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%NTREPRENEURSHIP IN )NDIA
.ATIONAL +NOWLEDGE #OMMISSION

¥.ATIONAL +NOWLEDGE #OMMISSION 

4HIS REPORT HAS BEEN PREPARED BY !MLANJYOTI 'OSWAMI .AMITA $ALMIA AND -EGHA 0RADHAN WITH SUPPORT
AND GUIDANCE FROM $R !SHOK +OLASKAR AND -R 3UNIL "AHRI
 4ABLE OF #ONTENTS
!CKNOWLEDGEMENTS VII

%XECUTIVE 3UMMARY VIII

#HAPTER )  )NTRODUCTION 7HY %NTREPRENEURSHIP 

#HAPTER ))  7HAT -OTIVATES %NTREPRENEURSHIP 

#HAPTER )))  3OCIO CULTURAL &ACTORS 

#HAPTER )6  !CCESS TO %ARLY 3TAGE &INANCE 

#HAPTER 6  %DUCATION )NNOVATION AND %NTREPRENEURSHIP 

#HAPTER 6)  "USINESS %NVIRONMENT FOR %NTREPRENEURSHIP 

#HAPTER 6))  #ONCLUSION %NCOURAGING %NTREPRENEURSHIP 

!NNEXURE )  ,IST OF 3TAKEHOLDERS AND $ETAILS OF %NTREPRENEURS 3URVEYED 

!NNEXURE ))  %NTREPRENEURSHIP 0ROlLES 

!NNEXURE )))  -ETHODOLOGY 

!NNEXURE )6  ,IST OF 2ESOURCES 

!NNEXURE 6  'LOSSARY 

4ABLE OF #ONTENTS III

 ,IST OF &IGURES
&IGURE   %NTREPRENEURSHIP 0YRAMID 

&IGURE   2EGISTRATION OF NEW COMPANIES ACCORDING TO NATURE OF ECONOMIC ACTIVITY 

&IGURE   -OTIVATION TO BECOME AN ENTREPRENEUR 

&IGURE   (IGHEST MOTIVATION n 6ARIATIONS ACCORDING TO REGION 

&IGURE   -OTIVATION n 6ARIATIONS ACCORDING TO GENDER 

&IGURE   -OTIVATION n 6ARIATIONS ACCORDING TO AGE 

&IGURE   -OTIVATION n 6ARIATIONS ACCORDING TO FAMILY BACKGROUND 

&IGURE   -OTIVATION n 6ARIATIONS ACCORDING TO TIME PERIODS 

&IGURE   -OTIVATION n 6ARIATIONS ACCORDING TO LEVEL OF WORK EXPERIENCE 

&IGURE   0OSITIVE FACTORS 

&IGURE   0OSITIVE FACTORS n 6ARIATIONS ACCORDING TO GENDER 

&IGURE   0OSITIVE FACTORS n 6ARIATIONS ACCORDING TO AGE 

&IGURE   &AMILY SUPPORT TO ENTREPRENEURS 

&IGURE   &AMILY SUPPORT n 6ARIATIONS ACCORDING TO REGION 

&IGURE   &AMILY SUPPORT n 6ARIATIONS ACCORDING TO FAMILY BACKGROUND 

&IGURE   &AMILY SUPPORT TO lRST GENERATION ENTREPRENEURS n 6ARIATIONS ACCORDING TO

WORK EXPERIENCE 

&IGURE   'ENDER AS A FACTOR IN ENTREPRENEURSHIP 

&IGURE   3OURCES OF START UP PHASE FUNDING 

&IGURE   3OURCES OF SELF lNANCING 

&IGURE   3OURCES OF SELF lNANCING n 6ARIATIONS ACCORDING TO GENDER 

&IGURE   !CCESS TO lNANCE FROM BANKS AT DIFFERENT PHASES 

&IGURE   !CCESS TO lNANCE FROM BANKS n 6ARIATIONS ACCORDING TO FAMILY BACKGROUND 

&IGURE   !CCESS TO lNANCE FROM BANKS n 6ARIATIONS ACCORDING TO TIME PERIODS 

&IGURE   0ERCEPTIONS ON VENTURE CAPITAL 

&IGURE   )NVESTMENTS BY SECTOR n .UMBER OF DEALS 

IV %NTREPRENEURSHIP IN )NDIA
&IGURE   0%6# INVESTMENTS BY INDUSTRY IN 4OTAL 53  "N 

&IGURE   'ROWTH OF VENTURE CAPITAL AND PRIVATE EQUITY IN )NDIA   

&IGURE   )NVESTMENTS BY STAGEn .UMBER OF DEALS 

&IGURE   "UILDING SYNERGIES 

&IGURE   )MPORTANCE OF EDUCATION 

&IGURE   1UALIlCATION OF ENTREPRENEURS 

&IGURE   1UALIlCATION OF ENTREPRENEURS n 6ARIATIONS ACCORDING TO TIME PERIOD 

&IGURE   -"! AND ENTREPRENEURSHIP n 6ARIATIONS ACCORDING TO TIME PERIOD 

&IGURE   0ROlLE OF -"! GRADUATES IN DIFFERENT TIME PERIODS n 6ARIATIONS

ACCORDING TO WORK EXPERIENCE 

&IGURE   !VAILABILITY OF SKILLS 

&IGURE   )SSUES OF SKILLS 

&IGURE   )SSUES WITH SKILLS n 6ARIATIONS ACCORDING TO TYPE OF SKILLS 

&IGURE   )SSUES OF SKILLS n 6ARIATIONS ACCORDING TO AGE OF ENTERPRISE 

&IGURE   0ROBLEMS FACED BY ENTREPRENEURS 

&IGURE   )NFORMATION DElCIT AS A HURDLE 

&IGURE   /BTAINING LICENSES AS A HURDLE 6ARIATIONS ACCORDING TO TIME PERIOD 

&IGURE   0ROBLEMS RELATING TO TAXATION 

&IGURE   (ELPFULNESS OF LEGAL SYSTEM 

&IGURE   !VAILABILTY OF INFRASTRUCTURE 

&IGURE   /FlCE SPACE WITH ENTREPRENEURS n 6ARIATION ACCORDING TO FAMILY BACKGROUND 

&IGURE   (ELPFULNESS OF GOVERNMENT 

&IGURE   4HE %NTREPRENEURIAL %COSYSTEM 

&IGURE !  #ATEGORIZATION BY SECTOR 

&IGURE !  #ATEGORIZATION BY TIME 0ERIOD 

&IGURE !  #ATEGORIZATION BY TURNOVER 

&IGURE !  #ATEGORIZATION BY NUMBER OF EMPLOYEES 

&IGURE !  #ATEGORIZATION BY FAMILY BACKGROUND 

,IST OF &IGURES V
 ,IST OF 4ABLES
4ABLE   #REDIT GUARANTEE SCHEME IN )NDIA 

4ABLE   .EW SOURCES OF lNANCE 

4ABLE   0% INVESTMENTS BY STAGE  

4ABLE   4OP CITIES ATTRACTING 0% INVESTMENTS  

4ABLE   3TOCK EXCHANGES FOR SMALLER COMPANIES 

4ABLE   )LLUSTRATIONS OF INCUBATION FOR ENTREPRENEURSHIP 

4ABLE   )NFRASTRUCTURE $ElCIT AND %LEVENTH 0LAN TARGETS 

,IST OF "OXES
"OX   -UTUAL #REDIT 'UARANTEE 

"OX   .ETWORK %NTERPRISES &UND 

"OX   !NGEL )NVESTMENT )LLUSTRATIONS 

"OX   6ENTURE #APITAL $EALS )LLUSTRATIONS 

"OX   $OING "USINESS IN )NDIA )NDICATORS 

"OX   "EST 0RACTICES IN )NDIA 

"OX   000 IN )NDIA 

"OX   0ACKAGE FOR 0ROMOTION OF 3MALL AND -EDIUM %NTREPRENEURS  

VI %NTREPRENEURSHIP IN )NDIA
 !CKNOWLEDGEMENTS
4HE #OMMISSION IS GRATEFUL TO ALL THOSE WHO WERE GENEROUS WITH THEIR TIME
AND PROVIDED VALUABLE INPUTS DURING THE STUDY !T THE HEART OF THE REPORT
ARE THE ENTREPRENEURS WHO RESPONDED WITH TREMENDOUS ENTHUSIASM IN SHARING
THEIR EXPERIENCES WITH THE .ATIONAL +NOWLEDGE #OMMISSION .+#  4HE ONE
ON ONE INTERVIEWS WITH ENTREPRENEURS IN 0UNE +OLKATA #HENNAI !HMEDABAD
(YDERABAD AND "ANGALORE ALONG WITH A FEW TELEPHONIC AND QUESTIONNAIRE
BASED INTERVIEWS IN $ELHI AND -UMBAI PROVIDED THE FOUNDATION FOR THE REPORT
.+# WOULD ALSO LIKE TO THANK -R 3HANTANU 0RAKASH %DUCOMP 3OLUTIONS ,TD 
-R 3UNIL 'UJRAL 1UATRRO "0/ 3OLUTIONS 0VT ,TD AND -S 'ULJIT FOR USEFUL
PRELIMINARY DISCUSSIONS )N ADDITION .+# ACKNOWLEDGES THE LOGISTICAL ASSISTANCE
AND ORGANIZATIONAL SUPPORT PROVIDED BY THE FOLLOWING -S -ANASI 0HADKE AT
THE -AHRATTA #HAMBER OF #OMMERCE )NDUSTRY AND !GRICULTURE -##)! IN 0UNE
-R +HOKON -UKHOPADHYAYA AND -R 3OMNATH 'OSWAMI AT THE "ENGAL #HAMBER
OF #OMMERCE AND )NDUSTRY "##) IN +OLKATA -S + 3AVITA #)) #HENNAI 
-R -ALAY +ANTHARIA 'UJARAT #HAMBER OF #OMMERCE AND )NDUSTRY '##) IN
!HMEDABAD -R +62,. 3ARMA AT THE &EDERATION OF !NDHRA 0RADESH #HAMBERS
OF #OMMERCE AND )NDUSTRY &!0##) IN (YDERABAD AND -S 5SHA .AGARAJ AT
&EDERATION OF +ARNATAKA #HAMBERS OF #OMMERCE AND )NDUSTRY &+##) IN
"ANGALORE .+# WOULD ALSO LIKE TO THANK THE OTHER IMPORTANT STAKEHOLDERS
n THE lNANCIAL COMMUNITY INCLUDING ANGEL INVESTORS AND VENTURE CAPITALISTS
EDUCATIONAL INSTITUTIONS INCUBATION CENTRES BUSINESS ASSOCIATIONS AND OTHER
RELEVANT INSTITUTIONS AS WELL AS VARIOUS ENTREPRENEURIAL NETWORKS n FOR SHARING
THEIR EXPERIENCES AND ADVICE ON %NTREPRENEURSHIP IN )NDIA !T THE END OF THIS
REPORT ARE PROlLES OF SOME ENTREPRENEURIAL ICONS .+# WISHES TO THANK THEM FOR
SPARING THEIR VALUABLE TIME IN PROVIDING THESE NARRATIVES

$R !SHOK 'ANGULY

-EMBER .ATIONAL +NOWLEDGE #OMMISSION

!CKNOWLEDGEMENTS VII
 %XECUTIVE 3UMMARY
7HY %NTREPRENEURSHIP 'IVEN THE INCREASING SIGNIlCANCE AND VISIBLE IMPACT
OF %NTREPRENEURSHIP IN WEALTH CREATION AND EMPLOYMENT GENERATION .+#
CONSIDERS IT CRITICAL TO )NDIAS GROWTH AND DEVELOPMENT )T HAS UNDERTAKEN
THIS STUDY TO EXPLORE FACTORS THAT HAVE ADVANCED %NTREPRENEURSHIP IN )NDIA
AS ALSO VARIOUS OTHER FACTORS THAT COULD FURTHER ENCOURAGE AND FACILITATE EVEN
GREATER GROWTH

$ElNITION &OR THE PURPOSES OF THIS STUDY AND KEEPING IN MIND ITS KEY ROLE IN
CREATING VALUE .+# DElNES %NTREPRENEURSHIP AS FOLLOWS

@%NTREPRENEURSHIP IS THE PROFESSIONAL APPLICATION OF KNOWLEDGE SKILLS AND

COMPETENCIES ANDOR OF MONETIZING A NEW IDEA BY AN INDIVIDUAL OR A
SET OF PEOPLE BY LAUNCHING AN ENTERPRISE DE NOVO OR DIVERSIFYING FROM AN
EXISTING ONE DISTINCT FROM SEEKING SELF EMPLOYMENT AS IN A PROFESSION OR
TRADE  THUS TO PURSUE GROWTH WHILE GENERATING WEALTH EMPLOYMENT AND
SOCIAL GOOD

-ETHODOLOGY 4HE METHODOLOGY ADOPTED IN PREPARING THIS REPORT IS BASED ON

ONE ON ONE INTERVIEWS WITH ONE HUNDRED AND lFTY lVE ENTREPRENEURS FROM DIVERSE
BACKGROUNDS IN SELECTED CITIES ACROSS )NDIA AS WELL AS COLLECTING INFORMATION FROM
CONSULTATIONS WITH OTHER RELEVANT STAKEHOLDERS IN THE ENTREPRENEURIAL ECOSYSTEM
SUCH AS EDUCATIONAL INSTITUTIONS INCUBATION CENTRES THE lNANCIAL COMMUNITY
CHAMBERS OF COMMERCE ENTREPRENEURIAL ASSOCIATIONS ETC ACROSS THE COUNTRY

-G[(KPFKPIU
z ! SUCCESSFUL %NTREPRENEURSHIP ECOSYSTEM IS THE FUNCTION OF A NUMBER OF
FACTORS WORKING IN TANDEM +EY @%NTREPRENEURIAL 4RIGGERS ARE )NDIVIDUAL
-OTIVATIONS 3OCIO CULTURAL &ACTORS !CCESS TO %ARLY 3TAGE &INANCE
%DUCATION AND "USINESS %NVIRONMENT

z 0ROMINENT @-OTIVATION 4RIGGERS ARE @)NDEPENDENCE @-ARKET /PPORTUNITY

@&AMILY "ACKGROUND @.EW )DEA @#HALLENGE AND @$REAM $ESIRE -OTIVATION
4RIGGERS VARY ACCORDING TO PARAMETERS SUCH AS REGION GENDER AGE FAMILY
BACKGROUND AND WORK EXPERIENCE @#HALLENGE IS THE PRINCIPAL @-OTIVATION
$RIVER  OF THE ENTREPRENEURS INTERVIEWED DID NOT WANT TO BE IN
A ROUTINE JOB  OF THE ENTREPRENEURS INTERVIEWED RECEIVED FAMILY
SUPPORT UNDERSCORING ITS CRUCIAL SIGNIlCANCE

z  OF THE ENTREPRENEURS INTERVIEWED WERE SELF lNANCED WHILE OTHER

SOURCES INCLUDED BANKS VENTURE CAPITAL 6#  ANGEL INVESTORS AND STATE
lNANCE CORPORATIONS !MONG THOSE lNANCED BY BANKS A MAJORITY WHO
APPROACHED BANKS  DID RECEIVE BANK lNANCE 9ET THERE IS A WIDELY
HELD PERCEPTION AMONG ENTREPRENEURS THAT IT IS VERY DIFlCULT TO GET BANK
LOANS AT THE START UP STAGE WHILE BECOMING COMPARATIVELY EASIER AT THE

VIII %NTREPRENEURSHIP IN )NDIA

 GROWTH STAGE 0ERCEPTIONS REGARDING BANK lNANCE HAVE NOT IMPROVED IN
CASE OF ENTREPRENEURS WHO STARTED VENTURES AFTER  AND ARE MAINLY IN
KNOWLEDGE INTENSIVE SECTORS

z  OF ENTREPRENEURS BELIEVE EDUCATION IS A CRITICAL SUCCESS FACTOR

%DUCATION IS A KEY TRIGGER TO EVOKE ENTREPRENEURIAL INCLINATIONS 
OF THE ENTREPRENEURS ARE GRADUATES (OWEVER ONLY  CHOSE A SPECIlC
SECTOR AS A RESULT OF THEIR EDUCATIONAL BACKGROUND

z .EARLY ONE IN TWO ENTREPRENEURS CONSIDERED SKILL SHORTAGES IN RECRUITMENT

TO BE A PROBLEM OF AVERAGE IMPORTANCE WHILE NEARLY ONE IN THREE
CONSIDERED IT @SOMEWHAT DIFlCULT OR @VERY DIFlCULT TO lND CANDIDATES WITH
THE RIGHT SKILLS -ORE THAN A THIRD OF THE ENTREPRENEURS FACED PROBLEMS IN
ACCESSING AS WELL AS RETAINING EMPLOYEES GENERALLY

z  OF THE ENTREPRENEURS EXPERIENCED DIFlCULTIES WHILE SEEKING STATUTORY

CLEARANCES AND LICENCES 4WO THIRDS FACED HASSLES WHILE lLING TAXES AND 
CLAIMED TO HAVE ENCOUNTERED CORRUPTION !NOTHER HURDLE WAS IN ACCESSING
RELIABLE INFORMATION ON REGISTRATION PROCEDURES lNANCE AND OTHER SCHEMES
 CLAIMED THAT THE PAUCITY OF QUALITY INFRASTRUCTURE n ESPECIALLY TRANSPORT
POWER AND TELECOMMUNICATIONS n WAS A CRITICAL BARRIER

-G[4GEQOOGPFCVKQPU

z 4HERE IS A NEED TO DEMYSTIFY PERCEPTIONS OF RISK AND FAILURE BY FACILITATING

DISSEMINATION OF BEST PRACTICES AS WELL AS DOCUMENTATION OF UNSUCCESSFUL
IDEAS IN THE ENTREPRENEURIAL SPACE 2ECOGNITION AND REWARDS RIGHT FROM
THE LOCAL UP TO THE NATIONAL LEVEL WILL ENERGIZE AND ENCOURAGE NEW
ENTREPRENEURS )NVOLVING ENTREPRENEURIAL NETWORKS AND ASSOCIATIONS WILL
ALSO HELP IN GIVING VISIBILITY AND ENCOURAGEMENT TO %NTREPRENEURSHIP

z !N IMAGINATIVE COMBINATION OF ASSESSING DEBT AND EQUITY WOULD REQUIRE

POSITIVE EFFORTS ON THE PART OF BANKS lNANCIAL INSTITUTIONS 6#S ANGEL
INVESTORS AND PRIVATE EQUITY 0% FUNDS )N )NDIA lNANCIERS NEED TO
BE MORE PROACTIVE IN ASSESSING THE BUSINESS OPPORTUNITIES GENERATED BY
)NDIAN ENTREPRENEURS )NNOVATIONS IN RISK MANAGEMENT WILL ALSO REDUCE
INFORMATION ASYMMETRY AND MAKE FUNDING MORE ACCESSIBLE

z !NGEL INVESTORS 6#S AND 0% FUNDS ARE BEGINNING TO BECOME MORE ACTIVE
PARTICULARLY IN KNOWLEDGE INTENSIVE SECTORS AND NEED INCENTIVES FOR
GREATER INVOLVEMENT 4O CREATE INCENTIVES FOR SEED CAPITAL FUNDING SOME
STEPS INCLUDE THE FOLLOWING ESTABLISHING A SECONDARY MARKET FOR SMALLER
COMPANIES CREATING NEW INSTRUMENTS FOR START UP FUNDING AND PROVIDING
lNANCIAL LITERACY TO START UPS

z 3YNERGIES BETWEEN %DUCATION INCLUDING MODERN VOCATIONAL EDUCATION

TRAININGSKILL DEVELOPMENT  )NNOVATION CONVERTING IDEAS INTO WEALTH
AND EMPLOYMENT AND %NTREPRENEURSHIP SHOULD BE ENCOURAGED .+#

%XECUTIVE 3UMMARY IX
 HAS ALREADY RECOMMENDED THE NEED TO ENACT A UNIFORM LEGISLATION
FOR PUBLICLY FUNDED RESEARCH THAT WOULD GRANT )0 RIGHTS FOR SUCCESSFUL
RESULTS OF RESEARCH TO UNIVERSITIESRESEARCH CENTERS AND ALSO ENTITLE THE
INVENTOR TO A SHARE OF THE ROYALTIES FROM COMMERCIALIZATION AS A SOURCE
OF INNOVATION AND ENTREPRENEURIAL ADVANCEMENT )NDIAS INNOVATION
INTENSITY COULD ALSO IMPROVE SIGNIlCANTLY IF MORE 0H$ AND OTHER RESEARCH
SCHOLARS ARE ENCOURAGED BY PROVIDING A SUPPORTIVE ENVIRONMENT FOR
%NTREPRENEURSHIP 4HERE IS ALSO A NEED TO SIGNIlCANTLY INCREASE "USINESS
)NCUBATION FOR %NTREPRENEURSHIP ")% BY COMPREHENSIVELY EXPLORING
POLICY OPTIONS TO IMPROVE ACCESS TO lNANCING 7HILE VALUABLE WORK IS
BEING DONE BY )NDIAN INCUBATORS THERE IS HUGE SCOPE FOR THEM TO BECOME
ENTREPRENEURIAL THEMSELVES BY PROVIDING SERVICES SUCH AS MARKET DATA
HELPING IN PREPARING BUSINESS MODELS RECRUITING SKILLED EMPLOYEES ETC

z 'ROWING THE POOL OF SKILLED PEOPLE IS A KEY PRIORITY 4HIS ENTIRELY DEPENDS
UPON ACCESS TO QUALITY EDUCATION 4HE KEY CHALLENGES IN HIGHER EDUCATION
RELATE TO ENSURING ACCESS INCLUSIVENESS AND EXCELLENCE )N 6OCATIONAL
%DUCATION AND 4RAINING 6%4 THERE IS NEED TO COMPLETELY OVERHAUL AND
MODERNIZE CURRENT INSTITUTIONS AND PRACTICES 2EFORMS IN 6%4 REQUIRE
INNOVATIVE DELIVERY MODELS PROVIDING INCENTIVES FOR STATES ENSURING
PERFORMANCE BASED TRAINING AND ASSESSMENT RE BRANDING CERTIlCATION
ENCOURAGING LEARNING BY DOING INCENTIVIZING %NGLISH SPEAKING SKILLS
ENSURING mEXIBILITY OF 6%4 ALONGSIDE THE HIGHER EDUCATION STREAM FOR
EASIER CROSSOVER AND CHOICE AS CRITICAL SUCCESS FACTORS

z %CONOMIC LIBERALIZATION HAS BEEN A KEY CATALYST TO ENCOURAGE

%NTREPRENEURSHIP 4HERE ARE A NUMBER OF INITIATIVES AT THE CENTRAL AND
STATE LEVELS WHICH AIM TO IMPROVE THE EASE OF DOING BUSINESS )N FACT
THE @$OING "USINESS 2EPORT  PUBLISHED BY THE 7ORLD "ANK )&#
STATES THAT )NDIA CAN JUMP  PLACES FROM ITS CURRENT RANK OF TH IF
SOME OF THE LOCAL BEST PRACTICES ARE ADOPTED NATIONWIDE 0RIORITY SHOULD
BE GIVEN TO THE -#!  PROJECT INITIATED BY THE -INISTRY OF #OMPANY
!FFAIRS TO FULLY AUTOMATE PROCESSES OF ENFORCEMENT AND COMPLIANCE
/THER SUGGESTIONS TO ENHANCE %NTREPRENEURSHIP INCLUDE THE FOLLOWING
MEANINGFUL IMPLEMENTATION OF THE 3INGLE 7INDOW 3YSTEM INTRODUCING
A 3INGLE #OMPOSITE !PPLICATION &ORM AS ALREADY DONE IN A FEW STATES
INTRODUCING A @3INGLE 5NIQUE #OMPANY .UMBER FOR COMPANY TAX AND
SOCIAL SECURITY REGISTRATIONS  REDUCING THE FREQUENCY OF TAX PAYMENTS FOR
ENTREPRENEURS FROM MONTHLY TO QUARTERLY CREATING SPECIALIZED COMMERCIAL
COURTS INTRODUCING ,IMITED ,IABILITY 0ARTNERSHIPS ,,0S  AND CREATING
@ONE STOP SHOPS TO PROVIDE ALL RELEVANT INFORMATION NEEDED TO START
AN ENTREPRENEURIAL ACTIVITY 4HERE ARE A NUMBER OF WEBSITES RELATING TO
%NTREPRENEURSHIP IN )NDIA )N THIS REGARD .+# PROPOSES TO EXPLORE THE
POSSIBILITY OF HAVING AN ALL ENCOMPASSING WEBSITE ON %NTREPRENEURSHIP AS
A ONE STOP INFORMATION PORTAL FOR CURRENT AND ASPIRING ENTREPRENEURS )N
ADDITION %NTREPRENEURSHIP IN )NDIA WILL ALSO GROW SIGNIlCANTLY WITH THE
SPREAD OF E GOVERNANCE AND QUALITY INFRASTRUCTURE DEVELOPMENT

X %NTREPRENEURSHIP IN )NDIA
 %JCRVGT+

)NTRODUCTION 7HY %NTREPRENEURSHIP

&GſPKPI'PVTGRTGPGWTUJKR

 %NTREPRENEURSHIP MEANS DIFFERENT THINGS TO DIFFERENT PEOPLE Ŏ'PVTGRTGPGWTUJKRKUVJG
#ONCEPTUALLY AND IN PRACTICE THE TERM HINTS OF NO STEREOTYPICAL MODEL RTQHGUUKQPCNCRRNKECVKQP
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)NTRODUCTION 7HY %NTREPRENEURSHIP 

 4QNGQH'PVTGRTGPGWTUJKRKPVJG'EQPQO[
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+VKUKPVJGETGCVKQPQHOQTG )T IS IN THE CREATION OF MORE WEALTH AND IN THE CONSTANT INNOVATION

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)NTRODUCTION 7HY %NTREPRENEURSHIP 

 4HE SOFTWARE INDUSTRY IN PARTICULAR ITS INITIAL GROWTH ARISING LARGELY
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)NTRODUCTION 7HY %NTREPRENEURSHIP 

 LEVELS 3UCH TRENDS ARE ALREADY BEING SEEN UPON ANALYZING TIME SERIES
DATA REGARDING REGISTRATION OF NEW COMPANIES ACCORDING TO SECTORS 3EE
&IGURE   4HE NUMBER OF NEW COMPANIES REGISTERED A PROPORTION
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6ENTURE CAPITALIST

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3TATE FINANCE CORPORATION

!CCESS TO %ARLY 3TAGE &INANCE 

 STAGE )N THE .+# SAMPLE BANK LOANS ACCOUNTED FOR START UP lNANCE FOR
 OF THE ENTREPRENEURS WHILE  RECEIVED LOANS FROM STATE lNANCE
CORPORATIONS 6#S AND ANGELS ACCOUNT FOR THE EARLY STAGE CAPITAL NEEDS
OF  OF THE ENTREPRENEURS INTERVIEWED /F THE ENTREPRENEURS WHO
APPROACHED BANKS  DID ACTUALLY RECEIVE BANK lNANCE

 /N A CLOSER EXAMINATION OF THE SOURCES OF SELF lNANCING THE STUDY FOUND
THAT NEARLY HALF OF THE SELF lNANCED ENTREPRENEURS BORROWED START UP
MONEY FROM FAMILY OR FRIENDS .EARLY A THIRD OF THESE ENTREPRENEURS
6JGUVWF[HQWPFVJCV INVESTED THEIR OWN SAVINGS INTO THE START UP WHILE MONEY FROM AN
PGCTN[JCNHQHVJGUGNH EXISTING FAMILY BUSINESS HELPED ONLY ABOUT ONE lFTH OF THE SELF
ſPCPEGFGPVTGRTGPGWTU lNANCED ENTREPRENEURS 4HIS COULD BE A REmECTION OF GREATER CONlDENCE
DQTTQYGFUVCTVWROQPG[ AMONG NEW ENTREPRENEURS IN THEIR OWN ABILITIES AS WELL AS THE CRUCIAL
HTQOHCOKN[QTHTKGPFU SIGNIlCANCE OF THE SOCIO CULTURAL SUPPORT SYSTEMS OF FAMILY AND FRIENDS
DISCUSSED IN THE PREVIOUS CHAPTER

 &URTHER THE STUDY FOUND THAT AMONG THE SELF lNANCED ENTREPRENEURS
THERE WAS LITTLE VARIATION ACCORDING TO GENDER #OMPARED TO THEIR MALE
COUNTERPARTS WOMEN RECEIVED MARGINALLY MORE BORROWINGS FROM FAMILY

&IGURE  3OURCES OF SELF lNANCING


"ORROWED FROM
FAMILYFRIENDS
 &AMILY BUSINESS
/WN SAVINGS



&IGURE  3OURCES OF SELF lNANCING n 6ARIATIONS ACCORDING

TO GENDER



0ERCENTAGE OF RESPONDENTS

 "ORROWED FROM

FAMILYFRIENDS


&AMILY BUSINESS

 /WN PREVIOUS EARNINGS




-ALE ENTREPRENEURS &EMALE ENTREPRENEURS

 %NTREPRENEURSHIP IN )NDIA
 AND FRIENDS AND SLIGHTLY LESS INVESTMENTS FROM OTHER FAMILY BUSINESSES
/VERALL THE GENERAL TRENDS AMONG SELF lNANCED ENTREPRENEURS DO NOT
SHOW SIGNIlCANT VARIATION ACCORDING TO GENDER

 "ANK &INANCE )T WAS EARLIER NOTED THAT OF THE ENTREPRENEURS WHO
ACTUALLY APPROACHED BANKS  DID RECEIVE SOME FUNDS FROM BANKS
3INCE MOST OF THE ENTREPRENEURS WERE SELF lNANCED FOR VARIOUS
REASONS  .+# ASKED THE ENTREPRENEURS ˆ IN ORDER TO UNDERSTAND WHAT
THEY THINK OF BANK lNANCING ˆ TO RATE THEIR PERCEPTIONS ON ACCESS
TO BANK LOANS AT THE START UP STAGE AND THEN AT THE GROWTH STAGE ON
A SCALE OF @DIFlCULT @AVERAGE AND @EASY  &ROM THE RESPONSES IT IS
OBSERVED THAT ACCESS TO EARLY STAGE lNANCE FROM BANKS IS PERCEIVED +VKUQDUGTXGFVJCVCEEGUU
TO BE VERY DIFlCULT AT THE START UP STAGE BUT BECOMES COMPARATIVELY VQGCTN[UVCIGſPCPEG
EASY AT THE GROWTH STAGE /F THE ENTREPRENEURS INTERVIEWED  SAID HTQODCPMUKURGTEGKXGF
THAT IT WAS DIFlCULT TO OBTAIN lNANCE AT THE START UP STAGE  SAID VQDGXGT[FKHſEWNVCVVJG
THAT IT WAS EASY AND  SCORED THE EASE OR DIFlCULTY OF ACCESS AS UVCTVWRUVCIGDWVDGEQOGU
@AVERAGE (OWEVER AT THE GROWTH STAGE IT WAS ALMOST REVERSE 7HILE EQORCTCVKXGN[GCU[CVVJG
THE AVERAGE STAYED THE SAME AT   FOUND IT EASY AND ONLY  ITQYVJUVCIG
FOUND IT DIFlCULT TO ACCESS lNANCE AT THE GROWTH STAGE

4HUS ENTREPRENEURS BELIEVE THAT THE STAGE OF A BUSINESS INmUENCES

PERCEPTIONS OF RISK ON THE PART OF THE BANKS AND THAT A SUCCESSFUL TRACK
RECORD MAKES IT EASIER TO ACCESS BANK CREDIT 4HEY SAID THAT IT IS MOST
DIFlCULT TO ACCESS CREDIT FROM BANKS FOR THEIR VENTURES PRECISELY WHEN
THEY NEED IT THE MOST

 )NTERESTINGLY ON PERCEPTIONS REGARDING CREDIT FROM BANKS THE STUDY

NOTICED LITTLE VARIATION BETWEEN lRST GENERATION AND SECOND GENERATION
ENTREPRENEURS 4HERE WAS ALMOST NO DIFFERENCE IN ACCESSIBILITY TO BANK
CREDIT FOR SECOND GENERATION ENTREPRENEURS STARTING A DIFFERENT BUSINESS
FROM lRST GENERATION ENTREPRENEURS AS FOR PRACTICAL PURPOSES BOTH WERE
STARTING AFRESH 4HIS SUGGESTS THAT EVEN A SUCCESSFUL HISTORY OF FAMILY
BUSINESS DOES NOT PER SE MAKE ANY SIGNIlCANT DIFFERENCE IN OBTAINING

&IGURE  !CCESS TO lNANCE FROM BANKS AT DIFFERENT PHASES






0ERCENTAGE OF RESPONDENTS

   $IFlCULT

!VERAGE


 %ASY





3TART UP PHASE 'ROWTH PHASE

!CCESS TO %ARLY 3TAGE &INANCE 

 &IGURE  !CCESS TO lNANCE FROM BANKS n 6ARIATIONS
ACCORDING TO FAMILY BACKGROUND




0ERCENTAGE OF RESPONDENTS
6ERY EASY

3OMEWHAT EASY
!VERAGE

3OMEWHAT DIFlCULT
6ERY DIFlCULT



&IRST GENERATION 3ECOND GENERATION 3ECOND GENERATION
ENTERPRENEURS ENTERPRENEURS IN ENTERPRENEURS IN
SAME BUSINESS DIFFERENT BUSINESS

BANK LOANS OTHER THAN WHEN THERE IS SUFlCIENT COLLATERAL AND A CLEAR
BUSINESS PLAN THAT BANKS WOULD EXAMINE AND APPROVE ACCORDING TO
THEIR OWN GUIDELINES

1HVJGGPVTGRTGPGWTU  #HANGES /VER A 0ERIOD OF 4IME !N ANALYSIS OF ENTREPRENEURIAL

YJQUVCTVGFDWUKPGUU RESPONSES INDICATES THAT THE AVAILABILITY OF BANK lNANCE IS LESS
CHVGT[GCTCOWEJ FAVOURABLE FOR ENTERPRISES STARTED AFTER YEAR  COMPARED TO THOSE
NCTIGTRGTEGPVCIGHQWPF THAT WERE ESTABLISHED IN THE S OR EARLIER /F THE ENTREPRENEURS
KVŎUQOGYJCVFKHſEWNVŏQT WHO STARTED BUSINESS AFTER YEAR  A MUCH LARGER PERCENTAGE
ŎXGT[FKHſEWNVŏVQCEEGUU FOUND IT @SOMEWHAT DIFlCULT OR @VERY DIFlCULT TO ACCESS BANK FUNDING
DCPMHWPFKPI -ANY OF THE ENTERPRISES WHICH COMMENCED BUSINESS AFTER  ARE
IN THE KNOWLEDGE INTENSIVE SECTORS WHERE INFORMATION ASYMMETRY
AND PERCEIVED HIGHER LEVELS OF RISKS MAY HAVE INHIBITED BANK CREDIT
AVAILABILITY )T IS IN THESE SECTORS THAT ANGEL INVESTORS AND 6#S ARE
SLOWLY BEGINNING TO lLL A CRUCIAL MARKET GAP 9ET EVEN AMONG 6#S AND

