the essentials: business development
It is an American experience of an American society. We bet that the various local laws are fully mastered by the operational teams. On the other hand, geographical expansion is less obvious, in Europe or Asia, a real collapse in legal and social complexity. Worse, it can be a time -consuming activity for locally recruiting teams. The best way to “sterilize” the dynamism of a country manager is to ask him to deal not only with day-to-day administration, but also with the recruitment of support functions and the sales force.
Undoubtedly it is necessary to outsource recruitment activities and support activities, to leave it to sales to generate turnover, the real guarantee of future success. There are solutions that make it possible to postpone the creation of country subsidiaries until sales are properly developed. All you have to do is keep the services of an ad hoc service provider that will use its own pan-European structure, its own income statement, to accept its client’s employment contracts, in complete transparency. This new service makes it possible to expedite an expansion plan by respecting all laws, practices and customs of the countries concerned, while limiting the burden of administrative tasks.