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I think you are right, you need to have a decent membership base to attract paying customers but you can't build that base without members, kind of rock and a hard place or the chicken and the egg thing. I agree with monkey, you should offer the service for free until you build the base up enough to start charging, and I don't think 20 people is near enough,monkey's suggestion of 500 is better. It will not be a quick revenue generator either way you go, but then again any internet business rarely is, contrary to popular beleife, the Internet is not the raod to fast cash but longevity and name recognition will lead to a successful internet business and the name recognition comes from advertsing and of course word of mouth from 'satisfied' customers, I say that again, 'satisfied' customers.
Posting a resume to a website means nothing if employers aren't browsing it and actaully hiring people from your site. What fueled Monster.com's success was mainly word of mouth from both job seekers and employers who had a positive experience, employers told other employers that they found great employees on the site and job seekers told other friends that they found a great job on there. And one thing about monster it's free to post a resume, the employers pay the membership fees to search for employee's. Which makes sense, people out of work usually are pretty tight with their cash while HR people are spending the companies money and not there own so they are much more likely to shell out for a membership. Either way you need to market to both sectors for it to be successful and I would offer the service for free to both until you get a sizable base and a good reputation.
Good luck!
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