This article was written by Samuel Phineas Upham
CareerBuilder began life as a software application to help companies field job applications and process them. It had a website component, but it mostly did the job of receiving and managing incoming emails the job postings would create.
In 1996 it received an influx of capital and came out of niche status with its own domain: CareerBuilder.com, a name it still holds today. In the beginning, the company worked with its own client base to list the postings of those who used the software. The service expanded in 1998 after another $7 million in capital from private investment firms, and CareerBuilder went public in 1999. The IPO was less successful than most Web properties of the time, but it still secured $8 million with shares closing on the first day at $20.
Microsoft even acquired a minority stock in the company in the hopes of using its database to help power their budding Web portal service.
The curious thing about Career Builder is that it has stood the test of time, despite its status as the number two or three highest trafficked site in its class. Monster has had a majority traffic share for some time, with HotJobs trailing, but with Yahoo’s waning popularity the company has slipped.
CareerBuilder was also assisted by the joint venture purchase of the Knight Ridder and Tribune Company. That purchase allowed the site to absorb classified ads from new sites like the Los Angeles Times. CareerBuilder was named one of Chicago’s top 20 places to work in 2013.
About the Author: Samuel Phineas Upham is an investor at a family office/hedgefund, where he focuses on special situation illiquid investing. Before this position, Samuel Phineas Upham was working at Morgan Stanley in the Media & Technology group. You may contact Samuel Phineas Upham on his Twitter page.