&IGURE  !CCESS TO lNANCE FROM BANKS n 6ARIATIONS

ACCORDING TO TIME PERIODS



0ERCENTAGE OF RESPONDENTS


6ERY EASY

3OMEWHAT EASY

!VERAGE

3OMEWHAT DIFlCULT

6ERY DIFlCULT



0RE S    ONWARDS

 %NTREPRENEURSHIP IN )NDIA
 &IGURE  0ERCEPTIONS ON VENTURE CAPITAL





6ERY SATISFACTORY

3ATISFACTORY
 )NDIFFERENT

5NSATISFACTORY

6ERY UNSATISFACTORY



ANGELS THERE IS SCOPE FOR IMPROVEMENT 7HILE  OF ENTREPRENEURS

SAID THEY lND 6#S @SATISFACTORY OR @VERY SATISFACTORY  STILL lND
THEM @UNSATISFACTORY AND AS MANY AS  EXPRESSED THEMSELVES AS
LARGELY @INDIFFERENT TO 6#S IN THE lNANCIAL SPACE /VERALL THE ROLE OF
BANKS 6#S AND ANGEL INVESTORS CONTINUES TO BE HIGHLY UNDEREXPLOITED
FOR THE ADVANCEMENT OF ENTREPRENEURIAL ACTIVITIES IN )NDIA !CCESS TO 1XGTCNNVJGTQNG
lNANCE IS ONE OF THE BIGGEST LIMITING FACTORS IN ACHIEVING SIGNIlCANTLY QHDCPMU8%UCPF
HIGHER LEVELS OF ENTREPRENEURIAL GROWTH IN )NDIA CPIGNKPXGUVQTU
EQPVKPWGUVQDGJKIJN[
WPFGTGZRNQKVGFHQT
'PVTGRTGPGWTUJKRCPFVJG$CPMKPI5GEVQT VJGCFXCPEGOGPV
QHGPVTGRTGPGWTKCN
 )T MAY THEREFORE BE USEFUL TO HIGHLIGHT SOME KEY lNANCIAL PACKAGES
CEVKXKVKGUKP+PFKC
DEVELOPED FOR THE 3-% SECTOR IN RECENT YEARS 3OME OF THE KEY
INTERVENTIONS INCLUDE RECOMMENDATIONS FROM THE NUMEROUS COMMITTEES
SET UP BY THE 2ESERVE "ANK OF )NDIA 2")  THE 5NION &INANCE
-INISTERS @0OLICY 0ACKAGE FOR 3TEPPING UP #REDIT TO 3-%S AS WELL AS THE
ENACTMENT OF THE -ICRO 3MALL AND -EDIUM %NTERPRISES $EVELOPMENT
!CT -3-% !CT IN  4HE KEY AIM IS TO FACILITATE ACCESS TO lNANCE
AND INCENTIVIZE EFlCIENT USE OF FUNDS BY ENTREPRENEURS TO BRING ABOUT
GREATER GROWTH IN NUMBERS AND OVERALL COMPETITIVENESS 3OME OF THE
SIGNIlCANT lNANCIAL POLICIES ARE AS FOLLOWS

A 2ISK -ANAGEMENT ! TRANSPARENT RATING SYSTEM FOR 3-%S WHERE THE

COST OF CREDIT IS LINKED TO THE CREDIT RATING OF THE ENTERPRISE THEREBY
INCENTIVIZING 3-%S TO GET CREDIT RATED AVAILABILITY OF A #REDIT !PPRAISAL
AND 2ATING 4OOL #!24 AND A COMPREHENSIVE 2ISK !SSESSMENT -ODEL
2!-  WHICH PUBLIC SECTOR BANKS COULD BEST USE


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!CCESS TO %ARLY 3TAGE &INANCE 

 )N THIS REGARD #REDIT )NFORMATION "UREAU )NDIA ,IMITED #)"), 
$UN  "RADSTREET )NFORMATION 3ERVICES )NDIA 0RIVATE ,IMITED $" 
3)$") AND A FEW OTHER BANKS HAVE TOGETHER SET UP 3-%2! 3-%
2ATING !GENCY n THE lRST RATING AGENCY IN )NDIA FOCUSING PRIMARILY
ON THE 3-% SEGMENT 3INCE ITS INCEPTION IN 3EPTEMBER  3-%2!
HAS RATED OVER  3-%S )NITIAL SIGNS APPEAR TO BE ENCOURAGING
!CCORDING TO 3-%2! REPORTS @THE RATED COMPANIES HAVE REPORTED
VARIED EXPERIENCE IN TERMS OF INTEREST RATE REDUCTION LARGER LOAN
SIZE FASTER TURNAROUND IN PROCESSING OF LOAN APPLICATIONS BIGGER
EXPORT ORDERS AND BETTER INTERNAL ASSESSMENT 3PECIlCALLY THANKS
TO 3-%2! RATING A PARTICULAR UNIT BENElTED NOT JUST WITH  BASIS
POINTS REDUCTION IN INTEREST ON ITS LOAN BUT ALSO MANAGED TO OBTAIN
5/'4#TCVKPICUCFTKXKPI A BIGGER LOAN FROM ITS BANK "ANKS HAVE ALSO REPORTED REDUCTION IN
HQTEGHQTGPEQWTCIKPI INTEREST RATE BY  TO  BASIS POINTS FOR @3-%2! RATED COMPANIES
'PVTGRTGPGWTUJKRPGGFU 3-%2! RATING AS A DRIVING FORCE FOR ENCOURAGING %NTREPRENEURSHIP
HCTITGCVGTRWDNKEKV[CPF NEEDS FAR GREATER PUBLICITY AND MARKETING ACROSS THE COUNTRY
OCTMGVKPICETQUUVJG B #REDIT 'UARANTEE 4O ENCOURAGE COLLATERAL FREE LOANS THE #REDIT
EQWPVT[ 'UARANTEE #OVER OFFERS TO @-EMBER ,ENDING )NSTITUTIONS -,)S 
UP TO  OF AMOUNT OF DEFAULT UNDER THE #REDIT 'UARANTEE &UND
4RUST 3CHEME FOR 3MALL )NDUSTRIES #'43)  4HE lGURE BELOW SHOWS
AN INCREASE IN THE APPROVED GUARANTEE AMOUNTS AS WELL AS IN THE
NUMBER OF -,)S OVER THE LAST FEW YEARS

6CDNG%TGFKVIWCTCPVGGUEJGOGKP+PFKC
0ERIOD !CTIVE -,)S .UMBER OF #REDIT !MOUNT #UMULATIVE 'UARANTEES
0ROPOSALS !PPROVED !PPROVED !PPROVED 2S IN LAKH
&9      
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C /THER 0OLICIES 3OME OTHER POLICIES PERTAIN TO THE FOLLOWING

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 %NTREPRENEURSHIP IN )NDIA
 OF CLUSTER APPROACHES INCLUDING CORPORATE CLUSTERS  IV DEBT
RESTRUCTURING V lXING TIME LIMITS FOR DISPOSAL OF APPLICATIONS
AND VI lXING STRINGENT PENALTIES FOR DELAYED PAYMENTS
7HILE SUCH SCHEMES UNDERLINE THE INCREASING RECOGNITION OF
%NTREPRENEURSHIP THERE IS NEED FOR INDEPENDENT MONITORING AND EVALUATION
OF THEIR IMPACT )T IS RELEVANT TO HIGHLIGHT HERE THE GOVERNMENT PLAN TO
PUT IN PLACE A @#ENTRAL 0LAN 3CHEMES -ONITORING 3YSTEM #03-3  AS
MENTIONED IN THE "UDGET FOR   7ITHIN THE #03-3 MONITORING FOR
THE 3-% SEGMENT SHOULD RECEIVE VISIBILITY AND PRIORITY
 -ICRO 3MALL AND -EDIUM %NTERPRISES $EVELOPMENT !CT -3-% !CT 
&URTHER THE ENACTMENT OF A SPECIALIZED LEGISLATION TARGETED AT MEETING
SPECIlC NEEDS OF THE MICRO SMALL AND MEDIUM ENTERPRISES IS ANOTHER
NOTEWORTHY STEP 3ECTION  OF THE -3-% !CT STATES EXPRESSLY THAT
@THE POLICIES AND PRACTICES IN RESPECT OF CREDIT TO THE MICRO SMALL AND
MEDIUM ENTERPRISES SHALL BE PROGRESSIVE xAND THAT THE 2") WOULD
ISSUE GUIDELINES FROM TIME TO TIME @TO ENSURE TIMELY AND SMOOTH mOW
9KVJKPVJG%GPVTCN2NCP
OF CREDIT TO SUCH ENTERPRISES MINIMIZE THE INCIDENCE OF SICKNESS AND
5EJGOGU/QPKVQTKPI
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!CT ALSO CALLS FOR THE CONSTITUTION OF ONE OR MORE FUNDS FOR THE SECTOR
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UGIOGPVUJQWNFTGEGKXG
WAS ENACTED ONLY IN  IT MAY BE TOO EARLY TO ASSESS ITS IMPACT ON
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%NTREPRENEURSHIP

 .EED FOR -ORE )NFORMATION &LOWS 7HILE RECOGNIZING THE IMPROVEMENTS
IN POLICIES THAT SEEK TO FACILITATE EASY ACCESS TO EARLY STAGE lNANCE
THERE IS NEED FOR MORE EFFECTIVE IMPLEMENTATION ON THE PART OF BANKS
AS WELL AS FOR REMOVAL OF INFORMATION ASYMMETRIES AT VARIOUS LEVELS
#OMMENTATORS HAVE CRITICIZED @SKEWED INCENTIVES THAT EXIST FOR
)NDIAN BANKERS AS A RESULT OF WHICH @BANKS DISPLAY INERTIA AND ARE
@CHARACTERISTICALLY RISK AVERSE "ANKS TOO ARE BEGINNING TO RECOGNIZE
%NTREPRENEURSHIP &OR EXAMPLE 3TATE "ANK OF )NDIA 3") HAS INTRODUCED
SPECIAL CONSULTANCY CELLS TO ADDRESS FUNCTIONAL INADEQUACIES AND DEVELOP
MULTI DIMENSIONAL SKILLS FOR %NTREPRENEURSHIP &ROM THE PERSPECTIVE
OF BANKS THE CRUCIAL NEED IS TO ENCOURAGE ENTREPRENEURS TO ACHIEVE
GREATER SCALE OF OPERATIONS AND DEVELOP MULTI DIMENSIONAL EXPERTISE


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!CCESS TO %ARLY 3TAGE &INANCE 

 )NCREASED AWARENESS OF lNANCIAL SCHEMES BACKED BY EFlCIENT CREDIT
INFORMATION AND RATING SYSTEMS IS EXPECTED TO ENSURE GREATER EASE OF
ACCESS TO TRADITIONAL SOURCES OF lNANCE

! KEY DEVELOPMENT RELATING TO mOW OF CREDIT INFORMATION HAS BEEN THE

ESTABLISHMENT OF #)"), SEE A  #REDIT REPORTING HELPS REMOVE
INFORMATION ASYMMETRIES n REDUCING PROBLEMS OF ADVERSE SELECTION
AND MORAL HAZARD !CCORDING TO #)"), @AGGREGATE BANK CREDIT TO THE
PRIVATE SECTOR IS HIGHER IN COUNTRIES WHERE INFORMATION SHARING IS MORE
DEVELOPED !NALYSES OF lRM LEVEL DATA SHOW THAT ACCESS TO BANK CREDIT
IS EASIER IN COUNTRIES WHERE CREDIT BUREAUS EXIST !CCORDING TO RECENT
ESTIMATES #)"), CURRENTLY HAS  MEMBERS INCLUDING  BANKS 
HOUSING lNANCE COMPANIES (&#S   lNANCIAL INSTITUTIONS &)S  TWO
+VKUGZRGEVGFVJCVITGCVGT
CREDIT CARD COMPANIES SIX STATE lNANCIAL CORPORATIONS 3&#S AND 
MAJOR NON BANKING lNANCIAL COMPANIES ."&#S  #)"),S @#OMMERCIAL
"UREAU HAS A DATABASE OF OVER  LAKH ACCOUNTS CONTRIBUTED BY
 MEMBERS WHILE ITS @#ONSUMER "UREAU HAS A DATABASE OF OVER 
MILLION ACCOUNTS CONTRIBUTED BY  MEMBERS )T IS EXPECTED THAT
GREATER INFORMATION AVAILABILITY WILL CREATE THE NECESSARY TRANSPARENCY
KPHQTOCVKQPCXCKNCDKNKV[ THAT WILL IN TURN MAKE FUNDING DECISIONS EASIER
YKNNETGCVGVJGPGEGUUCT[ )N ADDITION )NDIAS CORPORATE LAWS HAVE ELABORATE RULES OF DISCLOSURE
VTCPURCTGPE[VJCVYKNN PARTICULARLY FOR PUBLIC LISTED COMPANIES &URTHER PRIVATE INSTITUTIONS
KPVWTPOCMGHWPFKPI SUCH AS THE #ENTRE FOR -ONITORING )NDIAN %CONOMY #-)% ALSO PROVIDE
FGEKUKQPUGCUKGT CLEARING
HOUSE FACILITIES FOR PUBLICLY TRADED AS WELL AS SOME PRIVATE
COMPANIES IN )NDIA

7HILE THERE ARE A FEW WEBSITES CONTAINING INFORMATION ON ENTREPRENEURIAL

NEEDS .+# PROPOSES TO EXPLORE THE POSSIBILITY OF AN ALL ENCOMPASSING
WEBSITE ON %NTREPRENEURSHIP AS A ONE STOP INFORMATION PORTAL FOR
CURRENT AND ASPIRING ENTREPRENEURS

 /THER )NNOVATIONS 7HILE THIS STUDY HAS NOT EXAMINED RURAL AND INFORMAL
SECTOR %NTREPRENEURSHIP THERE ARE INTERESTING lNANCIAL INNOVATIONS
SUCH AS MICRO lNANCE MICRO EQUITY MUTUAL GUARANTEE ASSOCIATIONS AND
VARIOUS OTHER GUARANTEE MODELS THAT ARE ALSO EVOLVING IN THOSE SPACES IN
)NDIA TODAY )T IS IMPORTANT TO ENCOURAGE WIN WIN SOLUTIONS THAT INVOLVE
MULTIPLE STAKEHOLDERS AND PROVIDE VARIOUS INCENTIVES 4WO ILLUSTRATIONS OF
INNOVATIVE INITIATIVES NAMELY -UTUAL #REDIT 'UARANTEE AND THE .ETWORK
%NTERPRISES &UND ARE HIGHLIGHTED IN THE FOLLOWING BOXES


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 "OX  -UTUAL #REDIT 'UARANTEE
! -UTUAL 'UARANTEE !SSOCIATION -'! IS AN ASSOCIATION COMPRISING ENTREPRENEURS
WHO TOGETHER CREATE AN ORGANIZATION WHICH ESTABLISHES A DIALOGUE WITH BANKS
4HE ASSOCIATION THUS PLAYS THE ROLE OF AN INTERMEDIARY BETWEEN ENTREPRENEURS
AND BANKS FACILITATING ACCESS TO BANK AND OTHER CREDIT %ACH MEMBER IS REQUIRED
TO MAKE A CERTAIN CONTRIBUTION TO THE COMMON FUND WHICH IS THEN USED AS A
GUARANTEE TO HELP MEMBERS ACCESS CREDIT FROM TRADITIONAL BANKS -'!S THUS
CONSTITUTE AN EFFECTIVE TOOL FOR SMALLER ENTREPRENEURS TO OVERCOME THE CHALLENGE
OF GAINING ACCESS TO CREDIT FROM TRADITIONAL SOURCES OF lNANCE SUCH AS BANKS
4RADITIONAL lNANCIAL INSTITUTIONS ALSO BENElT FROM -'!S WHICH CAN HELP THEM
REDUCE ADMINISTRATIVE COSTS AND LEVEL OF RISK )N THE -'! SCHEME PART OF THE
ANALYSIS OF THE LOAN APPLICATION IS UNDERTAKEN BY THE ASSOCIATION ITSELF WHICH HAS
AN INTIMATE KNOWLEDGE OF THE 3-% SECTOR 4HE -'! AND THE BANK SHARE RISK
4HE lRST -'!S APPEARED IN %UROPE IN THE S AND SINCE THEN THEY HAVE
EXPANDED CONSIDERABLY BOTH IN NUMBER AND IN SIZE !T THE END OF  IN THE
 %5 COUNTRIES OVER  MILLION 3-%S WERE MEMBERS OF -'!S BENElTING FROM
 GUARANTEES )TALY WITH A STRONG PRESENCE OF 3-%S CURRENTLY HAS
 #ONlDI MUTUAL GUARANTEE SCHEMES  /NE OF THE IMPRESSIVE ACHIEVEMENTS
OF THE MUTUAL GUARANTEE SCHEMES IN )TALY HAS BEEN TO KEEP THE AVERAGE DEFAULT
RATE OF THE GUARANTEE LOANS FAR LOWER THAN THE AVERAGE IN CORRESPONDING
BANKING OPERATIONS IT IS REPORTED THAT THE AVERAGE NATIONAL INSOLVENCY IS ABOUT
  WHILE THE INSOLVENCY ON #ONlDI COUNTER GUARANTEED LOANS IS AROUND
 
)N )NDIA THE )NDIAN )NSTITUTE OF 2URAL $EVELOPMENT ))2$  WITH SUPPORT FROM
5.)$/ LAUNCHED THE -UTUAL #REDIT 'UARANTEE &UND 3CHEME -#'&3 IN  4HE
PROJECT WAS DESIGNED TO HELP HAND BLOCK PRINTING TEXTILE CLUSTERS AT 3ANGANER
AND "AGRU NEAR *AIPUR OVERCOME THE DIFlCULTY IN ACCESSING CREDIT ARISING
FROM THEIR INABILITY TO OFFER TRADITIONAL FORMS OF COLLATERAL !MONG INDUSTRY
ASSOCIATIONS THE !,%!0 #REDIT 'UARANTEE !SSOCIATION !#'! HAS ENTERED INTO A
TRIPARTITE AGREEMENT WITH !NDHRA "ANK AND #'43) FOR IMPLEMENTATION OF -#'3
IN THE STATE OF !NDHRA 0RADESH WHEREIN MEMBER 33) SMALL SCALE UNITS CAN
AVAIL OF COLLATERAL FREE BANK lNANCE

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!CCESS TO %ARLY 3TAGE &INANCE 

 "OX  .ETWORK %NTERPRISES &UND
.ETWORK %NTERPRISES &UND .%& WAS CREATED BY )&-2 )NSTITUTE FOR &INANCIAL
-ANAGEMENT AND 2ESEARCH 4RUST IN *ANUARY  AS AN EQUITY FUND THAT INVESTS
IN COMMERCIALLY VIABLE SUSTAINABLE ENTERPRISES IN SECTORS IMPACTING LOW

INCOME HOUSEHOLDS )T AIMS TO GO BEYOND SOLELY PROVIDING MICRO
lNANCE TO THE
ENTREPRENEUR BY ENSURING PARTICIPATION IN ECONOMIC ACTIVITIES ON A SUSTAINABLE
BASIS 4HE EQUITY FUND CREATED UNDER .%& SEEKS TO CREATE A NETWORK OF ENTERPRISES
.%S TO PROVIDE THE ECONOMICALLY DISADVANTAGED A PLATFORM TO ENGAGE WITH THE
MARKETS AS PRODUCERS AND CONSUMERS OF GOODS AND SERVICES .%S ARE EXPECTED
TO ACT AS INTERMEDIARIES BETWEEN THE FORMAL MARKETS AND LOW
INCOME GROUPS
TO DEMONSTRATE AND IMPLEMENT MARKET
BASED SOLUTIONS 4HEY WILL HELP IN
AGGREGATION OF PRIMARY PRODUCERS FACILITATING @BACKWARD AND FORWARD LINKAGES
PROVIDING TECHNICAL AND MANAGERIAL SUPPORT AND DELIVERING BASIC SERVICES 4HEY
ARE ALSO EXPECTED TO WORK IN PARTNERSHIP WITH GRASSROOTS ORGANIZATIONS %ACH
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6ARIATIONS !CCORDING TO 'ENDER
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.% WILL COMPLEMENT THE WORK OF THE OTHER AND YET SPECIALIZE IN WHAT IT CAN
DO BEST 4HE KEY VALUE PROPOSITION THAT NETWORKING OFFERS IS THAT IT PRESERVES
THE COMPETITIVE ADVANTAGE OF DISAGGREGATED LOW COST OF PRODUCTION AND YET
&IGURE  0OSITIVE &ACTORS
MANAGES TO TAKE ADVANTAGE OF STANDARDIZATION AND SCALED ECONOMIES THROUGH
NETWORKS CREATED .%& WILL BE EXPLORING THE POTENTIAL FOR SUPPORTING INDUSTRIES
SUCH AS DAIRY RURAL "0/ FOOD CRAFTS VILLAGE TOURISM AND RURAL INFRASTRUCTURE
1PVJGQVJGTJCPF
SUCH AS DRINKING WATER EDUCATION SKILL DEVELOPMENT LOW COST HOUSING WASTE
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RECYCLING HEALTHCARE AND RURAL ENERGY 4HIS IS A VERY RECENT INITIATIVE AND IT
ECRKVCNKPXGUVOGPVU
YKVJ
WILL BE INTERESTING TO WATCH ITS IMPACT ON RURAL %NTREPRENEURSHIP IN THE YEARS
CFKHHGTGPVGORJCUKUCPF TO COME
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KPTGVWTPHQTUKIPKſECPVN[ 6RXUFH,QIRUPDWLRQUHFHLYHGIURP1HWZRUN(QWHUSULVHV)XQG

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+PXGUVQTU8%UCPF2'(WPFU
 5NLIKE TRADITIONAL BANKING lNANCE WHICH IS LARGELY DEBT BASED THE
RELATIVELY NEWER SOURCES OF lNANCE ˆ SUCH AS ANGEL INVESTORS 6#S
AND 0% FUNDS ˆ INVEST EQUITY WITH THE EXPECTATION OF MUCH HIGHER
RETURNS 4HE LENDING DECISIONS OF BANKS ARE GOVERNED BY THE ABILITY OF
BUSINESSES TO SERVICE THE LOAN AND THE AVAILABILITY OF COLLATERAL /N THE
OTHER HAND EQUITY INVESTORS MAKE CAPITAL INVESTMENTS WITH A DIFFERENT
EMPHASIS AND UNDERSTANDING OF COLLATERAL IN RETURN FOR SIGNIlCANTLY
LARGER RETURNS WITHIN A DElNED EXIT HORIZON &URTHER THE LEVEL OF
MENTORING AND GUIDANCE FOR RUNNING THE BUSINESS IS MORE INTENSE IN
THE CASE OF EARLY STAGE INVESTORS UNLIKE TRADITIONAL BANKING lNANCIERS
7HILE BANKS EXPECT REPAYMENT ON lXED INTEREST RATES WITHIN PARTICULAR
TIME HORIZONS THERE IS VARIATION AMONG DIFFERENT TYPES OF EARLY STAGE
INVESTORS ON CRUCIAL INVESTMENT DECISIONS RETURN EXPECTATIONS AND
STRATEGIES FOR EXIT 4HE EMERGENCE OF ANGEL INVESTORS 6#S AND 0% FUNDS
INCLUDING CROSS BORDER INVESTMENT AND THEIR ACTIVE INVOLVEMENT IN THE
EQUITY MARKET IN )NDIA ESPECIALLY IN THE KNOWLEDGE BASED INDUSTRIES
OVER THE LAST FEW YEARS IS ONE OF THE MOST SIGNIlCANT lNANCIAL

 %NTREPRENEURSHIP IN )NDIA
 DEVELOPMENTS THAT COULD IMPACT THE GROWTH OF %NTREPRENEURSHIP IN )NDIA
&OR RECENT lGURES ON SUCH INVESTMENT SEE &IGURES    
AND 4ABLES  AND 

 !NGEL )NVESTORS !NGEL INVESTORS ARE TYPICALLY HIGH NET WORTH INDIVIDUALS
(.)S WHO HAVE OFTEN BEEN SUCCESSFUL ENTREPRENEURS THEMSELVES 4HEY
RE DEPLOY THEIR WEALTH IN NEXT GENERATION BUSINESSES 4HEY INVEST IN
NEW IDEA ENTERPRISES THAT DO NOT YET HAVE EXTERNAL VALIDATION  HELP
BRING THESE IDEAS TO MARKET TAKE SIGNIlCANT RISKS AND INVEST A LOT OF TIME
AND ENERGY IN MENTORING MANAGEMENT GUIDANCE AND NETWORKING !NGEL
#PIGNKPXGUVQTUCTG
INVESTORS ARE ALSO GOVERNED BY CONSIDERATIONS OTHER THAN lNANCE ALONE
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SUCH AS BELIEF IN %NTREPRENEURSHIP ITSELF 4HEIR TIME HORIZONS ARE LIMITED
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AND AIMED AT ENSURING THE AVAILABILITY OF LARGER INSTITUTIONAL FUNDING
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MAINLY FROM 6#S )N RECENT YEARS INSTITUTIONAL SEED FUNDS THAT PERFORM
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THE ROLES OF SOPHISTICATED ANGEL INVESTORS HAVE ALSO EMERGED IN )NDIA
6JG[TGFGRNQ[VJGKT
7HERE ACCESS TO EARLY STAGE CAPITAL IS A SERIOUS ISSUE ANGEL INVESTORS
YGCNVJKPPGZVIGPGTCVKQP
HAVE THE POTENTIAL TO BECOME ONE OF THE MOST IMPORTANT CATALYSTS FOR
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INCREASING THE NUMBER OF NEW ENTREPRENEURIAL VENTURES IN )NDIA

"OX  !NGEL )NVESTMENT )LLUSTRATIONS

/NE RECENT INNOVATIVE DEAL THAT DESERVES MENTION IS THE SEED FUND INVESTMENT
OF ABOUT 2S  CRORE 53  MILLION IN 42) 4HINKLABS IN $ECEMBER  42)
4HINKLABS IS THE BRAINCHILD OF TWO ))4 -UMBAI GRADUATES 'AGAN 'OYAL AND
!BHISHEK "ISWAL WHO WERE INCUBATED IN 3).% ))4 -UMBAI 4HE COMPANY IS
WORKING ON @#AREER /RIENTED %MBEDDED 3YSTEMS 4RAINING USING ROBOTICS AS A
PRACTICAL LEARNING TOOL )T HAS ALREADY TRAINED OVER  STUDENTS IN AN @)N
#AMPUS 7ORKSHOP -ODEL OVER THE LAST  MONTHS IN A HANDS ON ENVIRONMENT
TO ENABLE MAXIMUM EXPOSURE TO ACTUAL SHOP mOOR CONDITIONS /VER THE NEXT FEW
YEARS IT AIMS TO TRAIN OVER  STUDENTS PER YEAR WORKING WITH ENGINEERING
AND SCIENCE COLLEGES IN ABOUT SEVEN CITIES IN )NDIA 4HE BROAD GOAL OF THE
COMPANY IS TO HELP PROVIDE TRAINED SKILLED RESOURCES IN THE CRITICAL AREA OF
MANUFACTURING ESPECIALLY IN HARDWARE AUTOMATION AND POWER SECTORS 4HE SEED
FUND WORKED CLOSELY WITH THE ENTREPRENEURS BEFORE INVESTING ON ISSUES SUCH AS
DEVELOPING THE IDEA POSITIONING IT IN THE MARKET EVOLVING STRATEGY OBTAINING
FEEDBACK FROM INDUSTRY lNANCIAL MODELLING ETC )N RETURN IT HAS TAKEN A STAKE
OF LESS THAN  IN EQUITY

 6ENTURE #APITAL 6ENTURE CAPITAL FUNDING PROVIDES FUNDS FOR EARLY
STAGE COMPANIES ONCE THEY HAVE PASSED THE SEED STAGE AND REPORT
SOME RETURNS 6# INVESTMENTS ARE TRADITIONALLY MADE FOR SCALING UP
OPERATIONS IE DEVELOPING LAUNCHING AND EXPANDING NEW PRODUCTS
OR SERVICES  6#S TAKE LESSER DEGREES OF RISK AND INVEST MORE MONEY
THAN ANGEL INVESTORS (OWEVER A 6# IS ABOUT MORE THAN lNANCIAL
SUPPORT ALONE 6#S PROVIDE ENTREPRENEURIAL SUPPORT AND PARTNERSHIP


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!CCESS TO %ARLY 3TAGE &INANCE 

 BASED VALUE ADDITION OFTEN IN THE FORM OF PROVIDING lNANCIAL ADVICE
HUMAN RESOURCES )0 ISSUES ESTABLISHING NETWORKS WITH CUSTOMERS
AND OVERALL GUIDANCE IN COMPANY STRATEGY )N RETURN 6#S ALSO RETAIN A
DEGREE OF CONTROL OVER DECISIONS GOVERNING THE COMPANYS FUNCTIONING
EG THROUGH BOARD SEATS AND LEGAL COVENANTS  AND USUALLY LOOK AT
lXED TIME HORIZONS FOR PREDETERMINED EXIT USUALLY VIA A PRIVATE EQUITY
FUND !S ILLUSTRATIONS TWO RECENT 6# INVESTMENTS BY (ELION 6ENTURES
,IMITED PROVIDE INSIGHTS ON THE TYPE OF NEW HIGH VALUE ADDED WEALTH
GENERATING IDEAS THAT ARE EVOLVING IN )NDIA TODAY

"OX  6ENTURE #APITAL $EALS )LLUSTRATIONS

*IGRAHAK -OBILE 3OLUTIONS WHICH RECEIVED AN INVESTMENT OF 53 MILLION
IN  OFFERS TECHNOLOGY SOLUTIONS IN THE MOBILE COMMERCE SPACE )T HAS
DEVELOPED A MOBILE PLATFORM THAT ALLOWS END CUSTOMERS TO CHOOSE FROM A VARIETY
OF PRODUCTS AND SERVICES FROM A RANGE OF SERVICE PROVIDERS LIKE -AKE-Y4RIP
CINEMA HALLS mOWER MERCHANTS BANKS ETC #USTOMERS CAN ALSO MAKE PAYMENTS
USING MOBILE PHONES IN A QUICK AND SECURE MANNER )T WAS FOUNDED BY 3OURABH
*AIN WHO INVESTED HIS OWN SAVINGS FOR A YEAR BEFORE RECEIVING 6# FUNDING
! COMBINATION OF FACTORS ENSURED FUNDING FOR *IGRAHAK IT IS IN THE MOBILE
2TKXCVG'SWKV[
2'HWPFU
SPACE WITH A GROWING NUMBER OF SUBSCRIBERS IN )NDIA IT HAS A READY NUMBER OF
CTGCOQPIVJGNCTIGUV
INTERESTED SERVICE PROVIDERS AND IT DOES NOT CHARGE END CUSTOMERS FOR COMPLETING
UQWTEGUQHHWPFKPIHQT
TRANSACTIONS (ELION ALSO PLAYED AN ACTIVE MENTORING ROLE AND HAS TWO OF ITS
GPVGTRTKUGUVJCVCTG DIRECTORS ON *IGRAHAKS BOARD
TGNCVKXGN[UGEWTGYKVJCP
!NOTHER EXAMPLE OF 6# INVESTMENT IN THE KNOWLEDGE INTENSIVE SECTOR IS THE
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53 MILLION FUNDING RECEIVED BY !NANTARA 3OLUTIONS 0RIVATE ,IMITED IN 
TGSWKTKPIUKIPKſECPVN[
FROM A COMBINATION OF INVESTORS LED BY (ELION !NANTARA IS IN THE @3ECOND
NCTIGHWPFUHQTGZRCPUKQP
'ENERATION /UTSOURCING SPACE THAT SHIFTS THE FOCUS FROM COST ARBITRAGE
CPFITQYVJ ALONE TO GENERATING HIGH VALUE THROUGH OFFSHORE BUSINESS CONSULTING AND )4
SERVICES FREQUENTLY DELIVERED THROUGH A SET OF PARTNER COMPANIES THAT !NANTARA
RECRUITS AND MANAGES )T WAS FOUNDED BY '" 0RABHAT WHO HAD SUBSTANTIAL
PRIOR EXPERIENCE WITH 3ATYAM AND HIS MANAGEMENT TEAM OF EIGHT PARTNERS
7ITHIN MONTHS !NANTARA HAS ENLISTED NEW CLIENTS FROM )NDIA AS WELL AS THE 5+
'ERMANY &RANCE AND (ONG +ONG )T WAS ALSO SHORT LISTED FOR THE .!33#/- @
)4 )NNOVATORS REGISTER IN 

 0RIVATE %QUITY 0RIVATE %QUITY 0% FUNDS ARE AMONG THE LARGEST SOURCES
OF FUNDING FOR ENTERPRISES THAT ARE RELATIVELY SECURE WITH AN ESTABLISHED
TRACK RECORD REQUIRING SIGNIlCANTLY LARGE FUNDS FOR EXPANSION AND GROWTH
0%S MAKE CAPITAL INVESTMENTS IN COMPANIES NOT YET QUOTED ON A STOCK
EXCHANGE IN EXCHANGE FOR EQUITY AND MANAGEMENT PARTICIPATION !S
SUCH THEY TAKE REASONABLY WELL DElNED RISKS AND THEIR EXIT STRATEGY IS
USUALLY UP TO THE STAGE WHEN THE COMPANY GOES PUBLIC OR GETS ACQUIRED
AT HIGH VALUE


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 %NTREPRENEURSHIP IN )NDIA
 3OME SIGNIlCANT FEATURES OF ANGEL INVESTORS 6#S AND 0% FUNDS ARE
ILLUSTRATED IN THE TABLE 

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4YPE OF 3TAGE OF 2ISK  !MOUNT INVESTED %QUITY -ENTORING -ONETARY #HALLENGES %XIT
INVESTOR ENTERPRISE RETURN INVOLVEMENT SOURCE HORIZON
!NGEL 3EED 6ERY HIGH ,ESS EQUITY   6ERY HIGH ,ARGELY 0ROVE BUSINESS 3HORT
h3ERIES!v RISK ALSO PREFERRED ALSO PERSONAL INDIVIDUAL MODEL IDEA mEXIBLE
2ETURN ON CONVERTIBLE USUALLY VARIES ALSO FUND TO MARKET
)NVESTMENT   VALIDATE
2/)  TYPICALLY   LACS PRODUCT
 AND UP TO 2S  CRORE
6# %ARLY AFTER -EDIUM (IGH EQUITY UP TO  (IGH LESS 4YPICALLY 3CALE TEAM   YRS
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 INSTITUTIONS SUSTAINABILITY ROUND OF
ALSO lNANCING
INDIVIDUALS ACQUISITION
0% FUNDS ,ATE PRE ,ESS RISK ,ARGE EQUITY M  ,OW /THER -ERGERS 3HORT TILL
)0/ HIGH 2/) ESTIMATES lNANCIAL DIVESTMENT )0/
INSTITUTIONS LEADERSHIP ACQUISITION
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 2ECENT STUDIES SHOW A GRADUAL INCREASE IN THE VOLUME OF 6# AND 0%

