Are you young? Ready to venture? Do you want to achieve success? You are not alone!

You started with founding a newspaper at 12; then you went on to establish and advertising agency. Was it obvious that you wanted to be an entrepreneur?

 

In fact, I’ve always been thinking in independent projects – the newspaper was such a project, a kind of small-scale “enterprise”. Later I dealt with media for a long time, but my first real venture was establishing an advertising agency, because after all my experience in media I felt I was spirited and creative enough to give it a try. And it worked. I ran the agency parallel to my legal studies, as far as I remember I started it during the second year of my studies. In the long run, I may start other enterprises as well, as you always keep planning and looking for opportunities.

 

As I know, FIVOSZ was established because you saw what obstacles young entrepreneurs have to face. Three years ago you said about this organisation: ‘We have built a unique and complex system of services, which is exemplary in international terms as well. We are building up not only a community of interests, but a community of values.” Are there huge differences between the different kinds of challenge enterprises started by young and older persons even today?

We used our own experience of difficulties as our starting point, because we had questions that could be answered neither by traditional communities nor by the Internet, and as we wanted to find solutions, we started to build up this community. In fact, it was when we started our business   that we faced the fact how underrepresented the youth was in economic interest organisations. It seems that this age group is not really interested in economics, and this is apparent in their representation in such groups. It also became clear quite soon that traditional means in business have become insufficient, we cannot identify with them – our generation thinks in different ways. An example for that is what a former colleague would say: youngsters consume information like spirits; that is, we need information in much shorter, compact, brief and practical form, and we also need a kind of forum where we can turn to with our questions.

   The Internet, for example, is a very important means, but there are a lot of information channels in general, and most of them are available even via a smartphone – for our generation it is obvious to look for digital solutions. Even this fact in itself can cause tensions between generations, since when a young person takes over the family business it can be clearly seen that the new generation wishes to use technology and the opportunities provided by the online world more intensively.

 

Generations can be categorised in several ways. Could you define the age groups? Which age group counts as “young” in the business scene?

In case of the under-eighteen group, we can speak of developing a mind-set instead of developing business, since you have to be legally major in order to establish an enterprise. Our primary target group is Generation Z, but in international terms the age group for youth business development is 18-40, so young entrepreneurs’ organisations also deal with people between 18 and 40.

 

In Hungary, when you hear the word “entrepreneur”, you will not associate it with a positive hero, but thanks to the reputation and innovativity of startups, the view on enterprises has become more nuanced perhaps. What is your opinion on this subject?

It is important that enterprising existence is beginning to become more and more accepted thanks to startup culture. However, this might be deceptive. We attended a world enterprise conference in Columbia recently, where one of the MIT’s lecturers mentioned a really interesting piece of statistics: 3 startups are founded per second worldwide, which means 10,800 startups every hour.  However, only 1 in 1000 continues and maintains its activity with success. I think this statistics shows the trends clearly.

   I must add that nowadays many people only think of start-ups, and approach the issue from this aspect. A start-up in the classical sense has a great potential for growth, can reach global size and has a large added innovation value, but a high risk-level as well. An accountancy firm, an advertising agency or tender writing company is less risky, but they are extremely important for small and medium enterprises to remain the backbone of economics.

   Actually, Europe and Hungary would need more of the classic micro and small businesses that may not invent something like Facebook, but can actually contribute to economics and employment. Trends show that Hungary may lose one third of its enterprises in the next five years. 

   A shift in generations is extremely important from this aspect as well, since even in case of family businesses, only a few such ones can pass the business over to youngsters. In Europe, two out of three family businesses cease to exist due to that reason. It poses a serious threat in Hungary, too, and youngsters do not carry on with the family business for practical reasons.

 

How can your organisation help stop this?

A community is extremely important, i.e. there must be a place where there are no unanswered questions. If you start an enterprise, you will encounter problems and questions your immediate environment or friends will not necessarily understand. FIVOSZ offers the strength and wisdom of the majority. At the same time we are trying to help youngsters to build business connections by new kinds of events. And our third important scope is to be able to provide help from partners, via our consultants, that can offer personalised help in specific areas. Parallel to the former, we also started an education programme called FIVOSZ Academy, offering usable, practical and concrete information which our members can integrate into their businesses.

 

On an international scale, how venturesome are young people?

