Povilas, 24, who runs three companies: “I made many mistakes, but grew thick skinned” | Deal

“It is not difficult to start, it is more difficult to grow and maintain a business,” says a Klaipeda resident, who agreed to tell us about the biggest challenges and lessons he has experienced in the past three years. For so long, he boldly calls himself an entrepreneur.

Currently, his main business is B2B sales, telemarketing, surveys and customer service provided by his company, FogoSales. “We are a sales department that companies can rent,” said the interlocutor about the main activities of his company.

Dive into business without any acquaintances

Klim made no secret that he never thought he would be in business. “None of my relatives or parents had a business; this area was completely unknown to me. After entering university, I thought that after graduating I would be an engineer,” said a Klaipeda resident. But that did not happen. After completing his first year at university, he started working as an insurance agent, according to P. Klimas, this was the first contact with active sales and “cold” calls.

After entering university, I thought that after graduating I would be an engineer.

“At the same time, I noticed a competition to promote entrepreneurship. I completed the application with an idea and went to the first stage: the evaluation of the business plan. My business plan won first place and I entered the second stage: the implementation of the business plan. This was the first contact with the business: the first lesson is what it means to have a minimum team and work with it, “said the interviewee. However, he could not implement the idea of ​​this business: the competition ended due to the insufficient participation of the participants. At the same time, P. Klimas left the insurance company and decided that telephone sales was not an area he liked.

“Then I worked at various sporting goods stores, at the sports club administration, and was looking for clients for workplace training, more precisely, for a person doing investment training. I did this with the good old cold calling technique. So, over time, I gained confidence in the “cold calling” experience. Then I put up an ad that I was a sales manager freelancers This is how the first clients appeared ”, P. Klimas spoke about the decision to start working for himself.

He worked as an independent sales manager for approximately half a year. Then, taking advantage of the Erasmus program for young entrepreneurs, he completed an internship at an Italian company. The young man recalled that finding an internship was not easy: it took three months to send his CV to companies in different European countries, until the company based in Florence invited him for a one-month internship.

It took me three months to send their resumes to companies in different European countries before one of them invited me for an internship.

“On the work side, I couldn’t say that I got any knowledge there, but I traveled a lot, walking all over the city of Florence, where I stayed. So after a couple of weeks, I already knew Florence as my own city. But most importantly, this internship inspired courage and determination: when I returned to Klaipeda, I rented a small office and hired the first employee. It was October 2017. The “FogoSales” phase started from this office, “Klimas said of the first steps in the business.

Many trials in one year.

FogoSales has employed 1-3 people for approximately 1.5 years, in addition to its founder. The company was successful, but Klimas decided to test itself in a new field.

„2018 I joined the Klaipeda Rotaract Club, where I met a colleague. In May of the same year, we started a freight forwarding business with him: we provided partial freight forwarding services in Lithuania. This activity was not one of the sweetest, because almost all the trips had some problems, the working hours were long. The driver usually returned around 11 p.m. Some of us needed to meet him, collect the roadmaps, and review everything. There were also relocation orders: my colleague and I carried them out. T.y. We carry tables, cabinets, sofas, etc. ourselves. All this was not pleasant, so after approximately a year of operation we decided to sell the business and change our course: mine was still the first activity of FogoSales, P. Klimas recalled. According to him, cargo services are so far the only area they would not want to return to.

However, the desire to try something new did not disappear. Therefore, in 2019. At the beginning of the XIX century, the residents of Klaipeda bought a juice bar.

“I saw an advertisement that a juice bar is for sale in Klaipeda. After looking at everything and analyzing everything, I decided to buy. I also offered to contribute to a friendly course,” said the interlocutor. Unfortunately, this association was not successful because, according to P. Klim, the friend of the course expected a quick profit, and this business did not give it, so after half a year their paths separated.

At the same time, the Klaipeda resident received another offer: A Lithuanian living in the United States was looking for managers in Lithuania. According to Klim, he has always been interested in the American market, so he decided not to miss out on these opportunities. It took several months of persuasion, but we managed to agree and start working together. It is true that P. Klimas had to go down and establish a company not in Klaipeda, where he lived, but in Kaunas. This was requested by a United States trade partner, who comes from Kaunas.

