Sramana Mitra: Well, I think the reputation system, the feedback system, all that helps. Switching gears a bit, I run an initiative called One Million by One Million where we are running a for-profit virtual incubator. Our goal is to help a million entrepreneurs reach $1 million in revenue by 2020, around the world. It
Sramana Mitra: The truth is, there are a tremendous number of developing countries, the same countries you mentioned, India, the Philippines, Malaysia. Those are just as present on oDesk and Elance as well. Matt Barrie: They are. When I checked earlier in the year, the number one demographic of users were Americans. SM: Because Americans are
SM: You said India is number three in terms of employers. That’s the one that I find interesting. The fact that India is number one in terms of freelancers is a very obvious one. That’s where outsourcing really took off, especially software outsourcing. That makes total sense to me, but India as number three on
Sramana Mitra: What is your business model? Do you charge a percentage? Matt Barrie: We take a commission from the employer. We take 3% of the payments made or $3, whichever is higher. From the worker, we take 10% or $5, whichever is higher. But we do have a membership subscription package where if you
Sramana Mitra: How many freelancers are in the system? Matt Barrie: We have more freelancers on our site than any other marketplace in the world. The mix is about, three quarters freelancers and one quarter who are our employers. SM: What can you tell me about the employers? What kind of employers from what countries,
Websites for freelancers abound on the Internet. From oDesk to Elance to Guru, there’s something for everybody, it seems. And each has its own way of doing business. With the Sydney, Australia–based Freelancer.com, for example, an employer pays a contractor only when he’s satisfied with the work the contractor has done. That could explain why