VanHack Technologies Inc.
Community-Led Global Tech Talent Marketplace · 415K+ Candidates · Vancouver, BC
GSV Investment
US$3.0MTS
+ $100K SPV ext.
Pre-Money Val
US$22.0MTS
$1.6743/share
Revenue (Jan-Nov '22)
C$9.7MPL
+99% YoY
Gross Margin
~60%PL
FY 2022 avg
GSV Ownership
~12.1%CT
FD incl. warrants
Financial Assessment
P&L Summary — Jan–Nov 2022 (CAD)
Source: VanHack P&L (Jan-Nov 2022), Sales by Customer
| Line Item | Jan–Nov 2022 | % Rev |
|---|---|---|
| Placement Revenue | $6,523,919 | 67.3% |
| Payroll Outsourcing Revenue | $3,043,616 | 31.4% |
| Subscription Revenue | $125,184 | 1.3% |
| Total Revenue | $9,692,720PL | 100% |
| Total COGS | ($3,867,811) | 39.9% |
| Gross Profit | $5,824,908PL | 60.1% |
| Total Operating Expenses | ($6,057,678) | 62.5% |
| Net Income (Loss) | ($136,684)PL | -1.4% |
Annual Revenue Trend (CAD '000s)
Monthly Revenue Trajectory
Revenue declined ~71% from January to November 2022, reflecting macro tech hiring slowdown.
Key Financial Metrics
ARR (2022)
C$10.8M
~US$8.1M
MRR
C$467K
Blended monthly
Paying Employers
489
As of diligence
Candidate Pool
415,000+
Global tech professionals
CAC per Candidate
$4
Community-driven
LTV per Client
$50,000
Avg lifetime value
Investment Structure
Deal Terms & Cap Table
Source: Executed Term Sheet (Dec 2022), Series Seed SPA (May 2023), Cap Table (Feb 2025), Warrant Certificate
Series Seed Preferred — Closed May 17, 2023
SecuritySeed Preferred Shares
Pre-MoneyUS$22,000,000TS
Price per ShareUS$1.6743SPA
GSV InvestmentUS$3.0M (2 tranches)TS
Dividends10% cumulative annualSPA
Liquidation Pref1x + accrued dividendsSPA
Anti-DilutionBroad-based weighted avg
Board3 Common + 2 Preferred
Warrant179,179 CommonWC
Warrant StrikeUS$1.6743WC
Warrant ExpiryMay 17, 2028WC
RedemptionAfter yr 6, 3 annual pmts
Cap Table — Feb 2025
| Holder | Class | Shares | FD % |
|---|---|---|---|
| Ilya Brotzky (CEO) | Common | 9,000,000 | 59.3% |
| Red Square Design | Common | 2,000,000 | 13.2% |
| Techstars Berlin | Common | 755,617 | 5.0% |
| GSV Investors II LP | Seed 1 | 1,791,794 | 11.8% |
| Star Power Partners | Seed 2 | 546,038 | 3.6% |
| GSV Warrant | Common | 179,179 | 1.2% |
| ESOP | Reserved | 838,000 | 5.5% |
| SPV XVII + Others | Seed 1 | ~59,727 | 0.4% |
| Total FD | ~15,170,355CT | 100% |
Company Overview
Product & Business Model
Source: Pitch Deck, Diligence Report
VanHack is a community-led global tech hiring marketplace connecting a pool of 415,000+ vetted tech professionals with employers worldwide. The platform uses AI-powered matching to source, screen, and place candidates — including cross-border immigration support (managing ~6% of global relocation visas).
Revenue Model: Three streams — Placement fees (67%, one-time per hire at ~$13.5K-$15K per hire), Payroll Outsourcing (31%, recurring payroll management), and Subscriptions (1.3%, annual packages for multi-hire employers).
Tech Stack: ReactJS frontend, C# .NET Core backend, SQL Server database, Azure cloud infrastructure. 11-person dev team.