Internationally, Europe is the least venturesome, which is quite surprising considering the economic status of Africa or South-America. However, within the continent Eastern Europe and Hungary does not fare badly; it is rather Western Europe where young people think less about enterprise; only a third of them is considering such things. Here the situation is better: according to EU surveys, about 40% would start a business. I think this is partly due to the enterprise supporting programmes of Eastern European governments.

 

As I learned, you rather believe in resolution and consciousness instead of determinant circumstances. What piece of advice would you give to someone who wants to start a business now?

My first advice would be to do something they like, to orientate themselves properly, to get appropriate information, to think over what and how they want to do, and to find an active community where they can get sufficient information and support, and it is also valuable to find a mentor who can start them on their way.

 

You graduated from Pécs, and you have been elected as a member of the Consistory of UP, the newly established advisory board of the university; as far as I know, you were appointed by the students. Why did you choose legal studies in Pécs back then? And what is it like to work in such a board?

I am grateful for the university for everything I got, I have close ties to the UP. Back then I thought my legal studies would provide a firm foundation for my enterprise; I was attracted by this field. I think it was very nice to study in Pécs, the town itself is beautiful with a special atmosphere.

   The tasks of a consistory are prescribed by legal regulation, and I think the operation of this organisation – at least at our university – can leave room for professional discourse that, by developing strategic directions, can contribute to the dynamic improvement of the university.

   I am trying to help this work as much as I can afford. Besides, I spread its reputation around whenever I travel abroad. I think it important for UP to get publicity, as according to some higher education rankings it belongs to the top 5% in the world – I think it is a great thing to have such a university in our country! The greatness of UP is proved not only by its approaching 650^th anniversary, but a significant number of foreign students as well.

 

Supporting enterprises has an increasing importance at UP; it is enough to think about the  Simonyi BECD or the copyright services. What more do you think this institution would need to become even more entrepreneur-friendly?

 

Good examples are very important; there should be concrete feedback, like when we are able to be happy for our fellows’  results and success. And I simply cannot emphasize enough the importance of community and professional forums where you can ask questions, where people can share their experience and information can flow freely. 

 

4 pieces of advice for young entrepreneurs from Patrik Kovács

- Do something you really like.

- Get information.  Obtain sufficient knowledge about your would-be market.

- Find a community or forum where you can get sufficient information and support.

 

- A good mentor helps you set forth on your way. 

 

by Éva HARKA, UnivPéc

s

You started with founding a newspaper at 12; then you went on to establish and advertising agency. Was it obvious that you wanted to be an entrepreneur?

 

In fact, I’ve always been thinking in independent projects – the newspaper was such a project, a kind of small-scale “enterprise”. Later I dealt with media for a long time, but my first real venture was establishing an advertising agency, because after all my experience in media I felt I was spirited and creative enough to give it a try. And it worked. I ran the agency parallel to my legal studies, as far as I remember I started it during the second year of my studies. In the long run, I may start other enterprises as well, as you always keep planning and looking for opportunities.

 

As I know, FIVOSZ was established because you saw what obstacles young entrepreneurs have to face. Three years ago you said about this organisation: ‘We have built a unique and complex system of services, which is exemplary in international terms as well. We are building up not only a community of interests, but a community of values.” Are there huge differences between the different kinds of challenge enterprises started by young and older persons even today?

We used our own experience of difficulties as our starting point, because we had questions that could be answered neither by traditional communities nor by the Internet, and as we wanted to find solutions, we started to build up this community. In fact, it was when we started our business   that we faced the fact how underrepresented the youth was in economic interest organisations. It seems that this age group is not really interested in economics, and this is apparent in their representation in such groups. It also became clear quite soon that traditional means in business have become insufficient, we cannot identify with them – our generation thinks in different ways. An example for that is what a former colleague would say: youngsters consume information like spirits; that is, we need information in much shorter, compact, brief and practical form, and we also need a kind of forum where we can turn to with our questions.

   The Internet, for example, is a very important means, but there are a lot of information channels in general, and most of them are available even via a smartphone – for our generation it is obvious to look for digital solutions. Even this fact in itself can cause tensions between generations, since when a young person takes over the family business it can be clearly seen that the new generation wishes to use technology and the opportunities provided by the online world more intensively.

 

Generations can be categorised in several ways. Could you define the age groups? Which age group counts as “young” in the business scene?