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!HMEDABAD 0UNE AND +OLKATA 4HE BULK OF INVESTMENTS ARE DRIVEN TO

&IGURE  )NVESTMENTS BY SECTOR n .UMBER OF DEALS

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 /THERS 4EXTILE 'ARMENTS -EDIA  %NTERTAINMENT 2ETAIL %NGINEERING#ONSTRUCTION &OOD  "EVERAGE 2EAL
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 &IGURE  0%6# INVESTMENTS BY INDUSTRY IN 
4OTAL 53  "N




)4  )4%3
-ANUFACTURING

 (EALTHCARE AND ,IFESCIENCES
"ANKING &INANCIAL SERVICES  )NSURANCE
-EDIA  %NTERTAINMENT
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&IGURE  'ROWTH OF VENTURE CAPITAL AND PRIVATE EQUITY IN

)NDIA  n 
 
6ALUE OF DEALS 


.UMBER OF DEALS
 
6ALUE OF DEALS 53 MILLION

 



.UMBER OF DEALS
 

 


 
 

 
 
  
 
 
       

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&IGURE  )NVESTMENTS BY STAGE n .UMBER OF DEALS

/THERS


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0)0%


,ATE STAGE

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%ARLY STAGE

      

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lGURES FROM THE )NDIAN 6ENTURE #APITAL !SSOCIATION ARE AS FOLLOWS

6CDNG2'KPXGUVOGPVUD[UVCIG

3TAGE OF COMPANY DEVELOPMENT .O OF DEALS !MOUNT 53 MILLION
6ENTURE CAPITAL  
'ROWTH 0%  
,ATE  
0RE )0/  
0RIVATE INVESTMENT IN PUBLIC EQUITY  
"UYOUT  
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4OTAL  
6RXUFH76-9HQWXUH,QWHOOLJHQFH

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#ITY .O OF DEALS 6ALUE 53 MILLION
-UMBAI  
$ELHI .#2  
"ANGALORE  
(YDERABAD  
#HENNAI  
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+OLKATA  
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 %NSURING 2EADY !VAILABILITY OF 3EED #APITAL %NSURING A READY SUPPLY OF +VKUGUUGPVKCNVQOQXG
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 OF SUCH FUNDS ARE INVESTED IN LATE STAGE INITIATIVES BY MATURE lRMS HWPFKPIKP+PFKC
6#S AND 0% FUNDS GENERALLY INVEST IN REASONABLY ESTABLISHED ENTERPRISES
3INCE INVESTMENTS IN 3-%S TYPICALLY GENERATE RETURNS AND ADD VALUE IN
VARIOUS WAYS IT IS IMPORTANT TO EXAMINE THE ISSUE OF INCENTIVIZING START
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WILL EMERGE IN THE COMING YEARS
 ,ACK OF 2ELEVANT 3ECONDARY -ARKETS 4HE ABSENCE OF EQUITY MARKETS FOR
LISTING AND TRADING OF SMALL CAP COMPANIES MEANS THAT THE OPTIONS FOR
RAISING CAPITAL ARE LIMITED 4HE LACK OF SUCH AN EXCHANGE ALSO MEANS THAT
THE OPTIONS BEFORE A SEED INVESTOR IN TERMS OF lNDING A MARKET AND FOR
EXIT REMAIN OBSCURE &URTHER THE RELATIVE LACK OF CAPITAL mOW FROM BIG
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MASS OF SEED FUNDING IN THE ENTREPRENEURIAL SECTOR
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VJGVTGPFQHUVCTVKPIYKVJ IS USEFUL TO POINT OUT THAT ONE THIRD OF THE ENTREPRENEURS INTERVIEWED
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OQTGOCTMGFKPVJGTGEGPV WITH A CORE TEAM HAS BECOME MORE MARKED IN THE RECENT YEARS .EW
[GCTU ENTREPRENEURS FEEL THAT IT DOES HELP TO WORK IN TEAMS IDEALLY WITH VARYING
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FOLLOWS
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6ENTURE $EBT IS A NOVEL IDEA THAT IS WORTH EXPLORING 6ENTURE $EBT
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KNOWLEDGE BASED START UPS MOVE FROM IDEA TO MARKET IN THE LEAST


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WELL AS FOR DISADVANTAGED SECTIONS OF THE POPULATION )N )NDIA AREAS
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ENTREPRENEURIAL ENVIRONMENT COULD RECEIVE A lLLIP FROM SUCH A SCHEME
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RECOMMENDATIONS ON )NTELLECTUAL 0ROPERTY 2IGHTS )02  WHICH MAY
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  SPEECH THE 5NION &INANCE -INISTER ALSO PROPOSED TO CREATE
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%NTERPRISES $EVELOPMENT &UND UNDER 3)$") 4HE INVOLVEMENT OF
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DEPARTURE FROM PAST PRACTICES
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PRIME ADVANTAGE LIES IN THE CREATION OF A MARKET THAT IS SMALL ENOUGH FOR
THE COMPANY TO ATTRACT THE ATTENTION OF OTHER SHAREHOLDERS INCLUDING
BIGGER COMPANIES AND 6#S  AND THEREBY ALSO PROVIDE APPROPRIATE
EXIT OPTIONS 3UCH AN EXCHANGE WILL ALSO HELP GENERATE SIGNIlCANT
@NETWORK WITH THE WIDER BUSINESS COMMUNITY 4HE EXCHANGE WOULD
NEED TO INCORPORATE DISTINCTIVE REGULATIONS TAILORED TO THE NEEDS OF
THE SMALLER COMPANIES AND INVESTORS WITH APPROPRIATE MONITORING AND
QUALITY CHECKS ENSURING PUBLIC TRADING OF SHARES OF SMALL COMPANIES
WITHIN A WELL SUPERVISED YET SIMPLIlED REGULATORY ENVIRONMENT
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THE WORLD MOST NOTABLY THE !LTERNATIVE )NVESTMENT -ARKET !)-
IN ,ONDON WHICH HAS RAISED ABOUT a BILLION SINCE ITS INCEPTION
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CFGSWCVGPWODGTQH IS THE AVAILABILITY OF ADEQUATE NUMBER OF SKILLED HUMAN RESOURCES
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 !T A GENERAL LEVEL THE MULTI DIMENSIONAL NATURE OF THE REQUIRED

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 FROM 2S  CRORE IN   TO 2S  CRORE

 6OCATIONAL %DUCATION  4RAINING 3KILL $EVELOPMENT )T IS PERTINENT

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 IN 5NITED +INGDOM 6%4 NEEDS TO BE GIVEN HIGH PRIORITY IN )NDIA
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 THE SCHOOL AND HIGHER EDUCATION STREAMS #URRENTLY THERE IS STIGMA
ASSOCIATED WITH 6%4 AS A RESULT OF VARIOUS SYSTEMIC mAWS SUCH AS THE
FOLLOWING

A 2ETURNS FROM 6%4 ARE LOW AND THE QUALITY OF TRAINING DOES NOT MEET
THE NEEDS OF INDUSTRY

B 4HERE IS LITTLE INCENTIVE TO PURSUE 6%4 COURSES SINCE MOST OF THESE DO

NOT LEAD TO A JOB

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OF PEOPLE EVERYWHERE THAT COULD SOLVE THE WORLDS WEIGHTIEST
PROBLEMS 9OUNGER AND SMALLER COMPANIES ARE LEVERAGING ON
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!S SUCH @LARGE RETURNS TO NATIONAL ECONOMIC CAPABILITY CAN RESULT
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OVER THE NEXT lVE YEARS

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 4HE .ATURE OF 3KILLS RELATED )SSUES %NTREPRENEURS FACE PROBLEMS

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JKIJUMKNNGFCUYGNNCU EDUCATION IS AS CRITICAL AS HIGHER EDUCATION 7ITHIN THIS RECRUITING
NQYUMKNNGFGORNQ[GGU AND RETAINING HIGH SKILLED EMPLOYEES IS MORE DIFlCULT COMPARED
TO LOW SKILLED EMPLOYEES 4HIS MAY SUGGEST THAT LOW SKILLED
EMPLOYEES DO NOT GAIN THE NECESSARY HIGHER MARKET VALUE AND
MOBILITY WITH WORK EXPERIENCE COMPARED TO THEIR HIGHLY SKILLED
COUNTERPARTS )N OTHER WORDS LACK OF SKILLS REDUCES OPTIONS FOR
INDIVIDUALS &OR ENTREPRENEURS RETAINING LOW SKILLED EMPLOYEES
MAY NOT BE AS SIGNIlCANT A PROBLEM PERHAPS BECAUSE WAGES FOR
LOW SKILLED WORKERS ARE MORE OR LESS THE SAME ACROSS SECTORS AND
COMPANIES #ONVERSELY THIS ALSO MEANS THAT MODERNIZATION AND

&IGURE  )SSUES WITH SKILLS n 6ARIATIONS ACCORDING TO

TYPE OF SKILLS





0ERCENTAGE OF RESPONDENTS

 









/BTAINING HIGH /BTAINING LOW 2ETAINING HIGH 2ETAINING LOW
SKILLED SKILLED SKILLED SKILLED

 %NTREPRENEURSHIP IN )NDIA
 &IGURE  )SSUES OF SKILLS n 6ARIATIONS ACCORDING TO AGE OF
ENTERPRISE



0ERCENTAGE OF RESPONDENTS


/NLY OBTAINING
 /NLY RETAINING

"OTH







  YEARS   YEARS   YEARS   YEARS
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IMPROVED QUALITY OF VOCATIONAL TRAINING COULD INCREASE VALUE AND

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SKILLS MAY ALSO INCREASE GROWTH OPPORTUNITIES FOR EMPLOYEES

 6ARIATIONS ACCORDING TO AGE OF ENTERPRISE %NTERPRISES THAT

ARE UNDER THREE YEARS OLD lND IT MORE DIFlCULT TO HIRE SKILLED
EMPLOYEES AS COMPARED TO THOSE THAT HAVE BEEN OPERATIONAL FOR
A LONGER TIME 4HE RELATIVE LACK OF BRAND VALUE OF NEW lRMS MAKES
IT DIFlCULT FOR THEM TO ATTRACT TALENT 2EFER TO &IGURE  6JGTGKUCPKPETGCUGKPVJG
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UNDERTAKEN BY THE 'OVERNMENT OF )NDIA IN ORDER TO EXPAND QUANTITY
IMPROVE QUALITY AND ACHIEVE INCLUSIVENESS VIA SIGNIlCANT INCREASE IN
ALLOCATION FOR EDUCATION IN THE %LEVENTH &IVE 9EAR 0LAN 4HERE IS AN
INCREASE IN THE RESOURCE ALLOCATION FOR EDUCATION FROM  IN THE
4ENTH &IVE 9EAR 0LAN TO  IN THE %LEVENTH &IVE 9EAR 0LAN )T

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 HAS STIPULATED lVE TARGETS AREAS FOR MONITORING I DROP OUT RATES
OF CHILDREN WHICH ARE TARGETED TO BE REDUCED AT THE ELEMENTARY LEVEL
FROM  IN   TO  BY   II MINIMUM STANDARDS OF
EDUCATIONAL ATTAINMENT IN ELEMENTARY SCHOOLS III INCREASED LITERACY
RATE WHICH IS TARGETED TO BE INCREASED FOR PERSONS OF AGE  YEARS OR
MORE TO  BY   IV GENDER GAP IN LITERACY WHICH IS TARGETED
TO BE REDUCED TO  PERCENTAGE POINTS BY   AND V INCREASING
THE PERCENTAGE OF EACH COHORT ENTERING HIGHER EDUCATION FROM THE
PRESENT  TO  BY   4HE 0LAN ALSO EMPHASIZES UPGRADING
QUALITY IN PRIMARY EDUCATION EXPANSION OF SECONDARY EDUCATION
UPGRADING HIGHER EDUCATION INCLUDING TECHNICAL EDUCATION AND THE
USE OF )#4 THROUGHOUT THE EDUCATION SYSTEM

 )N ADDITION THE CURRENT 0LAN HAS TARGETED SETTING UP  NEW #ENTRAL
UNIVERSITIES EIGHT NEW )NDIAN )NSTITUTES OF 4ECHNOLOGY ))4S  SEVEN
NEW )NDIAN )NSTITUTES OF -ANAGEMENT ))-S   NEW .ATIONAL )NSTITUTES
OF 4ECHNOLOGY .)4S  THREE )NDIAN )NSTITUTES OF 3CIENCE %DUCATION AND
2ESEARCH ))3%2S   )NDIAN )NSTITUTES OF )NFORMATION 4ECHNOLOGY
)))4S AND TWO NEW 3CHOOLS OF 0LANNING AND !RCHITECTURE 30! AND
+PVJGCPPWCNDWFIGVHQT A NUMBER OF NEW DEGREE COLLEGES &OR UPGRADING SCIENCE EDUCATION
VJG)QXGTPOGPV AND RESEARCH INFRASTRUCTURE IN THE UNIVERSITIES IT IS ENVISAGED THAT THE
QH+PFKCJCURTQRQUGFVJG EXISTING 3CIENCE AND %NGINEERING 2ESEARCH #OUNCIL 3%2# MECHANISM
GUVCDNKUJOGPVQHCPQP OF THE $EPARTMENT OF 3CIENCE AND 4ECHNOLOGY SHOULD BE RESTRUCTURED TO
RTQſVEQTRQTCVKQPVQHWNſNN CONSTITUTE A .ATIONAL 3CIENCE AND %NGINEERING 2ESEARCH "OARD .3%2" 
VJG05&/IQCNU 4HE .3%2" WOULD AIM AT EXPANDING AND STRENGTHENING THE 34 BASE IN
THE UNIVERSITIES BUILDING RESEARCH CAPABILITIES IN THE ACADEMIC SECTOR
AND ENSURING FUNDING FOR UNDERTAKING INTERNATIONALLY COMPETITIVE
RESEARCH PROGRAMMES

 4HE %LEVENTH 0LAN ALSO AIMS TO LAUNCH A .ATIONAL 3KILL $EVELOPMENT
-ISSION .3$- AND HAS PROPOSED TO ALLOCATE 2S  CRORE FOR
THIS )N THE ANNUAL BUDGET FOR   THE 'OVERNMENT OF )NDIA HAS
PROPOSED THE ESTABLISHMENT OF A NON PROlT CORPORATION TO FULlLL THE
.3$- GOALS WITH ABOUT 2S  CRORE AS CAPITAL FROM VARIOUS SOURCES
PUBLIC AND PRIVATE AND AN INITIAL GOVERNMENT EQUITY OF 2S  CRORE
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 %NTREPRENEURSHIP IN )NDIA
 INCREASE THE NUMBER OF TRAINED PERSONNEL FROM  MILLION TO  MILLION
)T IS EXPECTED TO COORDINATE THE RELEVANT 6%4 WORK OF  DIFFERENT
MINISTRIES AND DEPARTMENTS OF THE 'OVERNMENT OF )NDIA INVOLVE THE
PRIVATE SECTOR AND FACILITATE A COLLABORATIVE PROCESS 4HE 0UBLIC 0RIVATE
0ARTNERSHIP 000 MODE IS EXPECTED TO RESTRUCTURE AND REPOSITION
EXISTING INFRASTRUCTURE WITH COORDINATION FROM CONCERNED MINISTRIES
&URTHER IN  IDENTIlED HIGH GROWTH SECTORS PRIVATE INITIATIVES WITH
GOVERNMENT SUPPORT ARE ALSO PLANNED 2ESPECTIVE INDUSTRY ASSOCIATIONS
IN EACH SECTOR ARE EXPECTED TO OUTLINE THEIR VISION FOR THE @3ECTORAL 3KILL
$EVELOPMENT )NITIATIVE 33$)  4HE .3$- WOULD ENGAGE WITH EACH OF
THESE SECTORS TO WORK OUT APPROPRIATE DELIVERABLES AND STRATEGIES IN THE
RESPECTIVE @3ECTORAL 3KILL $EVELOPMENT 0LANS )T WOULD THEN PRESCRIBE
A NATIONAL FRAMEWORK FOR DOMAIN SPECIlC STANDARDS AND COMMON
PRINCIPLES TO CREATE AN ENABLING ENVIRONMENT FOR PRIVATE INVESTMENT IN
SKILL TRAINING

 )N THIS RESPECT THE .3$-S OBJECTIVES INCLUDE THE FOLLOWING

A @3KILLS -APPING

B %XPANDING AND MODERNIZING THE EXISTING @0UBLIC 3ECTOR 3KILL 6JG2WDNKE2TKXCVG

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F %STABLISHING A .ATIONAL 1UALIlCATIONS &RAME WORK WITH @EQUIVALENCE

AND HORIZONTAL MOBILITY BETWEEN VARIOUS 6%4 TECHNICAL AND ACADEMIC
STREAMS AT MORE THAN ONE CAREER POINT

G %STABLISHING A @CREDIBLE ACCREDITATION SYSTEM A @GUIDANCE FRAMEWORK

FOR ALL ACCREDITING AGENCIES  A @NATIONAL SKILL INVENTORY AND A
@NATIONAL DATABASE FOR SKILL DElCIENCY MAPPING ON A NATIONAL WEB
PORTAL AS WELL AS A @TRAINEE PLACEMENT AND TRACKING SYSTEM

 &URTHER THE .3$- HAS AN ACTION PLAN FOR THE -INISTRY OF 2URAL
$EVELOPMENT UNDER WHICH  NEW 25$)3%4)S 2URAL $EVELOPMENT
AND 3ELF %MPLOYMENT 4RAINING )NSTITUTES WOULD BE SET UP 4HESE
25$)3%4)S ARE EXPECTED TO FOCUS ON DEVELOPING %NTREPRENEURSHIP BY
COLLABORATING WITH THE %NTREPRENEURSHIP $EVELOPMENT )NSTITUTE %$) 
WHICH IS AN AUTONOMOUS NON PROlT ORGANIZATION SET UP TO PROMOTE
%NTREPRENEURSHIP THROUGH EDUCATION RESEARCH AND TRAINING


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 #ONTENT AND ,EARNING -ETHODS 4HE .+# CONSULTATIONS WITH
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THINKING 4HE ABILITY TO PROMOTE %NTREPRENEURSHIP REQUIRES AN ENQUIRING
MIND THAT IS ABLE TO MAKE CONNECTIONS BETWEEN THEORY AND PRACTICE
%NTREPRENEURS FEEL THAT THERE IS A NEED TO RECREATE REAL LIFE SITUATIONS
IN THE CLASSROOM WITH THE HELP OF EXAMPLES AND ILLUSTRATIONS SO THAT
STUDENTS ARE ABLE TO GET A @CONCRETE FEEL OF VARIOUS ASPECTS OF THE
OUTSIDE WORLD !T THE SAME TIME MANY ENTREPRENEURS ALSO FEEL THAT
THE STARTING POINT FOR REFORMING TEACHING METHODS AND ENCOURAGING
VARIETY IN CAREER OPTIONS MUST BE AT THE SCHOOL STAGE ITSELF WHERE THE
PRESSURE TO LEARN BY ROTE AND TO JOIN TYPICALLY STEREOTYPICAL CAREER PATHS
ARE HUGE 2IGHT FROM THE SCHOOL STAGE PEDAGOGY SHOULD ENCOURAGE
ORIGINAL THINKING AND NOT ROTE LEARNING /NE SPECIlC SUGGESTION FROM
SEVERAL ENTREPRENEURS IS TO INTRODUCE MANUALS IN SCHOOL CURRICULA ON
@(OW 4HINGS 7ORK ON VARIOUS PRACTICAL ASPECTS OF EVERYDAY LIVING

4KIJVHTQOVJGUEJQQN  4EACHING AND %NTREPRENEURSHIP 7HILE %NTREPRENEURSHIP HAS BEEN

UVCIGRGFCIQI[UJQWNF INTRODUCED AS A COURSE IN A NUMBER OF BUSINESS SCHOOL CURRICULA THERE
GPEQWTCIGQTKIKPCNVJKPMKPI NEEDS TO BE A GREATER THRUST IN MAKING %NTREPRENEURSHIP A PRIORITY
CPFPQVTQVGNGCTPKPI SUBJECT /THER ASPECTS OF %NTREPRENEURSHIP SUCH AS BUSINESS ETHICS
EARLY ENTERPRISE MANAGEMENT ASPECTS OF SCALING UP )NDIAN CORPORATE
LAW AND RELEVANT INTERNATIONAL LAWS SHOULD ALSO BE A PART OF SUCH
CURRICULA ! NOTEWORTHY DEVELOPMENT IS THE RECENT PROPOSAL TO SET UP
A 3CHOOL OF %NTREPRENEURSHIP OFFERING UNDERGRADUATE AND POST GRADUATE
DEGREES IN ))4 +HARAGPUR 3UCH INITIATIVES NEED TO BE ENCOURAGED
FOR WIDESPREAD ADAPTATION IN OTHER EDUCATIONAL INSTITUTIONS INCLUDING
INSTITUTIONS LOCATED OUTSIDE METROPOLITAN AREAS 4HE INVOLVEMENT OF
THE BURGEONING .2) COMMUNITY AND ALUMNI NETWORKS IN FUNDING SUCH
SCHOOLS MUST BE ENCOURAGED

 %NCOURAGE 3TUDENT LED %NTREPRENEURIAL !CTIVITIES ON #AMPUS

%NTREPRENEURSHIP CANNOT BE LEARNT ONLY BY @CHALK AND TALK 3HARED
ACTIVITIES OUTSIDE THE CONlNES OF THE TEXTBOOK ARE IMPERATIVE TO
DEVELOP LEADERSHIP AND TEAM BUILDING SKILLS THAT ARE NECESSARY
FOR %NTREPRENEURSHIP )T IS NECESSARY TO ENCOURAGE ACTIVITIES


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 WITHIN EDUCATIONAL INSTITUTIONS WHERE ENTREPRENEURIAL ABILITIES lND
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INSTITUTIONS STUDENT LED AND FACULTY SUPPORTED ACTIVITIES HAVE
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ABOUT %NTREPRENEURSHIP %XAMPLES INCLUDE THE %NTREPRENEURSHIP AND
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SEED FUNDING  INSTRUCTIONAL PROGRAMMES THAT DEAL WITH THE BASIC
PRACTICALITIES OF %NTREPRENEURSHIP AND PLATFORMS TO INTERACT WITH OTHER
ENTREPRENEURS AND THE lNANCIAL COMMUNITY ESPECIALLY 6#S AND ANGELS
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 0ERFORMANCE ORIENTED 6%4 3KILL $EVELOPMENT 7HILE THE .3$- IS A

SIGNIlCANT AND LANDMARK INITIATIVE SPECIAL CARE NEEDS TO BE TAKEN
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4HIS ISSUE IS SIGNIlCANT SINCE IT RELATES TO THE CONCEPT OF EQUALITY OF
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VIGOUR WHICH MAY REQUIRE A FRESH LOOK INTO RELEVANT ISSUES ENSHRINED
IN RELEVANT LAWS

&URTHER THE PROCESS OF CONNECTING lNANCING TO PERFORMANCE BASED

OUTCOMES IN 6%4 NEEDS TO BE GIVEN THRUST THROUGH NATIONWIDE
PUBLICATION AND DISSEMINATION OF LEARNING OUTCOMES IN THE FORM
OF A 6OCATIONAL 3KILL 0RIMER THAT MEASURES EACH 6%4 INSTITUTION
0UBLICATION OF PERFORMANCE BASED OUTCOMES IS THEREFORE THE lRST STEP
IN DEVELOPING A TRANSPARENT AND INDEPENDENT RATING AGENCY AND SYSTEM
IN 6%4 "RINGING ABOUT SYSTEMIC CHANGES IN THE WAY THE 6%4 POLICY IS
EXECUTED IS THE ONLY WAY TO ENABLE THE COUNTRY TO TAKE ADVANTAGE OF
ITS DEMOCRATIC DIVIDEND AND REALIZE ITS HUMAN RESOURCE POTENTIAL 4HIS
IS A TASK WHERE THE 3TATE MUST PERFORM ITS ROLE AND WHERE THE INDUSTRY
MUST ALSO PLAY AN INCREASINGLY VALUABLE ROLE

 %NTERPRISE #ENTRES IN -AJOR %DUCATIONAL AND 2ESEARCH )NSTITUTIONS

3PECIAL ENTERPRISE CENTRES FOCUSED ON TRANSLATING INNOVATION DRIVEN

%DUCATION )NNOVATION AND %NTREPRENEURSHIP 

 IDEAS INTO VIABLE BUSINESSES WOULD GREATLY ENHANCE %NTREPRENEURSHIP
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RIGHTS 4HIS WILL CREATE AN ENABLING ENVIRONMENT FOR THE INSTITUTIONS TO
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 4HE PROCESS OF "USINESS )NCUBATION FOR %NTREPRENEURSHIP ")% IS A
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UP STAGE
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CAN HELP ADDRESS )N THIS RESPECT THE TRANSFORMATION OF A BUSINESS IDEA
INTO A REVENUE
GENERATING PRODUCT REQUIRES THE NEED TO BE FAMILIAR WITH
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SPACE SCALING
UP CHALLENGES CASH mOWS CORPORATE GOVERNANCE HUMAN
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%NTREPRENEURSHIP IN )NDIA ARE LISTED IN 4ABLE 

 'LOBALLY THE CONCEPT OF "USINESS )NCUBATION HAS EVOLVED TO MEET

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ARE APPOINTED TO CARRY OUT LIQUIDATIONS THE PROCEDURES ARE OFTEN LONG
DRAWN !NOTHER LEGAL ISSUE IS THAT OF UNLIMITED LIABILITY FOR PROMOTERS IN
PARTNERSHIP CONCERNS AND PROPRIETORSHIP BUSINESSES DUE TO THE ABSENCE
OF ,IMITED ,IABILITY 0ARTNERSHIPS ,,0S AS A LEGAL ENTITY IN )NDIA

&IGURE  (ELPFULNESS OF LEGAL SYSTEM





%XTREMELY UNSATISFACTORY

3OMEWHAT UNSATISFACTORY
!VERAGE
3OMEWHAT SATISFACTORY

 %XTREMELY SATISFACTORY




6HH'RLQJ%XVLQHVVLQ6RXWK$VLDKWWSZZZGRLQJEXVLQHVVRUJ'RFXPHQWV6RXWK$VLD)XOOBUHSRUWSGI

'RLQJ%XVLQHVV:RUOG%DQN,)&

"USINESS %NVIRONMENT AND %NTREPRENEURSHIP 

  3UGGESTED )MPROVEMENTS 3OME OF THE LEGAL REFORMS THAT WOULD
FACILITATE A BETTER ENVIRONMENT FOR %NTREPRENEURSHIP ARE AS FOLLOWS

A 3PECIALIZED #OMMERCIAL #OURTS 3INCE THE DEBT RECOVERY TRIBUNALS

IN )NDIA HAVE JURISDICTION TO ENTERTAIN ONLY DEBT RELATED ISSUES
A POSSIBLE REFORM FOR SPEEDY ENFORCEMENT OF CONTRACTS WOULD BE
THE ESTABLISHMENT OF SEPARATE SPECIALIZED COMMERCIAL COURTS WHICH
WOULD DEAL WITH ALL TYPES OF COMMERCIAL DISPUTES

B 5NDERTAKE 2EFORMS IN "ANKRUPTCY ,AWS $ISCUSSIONS ARE ALSO

UNDERWAY TO CHANGE )NDIAS BANKRUPTCY LAWS 4HE DRAFT #OMPANIES
"ILL  IS EXPECTED TO SIMPLIFY RULES AND PROCEDURES %STABLISHMENT
OF INSTITUTIONS SUCH AS THE .ATIONAL #OMPANY ,AW 4RIBUNAL .#,4
AND .ATIONAL #OMPANY ,AW !PPELLATE 4RIBUNAL .#!,4 ARE ALSO
EXPECTED TO BRING ABOUT IMPROVEMENTS IN DEALING WITH CASES
RELATING TO INSOLVENCY REHABILITATION AND LIQUIDATION AND WINDING
UP PROCEEDINGS 2")S !DVISORY 'ROUP ON "ANKRUPTCY ,AWS HAS ALSO
RECOMMENDED THE ENACTMENT OF A NEW BANKRUPTCY CODE TO DEAL MORE
QUICKLY WITH LIQUIDATIONS

C /NE 0ERSON #OMPANY,,0S 4HE DRAFT #OMPANIES "ILL  IS ALSO

6JGJKIJVTCPURQTVCPF EXPECTED TO PROPOSE A NEW ENTITY CALLED A ONE PERSON COMPANY
UWRRN[EJCKPEQUVUVJCV /0# THAT WOULD PROVIDE INDIVIDUAL ENTREPRENEURS THE mEXIBILITY
RQQTKPHTCUVTWEVWTG AND LOW COST OF FORMING A PROPRIETORSHIPPARTNERSHIP CONCERN WHILE
GPVCKNUCTGUKIPKſECPV RESTRICTING THEIR PERSONAL LIABILITIES TO THAT OF A PRIVATE LIMITED
RCTVKEWNCTN[HQTCUOCNN COMPANY 3IMILARLY THE GOVERNMENT IS ALSO EXPECTED TO ENACT A
GPVTGRTGPGWT LAW ON ,IMITED ,IABILITY 0ARTNERSHIPS SOON

 +PHTCUVTWEVWTG

 4HE RELIABILITY AND AVAILABILITY OF WORLD CLASS INFRASTRUCTURE SERVICES IS

CRITICAL FOR THE GROWTH OF %NTREPRENEURSHIP )NDIAS PHYSICAL INFRASTRUCTURE
n ROADSHIGHWAYS RAILWAYS PORTS AIRPORTS POWER TELECOM n IS SEEN AS
A BOTTLENECK TO THE SMOOTH OPERATION OF ALL ECONOMIC ACTIVITY 4HE HIGH
TRANSPORT AND SUPPLY CHAIN COSTS THAT POOR INFRASTRUCTURE ENTAILS ARE
SIGNIlCANT PARTICULARLY FOR A SMALL ENTREPRENEUR %NTERPRISES SURVEYED
IN THE 'LOBAL #OMPETITIVENESS 2EPORT   RATED INADEQUATE
INFRASTRUCTURE AS @THE MOST PROBLEMATIC FACTOR FOR DOING BUSINESS IN
)NDIA )N THIS REPORT WHILE )NDIA SCORES WELL ON @SOFT PARAMETERS SUCH


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 337 3UHVHQWDWLRQ KWWSGDUSJQLFLQDUSJZHEVLWH&RQIHUHQFH&KLHI6HF\&RQI337VGLSSSSW VXFK FRXUWV KDYH
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6HHC2QHSHUVRQFRPSDQLHV
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DQGWKHC([SHUW&RPPLWWHHRQ&RPSDQ\
/DZ'U--,UDQL&RPPLWWHH


KWWSZZZJFUZHIRUXPRUJ

 %NTREPRENEURSHIP IN )NDIA
 &IGURE  !VAILABILTY OF INFRASTRUCTURE





%XTREMELY UNSATISFACTORY

3OMEWHAT UNSATISFACTORY
!VERAGE
3OMEWHAT SATISFACTORY
 %XTREMELY SATISFACTORY



AS HIGHER EDUCATION THE RULE OF LAW AND POLITICAL LEGISLATION IT LOSES .GCUKPIQHYQTMURCEG
OUT ON THE ADEQUACY OF INFRASTRUCTURE FACILITIES !CCORDING TO ANOTHER KUOQTGRTGXCNGPV
RECENT SURVEY  OF )NDIAN #%/S ARE WORRIED ABOUT THE QUALITY OF COQPIſTUVIGPGTCVKQP
INFRASTRUCTURE IN THE COUNTRY CPFUGEQPFIGPGTCVKQP
GPVTGRTGPGWTURWTUWKPI
 /F THE ENTREPRENEURS INTERVIEWED  FOUND THE CURRENT INFRASTRUCTURE
CDWUKPGUUFKHHGTGPVHTQO
IN )NDIA TO BE UNFAVOURABLE RATING IT AS @EXTREMELY UNSATISFACTORY
VJCVQHVJGKTHCOKN[
OR @SOMEWHAT UNSATISFACTORY SEE &IGURE   (OWEVER PERCEPTIONS
HAVE IMPROVED n WHILE  OF THE PRE  ENTREPRENEURS RATED
INFRASTRUCTURE AS UNFAVOURABLE AMONG THE POST  ENTREPRENEURS
ONLY  FELT THE SAME 4HIS COULD BE DUE TO IMPROVEMENTS IN THE
COUNTRYS INFRASTRUCTURE ANDOR THERE BEING A HIGHER PROPORTION OF
SERVICE BASED ENTERPRISES AMONG THE POST  ENTERPRISES WHICH HAVE
LOWER DEPENDENCE ON INFRASTRUCTURE

 !VAILABILITY OF 7ORK 3PACE !NOTHER CRUCIAL INFRASTRUCTURE ISSUE FOR

A NEW ENTREPRENEUR IS THE AVAILABILITY OF ADEQUATE WORK SPACE 4HERE
ARE INTERESTING DIFFERENCES BASED ON FAMILY BACKGROUNDS AS SEEN IN
&IGURE  BELOW !MONG lRST GENERATION ENTREPRENEURS ONLY 
REPORTED ALREADY HAVING WORK SPACE AT THE START UP STAGE ! MAJORITY
OF SECOND GENERATION ENTREPRENEURS IN THE SAME BUSINESS 
ALREADY HAD WORK SPACE TO START OPERATIONS (OWEVER THIS lGURE
DIPS SIGNIlCANTLY FOR SECOND GENERATION ENTREPRENEURS WHO PURSUE A
DIFFERENT BUSINESS  

!NOTHER PATTERN OBSERVED IS THAT LEASING OF WORK SPACE IS MORE

PREVALENT AMONG lRST GENERATION AND SECOND GENERATION ENTREPRENEURS
PURSUING A BUSINESS DIFFERENT FROM THAT OF THEIR FAMILY /F THE
lRST GENERATION ENTREPRENEURS  LEASED WORK SPACE COMPARED TO
 AMONG SECOND GENERATION ENTREPRENEURS IN A DIFFERENT BUSINESS


7KH7LPHVRI,QGLDGDWHG-DQXDU\TXRWLQJDUHFHQW3:&*OREDO&(26XUYH\

"USINESS %NVIRONMENT AND %NTREPRENEURSHIP 

 &IGURE  /FlCE SPACE WITH ENTREPRENEURS n 6ARIATION
ACCORDING TO FAMILY BACKGROUND

%XISTED !LREADY
 0URCHASED
,EASED


0ERCENTAGE OF RESPONDENTS
.O PROPER OFlCE SPACE











&IRST 'ENERATION 3ECOND 'ENERATION 3ECOND 'ENERATION
%NTREPRENEURS %NTREPRENEURS IN %NTREPRENEURS IN
THE SAME BUSINESS DIFFERENT BUSINESS