Notable Clients
Booking.com
Brex
Automattic
Deloitte
Deel
Accenture
Loblaws
RBC Ventures
Zalando
Headspace
Top Revenue Customers (2022, CAD)
| Customer | Revenue | % Total |
|---|---|---|
| Loblaws Inc. | $1,711,145 | 16.5% |
| Hack Capital Ventures | $699,524 | 6.7% |
| RBC Ventures | $259,781 | 2.5% |
| Verivox GmbH | $231,423 | 2.2% |
| BDO Lixar | $225,750 | 2.2% |
| Other (~265 customers) | $7,258,364 | 69.9% |
| Total (Jan-Oct '22) | $10,385,987SC | 100% |
Market Landscape
Market & Competition
Source: Pitch Deck, Diligence Report
Market Tailwind: 5 open software engineering jobs for every engineer in the US, with the Bureau of Labor Statistics projecting a 25% annual increase in demand through 2031.
VanHack Differentiator: Community-led + direct hire model (vs. outsourcing). Competitors like Turing, Andela, Toptal focus on outsourced contractor placements. VanHack places candidates as full-time employees at the hiring company, with immigration support included.
Competitive Landscape
| Competitor | Model | Positioning |
|---|---|---|
| Turing | Outsourcing | Community-led, AI matching |
| Andela | Outsourcing | Africa-origin talent, community |
| Toptal | Outsourcing | Top 3%, traditional screening |
| Hired | Direct Hire | Traditional marketplace |
| AngelList | Direct Hire | Startup-focused |
| BairesDev | Outsourcing | Traditional, LATAM focus |
| VanHack | Direct Hire | Community-led + immigration |
Comparable Exits
EDECO
Acquired — $100M
International tech hiring platform, comparable marketplace model
HoneyPot
Acquired — $70M
European developer hiring marketplace, community-driven
Platform Features
• AI-powered candidate matching (ML scoring)
• Code challenge testing & English verification
• Video profile creation
• Upskilling programs (English, soft skills)
• Global mobility / visa support (~6% of global relocation visas)
• Events & community (73K+ Slack members)
Investment Thesis
Strengths & Strategic Value
Source: Pitch Deck, Diligence Report, VanHack P&L
Capital Efficiency: Built to ~C$10M ARR on only $120K in total outside capital raised. Among the most capital-efficient companies in the portfolio. Demonstrates founder discipline and product-market fit.
Community Moat: 415K+ tech candidates organically acquired at $4/candidate. 73K+ Slack community members provide retention and referral loop. Community-led growth is difficult to replicate.
Global Mobility Edge: Manages ~6% of worldwide relocation visas — unique capability that competitors lack. Immigration support creates switching cost and premium pricing power.
Multiple Revenue Streams: Placement (67%), Payroll Outsourcing (31%), Subscription (1%). Payroll stream provides recurring revenue stability. Subscription growth represents upside opportunity.
Revenue Scale: C$9.7M in first 11 months of 2022 with 99% YoY growth. Proven ability to monetize at scale across 270+ customers.
Unit Economics: $50K LTV, $4 CAC (12,500x ratio). $13.5K-$15K revenue per hire. Top AE productivity of 35 hires/year in Year 1.
Risk Assessment
Key Risks & Concerns
Source: VanHack P&L, Balance Sheet (2022), Cap Table, Diligence Report
▲ HIGH
Revenue Declining Through 2022: Monthly revenue fell ~71% from C$1.37M (Jan) to C$396K (Nov 2022). Reflects global tech hiring freeze, but raises questions about demand durability and recovery timeline.
▲ HIGH
Aggressive Growth Forecasts: Forecast model projects $10.2M → $20.4M → $40.8M → $60M (100% YoY growth). Actual 2022 trajectory underperformed forecast, and the declining monthly trend suggests near-term targets may not be achievable.
▲ HIGH
Customer Concentration: Loblaws represents 16.5% ($1.71M) of total revenue. Top 5 customers account for ~30%+ of revenue. Loss of a single major client would materially impact financials.
MEDIUM
Intercompany Loan: C$651K loan to VH Real Estate Holdings Inc. on balance sheet. Related-party transaction raises governance questions and ties up working capital.
MEDIUM
Negligible Subscription Revenue: Subscription stream at only 1.3% of revenue. The placement-heavy model creates revenue volatility — subscriptions would provide stability but haven't gained traction.
MEDIUM
Founder Concentration: Ilya Brotzky holds ~92% of common shares pre-deal and serves as sole executive signatory. Key-person risk is significant.
LOW
Cash Position: Vancity chequing declined from C$916K (Jan) to C$166K (Dec 2022). The seed investment provides runway but burn management will be critical.
