Founder and CEO of YozmaTech, Roma Timoshpolsky, talks about how the company began, the differences in recruiting tech talent in Israel vs. Eastern Europe (with a focus on Ukraine), why the outstaffing model is ideal for startups, the unique consulting approach through YozmaTech’s circle of tech leaders, building a strong organizational culture, and his personal vision for business success.
How Did YozmaTech Start?
YozmaTech is my fifth company on my entrepreneurial journey. I’ve sold two and closed two.
The first company was founded in 2007. At the time, I was studying International Relations at the University of Haifa. During my studies, I developed an interest in capital markets and decided to seize the opportunity to share my knowledge while generating income.
That’s how we started a financial academy with partners, marking the beginning of YozmaGroup. Over time, our graduates sought jobs, so we identified a new opportunity: helping them find employment. Initially, we placed talent in finance, then in marketing, and eventually in tech through YozmaJobs.
During this period, we also started developing software for our own needs. I hired a developer in Ukraine to build a CRM and manage our website.
In 2015, I had an idea for a startup. We needed developers, and the one we were working with in Ukraine already showed entrepreneurial potential. Thus began a year-and-a-half-long journey. When I first visited Lviv (Western Ukraine), I saw a unique opportunity emerging due to the war. Many IT companies had relocated to Lviv from the east, turning it into a kind of Silicon Valley for Ukraine—a robust ecosystem with 30,000 developers and very attractive costs due to currency depreciation.
We initially worked remotely, but once I realized the strong communication and talent available, I invested in expanding our team.
In 2017, our startup was acquired. The acquiring client remarked, “You’ve built an excellent team and have great HR processes. Why don’t you keep this structure and let us manage the tech directly?” That’s how YozmaTech was born.
We saw the market potential and demand, and we excelled at it. So, we decided to dive deeper.
Why Is Recruitment in Israel So Lengthy?
It’s not just about the notice period; it’s the nature of the Israeli market. The recruitment process involves more interview stages, stricter requirements, and fewer candidates. The entrepreneurial spirit is high, and demand far exceeds supply.
In Ukraine, Armenia or Poland, while recruitment may take 4-5 months in Israel, we can hire within a month. This speed is crucial for building out R&D departments efficiently.
What is your vision for the future?
We’re moving forward in three main directions:
- AI Revolution
The next technological wave, GenAI, will reshape industries in 5-10 years. New roles will emerge not only in R&D but also in design, marketing, and product management. YozmaTech will focus on delivering top-tier AI talent to meet this demand. - Geographical Expansion
YozmaTech currently operates in 10 countries across three time zones. As the world shifts toward remote work, we’re creating “MicroHubs” globally to ensure stability and reduce risks by diversifying geographically. - Flexible Services for Startups
Our company offers fast and accurate recruitment of developers in various languages and skill levels. We specialize in transparent OutStaffing, providing R&D teams while allowing startups to maintain control of the development process.
How Do You View the Cross-Cultural Bridge Being Built?
We are constantly fostering cross-cultural connections. When communication is effective, results follow. The bridge between the Ukrainian developer community and the Israeli startup ecosystem will continue to grow.
In Israel, they say, “If you throw a stone, you’ll hit a startup founder,” while in Ukraine, “you’ll hit a software developer.”
These are people hungry for knowledge, well-educated, and highly skilled. Additionally, we see not only outsourcing companies flourishing in Ukraine but also a growing startup scene.
There are top-level professionals with brilliant ideas. We hope to establish a similar system of skill circles in Ukraine. This way, we can support new Ukrainian entrepreneurs with the experience we’ve gained in Israel. Here, startups raise billions of dollars annually. There’s a new generation specializing in fields like cybersecurity, AI, big data, and more. We aim to support the growth of these sectors within our company, providing unique, boutique services to our clients.
How Do the YozmaTech Leadership Circles Operate?
Let’s say we have a client who needs to make a decision about system architecture, with hundreds of thousands of visitors per month. They need a robust structure to process all the data efficiently, using the right technology that won’t require a complete overhaul in two years. In such cases, we can recommend an expert who will provide them with tailored advice, helping them identify their needs and offering solutions that can save a significant amount of money.
Or consider a startup aiming to enter the U.S. market.
The founders need to know which steps to take to succeed. Within our circles, we have outstanding experts in marketing and product development who can craft a solid strategy and assist in developing the product and go-to-market (GTM) approach.
The key is that the people in our circles have already walked this path countless times, while it might be entirely new for the founders or CEOs. They often make common mistakes that can easily be avoided.
It’s a well-known fact that 93% of startups fail to launch their product due to misanalysis, lack of funding, and insufficient skilled personnel.
The goal of YozmaTech’s circles is to increase the chances of these startups launching successfully and continuing to grow and thrive.
You’ve interviewed many candidates. What are the most important soft skills for a developer and in general?
The most important thing is to show up with a smile, spread positivity, and understand how to build effective communication through active listening. Learn how Israeli clients think.
Additionally, don’t be afraid to ask questions and demonstrate involvement, a desire to contribute, and a willingness to improve.
What are your business principles that influence company culture?
People are our most valuable asset, and we seek those who are willing to lend a hand to their colleagues—even if it’s just with a smile.
If the workload becomes overwhelming, you should feel comfortable reaching out to other developers for help. It’s like in the army; your survival depends on your fellow soldier. How you treat others is crucial.
If a project ends, we aim to retain individuals whose personal values align with our company culture. This approach fosters internal stability and a spirit of camaraderie, emphasizing responsibility toward others.
We live by this principle: treat others the way you want to be treated.
What is your Future Outlook?
The combination of AI and global instability is driving innovation. The startup ecosystems in Israel and Eastern Europe will continue to evolve, and we aim to be at the forefront, helping companies adapt and thrive in a competitive landscape.
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