 3OME )LLUSTRATIVE %XAMPLES OF )NFRASTRUCTURAL )SSUES )NTERESTINGLY

AN ENTREPRENEUR FROM "ANGALORE OPERATED FROM A MAKESHIFT OFlCE
INSIDE A 0#/ BOOTH IN HIS EARLY DAYS IN THE SERVICE INDUSTRY !NOTHER
ENTREPRENEUR ALSO FROM "ANGALORE STATED THAT POWER FAILURES POOR
BANDWIDTH AND INSUFlCIENT PUBLIC TRANSPORT LED HER TO INCUR HIGH
UNPLANNED COSTS )N ORDER TO ENSURE THE SMOOTH OPERATION OF HER
#UWFFGPURWTVQH BUSINESS SHE HAD TO PURCHASE GENERATORS lX ADDITIONAL INTERNET LINES
ITQYVJKPVJGUGEKVKGU AND EVEN PROVIDE HOUSING FOR HER EMPLOYEES NEAR HER OFlCE PREMISES
JCUNGFVQCPKPETGCUG !NOTHER PROBLEM THAT MANUFACTURING ENTREPRENEURS IN (YDERABAD
KPVJGFGOCPFHQTNCPF AND "ANGALORE IN PARTICULAR FACE IS THE SHORTAGE OF INDUSTRIAL LAND
TGUWNVKPIKPUJQTVCIGQH ! SUDDEN SPURT OF GROWTH IN THESE CITIES HAS LED TO AN INCREASE IN
KPFWUVTKCNGUVCVGUCUYGNN THE DEMAND FOR LAND RESULTING IN SHORTAGE OF INDUSTRIAL ESTATES AS
CUTCRKFGUECNCVKQPKP WELL AS RAPID ESCALATION IN LAND PRICES 7ITHOUT BASIC INFRASTRUCTURE
NCPFRTKEGU ENTREPRENEURS CANNOT ENVISAGE SHIFTING TO ALTERNATIVE PLACES OUTSIDE
THE MAIN CITY AS FEASIBLE %NTREPRENEURS ALSO MENTIONED DIFlCULTIES
IN TRANSPORTATION OF PHYSICAL GOODS !N ENTREPRENEUR FROM (YDERABAD
SAID THAT WHILE IT TAKES  DAYS FOR A CONSIGNMENT FROM (YDERABAD TO
REACH 53! IT WOULD TAKE ONLY  DAYS FROM #HINA #OMPLAINTS RELATING
TO POWER VARIED ACROSS REGIONS 7HILE THE INTERVIEWEES IN +OLKATA
COMPLAINED ABOUT INFERIOR QUALITY OF POWER SUPPLY ENTREPRENEURS IN
!HMEDABAD HAD ISSUES WITH THE HIGH COST OF POWER

 3OME 2ECENT )NITIATIVES 3INCE INADEQUATE INFRASTRUCTURE IS SEEN AS

A CRITICAL BOTTLENECK TO ECONOMIC GROWTH THE GOVERNMENT HAS GIVEN
HIGH PRIORITY TO QUALITY INFRASTRUCTURE DEVELOPMENT INCORPORATING
VARIOUS DELIVERY MECHANISMS SUCH AS 000S SEE "OX   4HE TOTAL


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6XUYH\

 %NTREPRENEURSHIP IN )NDIA
 INVESTMENT IN INFRASTRUCTURE IN   IS ESTIMATED TO BE AROUND 
OF '$0 4HE TOTAL INVESTMENT IN INFRASTRUCTURE IN THE %LEVENTH &IVE
9EAR 0LAN IS PROJECTED AT 2S    CRORE OR  OF '$0
!MONG THE KEY INFRASTRUCTURE DEVELOPMENT PROJECTS ARE THE .ATIONAL
(IGHWAYS $EVELOPMENT 0ROJECT .($0  0RADHAN -ANTRI 'RAM 3ADAK
9OJANA 0-'39  .ATIONAL -ARITIME $EVELOPMENT 0ROGRAMME "HARAT
.IRMAN FOR RURAL INFRASTRUCTURE *AWAHARLAL .EHRU .ATIONAL 5RBAN
2ENEWAL -ISSION *..52-  AND )NTEGRATED $EVELOPMENT OF 3MALL AND
-EDIUM 4OWNS )$3-4  !T THE SAME TIME THE PRIVATE SECTORS SHARE FOR
INVESTMENT IN INFRASTRUCTURE IS EXPECTED TO INCREASE FROM  TO 
DURING THE CURRENT 0LAN PERIOD SEE 4ABLE 

4ABLE  )NFRASTRUCTURE $ElCIT AND %LEVENTH 0LAN TARGETS

3ECTOR 4ARGET 8) 0LAN TARGETS

2OADS  KM OF .( COMPRISE ONLY  LANE  KM IN '1  LANE

(IGHWAYS  OF NETWORK  CARRY  OF  KM .3 %7  LANE 
TRAFlC   LANED  KM  LANE  KM  KM
 LANED AND  SINGLE LANED %XPRESSWAY

0ORTS )NADEQUATE BERTHS AND RAILROAD .EW CAPACITY  MN -4 IN

CONNECTIVITY MAJOR PORTS  MN -4 IN MINOR
PORTS

!IRPORTS )NADEQUATE RUNWAYS AIRCRAFT -ODERNIZE  METRO AND  NON

HANDLING CAPACITY PARKING SPACE METRO AIRPORTS  GREENlELD IN
AND TERMINAL BUILDINGS .%  OTHER GREENlELD AIRPORTS

2AILWAYS /LD TECHNOLOGY SATURATED ROUTES  KM NEW RAIL  KM

SLOW SPEEDS FREIGHT  KMPH GAUGE CONVERSION MODERNIZE
PASSENGERS  KMPH  LOW  STATIONS DEDICATED FREIGHT
PAYLOAD TO FARE RATIO  CORRIDORS

0OWER  PEAKING DElCIT  ENERGY !DD  -7 ACCESS TO ALL
SHORTAGE  TRANSMISSION AND RURAL HOUSEHOLDS
DISTRIBUTION LOSSES ABSENCE OF
COMPETITION

)RRIGATION  "#- UTILIZABLE WATER
RESOURCES YET NEAR CRISIS IN PER
CAPITA AVAILABILITY AND STORAGE
ONLY  OF NET SOWN AREA
IRRIGATED
$EVELOP  MHA MAJOR AND MINOR
WORKS  MHA #!$  MHA
mOOD CONTROL

4ELECOM)4 /NLY  OF MARKET ACCESSED 2EACH  MN SUBSCRIBERS

OBSOLETE HARDWARE ACUTE HUMAN n  MN IN RURAL AREAS  MN
RESOURCES SHORTAGES BROADBAND  MN INTERNET

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&KDSWHU'HYHORSPHQWRI,QIUDVWUXFWXUH(OHYHQWK)LYH<HDU3ODQWK1'&0HHWLQJ

"USINESS %NVIRONMENT AND %NTREPRENEURSHIP 

 "OX  000 IN )NDIA
0UBLIC 0RIVATE 0ARTNERSHIP 000 IN INFRASTRUCTURE REFERS TO A PROJECT
BASED ON A CONTRACT OR CONCESSION AGREEMENT BETWEEN A GOVERNMENT OR
STATUTORY ENTITY ON THE ONE SIDE AND A PRIVATE SECTOR COMPANY ON THE
OTHER FOR DELIVERING AN INFRASTRUCTURE SERVICE UPON PAYMENT OF USER
CHARGES 4HE 'OVERNMENT OF )NDIA HAS ESTABLISHED A #ABINET #OMMITTEE
ON )NFRASTRUCTURE #O) AND A HIGH LEVEL #OMMITTEE OF 3ECRETARIES #O3 
IN ADDITION TO SECTOR WISE TASK FORCES TO STREAMLINE RAPID DECISION MAKING
AND OPERATIONALIZE 000S IN HIGHWAYS AIRPORTS SEA PORTS POWER GENERATION
RAILWAYS ETC )T HAS INITIATED THE 6IABILITY 'AP &UNDING 6'& SCHEME AND
ESTABLISHED THE )NDIA )NFRASTRUCTURE &INANCE #OMPANY ,IMITED ))&#, TO
PROVIDE LONG TERM DEBT lNANCE TO 000 PROJECTS AND HAS INTENSIlED ITS
EFFORTS ON STRENGTHENING PUBLIC SECTOR CAPACITY AND ENABLING ENVIRONMENT
FOR ATTRACTING PRIVATE SECTOR PARTICIPATION IN INFRASTRUCTURE /VERALL THE
GOVERNMENT SEES 000S AS AN IMPORTANT TOOL FOR PRODUCING AN ACCELERATED
AND LARGER PIPELINE OF INFRASTRUCTURE INVESTMENTS AND CATCHING UP WITH THE
INFRASTRUCTURE DElCIT IN THE COUNTRY

7HILE  000 PROJECTS HAVE BEEN CONTRACTED THERE ARE AN ESTIMATED 
000 PROJECTS THAT EXIST IN )NDIA TOGETHER VALUED AT ABOUT 2S  BILLION
IN  STATES AND THREE CENTRAL AGENCIES 4HE ROADS AND PORT SECTORS
CONSTITUTE A MAJOR PORTION OF THE NUMBER AND SIZE OF 000S 4ILL /CTOBER
  PROPOSALS HAVE BEEN GIVEN IN PRINCIPLE APPROVAL UNDER THE 6'&
3EE @&ACILITATING 0UBLIC 0RIVATE 0ARTNERSHIP FOR !CCELERATED )NFRASTRUCTURE
$EVELOPMENT IN )NDIA 2EGIONAL 7ORKSHOP OF #HIEF 3ECRETARIES ON 000
$ECEMBER 

000S CONTRIBUTE PRIVATE CAPITAL AND MANAGERIAL EFlCIENCIES TO ENHANCE PUBLIC

SERVICES 3OME OF THE 000S MAY PROVIDE ENTREPRENEURIAL OPPORTUNITIES WHERE
NONE EXISTED BEFORE &OR EXAMPLE THE TASK OF MODERNIZING AIRPORTS IN VARIOUS
CITIES IN )NDIA HAS RECEIVED A lLLIP DUE TO THE INVOLVEMENT OF PRIVATE PLAYERS
SUCH AS THE '-2 'ROUP WHO HAD THEMSELVES STARTED AS ENTREPRENEURS

&QGUVJG5VCVGHCEKNKVCVG'PVTGRTGPGWTUJKR!

 'ENERAL 'OVERNMENT &ACILITATION 4HE .+# 3TUDY FOUND A SIGNIlCANT

MAJORITY OF ENTREPRENEURS SAYING THAT THE GOVERNMENT IS GENERALLY
@NOT HELPFUL )N THE INTERVIEWS  OF THE ENTREPRENEURS RATED
@HELPFULNESS OF GOVERNMENT AS @EXTREMELY UNSATISFACTORY OR @SOMEWHAT
UNSATISFACTORY SEE &IGURE   3OME ENTREPRENEURS SAID THAT WHILE THE
GOVERNMENT HAS SOME VERY SIGNIlCANT POLICIES TO HELP ENTREPRENEURS
THE IMPLEMENTATION OF THESE POLICIES IS EXTREMELY POOR 3OME WERE OF
THE VIEW THAT GOVERNMENT SCHEMES AND INITIATIVES ARE NOT PUBLICIZED
ADEQUATELY /THERS SAID THAT CORRUPTION AND RED TAPISM RESULT IN THE
SCHEMES NOT REACHING THE TARGETED PEOPLE #URRENTLY THERE ARE A NUMBER

 %NTREPRENEURSHIP IN )NDIA
 OF POLICIES AND SCHEMES IN PLACE TO PROMOTE AND ASSIST ENTREPRENEURS
IN )NDIA AT CENTRAL AND STATE LEVELS 4HE -INISTRY OF -ICRO 3MALL
AND -EDIUM %NTERPRISES ALSO PROVIDES A PACKAGE OF INCENTIVES
AND SUBSIDIES FOR THE PROMOTION OF MICRO AND SMALL ENTERPRISES
3EE "OX   4HE CHALLENGE IS TO MAKE THE POLICIES INTO CATALYSTS FOR
DRIVING %NTREPRENEURSHIP IN )NDIA

&IGURE  (ELPFULNESS OF GOVERNMENT





%XTREMELY UNSATISFACTORY

3OMEWHAT UNSATISFACTORY
!VERAGE

3OMEWHAT SATISFACTORY
%XTREMELY SATISFACTORY



"OX  0ACKAGE FOR 0ROMOTION OF 3MALL AND -EDIUM

%NTREPRENEURS 
 ,EGISLATION 4HE -ICRO 3MALL AND -EDIUM %NTERPRISES $EVELOPMENT
"ILL  HAS BEEN ENACTED FOR THE PROMOTION AND DEVELOPMENT OF MICRO
SMALL AND MEDIUM ENTERPRISES 4HE 'OVERNMENT IS ALSO EXPECTED TO ENACT
RELEVANT LAW ON ,IMITED ,IABILITY 0ARTNERSHIPS

 #REDIT 3UPPORT 2") HAS ISSUED GUIDELINES TO THE PUBLIC SECTOR BANKS
TO ENSURE  YEAR ON YEAR GROWTH IN CREDIT TO THE 3-% SECTOR 4HE 3TATE
)NDUSTRIAL $EVELOPMENT "ANK OF )NDIA 3)$") IS EXPECTED TO UPSCALE
ITS CREDIT OPERATIONS FOR MICRO ENTERPRISES AND COVER  LAKH ADDITIONAL
BENElCIARIES OVER lVE YEARS BEGINNING   4HE 5NION 'OVERNMENT
TO PROVIDE GRANTS TO 3)$") TO AUGMENT ITS 0ORTFOLIO 2ISK &UND AND ENABLE
IT TO CREATE A 2ISK #APITAL &UND 4O STRENGTHEN THE #REDIT 'UARANTEE &UND
THE CORPUS OF THE FUND IS EXPECTED TO BE RAISED FROM 2S  CRORE AS OF
 !PRIL  TO 2S  CRORE OVER A PERIOD OF  YEARS

 &ISCAL 3UPPORT 4HE 'OVERNMENT IS EXPECTED TO EXAMINE THE FEASIBILITY

OF INCREASE IN THE 'ENERAL %XCISE %XEMPTION '%% LIMIT AND THE EXISTING
ELIGIBILITY LIMIT FOR '%% ALSO CONSIDER EXTENDING THE TIME LIMIT FOR PAYMENT
OF EXCISE DUTY BY MICRO AND SMALL ENTERPRISES AND EXTENDING THE '%%
#ONTD


6RPHH[DPSOHVLQFOXGHWKH)RRG3URFHVVLQJ3ROLF\$XWR3ROLF\,QIRUPDWLRQ7HFKQRORJ\$FWDQG1DWLRQDO-XWH3ROLF\

"USINESS %NVIRONMENT AND %NTREPRENEURSHIP 

 #ONTD

BENElTS TO SMALL ENTERPRISES ON THEIR GRADUATION TO MEDIUM ENTERPRISES

FOR A LIMITED PERIOD

 3UPPORT FOR #LUSTER "ASED $EVELOPMENT !CCELERATE THE HOLISTIC

DEVELOPMENT OF CLUSTERS INCLUDING PROVISION OF #OMMON &ACILITY #ENTRES
DEVELOPED SITES FOR NEW ENTERPRISES UPGRADATION OF EXISTING INDUSTRIAL
INFRASTRUCTURE AND PROVISION OF %XHIBITION 'ROUNDS(ALLS AND ALSO FOR
CREATION AND MANAGEMENT OF INFRASTRUCTURE RELATED ASSETS IN THE PUBLIC
PRIVATE PARTNERSHIP MODE 4HE CEILING ON PROJECT COST IS EXPECTED TO BE
RAISED TO 2S  CRORE

 4ECHNOLOGIES AND 1UALITY 5PGRADATION 3UPPORT &OUR 4RAINING

CUM 0RODUCT $EVELOPMENT #ENTRES 40$#S FOR AGRO  FOOD PROCESSING
INDUSTRIES TO BE SET UP ! 4ECHNOLOGY -ISSION TO BE SET UP TO ASSIST
-3-%S IN TECHNOLOGY UPGRADATION ENERGY CONSERVATION AND POLLUTION
MITIGATION

 3UPPORT FOR %NTREPRENEURIAL AND -ANAGERIAL $EVELOPMENT 

ENTREPRENEURS TO BE TRAINED IN INFORMATION TECHNOLOGY CATERING AGRO
AND FOOD PROCESSING PHARMACEUTICALS BIOTECHNOLOGY ETC DURING THE
%LEVENTH 0LAN A NEW SCHEME TO BE FORMULATED TO PROVIDE lNANCIAL
ASSISTANCE TO SELECT MANAGEMENTBUSINESS SCHOOLS AND TECHNICAL
INSTITUTES TO CONDUCT TAILOR MADE COURSES FOR NEW AS WELL AS EXISTING
MICRO AND SMALL ENTREPRENEURS A NEW SCHEME TO BE ALSO BE FORMULATED
TO PROVIDE lNANCIAL ASSISTANCE TO lVE SELECT UNIVERSITIESCOLLEGES TO RUN
 ENTREPRENEURIAL CLUBS
6RXUFHKWWSZZZODJKXXG\RJFRPSXEOLFDWLRQVFLUFXODUV*D]1RWSURPRWLRQBSDFNDJHBHQJOLVKSGI

 %NTREPRENEURSHIP IN )NDIA
 %JCRVGT5WOOCT[
! CRITICAL PREREQUISITE FOR NURTURING "USINESS  RATE )NDIA POORLY ON INDICATORS OF
%NTREPRENEURSHIP IS THE CREATION OF A FAVOURABLE THE BUSINESS ENVIRONMENT !CCORDING TO THE $OING
BUSINESS ENVIRONMENT 4HE KEY PARAMETERS OF "USINESS REPORT )NDIA RANKS TH OUT OF 
A CONDUCIVE BUSINESS ENVIRONMENT INCLUDE THE COUNTRIES ON CONDUCIVE BUSINESS ENVIRONMENT
SMOOTH mOW OF INFORMATION EASE OF STARTING A 4HERE ARE A NUMBER OF INITIATIVES AT THE CENTRAL
BUSINESS AND OBTAINING VARIOUS CLEARANCES AND AND STATE LEVELS WHICH AIM AT IMPROVING THE
PERMITS EASE OF lLING TAXES AN EFlCIENT LEGAL EASE OF DOING BUSINESS )N FACT THE 7ORLD "ANK

SYSTEM ENABLING LEGISLATIONS AND REGULATIONS )&# REPORT SAYS THAT )NDIA CAN JUMP  PLACES
ABSENCE OF CORRUPTION AND WORLD CLASS FROM ITS CURRENT RANK IF SOME OF ITS OWN LOCAL BEST
INFRASTRUCTURE FACILITIES (ALF OF THE ENTREPRENEURS PRACTICES ARE ADOPTED NATION WIDE &OR EXAMPLE
INTERVIEWED HAVE ENCOUNTERED PROBLEMS RELATING THE -INISTRY OF #OMPANY !FFAIRS HAS INITIATED THE
TO OBTAINING CLEARANCES AND LICENSES 4WO
THIRDS -#!
 PROJECT DESIGNED TO FULLY AUTOMATE ALL
HAVE FACED HASSLES WHILE lLING TAXES !BOUT PROCESSES RELATED TO THE PROACTIVE ENFORCEMENT
 OF THE ENTREPRENEURS INTERVIEWED HAVE AND COMPLIANCE OF THE LEGAL REQUIREMENTS UNDER
ENCOUNTERED CORRUPTION AT SOME POINT DURING THE #OMPANIES !CT  /THER SUGGESTIONS
THEIR ENTREPRENEURIAL JOURNEY %NTREPRENEURS TO IMPROVE THE BUSINESS ENVIRONMENT FOR
HAVE ALSO EMPHASIZED THE LACK OF INFORMATION %NTREPRENEURSHIP INCLUDE THE FOLLOWING
AS WELL AS POOR IMPLEMENTATION OF GOVERNMENT MEANINGFUL IMPLEMENTATION OF THE 3INGLE 7INDOW
SCHEMES AS SIGNIlCANT IMPEDIMENTS !BOUT 3YSTEM 3INGLE #OMPOSITE !PPLICATION &ORM
 OF ENTREPRENEURS STRESSED THAT THE LACK OF 000S IN INFRASTRUCTURE SPECIALIZED COMMERCIAL
AVAILABILITY OF QUALITY INFRASTRUCTURE n TRANSPORT COURTS RELEVANT AMENDMENTS IN COMPANY LAWS TO
POWER AND TELECOMMUNICATIONS n IS A CRITICAL
PROBLEM RESTRICTING %NTREPRENEURSHIP
ENGINEERING IN E
GOVERNANCE .+#
7HILE )NDIA HAS THE POTENTIAL TO DERIVE COMPARATIVE
INTRODUCE ,,0S SETTING UP @ONE STOP SHOPS FOR
INFORMATION NEEDS AND IMPROVING TAX PROCESSES
AND PROCESS RE
ALSO PROPOSES TO EXPLORE THE POSSIBILITY OF HAVING
ADVANTAGE IN HUMAN RESOURCES SKILLS DEMOGRAPHIC AN ALL ENCOMPASSING WEBSITE ON %NTREPRENEURSHIP
PROlLE AND GROWING DOMESTIC DEMAND RECENT AS A ONE STOP INFORMATION PORTAL FOR CURRENT AND
STUDIES SUCH AS THE 7ORLD "ANK REPORT @$OING ASPIRING ENTREPRENEURS

"USINESS %NVIRONMENT AND %NTREPRENEURSHIP 

 %JCRVGT8++

#ONCLUSION
%NCOURAGING %NTREPRENEURSHIP
%QORTGJGPUKXG%CORCKIP
 ! COMPREHENSIVE CAMPAIGN TO RAISE THE TEMPO OF %NTREPRENEURSHIP IN
)NDIA WILL NECESSARILY NEED THE CONCERTED EFFORTS OF A NUMBER OF AGENCIES
"ASED ON THE NARRATIVE IN THE PREVIOUS CHAPTERS AND INTERVIEWS WITH
STAKEHOLDERS THERE ARE A FEW KEY ACTION POINTS THAT WILL ENCOURAGE AND
ENHANCE %NTREPRENEURSHIP IN THE COUNTRY !S SEEN IN PREVIOUS CHAPTERS
ENHANCING %NTREPRENEURSHIP INVOLVES THE COMMUNITY FAMILY ACADEMIA
lNANCIAL PLAYERS GOVERNMENT INDUSTRY AND POTENTIAL ENTREPRENEURS
THEMSELVES 0ROMOTING %NTREPRENEURSHIP MEANS ENCOURAGING PEOPLE TO
BE SELF RELIANT IN TAKING ECONOMIC DECISIONS AND CREATING WEALTH AND
EMPLOYMENT .+# BELIEVES THAT %NTREPRENEURSHIP HAS ENORMOUS SCOPE
IN )NDIAS GROWTH STORY

 !DVICE TO %NTREPRENEURS $URING THE INTERVIEWS ENTREPRENEURS WERE

ASKED WHAT ADVICE THEY WOULD LIKE TO OFFER TO UPCOMING ENTREPRENEURS
"ELOW IS A LIST OF ILLUSTRATIVE RESPONSES

 )NCREASE
z NETWORKS WITH OTHER ENTREPRENEURS TO ENCOURAGE SHARING OF
IDEAS AND EXPERIENCES AND TO MENTOR UPCOMING ENTREPRENEURS
 $OCUMENT
z FAILURES AS MUCH AS SUCCESSES AND LEARN FROM EACH
EXPERIENCE
 )NVEST
z IN PEOPLE AND BUILD TEAMS THAT FOLLOW INCLUSIVE APPROACHES
ADDRESS THE NEEDS OF TALENT AT ALL LEVELS  DEVELOP INCENTIVES AND
BOLSTER HUMAN RESOURCES n @TRANSLATE BUSINESS STRATEGY INTO TALENT
STRATEGY
 5NDERSTAND
z THE PRODUCT AND MARKETS WELL
 #ONDUCT
z EXTENSIVE BACKGROUND RESEARCH ESPECIALLY ON MARKETING AND
lNANCIAL ASPECTS
 &OCUS
z ON QUALITY n @#OST IS FORGOTTEN QUALITY NEVER
 -ATCH
z THE SKILLS MINDSETS AND BELIEFS WITH THE BUSINESS VENTURE
n FOCUS ON CORE STRENGTH AND EXCEL
 $O
z NOT CLING ON TO THE VENTURE n ESPECIALLY IN UP SCALING n HIRE
INDIVIDUALS WHO ARE BETTER THAN YOU IF YOU ARE RESPONSIBLE GIVE
AUTONOMY AND DIVEST AUTHORITY
 "E
z OPEN TO IDEAS 4AKE INFORMED RISKS

#ONCLUSION %NCOURAGING %NTREPRENEURSHIP 

  (ARD
z WORK PERSISTENCE PERSEVERANCE CONlDENCE n THESE ARE THE
@MUST QUALITIES FOR EVERY ENTREPRENEUR
 "E
z HONEST n NEVER COMPROMISE ON ETHICS OR OFFER BRIBES
 "UILD
z STRONG FOUNDATIONS AND THEN GROW TAKE INCREMENTAL STEPS
 ! HISTORY
z OF PAYING TAXES AND HAVING A DECENT BALANCE SHEET HELPS
WHEN YOU APPROACH LENDING INSTITUTIONS
 0OSSESS
z @FEROCIOUS AMBITION AND BELIEVE THAT THE @SKY IS THE LIMIT
 $EVELOP
z CLEAR BUSINESS PLANS AND TARGETS FOR GROWTH
 5NDERTAKE INFORMATION DISCLOSURES AND PARTICIPATE IN THE DEVELOPMENT
z

OF THE RATING PROCESSES OF BANKS TO ENABLE BETTER RISK MANAGEMENT

FOR lNANCE
 7HAT THE 'OVERNMENT #AN $O

%NCOURAGE A CONDUCIVE BUSINESS ENVIRONMENT ENSURE SIMPLIlED START

UP PROCESSES IMPROVE THE DELIVERY TIME REDUCE CORRUPTION COLLATE
INFORMATIONAL NEEDS OF START UPS IMPROVE CORPORATE GOVERNANCE
NORMS CREATE AN ENVIRONMENT THAT WILL REDUCE RISK AND ENCOURAGE
MORE SEED FUNDS AND CORPORATE PLAYERS TO PROVIDE START UP FUNDING )N
PARTICULAR

 #REATE
z UP TO DATE INFORMATION SOURCE FOR START UP ENTREPRENEURS
IN THE FORM OF SOURCE BOOKS WEB PORTALS AND @ONE STOP SHOPS AND
WIDEN DISSEMINATION OF ALL RELEVANT INFORMATION
 )NTRODUCE
z A 3INGLE 5NIQUE #OMPANY .UMBER TO BE USED BY NEW
BUSINESSES FOR COMPANY SOCIAL SECURITY AND TAX REGISTRATIONS
 )MPROVE
z THE CURRENT 3INGLE 7INDOW 3YSTEM OF GETTING CLEARANCES
AND INTRODUCE A 3INGLE #OMPOSITE !PPLICATION &ORM
 %ASE
z THE PROCESS OF lLING TAXES BY REDUCING THE FREQUENCY OF TAX
PAYMENTS AND MULTIPLICITY OF PROCEDURES
 #REATE
z SPECIALIZED COMMERCIAL COURTS FOR SPEEDY ENFORCEMENT OF
CONTRACTS
 2EFORM
z BANKRUPTCY LAWS TO EASE THE PROCESS OF CLOSING DOWN
BUSINESSES
 3PEED
z UP DEVELOPMENT OF WORLD CLASS INFRASTRUCTURE
 %NSURE
z PROPER PUBLICITY AND IMPLEMENTATION OF VARIOUS PROMOTIONAL
SCHEMES AND POLICIES
 3ET
z UP A 0UBLIC &UND FOR NEW ENTREPRENEURS USING INNOVATIVE 000
MECHANISMS
 %XPLORE
z VENTURE DEBT INSTRUMENTS WITH THE HELP OF INNOVATIVE 000
MECHANISMS THROUGH 3)$") AND SIMILAR INSTITUTIONS
 %STABLISH
z A SECONDARY MARKET FOR TRADE IN STOCKS OF SMALLER
COMPANIES

 %NTREPRENEURSHIP IN )NDIA
 $EVELOP
z A COMPREHENSIVE )NCUBATION 0OLICY AT THE NATIONAL LEVEL
WHICH WOULD INCREASE QUANTITY ENHANCE QUALITY AND INCREASE ACCESS
TO lNANCING
 %XPLORE
z CRUCIAL INCENTIVE STRUCTURES IN )NCUBATION SUCH AS LAND
SCHEMES GIVEN THE LEVEL OF INFRASTRUCTURE PROBLEMS THAT START UPS
FACE  TAX SOPS BANKING POLICIES MICRO FUNDS INNOVATIVE lNANCIAL
SCHEMES OUTCOME MEASUREMENT AND DELIVERY MECHANISMS
 %XPLORE
z POSSIBILITIES OF 000 AS WELL AS PRIVATE INCUBATION CENTRES AS
A WAY TO INCREASE THE NUMBER OF INCUBATION CENTRES IN THE COUNTRY
AND THEREBY PROVIDING WIDER ACCESS TO INCUBATION OPPORTUNITY FOR
NEW ENTREPRENEURS
 .+#
z HAS ALREADY RECOMMENDED THAT THE 'OVERNMENT SHOULD SET
UP A 'LOBAL 4ECHNOLOGY !CQUISITION &UND IN )NTELLECTUAL 0ROPERTY
)0  WHICH CAN ENABLE CRUCIAL TECHNOLOGY ACQUISITION ACROSS THE
WORLD ESPECIALLY FOR 3-%S &UNDS COULD BE PLACED WITH A lNANCIAL
INSTITUTION OR A SPECIAL PURPOSE VEHICLE 306 COULD BE CREATED TO
MANAGE THE FUND WITH MEMBERS OF INDUSTRY AND GOVERNMENT INVITED
ON THE BOARD 2ELEVANT lNANCIAL INSTRUMENTS INCLUDING SUPPORT IN
THE FORM OF LOANS AND EQUITY COULD BE EVOLVED FOR SUCH TECHNOLOGY
INTENSIVE ACQUISITION
 .+#
z HAS ALSO SUGGESTED THE NEED TO ENACT LEGISLATION THAT CREATES A
LEGAL FRAMEWORK FOR PUBLIC FUNDED RESEARCH 3UCH LEGISLATION WOULD
GIVE UNIVERSITIES AND RESEARCH INSTITUTIONS OWNERSHIP AND PATENT
RIGHTS AND CREATE AN ENABLING ENVIRONMENT FOR THEM TO COMMERCIALIZE
SUCH INVENTIONS THROUGH LICENSING ARRANGEMENTS WHERE THE INVENTORS
WOULD ALSO RECEIVE A SHARE OF ROYALTIES
 &RAME
z APPROPRIATE POLICES TO ENCOURAGE INNOVATION AMONG SMALLER
INSTITUTIONS AND COMPANIES AND ENCOURAGE TRANSITION AMONG 2$
EDUCATIONAL INSTITUTIONS
 'IVE HIGH PRIORITY TO 6%4 POLICY AND BRING ABOUT A TRANSFORMATION IN THE
z

SECTOR THROUGH INNOVATIVE DELIVERY MODELS RE BRANDING IMPROVING

CERTIlCATION AND MONITORING AS WELL AS INCREASING mEXIBILITY OF 6%4
WITH THE HIGHER EDUCATION STREAM
 %XPLORE PERFORMANCE BASED MODELS IN 6%4 POLICY THAT LINKS INCENTIVES
z

TO OUTCOMES )NCENTIVIZE 3#64S AND STATES ASSESS THE ENTRY STAGE

REQUIREMENTS OF EACH TRAINEE ALIGN lNANCIAL INCENTIVES TO TEACHING
OF REQUISITE %NGLISH LANGUAGE SKILLS AS WELL AS TO A TRANSPARENT
INDUSTRY BACKED CERTIlCATION SYSTEM FOR EACH TRAINEE %NCOURAGE
LEARNING BY DOING EARNING CONNECT lNANCING TO PERFORMANCE
BASED OUTCOMES THROUGH NATIONWIDE PUBLICATION AND DISSEMINATION
OF LEARNING OUTCOMES IN THE FORM OF A 6OCATIONAL 3KILL 0RIMER
THAT MEASURES EACH 6%4 INSTITUTION PUBLICATION OF PERFORMANCE
BASED OUTCOMES BECOMES THEREFORE THE lRST STEP IN DEVELOPING A
TRANSPARENT INDEPENDENT RATING SYSTEM IN 6%4

#ONCLUSION %NCOURAGING %NTREPRENEURSHIP 

  $EVELOP
z RECOGNITION AND REWARD SYSTEMS FOR %NTREPRENEURSHIP AT THE
LOCAL STATE AS WELL AS NATIONAL LEVELS SUCH AS THOSE INSTITUTED BY
-3-% AT THE NATIONAL LEVEL 
 )MPLEMENT
z FAR REACHING CHANGES IN HIGHER EDUCATION POLICY TO
ENHANCE QUALITY QUANTITY AND INCLUSIVENESS
 -ODERNIZE
z AND MAKE TRANSPARENT AND ACCESSIBLE )02 INFRASTRUCTURE
 %XPLORE THE POSSIBILITY OF INNOVATIVE SOCIAL SECURITY FOR ENTREPRENEURS
z
TO ENCOURAGE ABILITY TO TAKE RISKS
 (OW CAN #HAMBERS OF #OMMERCE)NDUSTRIAL !SSOCIATIONS/THER
.ETWORKS (ELP

 #HAMBERS
z NEED TO TAKE ACTIVE STEPS TO GIVE PROMINENCE TO REGULAR
ENTREPRENEURIAL MEETINGS DISCUSSIONS AND NETWORKING
 #HAMBERS
z NEED TO GO BEYOND MID SIZE AND LARGE COMPANIES TO REACH
OUT TO YOUNG ENTREPRENEURS
 3CALE
z UP CURRENT INITIATIVES ON %NTREPRENEURSHIP COORDINATE ACROSS
ASSOCIATIONS AND NETWORKS AND BEYOND METROPOLITAN CITIES AND TOP
EDUCATIONAL INSTITUTIONS
 #REATE
z NETWORKS OF %NTREPRENEURSHIP INITIATIVES THAT ARE BEING
UNDERTAKEN ACROSS THE COUNTRY
 3TRENGTHEN
z MENTORING PROGRAMMES FOR UPCOMING ENTREPRENEURS AND
ACTIVELY LEVERAGE NETWORKS WITH SUCCESSFUL ENTREPRENEURS
 0ROVIDE
z PLATFORMS FOR DISCUSSING ENTREPRENEURIAL BEST PRACTICES AND
EXPERIENCES BY HOLDING NATION WIDE WORKSHOPS
 #REATE
z FORUMS FOR PARTNERSHIPS WITH AND MENTORING BY lNANCIAL
INSTITUTIONS
 2OLE OF %DUCATIONAL )NSTITUTIONS2$ #ENTRES
 $EVELOP
z CONTENT LEARNING METHODS PEDAGOGY EXAMINATION
SYSTEMS AND CURRICULA THAT ENCOURAGE CRITICAL AND LATERAL THINKING
INCORPORATE CASE STUDIES OF REAL LIFE SITUATIONS IN THE CURRICULUM
SO THAT STUDENTS ARE ABLE TO GET A @CONCRETE FEEL OF THE OUTSIDE
WORLD INTRODUCE MANUALS IN SCHOOL CURRICULA ON @(OW 4HINGS 7ORK
ON VARIOUS PRACTICAL ASPECTS OF EVERYDAY LIVING EXPLORE IDEAS FOR
mEXIBILITY OF VOCATIONAL EDUCATION WITH MAINSTREAM EDUCATION FOR
GREATER LINKAGES BETWEEN THEORY AND PRACTICE
 -AKE
z %NTREPRENEURSHIP A CORE SUBJECT IN BUSINESS SCHOOLS INCLUDING
TOPICS RELATING TO BUSINESS ETHICS EARLY ENTERPRISE MANAGEMENT
RELEVANT ASPECTS OF SCALING UP )NDIAN CORPORATE LAW AND RELEVANT
INTERNATIONAL LAWS IN CURRICULA EXPLORE POSSIBILITIES OF ESTABLISHING
ENTREPRENEURSHIP SCHOOLS AT THE UNDERGRADUATE AND POST GRADUATE
LEVELS SUCH AS THE ONE ENVISAGED AT ))4 +HARAGPUR WITH POSSIBLE
ALUMNI AND .2) INVOLVEMENT