“Several times a week I traveled the Klaipėda – Kaunas – Klaipėda route. I selected the employees, rented the premises, bought the necessary equipment and started the work. However, about a month later, I was informed that all the equipment – computers, phones, headsets, etc. – Steal. This was done by one of the employees. After this event, I managed to convince the company manager that he would gather the team not in Kaunas, but in Klaipeda, where he would work every day. That’s what I did: I found new employees, I did two shifts: one employee works with the Lithuanian market during the day and then at 5 p.m. other managers come to work with the US market, “said the interlocutor.

P. Klimas recalled this stage as extremely interesting. According to him, working with the US market has been rewarding and exciting, as sales strategies and actions are significantly different compared to Eastern or Central Europe. However, it all ended unexpectedly: Although the company was successful, its founder in the US decided to end it all.

Failed purchases: a lesson for the future

There is no empty place for a long time: this saying is adequate to describe P. Klima. After saying goodbye to a partner in the United States, he didn’t jump right into a new project. This time he was tempted by an acquaintance’s offer to acquire a company that worked in the same field as FogoSales. The purchase, which initially seemed like an ideal investment, actually turned out to be a big problem.

“The reality was very different from what the business owner said: a significant number of clients are insolvent, the wages in the employment contracts signed with the employees were double what they told me (and I trusted and did not request these contracts before the transaction took place.) So for a few months the situation was very poor. I thought I was going bankrupt. “I didn’t want to go to work, I didn’t want to do anything, especially I didn’t wait at the beginning of the month, when it is necessary to pay the salaries to the employees, and there is not so much money in the accounts, “said the businessman about the difficult stage. According to him, those few months were the most difficult of his life. Fortunately, the company managed to survive, and later From resisting from the bottom, the situation began to improve. FogoSales currently has 10 employees.

This experience is not the only one that, according to P. Klimas, hardened him. 2019 I had another business that gave me many lessons. Perhaps more precisely it is not a business, but a partner. I met this person when I was looking for employees. The man came for a job interview, but since he was in business recently, he offered to develop a project together: employ people from Bangladesh and India in Lithuania. I agreed, although I saw that the couple is hyperactive, sometimes perhaps even inappropriate. But I liked the idea of ​​the project. The start was not bad, we quickly found the first clients, but things started to get worse when the Lithuanian Embassy rejected our candidates without any good reason, even though everything was done according to the rules, the employees were selected Our clients conducted remote interviews, etc., P said. The increase did not hide the fact that it all ended with the loss of several thousand euros and another lesson that naivety in business is not a good trait.

The 2019 trials for Klaipeda residents ended with the sale of a juice bar, this stage was also completed.

„2019 the events were very memorable for me, because it was during these events that I gained a wealth of diverse experiences and insights. They showed my weaknesses: too much trust in people, naivety. But it also produced very thick skin. So now, if it is difficult, I remember them and understand that everything is fine: even the black period is over, ”said P. Klimas.

They showed my weaknesses: too much trust in people, naivety. But it also produced very thick skin.

You want to share your knowledge and grow your business

Although it seems that having so many businesses, especially those that cause many problems, no longer wants more activity, the opinion of the interviewee is different. It’s in 2019. He started attending seminars and other entrepreneurship events as a guest. There, he tells his story and advises those who want to start a business for free.

“My main activities are FogoSales and business. However, I also like workshops where I can share my experiences and maybe help someone avoid mistakes or just take a shortcut so they don’t have to go the extra mile. I am also happy to help newly created companies that submit their request: both with advice, consultations and with the available management resources, “said the interlocutor.

Hearing P. Klim’s story gives the impression that new business ideas are his own. The interviewer agrees that he is not really lacking in ideas, everything is interesting, he wants to try a lot. Much less time and resources to implement all the ideas.

