IN THIS EPISODE OF YBC:
We open the door and say,"Sir, you have a chance to make $100,000 overnight".He
goes, "Let's talk".
"We got a deep fryer.
As soon as we turned it on,the power in the neighborhoods
around went out."
"… profit was about 50 dollars which I lost… it fell out of my pocket, on the bus."
"I can help who's next!Hi, what would you like?".
"I began competing on price too much, landed the client but went into the red in the
end."
[Text]Young Business Club.
Business through mistakes.
"Hey, guys!
Have you heard of the mysterious Ukrainian superhero?
He frees our roads from cars with Lithuanian license plates
and our forests from deforestation and export to EU.
We've come to Chernivtsi to learn more about him."
"Excuse me, sir.
Wherecan I find Ozzyman?
I want to talk to him."
"People here contact Ozzyman via the red phone booth."
"Where can I find it?"
"Over there."
"Thanks a lot!"
"How can I find Ozzyman?"
"Ozzyman is busy at the moment.
He is saving the citizens of Chernivtsi from hunger."
"Chernivtsi is my city.
It is our city.
Everyone has their own mission here.
Heroes protect the citizens while the latter keep
doing their job.
Who am I, if by day I fry French friesback to back with my fellows in
the kitchen and by night I fight injustice in a silly red suit?
Our dream is to find our purpose, our calling is to be helpful for
people.
The main thing is, we are one team and I am its Ozzyman."
"Look around.
A co-founder of the Ozzy chain is almost there.
He will fill you in."
"Alek, what is Ozzy about?"
"Ozzy is all about fast food."
[text] ALEKSEY NAZAROV
Restaurant business owner OZZY FAST FOOD
29 years old 4,500 visitors per day
In a relationship "We could have simply named our company
"OZZY".
And that's what everybody was telling us to do.
But we decided to stand our ground.
On every sign, it says "Fast Food" because you can get a meal quickly.
People think of it as "junk food".
But we don't stop proving that fast food can be
healthy.
At the moment, the chain consists of 2 restaurants and we are about to open
one more,eleven hundred square meters, brand new equipment, it's going to be a
really cool restaurant."
"How many people does Ozzy serve per day?"
"About 3,000 people per day.
That's the total for the two restaurants.
To serve 3,000 people per day in a city with apopulation
of 230,000 people – that's a lot."
"Chernivtsi is like the Pozniaky station in Kyiv."
"Guys, we're excited to have Dmitrii, a Co-Founder of the Ozzy Fast Food chain."
[text] DMITRIY LUKENCHUK
Restaurant BusinessOwner OZZY FAST FOOD
27 years old 3 Ozzy Fast Foodrestaurants
Married "How did we come up with OZZY?
We used to arrange concerts for music artists.
At night, there was now here for us to eat.
Only a few fast food places but the food there would give me heartburn.
How come?!
I amyoung, my stomach should be able to digestnails."
"And we knew for sure that this niche wasn't filled and people needed a high-quality
restaurant."
"At first, we considered buying a franchise.
But there weren't really any decent options that would work for us."
"Why franchising?
You're buying an existing business, they provide training but you
have to pay a certain amount for that.
Well, we had no money…"
"If you can't buy experience, you should earn it.
That's why my partner and I made a decision to apply for a regular job at McDonald's
and KFC."
"Did you work at McDonald's or KFC?"
"KFC.
My partner worked at McDonald's.
Now we'll show you guys a photo where you'll see my partner and me in our uniforms.
My partner is wearing a McDonald's uniform and I'm wearing that of KFC.I bet
no one has such a photo."
"What knowledge did you bring with you from McDonald's to Ozzy?"
"First, it's the absolute, ultimate obsession with hygiene and cleanliness.
What would you do, for instance, with a bottle
of water that fell on the floor?
You would put it back – no harm was done to the water
inside.
But at McDonald's it's a no-no, they would get a broom and dustpan and toss
it.
From that, I learned two things.
First, what's right and second, why McDonald's doesn't do franchising in Ukraine:
there are no guarantees that other entrepreneurs will be doing the same."
"Guys, in search of Ozzyman, I came to Chernivtsi with just one sweater and decided
to buy some clothes.
The locals recommended the Papaya store.
Let's go and check it out."
"Hello, what sweaters do you have?
Let me look at the grey one, a large, please."
"Hello, Valeriy.
My name is Andrey."
"Nice to meet you."
"I really like your store.
Why not we go and talk."
"Sure!" [text]
VALERIY MAKSYMENKO Fashion retail
The owner of PAPAYA clothing brand 26 years old
5000 clients per month Married, has a child
"Valeriy, you're a man and your niche is women's clothing.
How did that come about?"
"Most people, on the inside, are a little lazy and I am not an exception.
The fastest way to make money is "buy low, sell high".
Why clothes?
I have apretty good knowledge of it, I guess.And in addition,
a long time ago my parents had some experience in it."
"Now, tell me about PAPAYA in figures, would you?"
"At the moment, we have 6 stores in Western Ukraine.
