Q&A with Eric Straus, RegionalHelpWanted

I asked Eric Straus, the founder of RHW to answer a few questions...enjoy.

1. What has the purchase of RHW been like for you these past few months? was it tough selling 'your baby'

Yes.. it was tough decision to sell my "baby". So much fun taking this from just an idea... and turning it into a thriving business. But I am loving all the help I'm getting from the pros at OnTargetJobs! The actual transaction itself took a LONG time.. and the due diligence was long and intense... but the final outcome makes sense for all of us.

2. Why did you sell, was it just the right time?

We've been doing this for 8 years.. and I think we've done a pretty good job of building the company up from scratch to where it is today...but it's a whole different set of skills that are needed to bring this company to the next stage. There is no reason that we can't grow this company to 10x the size it is today.. but we know we'll need a ton of help from talented people to get that done. The guys at OTJ are true professionals in this business... and have the skills that RHW needs!

3. What kind of advice can you give to other job board owners who might be thinking of selling their boards?

I think you need to run your company as professionally as possible... from day one. For example: Audit the books from day one. It's expensive.. but it makes the sale process much easier when the buyer can look back at audited numbers. I'd also highly recommend hiring an investment banker to help sell the company. We hired Matt Kim of RBC Daniels who did a marvelous job of handling the auction process, so that we could continue to run the company.

4. Many job board owners struggle with valuing their boards, is 3-4 times earnings a good starting point in your opinion?

Valuing your own company is kinda like trying to objectively evaluate the beauty of your child. Are you KIDDING? No seller can do a good job putting a value on their company. Many sellers make the mistake of putting too high a price on the thing they're selling (whether selling a house or a company). It's another great reason to hire an investment bank. They can give you a price range that is reasonable.

5. Are you running RHW as you had before the sale or is onTarget more involved in operations?

I'm still working with all our broadcast partners; and still running the company on a day-to-day basis... but now I have a TON of help is all aspects of the operation... including Inside and Outside sales, accounting, programming, SEO, etc. etc. It is SO amazing to have so much expert help! Our new CEO Mike Tansey... is a great guy to work for. Listens hard and makes tough (and good) decisions quickly. (you may think the above statement is just sucking up to my boss... ok. fair enough... - can't hurt, ya know? - but it's also true.)

6. How has the down economy affected your sites/sales in 2008?

We are growing at an impressive clip, but I'm confident that in a stronger economy, we'd be growing even faster. We are using the bad economy as a good excuse to strengthen our brand everywhere possible... so that we'll be in an even stronger competitive position when the economy picks up again.