Staffing software company Bullhorn announced today it acquired Erecruit, a provider of applicant tracking and pay and bill solutions for the staffing and recruitment industry. The deal closed today.

Erecruit will operate as a business line under Bullhorn. Terms of the transaction were not announced.

“We’re excited about the IP, the technology they build, and we’re excited about the talent,” said Art Papas, founder and CEO of Bullhorn.

Papas said Bullhorn announced its Bullhorn One middle office product earlier and it generated much demand. At its end, Erecruit has developed a lot of intellectual property around the middle office — which includes processes from recruitment and sales to payroll and billing — and it has a team of people with expertise in the area. Given the synergy, the technology and people made this the right time for the acquisition, Papas said.

“We’re really focused on the digital transformation of the staffing industry and the first step of that is digitizing all the information that a staffing firm needs to run its business,” he said.

Looking forward

Moving the processes, including the middle office, to the cloud will enable the introduction of automation and artificial intelligence to help power the processes. With this deal, Bullhorn will have 225,000 staffing professionals and millions of temp workers using its products.

“We’re really now in a position where we can start to drive change for our customers and the industry,” Papas said.

Erecruit’s four brands are Erecruit, Bond, TempBuddy and Innovantage. They came together in 2017 when Symphyony Technology Group acquired Erecruit and merged Bond and TempBuddy under the Erecruit umbrella. The Innovantage acquisition took place this year.

• The Erecruit business was founded in 2009 as an enterprise staffing software solution.
• Bond was originally founded in 1973 and is known for its Adapt line of solutions.
• TempBuddy is a workforce management solution for temporary labor that was founded in 2015.
• Innovantage is a market analytics software solution that was founded in 2009.

In addition, Erecruit’s portfolio includes eStaff365, an onboarding solution.

Bullhorn plans to maintain and support Erecruit products moving forward and, in some cases, will make significant investments to grow several product lines. In addition, investment in Bullhorn’s own products will remain unchanged.

The team

Erecruit’s management team — including founders Judd Hoffman and Danko Fatovic — will join Bullhorn. Fatovic will report to Bullhorn Senior VP of Engineering Jay Pennington. Hoffman and Sara Moss, Erecruit’s VP of staffing best practices, will report to Bullhorn Chief Revenue Officer Mike Restivo.

Erecruit CEO Dominic Gallello will report to Peter Linas, Bullhorn’s executive VP of corporate development and international.

“We’ve always had ambitious goals that we’re eager to bring to fruition, and with Bullhorn’s resource and best practices powering us, we can deliver amazing ROI to our customers,” Gallello said.

In addition, TempBuddy founder Rod Smyth will report to Mitesh Ashar, Bullhorn’s senior VP of product management.

Bullhorn is not changing Erecruit’s organizational structure or processes.

Bullhorn was founded 20 years ago and is based in Boston. Its core offering is a SaaS-based recruitment platform that includes ATS and CRM, onboarding, time and expense, pay and bill, VMS integration and more.