So far, we have completely taken over the market in two cities, that's
Chernivtsi and Ivano-Frankivsk.We also have a powerful online platformthat can compete
with most retail stores.
Out total shopping capacity is about 700 square meters,
and we have our own manufacturing which is outsourced."
"Tell me the TOP-3 stories from your life that made you stronger."
"One of my mistakes was opening a store in a mall on the second floor.Customer
flow was very, very low; in six months, I barely recouped the investments that were
not a lot in the first place.
I didn't earn anything."
"I have closed the second floor.
Now we have our sales department here.
This is our think tank.
This the second floor.
The ladies here do everything that has to do with
the Internet, marketing, content.
We create photos and designs here; the ladies choose clothes and analyze what is cool and
trendy now."
"People from over 300 cities place orders in the PAPAYA online store.
And this kind of package – what's here?
It's a dress –isfor Svetlana Krasnova in Cherkasy.
Svetlana,that's for you!"
"How did you make your first thousand dollars?"
"I made my first thousand dollars after I started a business which was called
"Clothing store".
It was really called like that, it's not a figure of speech.
It read "Clothing Store" It was… it wasfunnythat
it was 35 square meters next to a grocery market.
My first net profit was around 50 dollars.
My second profit was about 50 dollars, too, which I lost… it just fell
out of my pocket, on the bus.
Yeah, by the way, that was actually like anepic fail to me.So
I lost 50 dollars and during the third month I made a hundred and that's when it
starting getting better.
I earned my first 10,000 dollars when I was 23 or 24 years old,
don't remember exactly but around that time, afterthe launch of the store in
Ivano-Frankivsk."
"This kind of job is not easy actually.You're aware of that because I know for sure
that had all sorts of jobs.
By the way, feel free to remember the past and to work as
a cashier."
"Sure!"
"First and foremost, I guess, these are 10 rules of how to wash your hands and keep
everything clean.
How do you wash your hands?
You have to wash them 40 to 60 seconds.
We are frying fish rolls here, Chick-and burgers here and, obviously, French
fries here.
We can see that tomatoes can be out for two hours.
At 8:25 they will be tossed.
French fries can be in for up to seven minutes, and not more.What happens
in seven minutes, Sergey?We toss them.
We don't compromise on quality.
All the snacksstay… for how long, Alexandr?
Aleksandr?
Sasha is one of our best employees.
I am proud that we work together.
We make money alongside our employees and there's a bonus system depending on our
revenues.
We say, "We're making money, so let's make money together."
A regular employee gets around six or 7 thousand hryvnias a month and a restaurant manager
can make up to $1,000."
"I can help who's next!
Hi, what would you like?"
"I would like cheese sticks, a Coke, and ketchup."
"62 hryvnias."
"Cheese sticks, ketchup and Coke.
Have a niceday!"
"The first restaurantwe opened was about 60 square meters.
It was tiny.
Not even a diner.
"How much did the first restaurant cost?"
"Over a hundred.
Over a hundred thousand".
"Where did you get the money for your first restaurant?"
"I sold my apartment, I also had the same amount in savings and I borrowed money
again and again and again… he said, Aleksey, I am lending you money only because I
have already invested in you."
"Before you begin, you should divide your expected profit by 2 or 3 times and
multiply your expenses by 2.
This way you will get a more or less realistic picture."
"I knew for sure that if I failed, the worst-case scenario would be going back to my
parents' houseand living with them."
"Alek, why did you choose this hobby?"
"A very long time ago – my dad has a lot of guns, he has been a hunter for a long
time – so I was around 10 years oldwhen I came up to my dad.
He rolled down the window of our small car – we had a small
Tavria – and he pressed me close to himself because I wasn't brave or heavy
enough to hold the gun myself.
The only thing I did was aim at a metal can and hit
the trigger.
That was my first shot and I hit the target and I knew that I would be doing
that in the future.
I had a humongous desire to get a gun somewhere and shoot."
"Aleksey and I – did he tell you how we met?
"How did you meet?"
"We were competitors, Aleksey and I were competitors…
We both had our own event companies."
"Chernivtsi is not a big city, so everyone knows each other and the competition, at
the time, was crazy, as we thought."
"We came to a meeting for negotiations, Aleksey didn't know that I came with the
other party."
"We were having a polite conversation, we had known each other for a while
whereas our people who were helping us were arguing, it was getting heated.
We looked at each other and Dmitriy said, "Let's
go outside to talk for a couple of minutes."
So we did and when we came back inside, we were partners."
"Over the 7 years, regardless of the fact that I see him more often than my wife,
every day, there have been no fights or extremely tense situations or anything like
that.
I believe that everything we have now is because of our synergy."
"Dima, what do you like the most about Alek?"
"Absolutely positive attitude to everything that has ever happened to us.
When we hard and really challenging times, he would
say, "Everything will be fine!".
One day we came to a former cigarette store that was
going to become our first restaurant.
It had nothing but walls in it.
We sat down on the floor and I asked him, "Alek, will we
even have enough room here?!".
And he just went, "Absolutely!"And I believed him
right away.