 %NTREPRENEURSHIP IN )NDIA
 %NCOURAGE
z STUDENT LED ENTREPRENEURIAL ACTIVITIES IN CAMPUS WITH
ACTIVE STAKEHOLDER PARTICIPATION ENCOURAGE INITIATIVES SUCH AS
BUSINESS PLAN CONTESTS WITH ANGEL6#PRIVATE SECTOR ASSISTANCE BY
HOLDING @%NTERPRISE -ELAS %NCOURAGE ACTIVITIES THAT DEAL WITH THE
BASIC PRACTICALITIES OF %NTREPRENEURSHIP AND PLATFORMS TO INTERACT
WITH VARIOUS ENTREPRENEURS THE lNANCIAL COMMUNITY ESPECIALLY 6#S
AND ANGELS AND RELEVANT NETWORKS
 3ET UP %NTERPRISE #ENTRES IN MAJOR EDUCATIONAL AND RESEARCH CENTRES WITH
z
INDUSTRY LINKAGES PARTNERSHIPS AND SUPPORTING INCUBATION ACTIVITIES
 #REATE
z GREATER LINKAGES WITH INDUSTRY PROVIDE mEXIBLE OPTIONS AND
SUPPORTING ENVIRONMENT FOR THOSE WITH 0H$ DEGREES TO TRANSLATE HIGH
TECH INNOVATIONS INTO WEALTH GENERATING IDEAS AND ENTREPRENEURIAL
VENTURES ENABLE RESEARCHERS TO SET UP COMMERCIAL ENTITIES WHILE
IN PROFESSIONAL EMPLOYMENT WITH RESEARCH ORGANIZATIONS FACILITATE
MOBILITY AND mEXIBILITY ENCOURAGE UNIVERSITIES RESEARCH ORGANIZATIONS
TO ESTABLISH COMMERCIAL ENTERPRISES BASED ON THEIR NEW INVENTIONS
 %NABLE RESEARCH ORGANIZATIONS TO INVEST THROUGH KNOWLEDGE POSITIONING
z
INVENTIONS AND INNOVATIONS AS EQUITY IN THE NEW ENTERPRISES
 "USINESS )NCUBATION #ENTRES
 -AKE
z INCUBATION A CORE BUSINESS PROPOSITION TO TRIGGER
%NTREPRENEURSHIP
 $EVELOP FEASIBLE BUSINESS MODELS AT THE INCUBATION STAGE WHICH ALIGN
z
INCENTIVE STRUCTURES TOWARDS MEASURABLE PERFORMANCE OUTCOMES AND
PROVIDE STAKE IN THE OUTCOMES THROUGH KNOWLEDGE EQUITY ETC 
z%MPHASIZE THE lNANCIAL AND COMMERCIALIZATION ASPECTS OF INCUBATION
IE ON THE FEASIBILITY OF TAKING AN IDEA TO MARKET UNDERSTANDING RISK
MITIGATION MEASUREMENT STRATEGY CASH mOWS ANALYSIS OF BUSINESS
FAILURES ETHICS ETC AND NOT ONLY TECHNICAL FEASIBILITY WHERE THE
lNANCIAL COMMUNITY CAN PLAY A SIGNIlCANT ROLE
z!CTIVELY INVOLVE INDUSTRY OTHER SUCCESSFUL ENTREPRENEURS ANGELS
6#S BANKS CHAMBERS OF COMMERCE ASSOCIATIONS ETC AS PART OF THE
SOCIAL NETWORKS FOR MENTORING THEREBY SUPPLEMENTING THE EFFORTS OF
ACADEMICS WITHIN THE EDUCATIONAL INSTITUTIONS
z$EVELOP FORMAL AND INFORMAL SYSTEMS OF ACTIVE REGULAR MENTORING
BY SUCCESSFUL ENTREPRENEURS PLATFORMS FOR NETWORKING AND PEER
RECOGNITION AND HONOUR SUCCESSFUL EMERGING ENTREPRENEURS AT
REGULAR INTERVALS
 7IDEN INCUBATION AND MENTORING BEYOND TECHNOLOGY RELATED VENTURES
z

ALUMNI AND CENTRES OF EXCELLENCE IN METROPOLITAN CENTRES

 7IDEN
z THE INCUBATION HORIZON BEYOND THE START UP STAGE TO ALSO
INCLUDE SCALING UP
 (OLD
z NATIONAL AND STATE LEVEL INCUBATION SEMINARS AND WORKSHOPS

#ONCLUSION %NCOURAGING %NTREPRENEURSHIP 

  2OLE OF THE &INANCIAL #OMMUNITY
 "ANKS
z MUST CONSIDER %NTREPRENEURSHIP AS A MAJOR BUSINESS
OPPORTUNITY
 %XPLORE
z INNOVATIVE OPTIONS SUCH AS VENTURE DEBT SOFT LOANS ETC FOR
START UPS
 %NCOURAGE
z CURRENT EFFORTS ON DEVELOPMENT OF SYSTEMATIC RISK
MANAGEMENT SYSTEMS 3-%2! CREDIT RATINGS #)"), INFORMATION
DISCLOSURES #!24 CREDIT APPRAISAL TOOLS 2!- RISK ASSESSMENT MODELS
ETC AS WAYS TO INCREASE RISK APPETITE
 )NCENTIVIZE
z ENTREPRENEURS TO UNDERTAKE RATINGS AND INFORMATION
DISCLOSURES BY LINKING COST OF CREDIT TO RATINGS WHERE MORE HOLISTIC
IDEAS OF RISK CAN BE EVOLVED 
 %NCOURAGE
z THE SETTING UP OF SPECIAL INDUSTRIAL AND MANAGEMENT
CONSULTANCY DEPARTMENTS IN BANKS TO ADDRESS FUNCTIONAL INADEQUACIES
AND MARKET GAPS AS WELL AS DEVELOP MULTI DIMENSIONAL SKILLS AND
INCREASED INFORMATION mOWS TO ENCOURAGE ENTREPRENEURIAL FUNDING
 !CTIVELY
z ASSIST ENTREPRENEURS TO DEVELOP MULTIPLE SKILLS NECESSARY FOR
SCALING UP
 )MPLEMENT
z SIGNIlCANT POLICY INITIATIVES INCLUDING RELEVANT 2")
RECOMMENDATIONS WHICH FACILITATE EASE OF CREDIT mOW TO SMALL
ENTREPRENEURS
 "ANKS
z NEED TO REDUCE INFORMATION ASYMMETRIES AT VARIOUS LEVELS
AND DISSEMINATE INFORMATION ON VARIOUS RELEVANT ISSUES RATINGS
POLICIES SCHEMES CONSULTANCIES ETC 
 "ANKS
z COULD EXPLORE WAYS TO MONETIZE ASPECTS OF THE KNOWLEDGE
INDUSTRY INCLUDING )NTELLECTUAL 0ROPERTY IN THE FORM OF LICENSES ETC
AS ASSETS WITH A VIEW TO BETTER lNANCE FOR SUCH SECTORS
 2EALIZE
z THE ENORMOUS POTENTIAL FOR GREATER INVOLVEMENT OF ANGELS
AND 6#S AT THE SEED STAGE ESPECIALLY IN THE NEWER HIGH GROWTH
SECTORS OF THE ECONOMY
 )NCREASE
z AWARENESS ON THE ACTIVITIES OF ANGEL6# lNANCING THROUGH
GREATER INVOLVEMENT WITH EDUCATIONAL AND RESEARCH INSTITUTIONS
INCUBATION CENTRES ETC
 3CALE
z UP AND PUBLICISE BEST PRACTICES IN lNANCIAL INNOVATIONS FOR
%NTREPRENEURSHIP
 !T THE .ATIONAL ,EVEL
 %NCOURAGE AND CELEBRATE %NTREPRENEURSHIP n 2EWARD AND ACKNOWLEDGE
z
ITS ROLE IN WEALTH CREATION AND EMPLOYMENT GENERATION
 7IDEN
z THE SOCIAL BASE OF CAPITAL INCLUDING ACCESS TO NEW
ENTREPRENEURS FROM COMMUNITIES NOT TRADITIONALLY ASSOCIATED WITH
BUSINESS ESPECIALLY FROM MARGINALIZED GROUPS

 %NTREPRENEURSHIP IN )NDIA
 ,AUNCH
z %NTREPRENEURSHIP /UTREACH EVENTS NOT JUST IN SCHOOLS AND
COLLEGES BUT ALSO THROUGH THE MEDIA 
 )MPROVE GENERAL PERCEPTIONS REGARDING %NTREPRENEURSHIP TO INmUENCE
z

FAMILY AND COMMUNITY SUPPORT FOR lRST GENERATION ENTREPRENEURS

&IGURE  4HE %NTREPRENEURIAL %COSYSTEM

(CEKNKVCVQTU
)DEA
'OVERNMENT &GNKXGTCDNGU
2ISK APTITUDE
&AMILY
*OBS
3KILLS %NTREPRENEURS
%DUCATION 7EALTH
&INANCE
&INANCE COMMUNITY
3PACE

#ONCLUSION %NCOURAGING %NTREPRENEURSHIP 

 #PPGZWTG+

,IST OF 3TAKEHOLDERS AND $ETAILS

OF %NTREPRENEURS 3URVEYED
4HIS SECTION CONTAINS A LIST OF ENTREPRENEURS CITY WISE AND OTHER STAKEHOLDERS
IN THE ECOSYSTEM WHOM WE INTERVIEWED FOR THE PURPOSE OF THIS STUDY

'PVTGRTGPGWTU
0UNE

 -R 6ISHWAS *OSHI AND 3UBHADA *OSHI 'IRIKAND 4RAVELS 0VT ,TD
 -R -$ !DONI #ERTIlED -ANAGEMENT #ONSULTANT
 -R -ILIND 0ANDIT !KSHAY 5RJA 0VT ,TD
 -S 'AYATRI  -R 'OPAL 4AMBE &20 4OILETS
 -R .3 2AO )NTELUX %LECTRONICS
 -S 2AJASHREE *HANGLE 3IMPLY $ELICIOUS
 -R 2AVI "HAGWAT 3YMTRONICS !UTOMATION 0RIVATE ,IMITED
 $R 3UNITA #HAUDHARI #ONSULTING !YURVEDACHARYA
 -R 6INCENT $3OUZA 6 2 #OATINGS 0VT ,TD
 -R ,INESH 4HAKUR !ISHWARYA %NTERPRISES
 -R 3UBHASH $EVI -EMBRANE &ILTERS
 -S -RUNAL 'OKHALE &EELINGS &LOWERS
 -R 2AVINDRA "AM !JAY 7INDECOR
 -R 6IVEK 3AWANT -AHARASHTRA +NOWLEDGE #ORPORATION ,TD
 -R 0RAVIN $HOLE 4ECHNOFOUR
 -R 3UNIL "HANDARI &OOD 'RADE 0RODUCTS
 -R 2AJ 0ATHAK !KSHAY 5RJA 0VT ,IMITED
 -R (- "AKSHI )NNOVA 'ROUP
 -R &IROZ 0OONAWALLA &ILA 2OZIL %XPORTERS 0VT ,TD
 $R !SHISH $HAWAD -EDSYNAPTIC 0VT ,TD
 $R 0RASHANT ,AHANE -EDSYNAPTIC 0VT ,TD
 -R !NIL $ESHPANDE !TUL %LECTROFORMERS 0RIVATE ,IMITED

+OLKATA

 -R 0ARTHA $AS 0ARTHA $AS AND !SSOCIATES

 $R !LOKE 2OY -EDICA 3YNERGIE
!NNEXURE ) 
  -R !MIT $ASTIDAR AND -R 3UBHAJIT "HATTACHARYA 4HE %VENT -ANAGERS
 -R 3OURAV #HAKRABORTY !UNWESHA +NOWLEDGE 4ECHNOLOGIES 0VT ,TD
 -R 3IDDHARTH 0ANSARI 0ANSARI 'ROUP OF %NTERPRISES
 -R !NJAN 'HOSH +OL 7EB
 -R *HELUM #HOWDHRY #RYSTAL 2ESEARCH AND #ONSULTING 0VT ,TD
 -S 3UNIRA #HAMARIA 3UNIRA &OODS
 -R !RUN ,OHIA !LLIANCE -ILLS ,ESSEES ,TD
 -R 2AJIV 0ODDAR 3MARTPOWER #OMPUTER #ENTER
 -R .AMIT 3HAH (ARLEY 'ROUP
 -R 3IDHARTH +AUL .)##/ %NGINEERING
 -R !DITYA #HAMARIA )NDIAN 2OPEWAYS  %NGG #O ,TD
 $R -OUSMI 'HOSH &UTURE "USINESS 3CHOOL
 -R 6IJAY +UMAR 3HROFF 6IJAY +UMAR  #O *UTE 0VT ,TD
 -R #ECIL !NTHONY 3YNERGY 'ROUP
 -R 3 "HATTACHARYA -IDLAND 0ACKERS
 -R 3HOUMMO !CHARYA 6) E4RANS 0VT ,TD
 -R 3 $ASPAL )NFO (ORIZON
 -R -ANISH #HANDANI  -R 4ALAT !HMED !JANTA ,EATHER &ASHIONS 0VT ,TD
 -R 0RADIP 0ODDAR 3HANTA #OLIBRI )NDIA 0VT ,TD
 -R .ITIN (IMATSINGKA #AR 3HOWROOM
 -R )NDRANEIL "OSE &UTURETECH 3OLUTIONS
 -R +UMAR 3HIVAM !," #ONSULTANCY
 -S 2OOPA -EHTA 3!3(!
 -R 0+ 3AHA 0+ 3AHA  !SSOCIATES
 $R 0ARTHA 2AY 2 - #LINICAL ,ABORATOIES 0VT ,TD
 -R !SHISH -ITRA %XTERIOR )NTERIORS ,TD
 -R 0RATEEK 3UREKHA "RAINWAVE ,IVE
 -R !NKUR 'ATTANI ,IFELINES
 -R 3UNDEEP 4IBREWAL 2ESOLVE1UERYCOM

#HENNAI

 -R 2AMACHANDRAN .  -R 4 3RINIVASAN -%, 3YSTEMS  3ERVICES ,TD

 -R 2AMACHANDRAN ! 'ANGA #HEMICALS
 -R 3ANJEEVI 6 E,OGISTICS 0VT ,TD
 -R '2 2AVI -EDIK )NDIA 0HYTOCEUTICALS
 -R , !SHOK &UTURENET 4ECHNOLOGIES

 %NTREPRENEURSHIP IN )NDIA
 -R 'OVINDACHARI 03 2AJSRIYA 'ROUP OF )NDUSTRIES
 -R + 3HIVARAM !LVA !LLVA 0LAST
 -R 60. 2AHMAN .ADEEM ,EATHERWARE %XPORTS
 -R 6ARA 0RASAD 2AJU 0 3IGMA 3OLID 3TRIPS 0VT ,TD
 -R !MIT 6AISHNAV -EGAFOODS 0RODUCTS -ADRAS 0
 -R $3 "ALACHANDRA "ABU &RAM )MPLEMENTS 0VT ,TD
 -R .AVEEN 6ELAGAPALLI 6ITALIFE #LINIC
 -R 3UHAS 'OPINATH 'LOBALS )4E3 0VT ,TD
 -R "! 3RINIVASA 6IVEK ,TD
 -S 2AJESHWARI !KSHYA
 -R ! "ENEDICT -ERCY (YGIENE (EALTHCARE 0RODUCTS
 -R !NOOP -EHANDALE ,ATENT 6IEW !NALYTICS

!HMEDABAD

 -R 2UPESH 3HAH 3ONYA #ERAMICS

 $R .ITA 'OSWAMI 2UCHA 0HARMACEUTICALS
 -R )NDRAJIT 3IMLAI 33") %XPORTS
 -R *ASVINDER 3INGH !#45.)6
 -R 3AJJAN +EJRIWAL !CME )NTERNATIONAL ,TD
 -R 3AMIR . 0ATEL !MOS %NTERPRISE ,TD
 -R -ALAY +ANTHARIA 4EAM 3PIRITS )NDIA 0VT ,TD
 -R % 3ARATH "ABU &OODKING
 -S +ALA !MIN +ANISHA
 -R 3AMIR 3HAH *"3 'ROUP OF #OMPANIES
 -S 3EEMA -EHTA 3PARKLE 'RANITES
 -S *AYSHREE -EHTA )NlNIUM 4OYOTA
 -R !MIT +HAITAN 'UJARATGIFTSCOM
 -R !BHAY 0ANJIYAR #%/. 3OLUTIONS 0VT ,TD
 -R !NIKET .AGRI .AGRI 'ROUP
 -R "HAKTI 6OHRA 6ASTRAPUR 4IMES
 -R $EEPAK 6AKIL 9ETI ,EATHER 0RODUCTS
 -R 2AJIV 'ANDHI (ESTER 0HARMACEUTICALS ,TD
 -R 36 -ODI 36 -ODI %XPORT )MPORT
 -R 3USHIL (ANDA #LARIS ,IFESCIENCES ,TD
 -R 3HESHGIRI "EKAL )NCUBATEE AT .IRMA ,ABS

!NNEXURE ) 
 (YDERABAD

 -R 6 6ENKATA 2AJU 6%- 4ECHNOLOGY 0VT ,TD

 -R .+ -ALANI 3RI 6ENKATESWARA #OIR 0RODUCTS 0VT ,TD
 -R .ITIN 6YAKARANAM !RTHAYANTRA
 -S $EVIKA 6ARDARAJAN 0OLARIS -ANAGEMENT 3ERVICES 0VT ,TD
 -R .ARNE 0RABHAKAR (YDERABAD 4ULAMAN ,TD
 -R *AYADEV -EELA 3UDHAKAR 0OLYMERS ,TD
 -R 6 !NIL 2EDDY .AYASTRAP ,TD
 -R $EVENDRA 3URANA "HAGYANAGAR )NDIA ,TD
 -R 2AVINDRA -ODI 3URYA -ASALE
 -R $ .AGARJUNA 3ARMA )MPRINT 4RAVELS
 -R 3RIRAM 9ALAMATI -ATRIX %QUIPMENT 0VT ,TD
 -R 3REERAM -- 3  5 -%+ %NGINEERS 0VT ,TD
 -R 2AMESH $ATLA %LICO ,TD
 -S !ARTEE 0ATIL )CON !CCESSORIES 0VT ,TD
 -R !. 'UPTA 0REMIER %XPLOSIVES ,TD
 -S $URGA 2ANI (YMA )NDUSTRIES
 -S 6IJAY ,AKSHMI !NU 'ROUP
 -R 2AJEEV 0URI 3UKHJIT 3TARCH AND #HEMICALS ,TD
 -R 2AM 0RASAD 3RI 3ARADA )NDUSTRIES

"ANGALORE

 -R * #RASTA #- %NVIROSYSTEMS 0VT ,TD

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7E REQUESTED SOME OF )NDIAS ENTREPRENEURIAL ICONS TO PROVIDE PERSONAL

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)N ALPHABETICAL ORDER THESE ENTREPRENEURS ARE AS FOLLOWS

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!JAY 0IRAMAL
#HAIRMAN 0IRAMAL %NTERPRISES ,IMITED

(ISTORICAL BACKGROUND -ORARJEE -ILLS

-ORARJEE -ILLS WAS ESTABLISHED IN  AND IS ONE OF THE OLDEST REGISTERED MILLS
IN )NDIA 4HE -ILL BUILT UP A REPUTATION FOR QUALITY AND WITHSTOOD THE TWO WORLD
WARS AND THE 'REAT "OMBAY 0LAGUE )N  THE MANAGEMENT OF THE MILLS
PASSED INTO THE HANDS OF MY GRANDFATHER 3HRI 0IRAMAL #HATURBHUJ HERALDING A
NEW ERA OF GROWTH AND PROSPERITY )N  THE 6ICEROY OF )NDIA AWARDED THE
-ILLS A GOLD MEDAL FOR ITS KHAKHI DRILL 4HE MILL THREW ITSELF INTO THE 3WADESHI
MOVEMENT AND WON SPECIAL ACCLAIM FROM -AHATMA 'ANDHI ) WAS BROUGHT UP
AROUND THE CULTURE OF TEXTILE MILLS WITH THE VALUES OF BUILDING WORLD CLASS
MANUFACTURING CONTINUOUS MODERNIZATION AND CARE FOR WORKERS $UE TO THE
UNTIMELY DEATH OF MY FATHER AND BROTHER ) BECAME #HAIRMAN OF THE -ILL IN
 !T THAT TIME THE TEXTILE BUSINESS CONSTITUTED  OF THE 0IRAMAL 'ROUP
TURNOVER ) SERVED AS #HAIRMAN OF THE -ILL FOR  YEARS MADE IT ONE OF THE BEST
EXPORT ORIENTED UNITS IN THE COUNTRY SUPPLYING HIGH QUALITY MATERIAL TO 53!
%UROPE AND *APAN !T THE SAME TIME ) RECOGNIZED THAT TEXTILES COULD NOT BE
THE FUTURE OF THE #OMPANY

7E HAD TO MOVE AWAY FROM THE COMMODITY TYPE LABOUR INTENSIVE PRODUCTS
LINE THAT THE MILL WAS MAKING TO SELL PRODUCTS THAT WERE KNOWLEDGE BASED
0HARMACEUTICALS lT THAT BILL AND IN  WE ACQUIRED .ICHOLAS ,ABORATORIES
)NDIA ,IMITED LATER RENAMED AS .ICHOLAS 0IRAMAL )NDIA ,IMITED  A SMALL
PHARMACEUTICAL COMPANY 4HE TURNOVER WAS AROUND 2S  CRORE 5SING BOTH
ORGANIC GROWTH AND ACQUISITIONS WE ARE NOW THE FOURTH LARGEST PHARMACEUTICALS
COMPANY IN )NDIA 7E HAVE INVESTED HEAVILY IN DISCOVERY RESEARCH AND
DEVELOPMENT AND HOPE TO LAUNCH A DRUG DEVELOPED IN )NDIA IN THE GLOBAL
MARKET "Y  TEXTILES WERE JUST ONE PERCENT OF THE GROUP SALES SHOWING
HOW ENTREPRENEURSHIP HAD LED TO THE GROWTH OF COMPLETELY NEW BUSINESSES

6IEWS ON %NTREPRENEURSHIP /PPORTUNITIES IN )NDIA "OOSTS AND "ARRIERS

) BELIEVE THAT )NDIANS HAVE A HIGHLY ENTREPRENEURIAL CULTURE )NDIANS WHO HAVE
MIGRATED TO THE OTHER COUNTRIES ˆ EG 53! OR 5+ ˆ HAVE DONE REMARKABLY

 %NTREPRENEURSHIP IN )NDIA

WELL AND ARE AMONGST THE WEALTHIEST GROUPS IN THOSE COUNTRIES 4HEY ARE ALSO
INTELLECTUALS AND )NDIAN PROFESSORS TEACH AT MANY )VY ,EAGUE 5NIVERSITIES IN
THE 53! 4HIS IS )NDIAS CENTURY AND )NDIAN COMPANIES ARE MAKING THEIR MARK
IN THE WORLD AND ACQUIRING COMPANIES IN THE 7EST 4HE PHARMACEUTICAL AND
BIOTECHNOLOGY ARENA HAS GREAT POTENTIAL $OMESTIC SALES WERE APPROXIMATELY
53  BILLION IN  AND GROWING AT  'LOBALLY )NDIA RANKS TH IN TERMS
OF VOLUME OF SALES IN PHARMACEUTICALS BUT TH IN TERMS OF THE VALUE OF SALES
$RUG PRICES ARE THE LOWEST IN THE WORLD )NDIA HAS THE HIGHEST NUMBER OF PLANTS
OUTSIDE THE 53! THAT ARE APPROVED BY THE 53 &$! )NDIA ALSO HAS THE HIGHEST
NUMBER OF APPLICATIONS FOR DRUG MASTER lLES TO THE 53&$! %XPORTS ARE GROWING
AT  UP TO   BILLION

9ET HERE WE IN )NDIA HAVE THE MOST REGULATED INDUSTRIES IN THE WORLD $RUG
PRICE CONTROL HAS ENSURED LOW PRICES BUT FAILED TO PROVIDE ADEQUATE ACCESS TO
MEDICINES FOR MILLIONS OF )NDIANS -ORE THAN  YEARS AFTER INDEPENDENCE ONLY
 OF )NDIANS ARE COVERED BY MODERN MEDICINE 4HERE HAS BEEN NEARLY lVE
PERCENT PRICE DECLINE IN EACH YEAR IN REAL TERMS OVER LAST lVE YEARS 4HE ,IFE%X
IS DROPPING AND THE PHARMA INDUSTRY IS TRAILING THE 3ENSEX

/VER  OF )NDIAN WOMEN AND OVER  OF CHILDREN AGED  HAVE IRON DElCIENCY
ANAEMIA THE CURE FOR WHICH IS AVAILABLE THROUGH TABLETS OR CAPSULES COSTING
AROUND  PAISE EACH 4HEREFORE BECAUSE OF THE MINDSET OF PRICE CONTROL WE
HAVE FAILED TO ENSURE DELIVERY TO RURAL )NDIA 4HIS OLD FASHIONED MINDSET OF
CONTROL HAS LED US TO HAVE MEDICINES WHICH ARE GENERIC 4HE POLICY HAS FAILED
BARRING A FEW TOP )NDIAN COMPANIES  TO STIMULATE DISCOVERY RESEARCH IN THOSE
DISEASES THAT AFFECT US THE MOST EG TROPICAL DISEASES LIKE MALARIA ANAEMIA
CHIKUNGUNYA BIRD mU ETC 7E HAVE ALSO FAILED TO REDUCE HIGH TRANSACTION COSTS
IN DUTIES AND TAXES WHICH ADD UP TO  OF THE COST OF A DRUG )N THE PAST FEW
YEARS THE .00! HAS BEEN OVERACTIVE IN REDUCING PRICES THIS AFFECTED OVER 
FORMULATIONS IN  4HE POSITIVE TREND OF PHASE WISE DECONTROL IS NOW BEING
RESERVED AND THE .ATIONAL 0HARMACEUTICAL 0OLICY PROPOSES TO BRING ALL THE 
DRUGS IN THE .ATIONAL ,IST OF %SSENTIAL -EDICINES IN ADDITION TO THE CURRENT
 DRUGS UNDER PRICE CONTROL 4HE COST BASED PRICE CONTROL DOES NOT ACCOUNT
FOR ANY RESEARCH INVESTMENTS )T COSTS OVER A BILLION DOLLARS TO DISCOVER A NEW
DRUG )T TAKES MORE THAN  YEARS TO DEVELOP A DRUG AND ONLY ONE IN HUNDRED
NEWLY DISCOVERED DRUGS HITS THE MARKET )T IS THEREFORE A HIGH RISK RESEARCH
WITH A LONG GESTATION PERIOD 4HE GOVERNMENT NEEDS A LONG TERM POLICY TO
STIMULATE RESEARCH 4ODAY NO )NDIAN COMPANY USING SURPLUS FROM ITS DOMESTIC
MARKET CAN BRING A DRUG TO MARKET GLOBALLY ON ITS OWN MUSCLE 0ERFORCE IT HAS
TO LICENSE OUT ITS DISCOVERIES OR SEEK FUNDING THEREBY GIVING UP SOME FUTURE
BENElTS AS WELL

2EGULATORY INFRASTRUCTURE IS ALSO POOR "ASIC QUALITY NORMS SUCH AS 3CHEDULE

- HAVE NOT YET BEEN NATIONALLY ENFORCED LEADING TO POOR QUALITY MEDICINES
4HE TENDER SYSTEMS IN PUBLIC HEALTH INSTITUTIONS ARE RIDDLED BY CORRUPTION AND
INEFlCIENCY AND HENCE THE )NDIAN CONSUMER IS NOT GETTING WHAT HE DESERVES n
GOOD QUALITY MEDICINES AT AFFORDABLE PRICES !LSO INTENSE COMPETITION BETWEEN

!NNEXURE )) 
 MORE THAN  PHARMA COMPANIES HAS KEPT PRICES AT UNCOMPETITIVE LOW
LEVELS 3PURIOUS DRUGS HAVE BECOME A NATIONAL HEALTH PROBLEM WITH REGULATED
PACKAGING ALLOWANCES )F )NDIAN RESEARCH WERE ALLOWED TO DEVELOP BY LIBERALIZING
THE SECTOR IT WOULD DELIVER NEW DRUGS AT LESS THAN HALF THE COST OF THE 7EST
THEREBY PROVIDING AFFORDABLE DRUGS NOT JUST FOR )NDIA BUT ALSO FOR THE WORLD

4HOUGH )NDIAS PHARMACEUTICAL MARKET IS JUST ONE PERCENT OF THE GLOBAL PHARMA
MARKET IT ACCOUNTS FOR  OF THE WORLD PHARMA PRODUCTION AND OVER 
OF THE WORLDS GENERIC PRODUCTION )T IS A NET FOREIGN EXCHANGE EARNER )NDIA IS
EMERGING AS A GLOBAL POWERHOUSE IN PHARMACEUTICALS WITH A ROBUST DOMESTIC
INDUSTRY )NTENSE COMPETITION HAS RESULTED IN MEDICINE PRICES FALLING TO THE
LOWEST IN THE WORLD LOWER THAN IN EVEN NEIGHBOURING COUNTRIES LIKE 0AKISTAN
)NDONESIA ETC

(OWEVER #HINA IS FAST CATCHING UP 4HE GOVERNMENT OF #HINA IS SPENDING

IN EXCESS OF TWO PERCENT OF '$0 IN SCIENCE )T IS INVESTING HUGE AMOUNTS IN
ITS LEADING UNIVERSITIES 0UBLIC SPENDING ON BIOTECHNOLOGY IS INCREASING IN
LEAPS AND BOUNDS #HINA HAS OVERTAKEN )NDIA IN THE NUMBER OF CLINICAL TRIALS
AND 7ESTERN PHARMA LEADERS VIEW #HINA AND NOT )NDIA AS THE FUTURE LEADER
IN PHARMA AND BIOTECHNOLOGY ACCORDING TO A RECENT SURVEY REPORTED IN 4HE
&INANCIAL 4IMES ,ONDON

!CCORDING TO A -C+INSEY REPORT RELEASED ON !UGUST   )NDIAS PHARMA

TURNOVER IS EXPECTED TO TREBLE TO 53  BILLION BY  !CCORDING TO RECENT
ESTIMATES )NDIAN .#% RESEARCH BASED COMPANIES MAY EXCEED 53  BILLION
IN MARKET CAPITALIZATION IF THIS SECTOR WAS LIBERALIZED TO SPUR INVESTMENTS
IN RESEARCH ! SMALL BEGINNING HAS BEEN MADE HERE WITH )NDIAN COMPANIES
MAKING SIGNIlCANT INVESTMENTS IN RESEARCH TWICE THAT OF THE AUTO INDUSTRY
AND TEN TIMES MORE THAN THAT OF THE )4 INDUSTRY  4HE IMPACT OF THIS ON THE
GROWING )NDIAN KNOWLEDGE SECTOR WOULD BE DRAMATIC )T WOULD MEAN A SHIFT IN
REGULATORY MINDSET FROM CONTROLS TO MONITORING OF PRICES STIMULATING RESEARCH
AGGRESSIVELY STIMULATING THE GROWTH OF ANTI COUNTERFEIT PACKAGING IMPROVING
REGULATORY INFRASTRUCTURE AND REDUCING TRANSACTION COSTS 4HIS IS A CHANCE THAT
)NDIA CANNOT AFFORD TO MISS AS IT OTHERWISE RUNS THE RISK OF BEING OVERTAKEN BY
#HINA +OREA 4AIWAN AND OTHER COUNTRIES )NDIA HAS THE POTENTIAL OF BECOMING
THE hMEDICINE MAKERv TO THE WORLD BY UNLOCKING ITS VAST KNOWLEDGE POTENTIAL
AND BECOMING THE KNOWLEDGE POWER

 %NTREPRENEURSHIP IN )NDIA

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!JIT .AGRAL
&OUNDER  #HAIRMAN .U'ENESIS 4ECHNOLOGIES #ORPORATION
&OUNDER AND 0RESIDENT -EGAWARE )NC
#O FOUNDER AND #HAIRMAN 3CIFORMIX #ORPORATION

-Y JOURNEY AS AN ENTREPRENEUR BEGAN  YEARS AGO ) HAD BY THEN lNISHED

MY EDUCATION IN ENGINEERING AT THE 6ICTORIA *UBILEE 4ECHNICAL )NSTITUTE
-UMBAI )NDIA AND MOVED TO "OSTON -ASSACHUSETTS 53! FOR HIGHER STUDIES
IN #OMPUTER %NGINEERING $URING MY EARLY DAYS AS A STUDENT IN THE 53! AND
THEN AS AN ENGINEER FOR A MULTI BILLION DOLLAR TECHNOLOGY COMPANY THERE )
ALWAYS FELT A LACK OF PURPOSE 0ERHAPS IT WAS BECAUSE ) WAS SO FAR AWAY FROM
MY OWN COUNTRY OR MAYBE BECAUSE ) FOUND MYSELF FOLLOWING A STANDARD CAREER
PATH $EEP INSIDE THAT DROVE ME TO BE DIFFERENT

)T IS IMPORTANT TO UNDERSTAND THAT ) DO NOT COME FROM A BUSINESS FAMILY -Y

FATHER IS A 'ENERAL 3URGEON MY MOTHER A &AMILY 0HYSICIAN AND MY BROTHER A
,IVER 4RANSPLANT 3PECIALIST ) GREW UP IN A MIDDLE CLASS HOUSEHOLD "USINESS
WAS NOT IN OUR BLOOD 7E WERE RAISED WITH CORE VALUES OF HONESTY INTEGRITY
PATIENCE AND FAITH 4HESE VALUES HAVE TIME AND AGAIN HELPED ME THROUGHOUT
MY BUSINESS CAREER ,IKE MANY OF MY FRIENDS WHO GREW UP WITH LIMITED MEANS
AND WENT TO THE 53! LIKE ME AND BECAME SUCCESSFUL ENTREPRENEURS IN 3ILICON
6ALLEY OR .EW 9ORK OR "OSTON WE ALL HAD ONE THING IN COMMON n A STRONG
INTELLECT PROVIDED TO US BY THE )NDIAN SCHOOL SYSTEMS AND A BURNING DESIRE TO
SUCCEED 'ROWING UP IN )NDIA THE SYSTEM AND MY OWN CIRCUMSTANCES MADE ME
HUNGRY TO SUCCEED

