At the newly-launched online referral market called Top Prospect, the goal is simple: refer a friend for a job, and if he or she gets hired, you get paid.
To facilitate these online referrals, Top Prospect announced it has integrated with social media sites LinkedIn and Facebook.
When connected, users can pick and choose which connections would be the best fit for an open job. They are only allowed to submit three connections to the position, and there must be an established relationship between the referrer and the potential candidate.
If the candidate is hired, the referrer has the potential to earn $10,000 to $20,000.
Techcrunch reported today on how the site is becoming popular with startups eager to poach top talent:
Right now more than fifty companies have posted 180 jobs in the system with a whopping $2.5 million waiting to be paid to referrers. Those companies include a lot of hot startups who obsess about finding the best talent like Zynga, Path and Asana. (Those last two aren’t a surprise. Dustin Moskovitz is an angel investor in Top Prospect, landing it in the powerful Facebook Mafia.) The company was started by Rotem Perelmuter, and investors include Andreessen Horowitz, Spark Capital, Ron Conway, Facebook’s Chamath Palihapitiya, Stubhub founder Jeff Fluhr, David Goldberg and Jeff Clavier.
Top Prospect is only focused on tech jobs, but it plans on including healthcare later this year.
Techcrunch writes that although this business model has been tried before, the timing wasn’t right. “That was in a pre-Facebook/LinkedIn world, which made matching up friends with jobs a lot harder,” the author says.