Absolutely positive attitude to any situation."
"Cut!
Cool, guys."
"Marry me!"
*laughter* "This place, I believe, is one of our final
steps in Chernivtsi.
After that, we are going to start spreading our chainthroughout Ukraine.We're
planning to enter the biggest cities.
Just think, the space we started with was 60 square meters and this is exactly
20 times as big.
Since the other option was getting a 1.2-kilometer gas pipe –
downtown, can you imagine?!
– so we had to get two 45 kW heaters.
The deadline is January 14 th by any means.
Whether or not we're making it, we decided to never
miss any deadlines whatsoever."
"How much is invested in the launch?"
"We don't have anyfinal numbers yet, but it is about 600,000 dollars.It will be
even more."
"Our goalisto open 100 restaurantsin Ukrainewithinten years.
That's ten restaurants a year.
It doesn't mean that next year we will open 10 restaurants, and the following
year – 10 more.
It won't be like that.
I know that next year we'll open five or six and
the year after that, we'll open seven and in four years' time we'll be able to open
15…"
"You used decomposition knowing what you will need to do every year and every
month."
[text] Conclusions "So, what did I learn from the stories of
the three successful businessmen from Chernivtsi?
First, you can and should be a self-made man or woman."
"I had 3,000 dollars in front of me which was my grandmother's gift.
The very next day we put them to good use and started selling
things there."
"I sold my apartment, I also had the same amount in savings and I borrowed money
again and again."
"Second: success comes to those who overcome obstacles."
"Since the other option was getting a1.2-kilometergas pipe – downtown, can you
imagine?!
– so we had to get two 45 kW heaters."
"And we also redid the entrance.The problem we faced that day was a 90-
centimeter granite wall.
The worst we could think of was blowing up the whole
thing."
"Be passionate about what you do and doonly the things you're passionate about."
"Three rules about a restaurant – location, location, and location."
"When I wake up and when I go to sleep and when I get in my car, I think about
Ozzy."
"Brand means nothing if your product is crap."
[Text] Giveaway "If you want to meet the two co-founders
of Ozzy, have dinner with them, get a tour in one of their restaurants to see it from
the inside, and win a gift certificate from the PAPAYA clothing store, subscribe to our
YouTube channel and leave a comment about this video.
My name is Andrey Ostapchuk, thanks for watching and hit
subscribe."
"Cut!"
"Hey, wait!
Almost forgot.
Christmas is around the corner.
Have you bought gifts? [text]
Aleksey Ronis Manufacturing, Tourism Industry
Owns a company that creates candy care packages 28 years old
Turnover: $1,814,000 Married
"Alex, would you please share howyou came up with this business idea?"
"Just like all the other kids receive Christmas gifts, I used to receive gifts for
Christmas too.
And those gifts, apart from other things, had delicious candy, that we
would eat right away, and not-so-good candy, that we would leave for later.
So, I wondered, why not create packages that would
have only the most delicious candy.
I can say that our candy care packages are the most delicious Christmas packages at
the moment.
They consist of the best candy made by the best manufacturers in
Ukraine, we use only the freshest candy.
Our clients usually eat up our candy within the first few days."
"What did youbegin with?"
"It all began with my friends and I wanting to set up this business…
We did everything ourselves.
We wouldput togetherpackages at night and in the morning or
afternoon we would deliver Christmas candy care packages by car.
There were even a few times when we ran out of boxes so we
had to use old cardboard packaging of TV-sets, fridges and deliver our packages
to our clients like that."
"All entrepreneurs make countless mistakes.
Would you please share about the TOP-3 mistakes that made you stronger?"
"Well, I guess the first mistake is pretty common, I hired an employee, showed and
told him about all the business processes.
And you know what happened next?
He left and started his own company.
What can you learn from that?
I would recommend that entrepreneurs or business owners
break their businesses down into puzzle pieces and arrange them in such
a way that no one else could put them together but him."
"Alex, what was the second mistake?"
"The second mistake had to do with me pursuing one major client.
I was 26 and very interested in landing that client.
They wanted 15,000 packages.
I began…"
"Which was…"
"About 1 million hryvnias…
I began competing on price too much, landed the client
but went into the red in the end."
"Cool."
"The lesson is to know the cost of your product, I think that that's essential."
"Could you please share about your third mistake."
"The third mistake had to do with…
Originally,I used to work with Excel.
Then I created an accounting program based on JavaScript.
I decided I had to evolve and ordered software based on 1C.
I ended up ordering it during the peak of the season,
the vendors I used missed the deadlines…
The lesson I learned was, repair the roof when the sun is shining."
"I have been working with my partners for 9 years.They also happen to be my
friends.
We started together and have been together ever since."
"Hey, I don't know about you guys but I will definitely buyChristmas gifts here."
[text]Giveaway "If you want to come to an event at Young
Business Club, meet the members of the club, listen to a speech by Viacheslav Klimov,
a co-founder of Nova Poshta, on January 17, hit 'Subscribe' and let us
know what you think about this video in the comments below."
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