) HAVE BEEN FORTUNATE ENOUGH TO BUILD THREE TECHNOLOGY AND KNOWLEDGE

FOCUSED BUSINESSES IN MY  YEARS OF ENTREPRENEURSHIP !LL THREE BUSINESSES
HAVE A COMMON THREAD ˆ THEY FOCUS ON INNOVATION SKILL AND THE CONVERGENCE
OF TECHNOLOGY AND SCIENCE ) STARTED MY lRST COMPANY -EGAWARE )NC IN
 AND OVER TIME -EGAWARE HAS BECOME A WELL KNOWN PLAYER IN THE lELD OF
,ABORATORY )NFORMATICS AND ,ABORATORY $ATA -ANAGEMENT -Y SECOND COMPANY
.U'ENESIS 4ECHNOLOGIES BECAME A LEADING PROVIDER OF %NTERPRISE 3CIENTIlC
$ATA -ANAGEMENT SOFTWARE FOR HUNDREDS OF 0HARMACEUTICAL AND "IOTECHNOLOGY
COMPANIES WORLDWIDE )N  .U'ENESIS WAS ACQUIRED BY A LARGE PUBLIC
COMPANY IN THE 53! AND HAS NOW BECOME A MAJOR BRAND WITHIN THIS MULTI
BILLION DOLLAR CORPORATION -Y THIRD VENTURE A +NOWLEDGE 0ROCESS /UTSOURCING

!NNEXURE )) 
 +0/ COMPANY CALLED 3CIFORMIX PROVIDES HIGH END KNOWLEDGE MANAGEMENT
SERVICES FOR 0HARMACEUTICAL AND (EALTHCARE COMPANIES ACROSS THE GLOBE

%NTREPRENEURSHIP IS FULL OF UPS AND DOWNS ) HAVE HAD MY FAIR SHARE ) CLEARLY
REMEMBER THE DAYS WHEN MAKING BASIC ENDS MEET WAS A CHALLENGE ) HAD
BOOTSTRAPPED MY lRST COMPANY AND WE USED TO HAVE VERY LITTLE LEFT OVER MONTH
IN AND MONTH OUT 3OMETIMES IGNORANCE IS BLISS AND HAD ) KNOWN THE DEPTHS
OF MISERY THAT AN ENTREPRENEUR COULD POSSIBLY FACE ) MAY NOT HAVE BEEN SO
COURAGEOUS ) REMEMBER THE TIME WHEN MY BANK BALANCE WAS SO LOW THAT ) DID
NOT EVEN HAVE MONEY FOR A WEEKS GROCERY )N STARK CONTRAST ) ALSO REMEMBER
THE TIME ) SOLD MY COMPANY AND THE SAME BANK BALANCE SUDDENLY SURGED
4HIS IS WHAT ENTREPRENEURSHIP IS ALL ABOUT n UNPREDICTABLE OFTEN DIFlCULT YET
IMMENSELY FULlLLING

%NTREPRENEURSHIP IS ALSO ABOUT A PURPOSE )N MY CASE IT HAS BEEN ABOUT

GETTING TO THE NEXT LEVEL FOR MY FAMILYS SAKE AND MINE (OW ONE GETS THERE IS
EQUALLY IMPORTANT MY VALUE SYSTEM HAS INmUENCED MY ACTIONS ) HAVE ALWAYS
BEEN TRANSPARENT WITH MY EMPLOYEES INVESTORS AND CUSTOMERS ) HAVE ALWAYS
DELIVERED GOOD NEWS AND BAD NEWS WITH THE SAME BALANCE AND CLARITY ) ONCE
RECALL LOSING A LARGE DEAL TO A COMPETITOR BECAUSE WE REFUSED TO MISREPRESENT
WHAT OUR PRODUCT DID )T WAS IN EARLY  AND WE WERE COMPETING HEAD TO
HEAD ON A MULTI MILLION DOLLAR DEAL 7E KNEW OUR PRODUCT WAS SUPERIOR TO OUR
COMPETITORS BUT UNLIKE THEM CHOSE NOT TO MAKE EXAGGERATED CLAIMS BORDERING
ON HALF TRUTHS 7E LOST THE DEAL !T THAT TIME IT WAS DEVASTATING )T TOOK
EXACTLY TWO YEARS TO THE DATE TO RECEIVE A CALL BACK FROM THE CUSTOMER 4HEY
CAME BACK TO US AS THE COMPETITORS PRODUCT HAD FAILED !LTHOUGH THE PAIN WE
FELT WHEN WE LOST THE DEAL COULD NEVER BE REPLACED WE FELT CLEARLY VINDICATED
) HAVE HAD THE LOYALTY OF THIS CUSTOMER SINCE VIRTUALLY FOR MY ENTIRE BUSINESS
CAREER -Y ROOTS HAVE ALLOWED ME TO STAY GROUNDED IN THE BEST OF TIMES AND
THE WORST OF TIMES

) CAN NEVER FORGET THE EARLY YEARS OF MY BUSINESS CAREER TRYING TO RAISE lNANCING
FOR MY BUSINESS AND THE COUNTLESS EFFORTS AND REJECTIONS FACED IN THE PROCESS
)N OUR ENTREPRENEURIAL CIRCLE WE USED TO CALL IT THE hBRUISED KNEEv SYNDROME
ˆ CRAWLING ON OUR KNEES ASKING FOR MONEY FROM BANKS lNANCIAL INSTITUTIONS
AND WEALTHY INDIVIDUALS 2AISING MONEY IS LIKE FEAST OR FAMINE ˆ EITHER
EVERYONE WANTS TO GIVE YOU MONEY OR NOBODY DOES )T WAS HARD INITIALLY
HOWEVER ONCE THE MONEY STARTED COMING IN PREDICTABLY IT WAS MORE THAN WE
WANTED AND HAD TO TURN PEOPLE AWAY 4HESE EXPERIENCES ARE PART AND PARCEL OF
AN ENTREPRENEURIAL JOURNEY THEY CAN BREAK THE STRONGEST OF THEM ALL OR THEY
CAN SHAPE YOUR LIFE FOREVER

-OST ENTREPRENEURS WOULD ATTRIBUTE THEIR SUCCESS TO SOME COMMON TRAITS

ˆ SKILLS AND ABILITIES UNmINCHING PASSION FOR SUCCESS UNRELENTING EFFORT AN
APPETITE FOR HIGH RISK AND LOTS OF LUCK )N MY CASE ) WOULD ADD TWO MORE TO
THE LIST ˆ h-USICv AND h-ENTORSv ) HAVE BEEN A PROFESSIONAL MUSICIAN FOR
OVER  YEARS !S A TABLA )NDIAN DRUMS PLAYER ) HAVE ACCOMPANIED MANY

 %NTREPRENEURSHIP IN )NDIA

WELL KNOWN )NDIAN AND WESTERN ARTISTES THROUGHOUT MY CAREER 'ROWING UP
LITTLE DID ) KNOW THAT THIS DIMENSION WOULD PROVE TO BE MY BEST SUPPORT
IN BUSINESS -Y ABILITIES IN MUSIC HAVE HELPED ME BUILD A STRONG BUSINESS
NETWORK THROUGH WHICH ) HAVE BEEN ABLE TO REACH OUT TO CUSTOMERS INVESTORS
AND KEY EMPLOYEES 4HIS NETWORK IS A LOT STRONGER BECAUSE IT HAS BEEN BUILT
ON A MULTI DIMENSIONAL FOUNDATION OF MUSIC AND ENTREPRENEURSHIP 7ITH THIS
EXPERIENCE ) ALWAYS ADVISE OTHER ENTREPRENEURS TO HAVE ANOTHER DIMENSION
SEPARATE FROM THEIR BUSINESS !LSO WITHOUT MENTORS ) WOULD NOT HAVE BEEN
WHERE ) AM TODAY ) HAVE HAD TWO PROMINENT PERSONALITIES WHO HELPED BUILD
MY BUSINESS CAREER ONE FROM THE 53! AND THE OTHER FROM )NDIA 4HEY ARE SUCH
WELL KNOWN AND WELL PLACED INDUSTRY LEADERS TO DATE ) DONT KNOW WHY THEY
DO WHAT THEY DO FOR ME 0ERHAPS IT IS BECAUSE THEY APPRECIATE MY EFFORTS AND
MY lGHT FOR SUCCESS ) THINK IT IS BECAUSE THEY HAVE A STRONG SENSE OF hGIVING
BACKv AND MENTORING IS ONE WAY TO DO THAT

!FTER SPENDING A MAJOR PART OF MY ENTREPRENEURIAL CAREER IN THE 53! ) RETURNED

TO )NDIA IN  7HAT HAS DRAWN ME BACK TO )NDIA IS QUITE SIMPLE ˆ IN
TODAYS )NDIA ) CAN DO MANY THINGS AS AN ENTREPRENEUR THAT ARE NO DIFFERENT TO
WHAT ) AM ABLE TO DO IN THE 53! 0ERHAPS MANY OF US WOULD HAVE NEVER LEFT IN
THE LATE S HAD THIS BEEN POSSIBLE THEN

)NDIAS MARCH TOWARDS OPEN MARKETS AND ECONOMIC GROWTH NO DOUBT HAS
GENERATED TREMENDOUS BUSINESS OPPORTUNITIES 4HE GOOD NEWS IS THAT
OPPORTUNITIES ABOUND IN MANY SECTORS ˆ )4 2ETAIL -ANUFACTURING 2EAL
%STATE "ANKING )NSURANCE &INANCIAL 3ERVICES THE LIST GOES ON !S A NATION
WE HAVE ALWAYS BEEN ENTREPRENEURIAL 7E HAD TO BE SINCE THAT IS THE ONLY
WAY OF SURVIVAL FOR MANY ˆ FROM STREET VENDORS TO THE MILLIONS OF PEOPLE WHO
DEPEND ON THEIR OWN OR SOMEONE ELSES SMALL BUSINESS FOR THEIR LIVING 4HE
DIFFERENCE TODAY THOUGH IS THE CONlDENCE ON THE STREET 0EOPLE IN BUSINESS
BELIEVE IN THEMSELVES EMPLOYEES ARE TAKING CHARGE OF THEIR CAREERS )NDIA )NC
IS A CONlDENT LOT 4HE ECONOMIC GROWTH PROCESS lRST TRIGGERED IN THE EARLY
S IS lNALLY IRREVERSIBLE

) BUILT TWO COMPANIES IN THE 53! BEFORE RETURNING TO )NDIA AFTER A  YEAR
STAY THERE )T HAS BEEN TWO YEARS SINCE ) BEGAN MY JOURNEY AS AN ENTREPRENEUR
IN )NDIA -Y VIEWS HEREIN REmECT MY  YEARS OF ENTREPRENEURIAL EXPERIENCE
IN THE 53! AND THE PAST TWO YEARS HERE ) WOULD LIKE TO MAKE A DISTINCTION
HERE BETWEEN hBUSINESS OPPORTUNITIESv AND hENTREPRENEURIAL OPPORTUNITIESv
"USINESS OPPORTUNITIES IN )NDIA ARE MANY BUT THEY REMAIN OUTSIDE THE REACH
OF MOST ENTREPRENEURS &OR THE SAKE OF CLARITY LET ME DElNE AN ENTREPRENEUR
IN THIS CONTEXT ) AM NOT TALKING ABOUT INDIVIDUALS WHO RUN MOM AND POP
BUSINESSES NOR AM ) TALKING ABOUT SUCCESSFUL BUSINESSES THAT ARE SETTING UP
ENTREPRENEURIAL VENTURES ) AM TALKING ABOUT THE EDUCATED YOUTH OF )NDIA WHO
IS A lRST TIME ENTREPRENEUR OR INDIVIDUALS WITH SUCCESSFUL CORPORATE CAREERS WHO
ARE TAKING THE PLUNGE INTO ENTREPRENEURSHIP &OR MANY OF THEM ENTREPRENEURIAL
SUCCESS IS A DISTANT DREAM 5NFORTUNATELY IT HAS LITTLE TO DO WITH THEIR IDEAS
EFFORTS OR THE DESIRE TO SUCCEED

!NNEXURE )) 
 ! COUNTRY LIKE THE 53! HAS EMBRACED THE FACT THAT SMALL ENTREPRENEURIAL
BUSINESSES ARE THE ENGINES OF GROWTH 4HE 53! PROVIDES A STRONG @%COSYSTEM
FOR ENTREPRENEURS TO THRIVE 4HIS ECOSYSTEM WHILE NOT GUARANTEEING SUCCESS
IN BUSINESS LEVELS THE PLAYING lELD FOR ENTREPRENEURS !CCESS TO CAPITAL WELL
DElNED INVESTMENT RULES ACCESS TO BASIC INFRASTRUCTURE ACCESS TO TALENT AND
ACCEPTANCE OF FAILURE ARE CERTAIN KEY INGREDIENTS OF THIS ECOSYSTEM 4ODAY )NDIA
LACKS THIS ECOSYSTEM 4HE PLAYING lELD IS CERTAINLY NOT LEVEL HERE ! KEY CRITERION
FOR ENTREPRENEURIAL SUCCESS IN )NDIA STILL REMAINS AN ENTREPRENEURS ABILITY TO
hWORK THE SYSTEMv AND NOT AN ENTREPRENEURS ABILITY TO hWORK THE BUSINESSv
5NTIL THAT CHANGES THERE WILL BE NO LEVEL PLAYING lELD AND ENTREPRENEURSHIP
WILL REMAIN THE PURVIEW OF A SELECT FEW OR AT LEAST OF THOSE WHO KNOW HOW TO
WORK THE SYSTEM

!S ) BUILD A BUSINESS IN )NDIA MY PEDIGREE HAS ALLOWED ME TO OVERCOME MANY

OF THE PROMINENT BARRIERS )NDIAN ENTREPRENEURS FACE %VEN SO THE EFFORTS TO
OVERCOME THESE HURDLES HAVE TAKEN AWAY PRECIOUS TIME AND FOCUS FROM CRITICAL
BUSINESS ACTIVITIES -Y BIGGEST SURPRISE IN ALL THIS HAS BEEN THE NATURE OF THESE
HURDLES ˆ BASIC THINGS YOU TAKE FOR GRANTED ELSEWHERE BECOME MAJOR HURDLES
IN )NDIA ) WOULD LIKE TO LIST SOME OF THEM BASED ON MY RECENT EXPERIENCES ˆ
AFFORDABLE SPACE FOR SMALL BUSINESS LACK OF EARLY STAGE CAPITAL LACK OF QUALITY
TALENT MISMATCH OF SKILLS VERSUS COST OF SKILLS AND MORE 7HILE 'OVERNMENT
POLICIES OVER THE YEARS HAVE BEEN BUSINESS FRIENDLY THE NEEDS OF ENTREPRENEURS
AND SMALL ENTERPRISES REMAIN SOMEWHAT UNADDRESSED %VEN WELL MEANING
INITIATIVES LIKE THE CREATION OF 3%:S REMAIN BY AND LARGE INACCESSIBLE FOR SMALL
BUSINESS FOR A VARIETY OF REASONS

) CONSIDER MYSELF EXTREMELY FORTUNATE TO HAVE ACHIEVED A CERTAIN LEVEL OF

SUCCESS IN MY ENTREPRENEURIAL JOURNEY A JOURNEY PUNCTUATED BY HIGHS AND
LOWS COUPLED WITH A FAIR SHARE OF WINS AND LOSSES AND BACKED BY RELENTLESS
EFFORT SACRIlCE GRACE BUT MOST OF ALL THE UNWAVERING SUPPORT OF MY WIFE
6IBHU THROUGH IT ALL %NTREPRENEURSHIP IS A WAY OF LIFE FOR ME NOW IT IS IN MY
BLOOD &OR SOMEONE WHO KNEW NOTHING ABOUT BUSINESS ) HAVE COME A LONG WAY
ON THIS JOURNEY $ESPITE FACING A LOT OF HURDLES ALONG THE WAY THERE IS VERY
LITTLE ) WOULD LIKE TO CHANGE ABOUT MY EXPERIENCE ) AM A BETTER HUMAN BEING
BECAUSE OF IT

) WOULD LIKE TO THANK THE .ATIONAL +NOWLEDGE #OMMISSION FOR PROVIDING ME

THIS OPPORTUNITY TO SHARE A BRIEF SKETCH OF MY ENTREPRENEURIAL JOURNEY WITH
OTHER FELLOW ENTREPRENEURS 4HE .+# CAN PLAY A PIVOTAL ROLE IN FOSTERING AN
@%COSYSTEM FOR ENTREPRENEURS TO THRIVE !S AN ENTREPRENEUR ) WILL BE HAPPY TO
CONTRIBUTE IN ANY WAY ) CAN TOWARDS THIS EFFORT

 %NTREPRENEURSHIP IN )NDIA

 /['PVTGRTGPGWTKCN,QWTPG[
)QKPI#ICKPUVVJG)TCKP

!SHANK $ESAI

&OUNDER  &ORMER #HAIRMAN -ASTEK ,TD

4HE EARLY YEARS

4HE LIFE OF AN ENTREPRENEUR WHILE INVIGORATING AND AT TIMES EVEN THRILLING IS

ALMOST ALWAYS lLLED WITH OBSTACLES AND CAN BE QUITE EXHAUSTING ˆ MORE SO
IN THE EARLY PART OF THE JOURNEY )N MY CASE LIFE TOOK A TOUGH AND CHALLENGING
TURN YEARS BEFORE ) COULD EVEN EMBARK ON MY ENTREPRENEURIAL JOURNEY 7ITHIN
TWO YEARS OF MY BIRTH IN 'OA MY FATHER PASSED AWAY LEAVING MY MOTHER TO TAKE
CARE OF ME 4HE PRESSURE WAS COMPOUNDED BY THE FACT THAT OUR FAMILY WAS ALSO
VERY ACTIVE IN THE 'OA FREEDOM STRUGGLE DURING   BOTH MY MOTHER AND
MY AUNT WERE INVOLVED IN THE STRUGGLE $ESPITE THE ROUGH TIMES WE WERE GOING
THROUGH AND HER MEAGRE EARNINGS MY MOTHER WAS PASSIONATE ABOUT GIVING ME
THE BEST EDUCATION SHE COULD AFFORD 3HE WORKED VERY HARD AND MADE SACRIlCES TO
ENSURE THAT MY STUDIES DID NOT SUFFER ) WENT TO RURAL SCHOOLS WITH RUDIMENTARY
INFRASTRUCTURE IN 'OA AND .AGAR (AVELI 7HEN ) DECIDED THAT ) WANTED TO STUDY
ENGINEERING MY PREFERRED CHOICE WAS OBVIOUSLY AN ))4 BUT MY MOTHER WASNT
SURE OF MEETING THE lNANCIAL COMMITMENTS ASSOCIATED WITH HIGHER STUDIES IN A
LARGE CITY &ORTUNATELY FOR ME AN ENGINEERING COLLEGE OPENED IN 'OA THAT YEAR
AND ALTHOUGH IT DID NOT HAVE THE BEST OF INFRASTRUCTURE ) STUDIED REALLY HARD
AND WAS A RANK HOLDER IN MY "% PROGRAMME 4HAT WAS WHEN ) REALIZED THAT IF
YOU SET A GOAL AND WORK HARD TOWARDS IT THE RESULTS CAN BE REWARDING

"Y THE TIME ) EARNED MY "% DEGREE ) HAD ALSO REALIZED THE VALUE OF EDUCATION
AND WAS EAGER TO PURSUE IT FURTHER ) SUCCESSFULLY TOOK THE -4ECH ENTRANCE
TEST AT ))4 "OMBAY AND WAS ADMITTED WITH A SMALL SCHOLARSHIP !RMED WITH AN
-4ECH MY ONLY OBJECTIVE THEN WAS TO GET A JOB WHICH ) FOUND AT THE 'ODREJ
GROUP 4HE COUPLE OF YEARS ) SPENT THERE MADE ME WANT TO AUGMENT MY SKILL
SET WITH MANAGEMENT EDUCATION AND ) WENT TO ) % 6 ) !HMEDABAD )N A VERY
GENEROUS GESTURE THE 'ODREJ GROUP PAID MY FEES ENABLING ME TO ATTEND THE
COURSE WHICH ) COMPLETED IN 

!NNEXURE )) 
 "UILDING -ASTEK FROM THE GROUND UP

4HE EXPERIENCE AT ))- WAS TRULY CHALLENGING AS THEY MAKE YOU WORK HARD
ESPECIALLY IN THE lRST YEAR WHEN THE COURSEWORK IS VERY RIGOROUS &OR THE lRST
TIME ) FOUND MYSELF SURROUNDED BY SCORES OF VERY SMART PEOPLE WITH HIGH ENERGY
LEVELS AND THE PASSION TO EXCEL 4HE ENVIRONMENT THERE ENCOURAGED US TO IDEATE
AND THINK LATERALLY AND IT WAS AT ))- THAT THE ENTREPRENEURSHIP BUG BIT ME

4HE WORST TIME THEN FOR ENTREPRENEURSHIP IN )NDIA

3OME OF MY CLASSMATES WERE KEEN TO START A VENTURE AND WE CAME TOGETHER

CONSIDERING A VARIETY OF VERY INTERESTING THINGS WE COULD DO (OWEVER THOSE WERE
EXTREMELY DIFlCULT TIMES TO START A BUSINESS IN )NDIA "USINESSES WERE GENERALLY
NOT TRUSTED /N TOP OF THAT FOR A BUNCH OF lRST GENERATION ENTREPRENEURS FROM
MIDDLE CLASS FAMILIES WITH NO CONTACTS AND LIMITED ACCESS TO CAPITAL IT WAS
ALMOST IMPOSSIBLE TO THINK OF GETTING INTO ANY SPHERE OF ACTIVITY WITH EVEN
A REMOTE CHANCE OF SUCCESS -ANUFACTURING BECAUSE OF ITS CAPITAL INTENSIVE
NATURE WAS OBVIOUSLY NOT A CHOICE 7E TOYED WITH VARIOUS IDEAS AND lNALLY
SETTLED ON )4 AND EVEN WITHIN THAT ON SOFTWARE BECAUSE IT REQUIRED VERY LITTLE
CAPITAL 4HE PROBLEM OF COURSE WAS THAT IN THOSE DAYS THERE WAS NO EXPORT
MARKET FOR )NDIAN )4 SOFTWARE AND THE DOMESTIC SOFTWARE MARKET WAS TINY )N
FACT MOST OF THE DOMESTIC )4 MARKET WAS FOR HARDWARE AND THE ACCOMPANYING
SOFTWARE WAS GENERALLY GIVEN AWAY FREE

7E DECIDED TO FOCUS ON LEVERAGING SOFTWARE TO ADDRESS BUSINESS PROBLEMS

THAT IS DELIVER )4 LED BUSINESS SOLUTIONS FOR MANAGEMENT TEAMS 7E BEGAN AS
@-ANAGEMENT AND 3OFTWARE 4ECHNOLOGY AND LATER ABBREVIATED IT TO @-ASTEK

!T THE RISK OF REPEATING MYSELF ) MUST SAY THAT DOING BUSINESS IN THOSE YEARS
WAS TOUGH /NE HAD TO WAIT FOR YEARS TO GET JUST A TELEPHONE CONNECTION

2UNNING A NEW START UP WAS POSSIBLE ONLY WITH THE ACTIVE SUPPORT OF MY WIFE
!N ENTREPRENEUR RARELY HAS ENOUGH TIME FOR FAMILY AT LEAST IN THE INITIAL PHASE
4HE FACT THAT ) HAD THREE OTHER ACTIVE PARTNERS ˆ +ETAN -EHTA 3UDHAKAR 2AM
AND 2 3UNDAR ˆ ALSO HELPED TREMENDOUSLY AS EACH OF US BROUGHT HIS OWN
UNIQUE STRENGTHS TO THE TABLE

&OCUSING ON SOLUTIONS AIMED AT MAKING AN IMPACT ON CUSTOMERS

/UR lRST OFlCE WAS IN AN APARTMENT IN 'HATKOPAR A -UMBAI SUBURB WHICH WAS
ACTUALLY THE RESIDENCE OF +ETAN -EHTA )N THE INITIAL DAYS WE HAD TO RELY A
LOT ON OUR CONTACTS WITHIN THE ))- ALUMNI NETWORK /UR lRST PROJECT IN 
WAS FOR 2ICHARDSON (INDUSTAN WHICH IS NOW KNOWN AS 0ROCTER  'AMBLE 4HEY
ASKED US IF WE COULD HELP THEM MANAGE THE CYCLICAL NATURE OF THE MANNER IN
WHICH 6ICKS AND MANY OTHER PRODUCTS WITH SIMILAR SEASONAL CHARACTERISTICS WAS
SOLD 4HAT IS A LOT DURING SOME MONTHS WHEN THEY HAD A DIFlCULT TIME MEETING
DEMAND AND MUCH LESS IN OTHER MONTHS 7E FOUND AN OPTIMUM SOLUTION AND
BECAUSE IN THOSE DAYS -ICROSOFT 7INDOWS HAD NOT YET BEEN LAUNCHED WE

 %NTREPRENEURSHIP IN )NDIA

DESIGNED OUR OWN USER INTERFACE USING A SPARE COMPUTER THAT THE CUSTOMER HAD
LYING ON THE SHOP mOOR
4HE SOLUTION WORKED AND WE BEGAN GETTING BUSINESS
FROM OTHER CUSTOMERS IN )NDIA 7E FOCUSED ON MULTINATIONALS AS THEY WERE
AGGRESSIVE SPENDERS ON )4 AT THAT TIME AND COMPANIES LIKE #ITIBANK "OOTS
(INDUSTAN ,EVER AND !MERICAN %XPRESS FORMED A LARGE PART OF OUR CLIENTELE 7E
LATER RENTED A SMALL OFlCE SPACE OF ABOUT  SQ FT IN -UMBAIS BUSINESS HUB OF
.ARIMAN 0OINT AND THEN AS WE GREW PURCHASED A MUCH LARGER OFlCE SPACE AT
0RABHADEVI IN  4ODAY OF COURSE WE HAVE LARGE FACILITIES IN -UMBAI AND
0UNE AND A NEW  ACRE CAMPUS COMING UP IN #HENNAI

7ITH NO BACKGROUND IN RUNNING A BUSINESS WE FACED MULTIPLE PRESSURES

AND DIFlCULTIES &OR EXAMPLE SINCE SOFTWARE IS NOT AS WELL DElNED AS ANY
OTHER PRODUCT YOU CAN RUN INTO LOSSES IF YOU ARE NOT CAREFUL ABOUT lXING
SPECIlCATIONS AND SCOPE OF WORK !T THE SAME TIME WE ALSO HAD TO PROVE
OURSELVES AND BUILD A LEVEL OF TRUST IN A NEW INDUSTRY A SCEPTICAL MARKET AND
A BUSINESS ENVIRONMENT THAT WAS ALMOST HOSTILE TO NEW ENTREPRENEURS

0IONEERING PRODUCT DEVELOPMENT IN )NDIA

"Y THE MID S AND MORE RAPIDLY IN THE EARLY S AS THE )NDIAN ECONOMY
WAS LIBERALIZED 0#S WERE BECOMING CHEAPER AND THAT HELPED THE )NDIAN )4
INDUSTRY A LOT /BVIOUSLY WE ALSO BENElTED 7HILE WE CONTINUED TO DELIVER )4
SOLUTIONS TO CUSTOMERS WE ALSO CAPITALIZED ON THE OPPORTUNITIES CREATED BY
THE GROWING USE OF 0#S WITHIN THE COUNTRYS BUSINESS COMMUNITY AND ENTERED
THE AREA OF PRODUCT DEVELOPMENT 7E DEVELOPED A lNANCIAL ACCOUNTING PRODUCT
CALLED &INAC AND LATER DEVELOPED 3TRAC A PRODUCT FOR BROKING HOUSES !T ITS
PEAK 3TRAC WAS THE MARKET LEADER AT THE "OMBAY 3TOCK %XCHANGE AS WELL AS
THE !HMEDABAD 3TOCK %XCHANGE WHICH THEN USED TO BE A VERY ACTIVE BOURSE
7E ALSO BEGAN DISTRIBUTING AN 2$"-3 PRODUCT CALLED )NGRES

! MAJOR ACHIEVEMENT IN PRODUCT DEVELOPMENT THEN CAME WHEN WE DEVELOPED

AN %20 SOFTWARE CALLED -!-)3 ˆ THE lRST DEVELOPED IN )NDIA BY AN )NDIAN
COMPANY AT A TIME WHEN %20 PRODUCTS WERE AT AN INITIAL PHASE OF DEVELOPMENT
EVEN GLOBALLY /BVIOUSLY DEVELOPING PRODUCTS IS RISKY AND IS ALSO QUITE CAPITAL
INTENSIVE AND SO WE BEGAN STUDYING OPTIONS TO RAISE ADDITIONAL CAPITAL
,UCKILY FOR US THE 4ECHNOLOGY $EVELOPMENT  )NFORMATION #OMPANY OF )NDIA
,TD 4$)#) HAD JUST BEGUN OPERATIONS THEN AND THEY STRUCTURED A DEAL FOR US
UNDER WHICH THEY FUNDED US WITH REPAYMENT BASED ON A PERCENTAGE OF REVENUES
'ETTING INTO PRODUCTS WAS A TURNING POINT AND PROPELLED US INTO THE NEXT LEVEL
WHERE OUR REVENUE PER CUSTOMER INCREASED DRAMATICALLY /UR CONlDENCE WAS
BOLSTERED WHEN $ATAQUEST MAGAZINE RANKED -ASTEK AMONG THE 4OP  )NDIAN
)4 COMPANIES IN 

4HE PROCESS OF CONSOLIDATION AND BENCHMARKING

!T -ASTEK WE ALWAYS GOT A THRILL IN DEVELOPING NEW PRODUCTS ˆ AND THIS

CONTINUES TILL TODAY 0RODUCT DEVELOPMENT HOWEVER IS A HIGH RISK HIGH REWARD

!NNEXURE )) 
 ACTIVITY AND REQUIRES CAPITAL 7E WERE DOING FAIRLY WELL AS A BUSINESS BY THE
EARLY S BUT DID NOT HAVE ENOUGH CAPITAL TO DRIVE OUR PLANS FOR FURTHER
INTELLECTUAL PROPERTY )0 DEVELOPMENT 0UBLIC LISTING IN THOSE DAYS COULD ONLY
BE DONE AT PAR VALUE NOT AT A PREMIUM 4HE CONCEPT OF SWEAT EQUITY WAS ALSO
NON EXISTENT 6ALUATIONS WERE BASED ON BOOK VALUE WHICH WOULD RESULT IN
SIGNIlCANT DILUTION OF AN ENTREPRENEURS STAKE

'OING PUBLIC AT A PREMIUM

,ATER ON WHEN )0/S AT PREMIUM PRICING WERE ALLOWED IN THE COUNTRY AND
RESTRICTIONS PLACED BY THE #ONTROLLER OF #APITAL )SSUES WERE REMOVED -ASTEK
BECAME THE lRST )4 COMPANY TO GO PUBLIC AT PREMIUM PRICING IN  4$)#)
WHICH HAD EARLIER SUPPORTED US WITH VENTURE INVESTMENTS SAW ITS INVESTED
CAPITAL MULTIPLY MANIFOLD AFTER THE LISTING ) BELIEVE THAT THIS TO AN EXTENT
HELPED CREATE CONlDENCE AMONG 6# lRMS AT THAT TIME TO PROVIDE CAPITAL TO
PROMISING START UPS

'OING GLOBAL AGAINST MANY ODDS

!S A BUSINESS WHILE WE GREW OUR DOMESTIC OPERATIONS WE ALSO BEGAN TAPPING

THE GLOBAL MARKETS WHERE WE FACED SEVERAL TOUGH CHALLENGES &IRST THE IMAGE
OF )NDIA THEN WAS VERY DIFFERENT FROM WHAT IT IS TODAY AND THE COUNTRYS
TECHNOLOGY CAPABILITIES WERE NOT RECOGNIZED 3O WE NOT ONLY HAD TO MARKET
OURSELVES BUT ALSO MARKET )NDIA 3ECOND THE COUNTRYS INTERNAL POLICIES WERE
NOT VERY CONDUCIVE AND IT WAS DIFlCULT TO EVEN TRAVEL ABROAD DUE TO CONTROLS
ON FOREIGN EXCHANGE 4HE COUNTRY AND ITS NASCENT )4 INDUSTRY ALSO HAD NO
ACCESS TO NEW TECHNOLOGIES BECAUSE OF WHICH WE DID NOT HAVE A TALENT POOL
WITH ADEQUATE TRAINING AND EXPOSURE TO THE LATEST HARDWARE AND SOFTWARE )N
THE FACE OF SUCH ODDS ) AM PROUD TO SAY THAT )NDIAN PROFESSIONALS WERE ABLE
TO MAKE THE BEST OUT OF WHATEVER THEY HAD LEARNED AND UPDATED THEMSELVES
QUICKLY AND WERE ABLE TO RISE TO THE OCCASION

!T -ASTEK WE WENT TO 3INGAPORE IN   WHICH GAVE US ACCESS TO THE !SIA

0ACIlC MARKET AND A YEAR AFTER THAT WE ENTERED THE 53 MARKET )N  
WE ENTERED THE 5+ MARKET 7E ALSO BEGAN TO ENTER INTO PARTNERSHIPS WITH LARGE
INTERNATIONAL PLAYERS BOTH ABROAD AND IN )NDIA /UR GLOBAL OPERATIONS CONTINUED
TO GROW AND THE FOCUS REMAINED ON CREATING A BUSINESS IMPACT FOR CUSTOMERS

! HELPING HAND FROM ECONOMIC REFORMS AND LIBERALIZATION

"Y THAT TIME SOME OF US IN THE INDUSTRY HAD TOGETHER AND ESTABLISHED .!33#/-
.ATIONAL !SSOCIATION OF 3OFTWARE AND 3ERVICE #OMPANIES  .!33#/- AND )
PERSONALLY MADE STRONG EFFORTS TO CHANGE MINDSETS IN THE GOVERNMENT AND
CONVINCE IT TO REDUCE THE DUTY ON SOFTWARE IMPORTS WHICH USED TO BE AS HIGH
AS  ) KNEW THAT WHILE CHEAPER IMPORTED SOFTWARE PRODUCTS WOULD AFFECT
US AS WE TOO WERE INTO PRODUCTS IT WOULD ALSO CREATE IMMENSE OPPORTUNITIES
-OST OF OUR BUSINESS WAS STILL COMING FROM THE DOMESTIC MARKET AND WE FELT

 %NTREPRENEURSHIP IN )NDIA

THAT CHEAPER SOFTWARE WAS THE KEY TO ALSO TAP THE EXPORT MARKETS 4HE ECONOMIC
REFORMS DRIVEN BY THE THEN &INANCE -INISTER $R -ANMOHAN 3INGH lNALLY MADE
THAT HAPPEN AND THE RESULT IS THERE NOW FOR ALL OF US TO SEE

4HE ECONOMIC REFORMS IN )NDIA COUPLED WITH THE GLOBAL OPPORTUNITIES UNFOLDING
AS A RESULT OF THE 9+ PROBLEM CROPPING UP LED TO A SEA CHANGE WITHIN THE
COUNTRYS )4 INDUSTRY ) SEE THAT AS THE lRST PHASE OR WAVE IN THE EVOLUTION OF THE
)NDIAN )4 INDUSTRY WHEN )NDIAN )4 TALENT BEGAN TO ATTRACT GLOBAL ATTENTION AND
RESPECT -ASTEK TOO BEGAN TO EXPAND ITS FOOTPRINT OVERSEAS BUT WE REMAINED
FOCUSED ON WHAT WE CONSIDERED OUR ORGANIZATIONAL $.! SOLUTIONS 7E CHOSE
NOT TO RIDE THE 9+ BUS PERHAPS THE ONLY )NDIAN )4 PLAYER TO DO SO AS THAT WAS
NOT ALIGNED WITH THE KIND OF WORK WE WERE DOING AND WANTED TO DO

