EkoPellets: skin in the game

Economic theory is one thing, but actually running a business day-to-day is something very different. “I guess this was my way of understanding economics, from the perspective of running a company, every day, on the ground,” explains Martin Geško, CEO of EkoPellets Slovakia.

Martin, an economist by trade, used to live in Bratislava working as a tax consultant. “I was happy in Bratislava, didn’t have any debt or anything, but part of me felt there was a calling to return to the Zilina region where I grew up. I wanted my kids to grow up there. Maybe a feeling of safety or something? I can’t explain it.” Returning to Liptovsky Mikulas, a town in the Zilina region, Martin moved into a sector that was new to him: pellets. “I didn’t know what to expect, but I was driven by this feeling. It made sense for me to be more independent and have a more holistic approach to business. Economic theory is one thing, but running a company is about people. I decided I wanted skin in the game, to be on the frontline. Of course, it’s tougher this way, but I don’t regret my decision.” 

Returning to the Zilina region in 2006, Martin joined a friend in a company that produces and distributes wooden briquettes and pellets, and in 2014 he took over the company and started a new business from scratch. “I’m still developing it today, falling and rising again, but every year a bit better, paying off debt and moving forward. It’s not easy but it’s my way.” Pellets are a more ecological and cheaper substitute for fossil fuels for heating and power production. “Historically, in Slovakia, we got a lot of gas from the east. But gas relies on expanding infrastructure and that is costly, so the market for pellets and briquettes is growing rapidly, including also in Poland as they move away from coal.” 

Leaving a consulting job to run his own business has been a challenge, but Martin relied in part on a loan from SZRB guaranteed by the EIF through the European Guarantee Fund to finance his plans. “It’s not so easy to get financing for a small company in Slovakia. There’s not so much capital accumulated here, so there’s a high reliance on banks, and they typically ask for a personal guarantee, which is difficult. It’s good to know that someone’s got my back.” With the financial support, Martin invested in machinery and has been working to put the company on a more secure footing: “I really want to grow the company organically, keep production effective as it is, grow sales, and keep good people here, making it stronger, better, more secure, and a little bit bigger,” he adds, describing an entrepreneurial journey that has very much put his skin in the game.