“All ideas come from everyday life. If I see that something can be improved, I do it. It is true that I have my own recipe for not feverishly attacking new ideas. Usually if I come up with something new, be sure to write it down on an interest sheet in the competitive environment, the marketplace. Once I have gathered the information I need, I put the idea aside for a few days, no matter how hot my fingers are. I also tell some of my friends or family what I’m going to do, and I encourage criticism so that I can defend it later. If I can defend the idea and in a few days it still seems potential and interesting, I will take it, ”said the businessman who lives in the port city. In his opinion, starting a business in Lithuania is not difficult. Especially since there are now many events, seminars, workshops where you can find answers on how to start a business, and register your own company and organize other procedures online. Another thing is to maintain and grow the business. It is much more difficult.

All ideas come from everyday life. If I see that there is room for improvement, I do.

When asked about things that motivate, motivate progress, the interlocutor emphasized that it is not really just about money. Although he admitted that the amount he would like to win has in mind.

“A few years ago, I came up with the goal of reaching 1 million by the age of 25. Eur, but I will no longer be able to do it. Then, the same amount is postponed until the 28th birthday,” the interlocutor opened. However, according to him, the most important thing for him is to grow his business.

“After 10 years, I also see myself in business. I just wish the business was at least 50 times bigger. The numbers are great, but given our growth trends and potential, I think they have definitely been exceeded. Especially since we were not yet active in foreign markets. In addition, one of the objectives is to expand the business of the service sector in a broad sense, i. to connect additional B2B services or companies that provide services to our company, thus allowing customers to request the services they need from a source, ”said the head of FogoSales.

Currently, the company provides services in Lithuania, Latvia, Norway, Belarus, Ukraine, Russia. One of the immediate goals is to further expand to Scandinavia (Sweden, Norway) and start working in Poland.

There are even six valuable ideas in Paul’s story.

Povilas Klimas is a member of Swedbank’s “Anyone” entrepreneurship platform and is pleased to share his experience with other members of the small business community.

Comment on your business journey Rasa Verkauskaitė-Kazanskienė, Head of Clients and Small Business Marketing, Swedbank.

“It is gratifying to see that more and more stories full of successful and erroneous decisions have been shared lately. The mistakes made by others and the lessons learned are a valuable way to learn. So I would like to thank Povilas for openly sharing his story and continuing constantly growing your business.

There are many valuable ideas to discover in Paul’s business stories, so I’d like to highlight some of them. First of all, a business plan is important to build a business. And the most important thing is not to ask for a well written business plan, but to answer the questions clearly in it: what is your product / service, what is your uniqueness in the market, what is your target customer, what are the suppliers, what is its substitutability, etc. Answers to key business plan questions will provide opportunities not only to re-evaluate your business idea, but also to identify risks and find solutions to reduce or eliminate them.

Secondly, I really liked Paul’s practice of “verifying” a business idea with those around him, with critics. In this case, I would just add that it would be valuable to “verify” not only with friends, but also with named target customers (if the solution / product / service you are developing is really relevant to them), as well as with people who have already established a successful business.

Third, Paul’s decision to start the FogoSales story by renting a small office and hiring the first employee was, I think, really correct. Starting a business in small steps and “testing” it, testing before making significant investments, is a safer start-up business solution. Of course, if only the business model allows it.

Fourth, it is very important to responsibly evaluate potential business partners, investors, shareholders and unify the expectations established for business. More than once I had to observe a situation in which a successful growing business ends its story due to disagreements between shareholders, different objectives in the business. All of this is worth talking about both at the start of the business and at other stages of business development.

Fifth, there is the saying ‘trust but verify’, which I think is worth pursuing in business as well. Buying a company based solely on an oral history of the company’s financial situation is a really risky decision. People with different experiences sometimes have very different perceptions of what constitutes a “good financial position or profitable business.” Therefore, I would definitely recommend collecting objective information, documents that allow a realistic assessment of the real situation. This is relevant not only when buying a business, but also in other business situations.

Finally, it is worth remembering that business success often requires perseverance. Povilas sent a CV for three months to do an internship and gain experience. Sometimes, to attract investors, business partners may have to present their business idea dozens of times. Every time I fail, I would recommend asking the reasons: why didn’t you believe your business idea? Then, improve the idea and, if it really creates value for the client and the shareholder, go ahead ”.