LOW
Convertible Debt: C$125,671 SAFE outstanding at 5% interest, $3M valuation cap. Small relative to investment size but creates priority claim.
Exit Analysis
Exit Scenarios & Return Potential
Source: Diligence Report, Forecast Model
| Scenario | Multiple | GSV Return |
|---|---|---|
| Downside (1x Liq Pref) | 1.0x | $3.1M |
| Base Case (3x) | 3.0x | ~$9.3M |
| Upside (5x) | 5.0x | ~$15.5M |
| Home Run (10x) | 10.0x | ~$31M |
1x floor protected by non-participating liquidation preference plus 10% cumulative dividends. After 6th anniversary, redemption right provides additional downside protection.
Exit Pathways
Strategic Acquisition (Most Likely): LinkedIn, Indeed, Randstad, Adecco, or emerging HR tech players (Deel, Remote). Strategic value in VanHack's 415K candidate community and global mobility capabilities.
Comparable Exits: EDECO ($100M), HoneyPot ($70M acquisition by Xing/New Work SE). Tech hiring marketplaces have proven exit paths in the $70-100M range.
Timeline: 5-7 years to exit. Revenue recovery to pre-2022 growth trajectory required. IPO unlikely given scale; strategic acquisition is the primary path.
Leadership
Founder & Team
Source: Series Seed SPA, Diligence Report, Pitch Deck
IB
Ilya Brotzky
Co-Founder & CEO · ~92% Common Pre-Deal
Co-founded VanHack from Vancouver, grew to 95+ employees and 415K+ candidate community on minimal outside capital. Background at Cornell University, Best Buy, Acxiom. Led the company through Techstars Berlin and multiple accelerator programs (Start-Up Chile, FIT4START, DMZ, Lazaridis Institute).
GG
Giselle Guimaraes
Co-Founder & CSO
Chief Strategy Officer responsible for company growth strategy and international expansion. Board Director alongside CEO and GSV Preferred Director.
DC
Dougal Cameron
GSV Managing Director · Board (Preferred)
Managing Director at Golden Section Ventures. Led GSV's thesis, diligence, and investment in VanHack. Serves as Preferred Director on 5-member board (3 Common + 2 Preferred).
AS
Andrew Smith
GSV · Board (Preferred)
GSV team member. Director indemnification agreement in place. Serves as second Preferred Director on the board.
Key executives also include Tiago (CTO, 11-person dev team), Meghan (Sales), Jorge (Recruitment), Stephanie (Events), Julia (Talent Success), Mayara (HR), Shervani (Global Mobility).
GP Recommendation
Recommendation: PROCEED — US$3.0M Series Seed Preferred
VanHack Technologies represents a compelling investment in community-driven tech hiring infrastructure with exceptional capital efficiency: ~C$10M ARR built on only $120K in outside capital. The 415K+ candidate community creates a durable competitive moat that is extremely difficult to replicate. At $22M pre-money, the entry valuation is attractive for a company with this scale and efficiency. Key concern: the 71% revenue decline through 2022 reflects macro tech hiring headwinds. The investment thesis depends on revenue recovery as the hiring market normalizes. The 10% cumulative dividend and 1x liquidation preference provide meaningful downside protection, while the 5-year warrant on 179,179 shares offers additional upside.
Use of Proceeds
$2M in ads & content
US & EU expansion (sales team)
Hire CMO for lead generation
Platform AI matching improvements
US & EU expansion (sales team)
Hire CMO for lead generation
Platform AI matching improvements
Key Milestones
Revenue recovery to $1M+/month
Subscription revenue to 10%+
Reduce customer concentration
24+ months runway from raise
Subscription revenue to 10%+
Reduce customer concentration
24+ months runway from raise
GS Value-Add
B2B marketplace playbooks
International expansion network
Customer intro pipeline
Board governance & strategy
International expansion network
Customer intro pipeline
Board governance & strategy
Source Documents
TS Executed Term Sheet — Dec 2022
SPA Series Seed SPA — May 2023
PL VanHack P&L — Jan-Nov 2022
BS Balance Sheet — 2022
CT Cap Table — Feb 2025
PD Pitch Deck
DR Diligence Report
WC Warrant Certificate
SC Sales by Customer
FM Forecast Model
Derek AI
VanHack Deal Intelligence