In case of the under-eighteen group, we can speak of developing a mind-set instead of developing business, since you have to be legally major in order to establish an enterprise. Our primary target group is Generation Z, but in international terms the age group for youth business development is 18-40, so young entrepreneurs’ organisations also deal with people between 18 and 40.

 

In Hungary, when you hear the word “entrepreneur”, you will not associate it with a positive hero, but thanks to the reputation and innovativity of startups, the view on enterprises has become more nuanced perhaps. What is your opinion on this subject?

It is important that enterprising existence is beginning to become more and more accepted thanks to startup culture. However, this might be deceptive. We attended a world enterprise conference in Columbia recently, where one of the MIT’s lecturers mentioned a really interesting piece of statistics: 3 startups are founded per second worldwide, which means 10,800 startups every hour.  However, only 1 in 1000 continues and maintains its activity with success. I think this statistics shows the trends clearly.

   I must add that nowadays many people only think of start-ups, and approach the issue from this aspect. A start-up in the classical sense has a great potential for growth, can reach global size and has a large added innovation value, but a high risk-level as well. An accountancy firm, an advertising agency or tender writing company is less risky, but they are extremely important for small and medium enterprises to remain the backbone of economics.

   Actually, Europe and Hungary would need more of the classic micro and small businesses that may not invent something like Facebook, but can actually contribute to economics and employment. Trends show that Hungary may lose one third of its enterprises in the next five years. 

   A shift in generations is extremely important from this aspect as well, since even in case of family businesses, only a few such ones can pass the business over to youngsters. In Europe, two out of three family businesses cease to exist due to that reason. It poses a serious threat in Hungary, too, and youngsters do not carry on with the family business for practical reasons.

 

How can your organisation help stop this?

A community is extremely important, i.e. there must be a place where there are no unanswered questions. If you start an enterprise, you will encounter problems and questions your immediate environment or friends will not necessarily understand. FIVOSZ offers the strength and wisdom of the majority. At the same time we are trying to help youngsters to build business connections by new kinds of events. And our third important scope is to be able to provide help from partners, via our consultants, that can offer personalised help in specific areas. Parallel to the former, we also started an education programme called FIVOSZ Academy, offering usable, practical and concrete information which our members can integrate into their businesses.

 

On an international scale, how venturesome are young people?

Internationally, Europe is the least venturesome, which is quite surprising considering the economic status of Africa or South-America. However, within the continent Eastern Europe and Hungary does not fare badly; it is rather Western Europe where young people think less about enterprise; only a third of them is considering such things. Here the situation is better: according to EU surveys, about 40% would start a business. I think this is partly due to the enterprise supporting programmes of Eastern European governments.

 

As I learned, you rather believe in resolution and consciousness instead of determinant circumstances. What piece of advice would you give to someone who wants to start a business now?

My first advice would be to do something they like, to orientate themselves properly, to get appropriate information, to think over what and how they want to do, and to find an active community where they can get sufficient information and support, and it is also valuable to find a mentor who can start them on their way.

 

You graduated from Pécs, and you have been elected as a member of the Consistory of UP, the newly established advisory board of the university; as far as I know, you were appointed by the students. Why did you choose legal studies in Pécs back then? And what is it like to work in such a board?

I am grateful for the university for everything I got, I have close ties to the UP. Back then I thought my legal studies would provide a firm foundation for my enterprise; I was attracted by this field. I think it was very nice to study in Pécs, the town itself is beautiful with a special atmosphere.

   The tasks of a consistory are prescribed by legal regulation, and I think the operation of this organisation – at least at our university – can leave room for professional discourse that, by developing strategic directions, can contribute to the dynamic improvement of the university.

   I am trying to help this work as much as I can afford. Besides, I spread its reputation around whenever I travel abroad. I think it important for UP to get publicity, as according to some higher education rankings it belongs to the top 5% in the world – I think it is a great thing to have such a university in our country! The greatness of UP is proved not only by its approaching 650^th anniversary, but a significant number of foreign students as well.

 

Supporting enterprises has an increasing importance at UP; it is enough to think about the  Simonyi BECD or the copyright services. What more do you think this institution would need to become even more entrepreneur-friendly?

Good examples are very important; there should be concrete feedback, like when we are able to be happy for our fellows’  results and success. And I simply cannot emphasize enough the importance of community and professional forums where you can ask questions, where people can share their experience and information can flow freely.