From startup to top fifty

In 2003, the founder, his father and sister started Kormotech, a Ukrainian cat and dog food maker.

Speed was the advantage

The founder became CEO in 2008 and made decisions quickly without lengthy approval processes. This fast, intuitive style helped Kormotech capture over 30 percent of its home market, overtaking Nestlé Purina and Mars.

The bottleneck emerges

In 2021, when Kormotech set a goal to become a global company, the founder realized his management style was now holding it back. He had become the bottleneck in his own business.

“I had become the bottleneck in my own business.”

War forces a reckoning

In spring 2022, as Russia's full-scale invasion of Ukraine began, Kormotech faced a choice: globalize or disappear.

Learning to hear no

The founder prepared to acquire a Ukrainian company with a signed term sheet, but the board blocked it.He returned to negotiations and secured significantly better terms.The board's power to stop him proved its value.

Outsiders see what you miss

The founder learned that independent directors could see things he could not. Sometimes he regretted not thinking of ideas they proposed. The board's role was to broaden his experience, not rubber-stamp his decisions.

“The hardest thing to accept is that people who didn't build this company alongside you can see things you don't.”

Planning the succession

The founder's sister and he each have two daughters, and the eldest have said they do not see themselves managing Kormotech day-to-day. The company must develop without being tied to his way of running it.

Stepping back to move forward

The founder currently wears three hats: owner, board member and CEO. Over the next few years, Kormotech should be led by a hired CEO while he steps back from day-to-day management. Success means becoming replaceable.

“It is quite likely that this person will prove to be stronger at this than me. If that happens, it will mean that I, as the owner, have done my job properly.”