$EVELOPING THE CAPABILITIES AND PROCESSES TO MANAGE COMPLEX AND LARGE

PROGRAMMES

7E AT -ASTEK WENT AGAINST THE TREND AND REMAINED FOCUSED ON DEVELOPING

CAPABILITIES TO MANAGE AND DELIVER COMPLEX PROGRAMMES THAT MADE A VISIBLE
IMPACT AT THE CUSTOMERS END 6ERY EARLY ON WE UNDERSTOOD THE IMPORTANCE OF
BUILDING AN ORGANIZATION AND IMPLEMENTED INITIATIVES AT CREATING A CULTURE THAT
FOSTERED INNOVATION AND TEAMWORK DEVELOPING NEW LEADERS AND SETTING UP (2
PROCESSES LIKE REGULAR APPRAISALS AND  DEGREE FEEDBACK SYSTEMS )N THE YEAR
 WE BECAME THE lRST )4 SOLUTIONS COMPANY IN THE WORLD TO BE ASSESSED AT
0 #-- ,EVEL  AND 37 #-- ,EVEL  7E ALSO ESTABLISHED A STRATEGIC PLANNING
PROCESS TO ALIGN OUR OPERATIONS WITH LONG TERM OBJECTIVES

4HESE INITIATIVES GAVE US CAPABILITIES THAT IN TURN HELPED US SUCCESSFULLY

MANAGE AND IMPLEMENT LARGE COMPLEX ASSIGNMENTS IN A PREDICTABLE MANNER
&OR EXAMPLE IN  WE IMPLEMENTED THE ,ONDON #ONGESTION #HARGING ,##
PROJECT IN PARTNERSHIP WITH LOCAL lRM #APITA PIC FOR 4RANSPORT FOR ,ONDON
4F,  4HIS WAS A LARGE SCALE MULTI VENDOR ASSIGNMENT AND WE TOOK COMPLETE
OWNERSHIP FOR INTEGRATING ALL THE TECHNOLOGY LED APPLICATIONS OF SUCH A COMPLEX
PROGRAMME AND DELIVERED ON TIGHT PARAMETERS 7E ALSO PARTNERED WITH $ELOITTE
#ONSULTING AND FORMED A JOINT VENTURE IN  WHICH ENABLED THE COMPANY TO
GET A FOOTHOLD IN )NDIA WHILE GIVING US ACCESS TO ITS MARKETS IN .ORTH !MERICA
7E ARE NOW WORKING ON AN AMBITIOUS PROGRAMME FOR THE 5+S .ATIONAL (EALTH
3ERVICE .(3  4HE .(3 IS REVOLUTIONIZING THE HEALTHCARE DELIVERY SYSTEM IN THE
5+ AND WE HAVE PARTNERED WITH "4 'LOBAL 3ERVICES TO CREATE WHAT COULD BE THE
WORLDS LARGEST HEALTHCARE DATA WAREHOUSE )T IS A HUGE COMPLEX PROJECT WITH
SIGNIlCANT SECURITY ISSUES AND WILL ULTIMATELY HAVE AN IMPACT ON THE ABILITY OF
.(3 TO DELIVER BETTER SERVICES TO CITIZENS %VIDENTLY WHAT WE ARE DOING IS VERY
DIFFERENT FROM WHAT MOST OTHER )4 COMPANIES IN THE COUNTRY ARE DOING 7HILE
OUR FOCUS REMAINS ON SOLUTIONS OTHERS ARE FOCUSED MORE ON SERVICES )NDEED
TODAY ABOUT  OF -ASTEKS REVENUES COME FROM APPLICATION DEVELOPMENT AND
 FROM APPLICATION MANAGEMENT OR MAINTENANCE )T IS THE OTHER WAY ROUND
FOR MOST OTHER )NDIAN )4 lRMS

!NNEXURE )) 
 1UEST FOR EXCELLENCE AND BENCHMARKING AGAINST THE WORLDS BEST

'IVEN THE KIND OF WORK WE HAVE DONE AND CONTINUE TO DO IN THE 5+ WE

HAVE BECOME A FORMIDABLE NAME IN THAT MARKET AND ARE AMONG THE 4OP  )4
PLAYERS FROM )NDIA /UR SUCCESS WAS TO A LARGE EXTENT DRIVEN BY OUR QUEST FOR
GLOBAL EXCELLENCE !T -ASTEK WE ALWAYS BENCHMARKED OURSELVES AGAINST THE
WORLDS BEST MANY OTHER )NDIAN )4 PLAYERS HAVE ALSO DONE THE SAME WHICH
HAS BENElTED THE )NDIAN )4 INDUSTRY ) SEE SIMILAR THINGS HAPPENING NOW IN
OTHER SECTORS LIKE PHARMACEUTICALS AND MANUFACTURING INSPIRED PERHAPS BY THE
MANNER IN WHICH THE )4 INDUSTRY HAS DEMONSTRATED THAT WE )NDIANS ARE CAPABLE
OF DELIVERING WORLD CLASS PRODUCTS AND SERVICES

)NTERESTINGLY OUR UNIQUE BUSINESS MODEL WHICH IS FOCUSED ON LEVERAGING

INTELLECTUAL PROPERTY TO CREATE SOLUTIONS IS ONE OF THE REASONS WHY ONLY A
SMALL PART OF OUR REVENUES COMES FROM THE 53! TODAY 0OTENTIAL CUSTOMERS IN
THE 53! ARE USED TO SEEING )NDIAN )4 lRMS CAPITALIZING ON LABOUR COST ARBITRAGE
TO PROVIDE SERVICES USING THE OFF SHORING MODEL )T HAS BEEN AN UPHILL TASK FOR
US TO CONVINCE THE 53 MARKET THAT AN )NDIAN COMPANY SUCH AS OURS CAN ALSO
DO HIGHER END SOLUTIONS WORK "UT WE ARE MAKING PROGRESS AND OUR BUSINESS IN
THE 53! HAS BEEN GROWING RAPIDLY OVER THE PAST COUPLE OF YEARS

) BELIEVE THAT WHILE THE lRST WAVE OF EVOLUTION WITHIN THE )NDIAN )4 INDUSTRY
CULMINATED IN 9+ THE COST ARBITRAGE BASED OFF SHORING MODEL BROUGHT IN THE
SECOND WAVE OF EVOLUTION ,IKE ANY ARBITRAGE HOWEVER THIS LABOUR ARBITRAGE
WILL NOT LAST FOREVER 2ISING WAGES AND AN APPRECIATING RUPEE ARE ALREADY
SOUNDING THE ALARM BELLS FOR THIS MODEL 4HE NEXT THIRD WAVE OF GROWTH FOR THE
)NDIAN )4 INDUSTRY WILL COME FROM HIGHER END SOLUTIONS BACKED BY INTELLECTUAL
PROPERTY 4HERE -ASTEK HAS A SIGNIlCANT HEAD START 7E HAVE BEEN READY FOR
THIS FOR YEARS

-AKING WAY FOR THE NEXT GENERATION

(AVING BUILT A TRULY UNIQUE hTHIRD WAVEv )4 COMPANY ) DECIDED IN *ANUARY 
TO STEP ASIDE AND LET 3UDHAKAR 2AM ONE OF -ASTEKS FOUNDERS TAKE OVER THE
LEADERSHIP ROLE AS #HAIRMAN 4HE REAL MEASURE OF SUCCESS OF ANY ENTREPRENEURIAL
ENDEAVOUR IS WHETHER ONE HAS BEEN ABLE TO CREATE AN INSTITUTION THAT CAN
SUSTAIN AND GROW EVEN IN HER OR HIS ABSENCE ) BELIEVE -ASTEK HAS REACHED THAT
STAGE AND HAS A LONG WAY TO GO AS AN ORGANIZATION 3UDHAKAR IS YOUNGER HAS
MORE ENERGY AND PASSION AND HAS BEEN INVOLVED IN VARIOUS ASPECTS OF THE
COMPANY SINCE THE INITIAL PHASE (E HAS OUTLINED AN AGGRESSIVE GROWTH STRATEGY
FOR -ASTEK 4HE THRUST WILL REMAIN ON DELIVERING )0 LED SOLUTIONS BUT WITH A
MORE FOCUSED APPROACH TO TARGET TWO VERTICALS INSURANCE AND GOVERNMENT
WHERE WE HAVE A VERY STRONG TRACK RECORD AND HAVE OUR OWN )0 )N INSURANCE
FOR EXAMPLE WE HAVE %LIXIR© AND ARE NOW IN THE PROCESS OF INTRODUCING ITS
MORE POWERFUL VERSION 7ITH THE TIME NOW RIPE FOR )NDIAN SOLUTIONS PROVIDERS
THE FUTURE OUTLOOK FOR -ASTEK HAS NEVER BEEN BETTER ) CONTINUE TO BE -ASTEKS
CHIEF AMBASSADOR TO THE WORLD

 %NTREPRENEURSHIP IN )NDIA

(AVING STEPPED ASIDE FROM MY OPERATIONAL ROLE THERE ) NOW ALSO HAVE THE TIME
TO ENGAGE IN LEADERSHIP ACTIVITIES THAT CAN MAKE A DIFFERENCE AT THE MACRO LEVEL
) AM ACTIVELY INVOLVED WITH THE 0AN ))4 ORGANIZATION WHICH IS A WORLDWIDE ))4
ALUMNI MOVEMENT FOCUSED ON A MULTITUDE OF IMPORTANT INITIATIVES SUCH AS
NATION BUILDING AND ENCOURAGING ENTREPRENEURSHIP IN )NDIA 2ECENTLY ) TOOK
OVER AS 0RESIDENT OF THE !SIAN /CEANIAN #OMPUTING )NDUSTRY /RGANIZATION
!3/#)/  WHOSE MISSION IS TO IMPROVE TRADE ACROSS  NATIONS IN THE REGION
INCLUDING )NDIA !USTRALIA *APAN AND 3INGAPORE *UST AS OUR LIBERALIZATION LED
TO TREMENDOUS OPPORTUNITIES FOR THE ENTIRE )NDIAN )4 SECTOR ) BELIEVE INCREASED
REGIONAL COOPERATION WILL UNLOCK NEW PROSPECTS FOR OUR INDUSTRY

!T -ASTEK WE NOT ONLY BENCHMARKED OURSELVES AGAINST THE BEST GLOBALLY ON

OPERATIONAL PARAMETERS BUT ALSO ON SOFTER ISSUES THAT MAKE AN EQUALLY HARD
IMPACT ON ORGANIZATIONAL VALUE 7E HAVE LAID ENORMOUS EMPHASIS ON VALUES
AND THAT CONTINUES TO BE HIGH ON OUR AGENDA ) TAKE SPECIAL PRIDE IN THE HIGH
STANDARDS OF CORPORATE GOVERNANCE THAT WE ESTABLISHED AS A PUBLIC COMPANY
7E ALSO MADE SERIOUS AND RESULT ORIENTED EFFORTS IN THE AREA OF SOCIAL UPLIFT
WITH THE OBJECTIVE OF GIVING A HAND UP NOT A HAND OUT 7E HAVE FORMALIZED
OUR SOCIAL INITIATIVES UNDER -ASTEK &OUNDATION 4HE &OUNDATION WORKS ON THE
PRINCIPLE OF hINFORMED GIVING RESPONSIBLE RECEIVINGv SO WE HELP .'/S IMPROVE
THEIR OWN GOVERNANCE IN ORDER TO ATTRACT MORE FUNDING !T THE SAME TIME IT
ALSO PROVIDES PEOPLE THE OPTION TO MAKE A CHOICE ABOUT THE CAUSE THEY WANT
TO BE ASSOCIATED WITH ) HAVE BEEN PLEASANTLY SURPRISED TO NOTE THAT A LARGE
NUMBER OF -ASTEK EMPLOYEES TOO FREQUENTLY VOLUNTEER THEIR SPARE TIME TO MAKE
SOCIAL CONTRIBUTIONS WITH -ASTEK &OUNDATION

-Y MESSAGE FOR ASPIRING ENTREPRENEURS

!S AN ENTREPRENEUR ) TODAY HAVE THE SATISFACTION OF HAVING CREATED A GLOBAL

INSTITUTION BASED ON A ROBUST FOUNDATION OF INNOVATION PEOPLE VALUES AND
CUSTOMER CENTRICITY ,OOKING BACK TODAY ON MY FORMATIVE YEARS ) BELIEVE
THEY CONTRIBUTED AS MUCH TO MY SUCCESS AS ANYTHING ELSE 4HE RESOLVE THAT
) WITNESSED IN MY MOTHER PERHAPS INSTILLED IN ME A LEVEL OF TENACITY THAT IS
CRITICAL FOR ENTREPRENEURIAL SUCCESS AND THE HARDSHIPS ) FACED DURING THOSE
YEARS TAUGHT ME TO MAKE THE BEST OF WHAT ONE HAS

4HE JOURNEY SO FAR FOR ME HAS BEEN FULL OF THRILLING MOMENTS AND DISAPPOINTING
TIMES AS IS THE CASE WITH ANY ENTREPRENEURIAL VENTURE /NLY UNBRIDLED PASSION
IS LIKELY TO SEE YOU THROUGH THE RIGOUR AND PAINS THAT ARE PART AND PARCEL OF
ANY START UP PROCESS 4HE KEY ENABLERS OF MY OWN SUCCESS WERE EDUCATION
VALUES AND RELATIONSHIPS $URING MY TIME IT WAS VERY DIFlCULT TO ESTABLISH A
NEW BUSINESS AND FOR FOUR PROFESSIONALS TO BUILD A COMPANY LIKE -ASTEK IN AN
ENVIRONMENT WHERE BUSINESS WAS NOT TRUSTED WAS TRULY REMARKABLE ) AM PROUD
OF THE FACT THAT ) HAVE BEEN A PART OF THAT PHASE IN )NDIAS HISTORY THAT SAW
ENTREPRENEURIAL ENTERPRISE TAKE ROOT

4HIS IS A GOOD TIME TO BE AN ENTREPRENEUR IN )NDIA 4ODAY WE HAVE SUCCESSFUL

ROLE MODELS )NDIA IS GROWING RAPIDLY ECONOMIC LIBERALIZATION IS GOING ON

!NNEXURE )) 
 IN FULL SWING AND )NDIA ENJOYS A FAVOURABLE POSITIONING AS A BRAND IN THE
GLOBAL MARKETS 'OVERNMENT POLICY IS INCREASINGLY BECOMING PROGRESSIVE
AND THE BUSINESS ENVIRONMENT IS MORE CONDUCIVE WHICH IS A VERY WELCOME
DEVELOPMENT BECAUSE )NDIA NEEDS MANY MORE ENTREPRENEURS ACROSS INDUSTRIES
IF IT HAS TO ACHIEVE AND SUSTAIN THE KIND OF GROWTH WE AS A NATION SEEK
)N MY PERSONAL CAPACITY ) INTEND TO DO WHAT ) CAN TO MAKE THAT HAPPEN
3INCE -ASTEK HAPPENED AT ))- !HMEDABAD ) BELIEVE EDUCATIONAL INSTITUTIONS
CAN HELP FOSTER ENTREPRENEURSHIP WHICH IS WHY ) AM ALSO INVOLVED WITH THE
3OCIETY FOR )NNOVATION  %NTREPRENEURSHIP 3).% AT ))4 "OMBAY ˆ A BUSINESS
INCUBATOR WHERE IDEAS FROM STUDENTS AND ALUMNI CAN BE COMMERCIALIZED ) AM
VERY EXCITED BY THE POTENTIAL AND DRIVE ) SEE IN TODAYgS GENERATION OF ASPIRING
ENTREPRENEURS AND ) AM VERY OPTIMISTIC ABOUT THE FUTURE OF ENTREPRENEURSHIP
IN )NDIA

 %NTREPRENEURSHIP IN )NDIA

 #9CNMQPVJG'PVTGRTGPGWTKCN2CVJ

#ECIL !NTONY

#HAIRMAN 3YNERGY 'ROUP OF #OMPANIES #HIEF -ENTOR

.3(- +NOWLEDGE #AMPUS

)T WAS THE YEAR  ) HAD JUST GRADUATED FROM THE *ABALPUR 'OVERNMENT
%NGINEERING #OLLEGE WITH AN %LECTRICAL %NGINEERING DEGREE IN HAND AND HAD
FOUR GOOD JOB OFFERS 3!),S OFFER APPEALED TO ME THE MOST 3!), UNDER THE
DYNAMIC LEADERSHIP OF -R 6 +RISHNAMURTHY WAS DOING VERY WELL INCLUDING AN
EXCELLENT BRAND BUILDING EXERCISE ) JOINED 3!), AND WAS POSTED TO $URGAPUR
3TEEL 0LANT WHICH WAS MY lRST VISIT TO THE EASTERN PART OF THE COUNTRY .INE
MONTHS OF HECTIC TRAINING FOLLOWED BUT SOMEWHERE THE SATISFACTION WAS NOT
THERE !LONG WITH MY BATCH MATE !MITABH 'UPTA A "4ECH IN %LECTRONICS 
4ELECOM WE USED TO SIT AND PONDER ˆ SHOULD WE DO SOMETHING ON OUR OWN OR
JOIN THE PRIVATE SECTOR DO AN -"! FROM ONE OF THE ))-S OR GO TO THE 53! AS
ALL ENGINEERS WISHED TO DO THEN 

3OMEHOW THE ENTREPRENEURIAL BUG CAUGHT ME MORE THAN ANYTHING ELSE 9ET
EVERYTHING SEEMED TO BE RISKY IN BUSINESS THEN "OTH !MITABH AND ) DID NOT
HAVE A BUSINESS BACKGROUND 4HAT WAS THE YEAR  7E WERE LOOKING FOR
OPTIONS #ABLE TELEVISION CAME TO OUR MIND AND SO DID EXPORT OF INNERWEAR
ˆ BOTH WERE BOOMING IN THOSE DAYS 4HEN SUDDENLY IT WAS AN ADVERTISEMENT
FROM THE )4 EDUCATION PROVIDER .))4 THAT CLICKED ) APPLIED )N THE lRST ROUND
THERE WERE  APPLICANTS ) CLEARED THE SECOND ROUND AND WENT INTO THE THIRD
!ND lNALLY IN THE FOURTH ROUND ) MET THE VISIONARY 2 3 0AWAR WHO GAVE ME
THE lRST OFFER FROM .))4 TO START THE CENTRE AT $URGAPUR  KM FROM +OLKATA
!LL HELL BROKE LOOSE AFTER THAT

"ETWEEN !MITABH AND ME WE HAD ONLY ABOUT 2S  BUT A LOT OF BURNING
DESIRE TO BUILD SOMETHING ) WENT TO *ABALPUR WHERE MY PARENTS WERE STATIONED
TO TALK TO THEM -Y FATHER WAS A SIMPLE HONEST DEDICATED EMPLOYEE OF
-03%" AND MY MOTHER CAME FROM A VERY HUMBLE BACKGROUND 4HEY HAD IN OUR
FORMATIVE YEARS UNDERGONE TREMENDOUS lNANCIAL DIFlCULTY TO BRING UP THEIR
THREE CHILDREN AND PROVIDE GOOD SCHOOLING $ESPITE ALL CONSTRAINTS THEY HAD
INSTILLED IN US TREMENDOUS VALUES OF INTEGRITY HARD WORK AND DEDICATION 7HEN
) INFORMED THEM ABOUT MY IDEA TO QUIT MY CUSHY PUBLIC SECTOR JOB THE ROOF FELL
IN 4HERE WERE THREE FULL DAYS OF DISCUSSION AND THE ODD EMOTIONAL BREAKDOWN

!NNEXURE )) 
 BEFORE MY FATHER TOLD ME n @3ON YOU HAVE TO BUILD YOUR LIFE TAKE THE DECISION
WHICH YOU FEEL IS RIGHT 7ITH A LOAN OF 2S  FROM MY FATHER ) TOOK THE
TRAIN TO $ELHI TO SIGN THE ,ETTER OF )NTENT WITH .))4

! PROJECT OF 2S  LAKH WITH ONLY 2S  IN HAND SEEMED TO BE AN IMPOSSIBLE
TASK ) RESIGNED FROM 3!), IN &EBRUARY  AND AT THE AGE OF  DECIDED TO
TAKE THE PLUNGE INTO BUSINESS IN A PLACE CALLED $URGAPUR IN 7EST "ENGAL WHICH
WAS IN A ABYSMALLY POOR CONDITION AS FAR AS INVESTOR FRIENDLINESS WAS CONCERNED
%VERYBODY AROUND TOLD US THAT IT WAS THE WRONG PLACE TO INVEST AND NOBODY
WOULD COUGH UP 2S  FOR A COMPUTER COURSE 4HROUGH FRIENDS AND WELL
WISHERS WE WERE ABLE TO RAISE ABOUT 2S  LAKH AND WITH SOME VERY GOOD SUPPLIERS
WE KICKED OFF THE lRST VENTURE OF 3YNERGY ON TH -AY  4HE BUSINESS DID
VERY WELL 7E ENROLLED  STUDENTS IN THE lRST TWO WEEKS AND SUPPLIERS WERE PAID
FROM THE COLLECTION OF 2S  LAKH ) HAD NEVER SEEN THAT KIND OF MONEY IN MY LIFE
BEFORE
"UT THE WORST PART THEN WAS THE BANKS !FTER MONTHS OF FOLLOW UP WITH
THEM AN 33) REGISTRATION WAS INSISTED UPON AND THE END ANSWER WAS n @YOU HAVE
NO MONEY OR COLLATERALS SO WE CANT GIVE YOU A LOAN

4HAT WAS THE BEGINNING 4HE NEXT FOUR YEARS WERE REALLY A GREAT LEARNING
EXERCISE ˆ LEARNING THE ROPES OF BUSINESS UNDERSTANDING THE UPS AND DOWNS
UNDERSTANDING BALANCE SHEETS PROlT  LOSS ACCOUNTING NOT ALLOWING SUCCESS
TO GO TO YOUR HEAD WE GOT INTO THAT SYNDROME BUT WERE LUCKY TO COME OUT OF
IT AND UNDERSTANDING THAT HUMAN RESOURCE IS THE PILLAR OF THE SERVICE INDUSTRY
)N  MY BROTHER &RANCIS lNISHED HIS EDUCATION AND WANTED TO SET UP A
BUSINESS IN *ABALPUR !MITABH AND ) CONVINCED HIM TO JOIN 3YNERGY WHICH
HE DID "Y  WE HAD DIVERSIlED INTO A NUMBER OF BUSINESSES OUT OF OUR
IMMATURITY AND IN  WE CLOSED EVERYTHING EXCEPT OUR EDUCATION BUSINESS
n LEARNING THE HARD WAY TO &/#53 ON CORE STRENGTH AREAS AND TO DEVELOP IT )N
 !MITABH QUIT HIS JOB AND WE STARTED THE SECOND .))4 CENTRE AT !SANSOL
7E REACHED OUR lRST CRORE IN  AND BY END  WE DECIDED TO ENTER THE
FORMAL EDUCATION SECTOR WHICH WE FOUND TO BE VERY PROMISING )T WAS THEN
THAT WE SET UP .3(- +NOWLEDGE #AMPUS AT $URGAPUR n PURELY AS A HOTEL
MANAGEMENT COLLEGE 7ORKING WITH .))4 WAS A BIG LEARNING EXPERIENCE AND
IT TAUGHT US TO FOCUS ON CUSTOMERS LEADERSHIP POSITION lNANCIAL DISCIPLINE
-)3 USE OF )4 AND 4ECHNOLOGY IN BUSINESS AND A LOT MORE )N  WE WERE
ABLE TO CONVINCE ANOTHER BATCH MATE OF OURS 0RASHANT +UMAR A PRODUCT OF
))4 +HARAGPUR TO JOIN 3YNERGY AND THUS 3YNERGY BECAME A GROUP PROMOTED
BY THE FOUR OF US )N  ) SHIFTED TO THE CITY OF +OLKATA CONSIDERED TO BE
THE BUSINESS HUB OF THE EAST 7HILE IN $URGAPUR ) BECAME A YOUNG SUCCESSFUL
BUSINESSMAN GETTING ACCOLADES FROM ALL QUARTERS FOR MY RISK TAKING ABILITIES IN
+OLKATA IT WAS LIKE RE STARTING THE ENTIRE WHEEL AND BEING A lSH IN THE SEA

"Y THE YEAR  WE BECAME .))4S LARGEST FRANCHISE IN NUMBERS WITH 
OPERATIONAL CENTRES AND WERE AMONG THE TOP TEN IN THE COUNTRY AS FAR AS BUSINESS
WAS CONCERNED .3(- +NOWLEDGE #AMPUS HAS GROWN IN LEAPS AND BOUNDS AND
HAS TWO OPERATIONAL CAMPUSES ˆ A  ACRE ONE AT $URGAPUR AND A  ACRE

 %NTREPRENEURSHIP IN )NDIA

CAMPUS AT +OLKATA IT IS COMING UP WITH A  ACRE CAMPUS IN "HUBANESWAR A
THREE ACRE CAMPUS IN 4RIPURA A  SQ FT CAMPUS IN THE HEART OF 'URGAON
A  SQ FT CAMPUS IN THE HEART OF "ANGALORE A  ACRE CAMPUS AT ,AVASA
0UNE AND A  ACRE CAMPUS AT .EEMRANA .#2 /VER THE YEARS WE HAVE BUILT
MORE THAN  KNOWLEDGE PARTNERSHIPS INCLUDING THE ONE WITH 3HEFlELD (ALLAM
5NIVERSITY OF 5+ /RACLE !UTODESK !DOBE )-) OF 3WITZERLAND AND THE DE"ONO
)NSTITUTE OF ,ATERAL ,EARNING  )NNOVATION AMONG OTHERS

0OST  WE STARTED EXPLORING NEW BUSINESS AREAS AND lNALLY AFTER EXTENSIVE
INTERACTIONS AND RESEARCH WE ZEROED IN ON "IOTECHNOLOGY 2ENEWABLE %NERGY
AND )NFRASTRUCTURE /UR BUSINESS VISION @"USINESS "EYOND "OUNDARIES GUIDED
US TO LOOK AT BUSINESSES THAT WERE FUTURISTIC IN NATURE )N  WE STARTED
3YNERGY "IOTECHNOLOGIES ,TD 3"4, WITH A  ACRE SETUP AND BECAME THE
lRST FULLY OPERATIONAL STATE OF THE ART PLANT BIO TECH FACILITY IN THE %AST
WITH AN EIGHT MILLION PLANT TISSUE CULTURE FACILITY 3YNERGY 2ENEWABLE %NERGY
0 ,TD 32%0, WAS STARTED IN  WITH BUSINESS OPERATIONS IN 3OLAR 
"IO %NERGY !  -7 3OLAR -ODULE MANUFACTURING FACILITY WAS SET UP A TIE UP
WITH )NDIAN )NSTITUTE OF 3CIENCE FOR BIO MASS TECHNOLOGY WAS SIGNED AND SO
WAS A TIE UP WITH #APSTONE 4URBINE #ORP OF 53! FOR BIO GAS MICRO TURBINES
4HIS MARKED THE TRANSITION OF 3YNERGY FROM BEING ONLY A SERVICES BASED
COMPANY TO A MANUFACTURING COMPANY AS WELL 7E BUILT )NDIAS lRST MICRO
TURBINES BASED BIO GAS PROJECT AT 0URULIA 32%0, AND 3"4, TOOK US BEYOND THE
BOUNDARIES OF OUR COUNTRY INTO %UROPE #HINA 53! AND THE &AR %AST COUNTRIES
/UR INFRASTRUCTURE INITIATIVE WAS IN THE FORM OF SETTING UP THE COUNTRYS lRST
INTEGRATED @+NOWLEDGE  (EALTH #ITY CHRISTENED )1 #ITY /N HUNDRED ACRES OF
LAND THIS PROJECT IS COMING UP WITH A MEDICAL COLLEGE NURSING DENTAL PARA
MEDICAL AND ALLIED HEALTH SCIENCE COLLEGE MANAGEMENT COLLEGE ALONG WITH ALL
ALLIED INFRASTRUCTURE OF RESIDENTIAL TOWNSHIPS INDOOR SPORTS COMPLEX OUTDOOR
SPORTS COMPLEX SHOPPING MALL MULTIPLEX ETC

"ANKS BECAME VERY FRIENDLY AFTER  AND HAVE EXTENDED MORE THAN 2S 
CRORE IN LONG TERM LOANS TO US )N 7EST "ENGAL THE STATES OUTLOOK TOWARDS
PRIVATE INVESTMENT CHANGED OVER A PERIOD OF TIME AND WE GOT A LOT OF ADVANTAGE
IN BEING AMONG THE lRST OF THE NEW GENERATION ENTREPRENEURS IN THIS STATE
7E CROSSED OUR lRST 2S  CRORE IN TURNOVER AND ENVISION BEING A 2S 
CRORE GROUP BY  )N TIME WE HAVE BUILT STRONG EXTERNAL PARTNERSHIPS
WITH VARIOUS LEADING GROUPS TO BUILD FASTER GROWTH 4RANSPARENCY INTEGRITY
UNmINCHING PASSION A LOT OF HARD WORK AND DEDICATION WERE THE PILLARS OF
SUCCESS -ANAGING HUMAN RESOURCES HAS BEEN ONE OF MY PERSONAL CORE AREAS
APART FROM PROVIDING VISION AND STRATEGIC DIRECTIONS TO MY GROUP 4HE  ODD
3YNERGY ITES AND .3(- ITES AND THEIR FAMILIES HAVE BEEN THE BIGGEST FORCE
FOR WHEREVER 3YNERGY IS TODAY ! LOT OF DELEGATION AND FREEDOM FOR PEOPLE
WHO HAVE A PASSION TO BUILD HAVE ENSURED OUR SUCCESS .OTWITHSTANDING THE
SUPPORT FROM MY DEAR PARENTS ) AM INDEBTED TO MY SISTER 2EENA AND HER FAMILY
AND ESPECIALLY MY WIFE -ARY AND KIDS 2ISHABH AND .IKITA WHO HAVE SACRIlCED
A LOT TO HELP ME BUILD 3YNERGY

!NNEXURE )) 
 7HEN ) LOOK BACK TODAY AND TRAVEL THE  YEARS OF OUR EXISTENCE IT HAS BEEN
PEOPLE INFRASTRUCTURE AND ENVIRONMENT THAT HAVE BEEN THE PILLARS OF OUR
BUSINESS ALONG WITH THE STRONG BELIEF THAT TO BE GOOD IS NOT ENOUGH WE HAVE
TO BE GREAT ) STILL REMEMBER MOVING ON MY MOTORCYCLE  YEARS AGO TO HANG
BANNERS IN THE CITY OF $URGAPUR -AYBE THAT CONNECTIVITY WITH THE GRASSROOTS
HAS HELPED ME TO UNDERSTAND PEOPLE AND THEIR REQUIREMENTS 4HE OPENING UP
OF THE )NDIAN ECONOMY THE HUGE YOUTH FORCE DEVELOPING IN OUR COUNTRY AS
WELL AS LIBERALIZATION HAS OPENED UP A LOT OF OPPORTUNITIES TO EVERYBODY IN
OUR COUNTRY &INANCIAL INSTITUTIONS THE INVESTMENT CLIMATE AND THE GROWING
ECONOMYS REQUIREMENTS HAVE GENERATED ENOUGH OPPORTUNITIES FOR BUSINESSES
TO BUILD UP 4HERE IS NO STOPPING )NDIA FROM BECOMING ONE OF THE MAJOR FORCES
IN THE WORLD BY  9ET MORE NEEDS TO BE DONE 7E HAVE TO CUT DOWN A LOT
ON LICENCES AND BRING THE 3INGLE 7INDOW 0OLICY TO REALIZATION 7E NEED TO TRAIN
MORE SKILLED MANPOWER NOT ONLY ENGINEERS GRADUATES AND POST GRADUATES 
/UR SYSTEMS REQUIRE MUCH MORE TRANSPARENCY 7E REQUIRE OPENING OF A LOT OF
SECTORS FOR PRIVATE AND OVERSEAS INVESTMENT INCLUDING EDUCATION 7E NEED TO
HAVE MORE YOUTH WITH A LOT OF DESIRE TO ACHIEVE IN THE BUREAUCRACY AND THE
POLITICAL ARENA n YES WE HAVE TO DO A LOT AND ALL OF US CAN DO IT COLLECTIVELY
)NDIA IS A HUGE COUNTRY BUT IF EVERYBODY WORKS IN THEIR RESPECTIVE DISTRICTS AND
FOCUSES ON THE DEVELOPMENT OF THAT DISTRICT WE WILL HAVE BALANCED AND WELL
DISTRIBUTED GROWTH

%NTREPRENEURSHIP IS ALL ABOUT PASSION AND A VISION 9OU DONT REQUIRE ONLY
MONEY TO BUILD GREAT BUSINESSES 9OU REQUIRE LOOKING BEYOND SEEING THE FUTURE
AND JUST GRABBING THE OPPORTUNITY AND THEN HAVING A LOT OF PERSEVERANCE
4HERE IS NO BUSINESS IN THE WORLD THAT IS NON PROlTABLE BUT EVERYBODY HAS NOT
BEEN ABLE TO BUILD PROlTABLE BUSINESSES 4HERE ARE RISKS AND SO ALSO REWARDS
0ATIENCE IS IMPORTANT ANY BUSINESS THAT MAKES MONEY OVERNIGHT WILL NOT HAVE
STRONG FUNDAMENTALS 7ITH TOMORROWS ENTREPRENEURS OF )NDIA ) WANT TO SHARE
SOME KEY THOUGHTS DREAM lRST TAKE THE RISK AS EARLY AS POSSIBLE HAVE A LOT OF
WILLPOWER DETERMINATION AND PERSEVERANCE SUCCESS DOESNT COME OVERNIGHT
PUT IN A LOT OF DEDICATED FOCUSSED EFFORTS DONT CHASE MONEY BUT CHASE
DREAMS HAVE THE COURAGE TO FACE FAILURES n IT ALWAYS COMES BEFORE SUCCESS
lNALLY INVEST IN PEOPLE )T IS NECESSARY TO IGNITE THE ENTREPRENEURIAL SPIRIT OF
)NDIANS 7E DO HAVE A LOT OF IT IN US

 %NTREPRENEURSHIP IN )NDIA

 #,QWTPG[&TKXGPD['PVTGRTGPGWTUJKR

'LENN 3ALDANHA

-ANAGING $IRECTOR 'LENMARK 0HARMACEUTICALS ,IMITED

'LENMARK WAS FOUNDED IN  AND WAS A FAMILY RUN BUSINESS TILL THE YEAR
 4ILL THEN  OF 'LENMARKS BUSINESS WAS FROM )NDIA WITH TOTAL SALES
OF APPROXIMATELY 2S  CRORE 4HE REVENUES WERE PRIMARILY FROM lNISHED
FORMULATION WITH A LEADERSHIP IN THE DERMATOLOGY SEGMENT

)N THE YEAR  -R 'LENN 3ALDANHA COME BACK FROM THE 53 WITH A VISION
TO BROAD BASE 'LENMARK INTO A LEADING VERTICALLY INTEGRATED 2$ BASED
PHARMACEUTICAL COMPANY (IS VISION WAS TO BUILD GLOBAL SCALES IN THE GENERIC
AND !0) BUSINESS AND DEPLOY THE PROlTS INTO BUILDING INTELLECTUAL PROPERTY
NEW MOLECULES  4HE IDEA WAS TO TAKE THESE NEW MOLECULES AND SUBSEQUENTLY
LICENSE IT TO BIG PHARMACEUTICAL COMPANIES AT AN EARLY STAGE OF DEVELOPMENT
KEEPING CERTAIN SUCCESS BASED RIGHTS ON THESE MOLECULES !T THAT POINT )NDIA
WAS AT THE INFANCY OF CONDUCTING HIGH QUALITY INNOVATION AS THE INDUSTRY WAS
PRIMARILY DRIVEN BY REVERSE ENGINEERING OF WESTERN PRODUCTS

)N ORDER TO FULlL THIS VISION 'LENMARK MADE ITS INITIAL PUBLIC OFFER ON THE
"3% AND .3% OF )NDIA RESULTING IN A MARKET CAPITALIZATION OF 53 MILLION
AND BUILT AN 2$ FACILITY WITH THE )0/ PROCEEDS 4HE FACILITIES WERE DESIGNED
TO CONDUCT DRUG DISCOVERY RESEARCH !S 'LENMARK WAS NOT WELL KNOWN IN THE
GLOBAL PHARMACEUTICAL ARENA IT USED STOCK OPTIONS AS A CURRENCY TO ATTRACT
PEOPLE OF )NDIAN ORIGIN BACK FROM THE 53! TO WORK IN THE DRUG DISCOVERY AREA
'LENMARK ALSO BUILT ITS 2$ FACILITY AND CORPORATE STRUCTURE TO MIMIC A 53
BIOTECH ENVIRONMENT WHERE THE DECISION MAKING WAS FAST AND WORK CULTURE
STIMULATED CREATIVITY

3EVEN YEARS LATER 'LENMARK TODAY PRIDES ITSELF AS BEING THE .O )NDIAN
COMPANY IN THE 2$ SPHERE WITH  MOLECULES IN THE RESEARCH PIPELINE OF
WHICH THREE ARE IN 0HASE )) CLINICAL DEVELOPMENT #URRENTLY 'LENMARK HAS THREE
MOLECULES IN PHASE )) CLINICAL DEVELOPMENT AND HAS STRUCK OUT LICENSING DEALS
WITH BIG PHARMA COMPANIES LIKE -ERCK +'A! &OREST %LI ,ILLY AND 4EIJIN 0HARMA
FOR TOTAL MILESTONES EXCEEDING 53 MILLION AND SUCCESS BASED ROYALTIES IF
THESE MOLECULES MAKE IT TO THE MARKET 'LENMARK HAS ALREADY RECEIVED OVER
53 MILLION WITH LESS THAN 53 MILLION BEING INVESTED IN DRUG DISCOVERY
AND 2$ OVER THE LAST SEVEN YEARS MILESTONES AND WOULD CONTINUE TO RECEIVE

!NNEXURE )) 
 MILESTONES AS THE MOLECULES PROGRESS )N ADDITION 'LENMARK HAS THREE PRE
CLINICAL CANDIDATES ENTERING CLINICAL TRIALS THIS YEAR

$URING THE SEVEN YEAR PERIOD 'LENMARK FACED SEVERAL CHALLENGES TO REACH THIS
STAGE OF EVOLUTION #LEARLY HEAVY INVESTMENTS IN 2$ WERE VIEWED NEGATIVELY
BY MOST OF THE lNANCIAL COMMUNITIES AS THEY QUESTIONED 'LENMARKS SMALL
SIZE LIMITED RESOURCES LIMITED TALENT AND UNDERSTANDING TO DO NOVEL WORK !T
EVERY STAGE UNTIL THE lRST OUT LICENSING DEAL lNANCIAL INVESTORS WERE CYNICAL
ABOUT ANYTHING COMING OUT OF THE RESEARCH EFFORTS (OWEVER 'LENMARKS WILL
TO SUCCEED WAS UNSHAKEN AND IT CONTINUED DOWN THE PATH OF INNOVATION DRIVEN
BY THE STRONG BELIEF SYSTEM OF THE MANAGEMENT TEAM

4ODAY 'LENMARK IS A FULLY INTEGRATED GLOBAL RESEARCH LED PHARMACEUTICAL

COMPANY 4HE MARKET CAP HAS CROSSED 53 BILLION AND HAS SIGNIlCANT
PRESENCE IN THE BRANDED GENERIC GENERICS AND !0) BUSINESS WITH OPERATIONS IN
OVER  COUNTRIES INCLUDING THE 53! AND ACROSS %UROPE

%NTREPRENEURSHIP IN )NDIA

%NTREPRENEURSHIP IS A CRITICAL ASPECT OF THE KNOWLEDGE ECONOMY AND )NDIA HAS

A LARGE POOL OF ENTREPRENEURS WHO HAVE THE ABILITY TO MAKE A DIFFERENCE AND
NEED TO BE NURTURED TO ACHIEVE THEIR POTENTIAL AND PROVIDE A FURTHER BOOST
TO THE )NDIAN ECONOMY )NDIA NEEDS ENTREPRENEURS FOR TWO REASONS n lRST TO
CREATE EMPLOYMENT AND WEALTH AND SECOND TO GET THE MOST OUT OF EXISTING
OPPORTUNITIES

(OWEVER AN UNSTRUCTURED BUSINESS ENVIRONMENT AND A HIGH LEVEL OF BUREAUCRACY

OFTEN DISCOURAGE POTENTIAL ENTREPRENEURS TO TAKE RISKS AND BUILD INNOVATIVE
ENTERPRISES 'OVERNMENT REGULATIONS AND POLICIES WHICH ARE NOT IN LINE WITH
GLOBAL STANDARDS NOT ONLY AFFECT EXISTING ENTREPRENEURS BUT ALSO CREATE
DIFlDENCE IN THE MINDS OF TALENTED INDIVIDUALS WHO HAVE THE INHERENT CAPACITY
TO TAKE RISKS AND MAKE A SUCCESS OF IT

)NDIAN ENTREPRENEURS ARE ALSO OFTEN SHACKLED BY LACK OF SKILLED MANPOWER TO

SUPPORT THEIR BUSINESS ENTERPRISE AND OFTEN HAVE TO DO WITH AVERAGE TALENT
OR LIMITED RESOURCES AS THE COST OF SKILLED MANPOWER IS VERY HIGH 4O HELP
THE GROWTH OF ENTREPRENEURSHIP IN )NDIA INVESTMENTS HAVE TO BE MADE IN
TRAINING PEOPLE TO DEVELOP THE REQUISITE SKILLS AND AN ENTREPRENEURIAL
MINDSET )T IS IMPORTANT FOR )NDIA TO CREATE THE RIGHT ENVIRONMENT FOR BUILDING
ENTREPRENEURSHIP BY PROVIDING THE RIGHT TRAINING KNOWLEDGE SUPPORT SKILL
SETS NETWORKING OPPORTUNITIES AND FORUMS SIMPLIlED REGULATIONS ETC 4HIS
REQUIRES THE RIGHT KIND OF FORESIGHT AND PLANNING TO CREATE ENTREPRENEURS FROM
)NDIA WHO CAN GO ON TO BECOME WORLD LEADERS AND HARBINGERS OF POSITIVE SOCIO
ECONOMIC CHANGE

 %NTREPRENEURSHIP IN )NDIA

 #P'PVTGRTGPGWTKCN,QWTPG[

*IGNESH 3HAH
#HAIRMAN AND #%/ OF &INANCIAL 4ECHNOLOGIES 'ROUP

&INANCIAL 4ECHNOLOGIES 'ROUP .3% &).!.4%#( "3% &).4%#( IS A LEADER

IN PROVIDING TECHNOLOGY AND DOMAIN )0 INTELLECTUAL PROPERTY TO TRADE ON
NEXT GENERATION lNANCIAL MARKETS EXCHANGES THAT CAN TRANSFORM LIVES OF
COMMON PEOPLE BY PROPAGATING KEY BENElTS SUCH AS PRICE TRANSPARENCY TRADE
EFlCIENCY RISK HEDGING AND STRUCTURED PUBLIC lNANCE MAKING THESE AVAILABLE
TO THE MASSES

!N ENGINEERING GRADUATE FROM THE 5NIVERSITY OF -UMBAI WHO STARTED HIS

CAREER WITH THE "OMBAY 3TOCK %XCHANGE "3%  WORKING ON IMPLEMENTATION OF
ITS ONLINE TRADING SYSTEM NAMED "/,4  -R *IGNESH 3HAH INITIALLY TRAINED AND
GAINED EXPERIENCE IN TECHNOLOGY AND TRADING OPERATIONS AT THE WORLDS LEADING
EXCHANGES IN 53! 5+ 3INGAPORE (ONG +ONG AND *APAN 3OON HE SPOTTED
THE OPPORTUNITY TO MAKE lNANCIAL MARKETS MORE AFFORDABLE AND ACCESSIBLE TO
THE COMMON MAN THROUGH TECHNOLOGY n EFFECTIVELY SHIFTING POWER FROM @7ALL
3TREET TO THE MAN ON THE STREET (E FOUNDED &INANCIAL 4ECHNOLOGIES IN 
WITH THREE OF HIS "3% COLLEAGUES -R $EWANG .ERALLA -R 'HANSHYAM 2OHIRA
AND -R 6 (ARIHARAN AFTER THEY GAVE UP THEIR LUCRATIVE 53 JOB OFFERS AND
DECIDED TO LEVERAGE THE TECHNOLOGY AND DOMAIN EXPERTISE OBTAINED IN THE 53!
n FOR )NDIA 4HE 53 COMPANY HE lNANCED BY MORTGAGING HIS HOME HAS
GROWN TO A 53 BILLION GLOBALLY RESPECTED ENTERPRISE IN LESS THAN  YEARS
ˆ PROVING THAT THE NEXT GENERATION DRIVING THE GROWTH OF )NDIA )NC ARE THE
CHILDREN OF KNOWLEDGE NOT NECESSARILY CHILDREN OF BUSINESSMEN

! SERIAL ENTREPRENEUR -R 3HAH IS CONSIDERED AN ARCHITECT OF MODERN lNANCIAL

MARKETS FOR HIS ROLE IN CREATING A SUCCESSFUL 0UBLIC 0RIVATE 0ARTNERSHIP 000
MODEL THAT CAN HELP UNLOCK SIGNIlCANT VALUE FROM THE MIDDLE AND BOTTOM
OF THE SOCIO ECONOMIC PYRAMID BY DEMOCRATIZING BENElTS OF GLOBAL TRADE
AND ECONOMY THEREBY DRIVING INCLUSIVE AND EQUITABLE GROWTH -#8 -ULTI
#OMMODITY %XCHANGE WITH 3") "/) ($&# .3% .!"!2$ AND OTHERS $'#8
WITH 'OVERNMENT OF $UBAI '"/4 WITH 'OVERNMENT OF -AURITIUS 3.8 WITH
.$$" 'OVERNMENT OF )NDIA ENTERPRISE AND )%8 )NDIAN %NERGY %XCHANGE
WITH 04# ARE SOME OF THE EXAMPLES OF GLOBALLY RECOGNIZED AND RESPECTED 000
VENTURES PROMOTED BY -R 3HAH AND &INANCIAL 4ECHNOLOGIES

-R 3HAHS VISION IS TO EMPOWER THE COMMON MAN THROUGH WHAT HE TERMS

AS @-ISSION 4RANSPARENCY n 5SING 4ECHNOLOGY WHICH SEEKS TO CHALLENGE THE

!NNEXURE )) 
 ROLE OF CONVENTIONAL NON VALUE ADDED MIDDLE MEN INTERMEDIARIES AND VESTED
INTEREST GROUPS WHO HAVE SQUEEZED PRODUCERS AND CONSUMERS BY DEPRIVING
THEM BENElTS OF MODERN OPEN AND EFlCIENT MARKETS )N THIS SENSE HE TARGETS
MONOPOLISTIC BEHAVIOUR THAT DISPROPORTIONATELY BENElTS BY OPERATING IN PRICE
OPAQUENESS AND UNFAIR TRADE PRACTICES (E SEEKS TO BRIDGE THE RURAL URBAN
ECONOMIC DIVIDE BY INTEGRATING THEM INTO GLOBAL MARKETS THROUGH ELECTRONIC
MARKET INFRASTRUCTURE

5NDER THE LEADERSHIP OF -R 3HAH &INANCIAL 4ECHNOLOGIES HAS BEEN RECOGNIZED
BY THE 7ORLD %CONOMIC &ORUM 7%&  'ENEVA AMONG THE TOP h&OUNDING 'LOBAL
'ROWTH #OMPANY -EMBERSv AT $ALIAN #HINA )T HAS BEEN RATED AS THE TH
MOST VALUED 3OFTWARE #OMPANY AS PER .!33#/-S LIST OF TOP  )NDIAN
)4 COMPANIES $ELOITTE HAS RANKED &INANCIAL 4ECHNOLOGIES AS THE ND FASTEST
GROWING COMPANY IN )NDIA AND ONE OF THE TOP  FASTEST GROWING COMPANIES
IN !SIA &INANCIAL 4ECHNOLOGIES HAS ALSO BEEN RANKED .O  FOR DELIVERING THE
HIGHEST SHAREHOLDER RETURN OVER THE PAST THREE YEARS BY "USINESS 7ORLD IN THEIR
"7  ANNUAL RANKING )N A SENSE HE HAS HELPED REDElNE @"RAND )NDIA IN )4
AND SERVICES FROM ONE THAT OFFERS A COST ARBITRAGE VALUE PROPOSITION TO ONE
THAT IS CONSIDERED A GLOBAL CENTRE FOR MASS DISRUPTIVE INNOVATION IN )0 BASED
SERVICES FOR lNANCIAL AND TECHNOLOGY MARKETS

-R *IGNESH 3HAH WHO CONSIDERS HIMSELF A @CAPITALIST WITH A SOCIALIST HEART ALSO
PERSONALLY SPEARHEADS THE &4 &OUNDATION WHICH AIMS TO SET A CORPORATE EXAMPLE
OF MAKING A DIFFERENCE TO THE COMMUNITY AND ENVIRONMENT IN A POSITIVE AND
MEANINGFUL WAY THROUGH #ORPORATE 3OCIAL 2ESPONSIBILITY #32  (E IS INVOLVED
IN #32 INITIATIVES SUCH AS THE SETTING UP OF @'RAMIN 3UVIDHA +ENDRA '3+ IN
ASSOCIATION WITH THE $EPARTMENT OF 0OSTS 'OVERNMENT OF )NDIA TO CATER TO
THE MARKET INFORMATION WAREHOUSING ADVISORY AND AGRICULTURAL INPUT NEEDS
OF THE )NDIAN FARMERS (E IS ALSO INVOLVED WITH @0RAGATI A TRAINING PROGRAMME
IN ASSOCIATION WITH 2OTARY )NTERNATIONAL #LUB TO EMPOWER UNDERPRIVILEGED
COMMUNITIES WITH EDUCATION AND JOB ORIENTED TRAINING IN TECHNOLOGY AND
lNANCIAL MARKETS !LONG WITH HIS WIFE -S 2UPAL 3HAH HE ALSO ACTIVELY
PROMOTES AND ENCOURAGES CORPORATE GIVING AMONG THE GROWING LEGIONS OF
WEALTHY COMPANY EXECUTIVES WHO ARE FORTUNATE TO BE IN A POSITION TO DO SO
DUE TO THEIR STOCK GRANTS IN &INANCIAL 4ECHNOLOGIES AND GROUP COMPANIES
LIKE -#8

4HE CRUCIAL TASK IS TO LEVERAGE TECHNOLOGY AND lNANCIAL MARKETS TO LEVEL THE
PLAYING lELD FOR CREATING JOBS NOT JUST FOR THE PRIVILEGED FEW WHO HAVE HIGHER
EDUCATION AND KNOW %NGLISH BUT ALSO FOR THE VAST MAJORITY OF THE SEMI EDUCATED
POPULATIONS WHO HAVE THE TRADING AND ENTREPRENEURIAL SKILLS BUT DO NOT HAVE
THE PLATFORM TO SCALE AND SUCCEED .O PYRAMID OF ACHIEVEMENT AND PROGRESS
CAN SHINE AT THE TOP FOR LONG IF ITS BASE IS WEAK AND CRUMBLING 7E HAVE TO
BUILD A MORE ENERGETIC AND CAPABLE SOCIAL AND ECONOMIC BASE FOR SUSTAINED AND
SUSTAINABLE ECONOMIC GROWTH @%QUALITY IN ECONOMIC OPPORTUNITIES THROUGH
TECHNOLOGY ENABLED lNANCIAL MARKETS CONTINUES TO BE THE GOAL AND DESTINATION
4HE JOURNEY IS ITS TRUE REWARD

 %NTREPRENEURSHIP IN )NDIA

'PVTGRTGPGWTUJKR9JCVKV/GCPUVQ/G

$R +IRAN -AZUMDAR 3HAW

#HAIRMAN  -ANAGING $IRECTOR "IOCON ,IMITED

%NTREPRENEURSHIP IS A PIVOTAL FORCE IN THE GROWTH TRAJECTORY OF ANY ECONOMY

!N ENABLING ENVIRONMENT THAT FOSTERS AN ENTREPRENEURIAL ETHOS IS THEREFORE
AN UNDERLYING TENET FOR GROWTH )NDIA HAS SEEN UNPRECEDENTED GROWTH IN JUST
A DECADE THANKS TO AN ENTREPRENEURIAL SURGE POST ECONOMIC AND REGULATORY
LIBERALIZATION #ONTINUED ECONOMIC REFORMS WILL ENABLE )NDIA TO UNLEASH AN
EVEN GREATER ENTREPRENEURIAL BOOM IN THE YEARS AHEAD

7HEN ) REmECT ON MY OWN ENTREPRENEURIAL JOURNEY QUALITIES THAT ) BELIEVE THAT

STOOD ME IN GOOD STEAD WERE THE FOLLOWING A SPIRIT OF CHALLENGE A SENSE OF
CONVICTION RESOURCEFULNESS AN ETHOS OF PERSISTENCE THE ABILITY TO MANAGE
FAILURE A PROBLEM SOLVING APPROACH AN ABILITY TO SPOT AND LEVERAGE OPPORTUNITY
BUILDING CORE COMPETENCE AND EXCELLENCE AN UNCOMPROMISING WORK ETHIC AS
WELL AS BUILDING A STRONG ORGANIZATIONAL $.! THROUGH DIFFERENTIATION

!S A YOUNG STUDENT ) WAS KEEN TO PURSUE A CAREER AS A MEDICAL DOCTOR BUT

WHEN ) DID NOT GET INTO MEDICAL COLLEGE ) STUDIED "IOLOGY AND LATER "REWING
TECHNOLOGY -Y ENTRY INTO THE ENTREPRENEURIAL WORLD WAS ACCIDENTAL -Y INABILITY
TO PURSUE A CAREER AS A "REW -ASTER ON ACCOUNT OF MY GENDER SAW ME START
UP A BIOTECHNOLOGY COMPANY INSTEAD
9OU COULD SAY ) STARTED "IOCON ON THE
REBOUND
) TOOK ON A CHALLENGE TO PROVE TO THE WORLD THAT A WOMAN COULD MAKE
A GOOD BUSINESS MANAGER AND THAT CONTRARY TO COMMON PERCEPTION WOMEN
DID HAVE THE ABILITY TO TAKE AND MANAGE RISK

) ESTABLISHED "IOCON )NDIA AS )NDIAS lRST "IOTECHNOLOGY START UP IN .OVEMBER

 AS A *6 WITH A SMALL )RISH "IOTECHNOLOGY COMPANY "IOCON "IOCHEMICALS
,IMITED -Y MANDATE WAS MODEST ) WAS TO DEVELOP A MANUFACTURING PROCESS FOR
0APAIN AN ENZYME DERIVED FROM THE 0APAYA FRUIT THAT WAS USED EXTENSIVELY IN
THE BREWING INDUSTRY TO CLARIFY BEER !PART FROM THIS ) WAS REQUIRED TO CREATE A
MARKET FOR OTHER ENZYMES FOR THE BREWING INDUSTRY TO BE IMPORTED FROM THE )RISH
PARTNER -Y APPROACH WAS FRUGAL ) CONVERTED THE GARAGE IN MY RENTED HOME
INTO MY OFlCE AND RENTED A  SQUARE FEET INDUSTRIAL SHED TO MANUFACTURE
0APAIN ,ATER ) EXPANDED THIS TO DEVELOP OTHER MICROBIAL ENZYMES

!NNEXURE )) 
 2ESOURCEFULNESS AND ADDRESSING CHALLENGES

-AKING THE MOST OF WHAT YOU HAVE LATERAL THINKING AND LEARNING TO FACE
CHALLENGES ARE ALL ASPECTS OF THIS QUALITY OF RESOURCEFULNESS &OR INSTANCE WHEN
) SET UP "IOCON ) FACED CREDIBILITY CHALLENGES MY AGE ) WAS ONLY  YEARS OLD 
MY GENDER AND MY UNFAMILIAR BUSINESS MODEL 9OUNG ENTREPRENEURS WERE A RARE
BREED "IOTECHNOLOGY WAS AN UNHEARD OF BUSINESS SEGMENT AND WHATS MORE
NO PROFESSIONAL WANTED TO WORK FOR ME BECAUSE WOMEN WERE CONSIDERED @HIGH
RISK EMPLOYERS IN THE BUSINESS WORLD ) THINK ENTREPRENEURSHIP HAS TRAVELLED A
GREAT DISTANCE SINCE MY EARLY START UP DAYS 7OMEN ENTREPRENEURS TODAY HAVE
A LOT OF SUPPORT FROM THE GOVERNMENT AS WELL AS lNANCIAL INSTITUTIONS AND HAVE
GAINED A GREAT DEAL OF CREDIBILITY AS BUSINESS MANAGERS /NCE ) OVERCAME THE
INITIAL CHALLENGES ) HAD TO FACE TECHNOLOGICAL CHALLENGES OF TRYING TO BUILD
A "IOTECH BUSINESS IN A COUNTRY WHERE THE INFRASTRUCTURE WAS TOO PRIMITIVE
TO SUPPORT A HIGH TECH INDUSTRY LIKE "IOTECHNOLOGY THAT WAS SO DEPENDENT
ON UNINTERRUPTED POWER HIGH QUALITY WATER STERILE LABS IMPORTED RESEARCH
EQUIPMENT ADVANCED SCIENTIlC SKILLS ETC 4ODAY OUR CHALLENGES ADDRESS THOSE
POSED BY NEW MEDICAL WISDOM ADDRESSING UNMET MEDICAL NEEDS RESEARCHING
NEW DRUGS NOVEL DRUG DELIVERY SYSTEMS AND ADVANCED THERAPIES /VERCOMING
EACH OF THESE CHALLENGING PHASES HAS BEEN A RICH LEARNING EXPERIENCE THAT HAS
HELPED US TO DEVELOP WORLD CLASS EXPERTISE IN "IOTECHNOLOGY

"UILDING A "USINESS 3TRATEGY

7HEN ) BEGAN "IOCON ) SAW "IOTECHNOLOGY AS A BUSINESS OPPORTUNITY LONG

BEFORE IT WAS ON ANYONES RADAR 4HIS CALLED FOR A STRATEGY AND A MINDSET THAT
WAS INHERENTLY PIONEERING ) HAD TO CHART OUT MY OWN PATH ) HAD NO BENCHMARKS
OR ANY PEERS THAT ) COULD RELATE TO ) DO BELIEVE THAT AS AN ENTREPRENEUR ) HAVE
ALWAYS PURSUED A STRATEGY THAT STRIVES TO lND MARKET DIFFERENTIATION 4HIS
HAS BEEN THE ESSENCE OF MY LEADERSHIP STYLE "IOTECHNOLOGY AS A BUSINESS
WAS A STRONG DIFFERENTIATOR 7HILST MY COMPETITION IN THE BREWING INDUSTRY
SOLD CHEMICAL PROCESS AIDS ) INTRODUCED BIOLOGICAL PROCESS AIDS BY WAY OF
ENZYMES 4HIS ALLOWED ME TO BUILD A hGREEN BUSINESS MODELv WHICH STRESSED ON
ENVIRONMENTAL SUSTAINABILITY THROUGH THE ELIMINATION OF CHEMICAL POLLUTION
4HIS WAS AN IDEA WAY AHEAD OF ITS TIME %NZYMES WERE A VAST lELD AND ONCE
AGAIN ) HAD TO DEVELOP A DIFFERENTIATED STRATEGY ) OPTED FOR SPECIALTY LOW
VOLUME HIGH VALUE ENZYMES FOR THE FOOD AND BEVERAGES INDUSTRY AS ) FELT THIS
WAS MORE DOABLE FOR A SMALL ENTREPRENEUR $ESPITE THIS ) ALSO ALWAYS HAD A
LEADERSHIP MINDSET -Y MISSION WAS TO BUILD GLOBAL LEADERSHIP IN SPECIALTY
ENZYMES FOR FOOD FEED AND BEVERAGES

%VOLVING 6ISION

6ISION AND STRATEGY ARE EVOLVING PROCESSES AND NEED TO ADAPT TO THE CHANGING
ENVIRONMENT #HANGING TACK BEING RESPONSIVE ALLOWS ONE TO TAKE RISKS MORE
CONlDENTLY )T IS THIS EVOLUTIONARY APPROACH THAT ALLOWS ONE TO LEVERAGE
OPPORTUNITIES AND CAPABILITIES EFFECTIVELY 7E STARTED WITH ENZYMES IN 

 %NTREPRENEURSHIP IN )NDIA

)N  WE DECIDED TO SET UP 3YNGENE A RESEARCH SERVICES COMPANY TO CATER
TO THE EARLY STAGE DRUG DISCOVERY NEEDS OF GLOBAL PHARMA AND BIOTECH MAJORS
3YNGENE WAS MODELLED ALONG THE LINES OF THE EMERGING SOFTWARE SERVICES
BUSINESS WHERE "ANGALORE WAS THE RECOGNIZED KNOWLEDGE HUB 4HE KNOWLEDGE
ECONOMY WAS NOW A PART OF THE RADICAL CHANGE THAT WE WERE WITNESSING IN
)NDIA AND IT WAS BOTH AN OPPORTUNITY AND A NECESSITY FOR US TO CHANGE TACK IN
OUR STRATEGY 3YNGENE BECAME THE COUNTRYS lRST 2ESEARCH SERVICES COMPANY )N
 WE DECIDED TO LEVERAGE OUR FERMENTATION BASED ENZYME CAPABILITIES AS
A HIGH GROWTH STRATEGY TO ENTER THE BIO PHARMACEUTICAL SPACE BY STARTING TWO
IMPORTANT 2$ PROGRAMMES FOR FERMENTATION BASED CHOLESTEROL REDUCING STATINS
AND R HUMAN )NSULIN /UR ENTRY INTO PHARMACEUTICALS ALSO EXPOSED A LARGE
REGULATORY GAP IN CLINICAL DEVELOPMENT )N  WE PROMOTED A #2/ #LINICAL
2ESEARCH /RGANIZATION NAMED #LINIGENE IN ORDER TO BUILD IN HOUSE CLINICAL
DEVELOPMENT CAPABILITIES AND TO PROVIDE CLINICAL SERVICES TO THIRD PARTIES

3POTTING /PPORTUNITIES FOR 'ROWTH

%NTREPRENEURSHIP IS ABOUT LEARNING TO GROW THE BUSINESS THROUGH EXISTING AND NEW
BUSINESSES 4HIS MEANS THAT IT IS IMPORTANT TO IDENTIFY NEW AVENUES FOR GROWTH
)N  A CHANCE VISIT TO #UBA LED TO THE ESTABLISHMENT OF A *6 WITH #)-!"
#ENTRE FOR -OLECULAR )MMUNOLOGY  #UBA TO DEVELOP MONOCLONAL ANTIBODIES
AND CANCER VACCINES !NTIBODIES WERE RECOGNIZED AS THE NEXT BIG BUSINESS
OPPORTUNITY IN "IOTECHNOLOGY AND THIS *6 WOULD ENABLE "IOCON TO LEAPFROG INTO
THIS SPACE )N  "IOCON ENTERED INTO A PARTNERING ARRANGEMENT WITH .OBEX
)NC A 53 COMPANY WITH A PROPRIETARY TECHNOLOGY TO DELIVER PROTEINS ORALLY
5NDER THIS PROGRAMME "IOCON COMMENCED THE DEVELOPMENT OF /RAL )NSULIN AND
/RAL ".0 !N OPPORTUNITY TO ACQUIRE .OBEX AROSE IN  AND CONSEQUENTLY
"IOCON TOOK FULL OWNERSHIP OF THESE PROGRAMMES AND ACQUIRED A RICH PORTFOLIO OF
PATENTS AND )0 )N  "IOCON ALSO ENTERED INTO A PARTNERSHIP CO DEVELOPMENT
ARRANGEMENT WITH ANOTHER 53 COMPANY 6ACCINEX )NC TO DEVELOP A PIPELINE OF
FULLY HUMAN ANTIBODIES AND COMMENCED TWO PROGRAMMES "68  AND "68
"IOCONS STRATEGY WAS TO ENTER INTO THE INNOVATION SPACE THROUGH PARTNERSHIPS
WITH THE OBJECTIVE TO DEVELOP A RICH PIPELINE OF PROPRIETARY MOLECULES THAT WOULD
DELIVER HIGH VALUE GROWTH IN THE FUTURE

5NLOCKING 6ALUE

 SAW "IOCON LIST ON THE )NDIAN STOCK EXCHANGE AS )NDIAS lRST PUBLIC BIOTECH
COMPANY WHERE WE UNLOCKED A 53 BILLION VALUATION 7E WERE RANKED AMONGST
THE TOP  GLOBAL BIOTECH COMPANIES ,ATER THAT YEAR "IOCON MOVED UP THE
VALUE CHAIN BY LAUNCHING ).35'%.š RECOMBINANT HUMAN )NSULIN INTO THE
)NDIAN MARKET THROUGH A NEW MARKETING DIVISION )N  A SECOND DIVISION
/NCOTHERAPEUTICS WAS SET UP TO LAUNCH ")/-!B %'&2© THE lRST INDIGENOUSLY
DEVELOPED HUMANIZED MONOCLONAL ANTIBODY FOR (EAD  .ECK CANCER LICENSED
FROM #UBA )N  "IOCON ANNOUNCED THE LAUNCH OF ITS .EPHROLOGY $IVISION
AND A COMPREHENSIVE PORTFOLIO OF RENAL THERAPY PRODUCTS  ALSO GOES DOWN
AS THE YEAR IN WHICH "IOCON ESTABLISHED AN EXTERNAL *6 WHERE "IOCON AND

!NNEXURE )) 
 THE !BU $HABI BASED PHARMACEUTICAL COMPANY .EOPHARMA ESTABLISHED .%/
")/#/. TO MANUFACTURE AND MARKET A RANGE OF BIOPHARMACEUTICALS FOR THE '##
COUNTRIES 'ULF #OOPERATION #OUNCIL 

"UILDING #ORE #OMPETENCE

)N  "IOCON MADE A STRATEGIC DECISION TO DIVEST ITS HISTORIC ENZYMES

BUSINESS TO .OVOZYMES !3 OF $ENMARK 4HE DECISION WAS DIFlCULT AND CHARGED
WITH EMOTION %NZYMES WERE A PROlTABLE BUSINESS AND CONTRIBUTED TO 
OF THE #OMPANYS PROlTS (OWEVER THE BUSINESS HAD REMAINED STAGNANT AND
NEEDED LARGE CAPITAL INJECTION FOR GROWTH "IOCONS PHARMACEUTICAL BUSINESS
ALSO NEEDED LARGE lNANCIAL INVESTMENT TO REALIZE THE GROWTH POTENTIAL "IOCONS
MANAGEMENT DECIDED THAT IT WAS IMPORTANT FOR "IOCON TO CONCENTRATE ITS EFFORTS
AND RESOURCES TO BECOME A FULLY INTEGRATED BIO PHARMA ENTERPRISE RATHER THAN
SUPPORT A NON CORE BUSINESS LIKE ENZYMES 4HE DIVESTMENT UNLOCKED A HUGE
lNANCIAL VALUE FOR "IOCON WHICH WILL NOW ALLOW THE COMPANY TO ADDRESS -!
OPPORTUNITIES IN THE NEAR FUTURE 7ITH THIS DIVESTMENT OUR NEW MISSION IS
TO h$EVELOP NOVEL AND AFFORDABLE "IOTHERAPEUTICS FOR GLOBAL MARKETSv !S IS
APPARENT "IOCONS SUCCESSFUL JOURNEY HAS BEEN MARKED BY A CONSTANT CHANGE
IN STRATEGY AS AND WHEN OPPORTUNITIES HAVE PRESENTED THEMSELVES

#ORE 6ALUES

!N IMPORTANT SIGNATURE TO LEAVE BEHIND AS A SUCCESSFUL ENTREPRENEUR IS STRONG

FUNDAMENTALS FOR A COMPANY 4HIS IS NOT POSSIBLE IF THE LEADER COMPROMISES THE
COMPANYS BELIEFS AND VALUES FOR BUSINESS GAINS ! LEADER HAS TO HAVE A DEEP
SENSE OF VALUES AND INTEGRITY ! COMPANYS VALUES ARE INTRINSICALLY LINKED TO
ITS GROWTH #ORPORATE VALUES AND INTEGRITY DElNE THE FRAMEWORK WITHIN WHICH
EMPLOYEES SHOULD OPERATE #ORE VALUES ACT AS A GUIDING LIGHT WHEN TOUGH
BUSINESS DECISIONS NEED TO BE TAKEN "EYOND RELATIONSHIPS AND REPUTATION
CORE VALUES ARE WHAT CREATE THE DISTINCT $.! OF ANY ORGANIZATION

%XCELLENCE NEEDS TO BE INCULCATED AS A HABIT ) TRULY BELIEVE THAT CONSISTENT

QUALITY OUTPERFORMS INTERMITTENT EXCELLENCE 6ALUE SYSTEMS ARE INGRAINED BY
BELIEF AND PRACTICE 4HEY CANNOT BE TAUGHT 4HE SENSE OF OWNERSHIP IS STRONG
ENTREPRENEURIAL TRAIT 4HE CHALLENGE FOR ANY ENTREPRENEUR IS TO BUILD A TEAM
OF PROFESSIONALS THAT FEEL THE SAME SENSE OF OWNERSHIP 'IVING HIGH LEVELS OF
RESPONSIBILITY IS THE BIGGEST MOTIVATING FACTOR FOR MOST PEOPLE 4O PERFORM WELL
UNDER PRESSURE BRINGS IN A FEELING OF OWNERSHIP AND ACHIEVEMENT !T "IOCON
WE BELIEVE THAT IT IS ABOUT hOWNING A PROBLEM AND NOT A TASKv THAT DELIVERS
EXCELLENCE 0ROBLEM SOLVING IS INTEGRAL TO THIS AND IT IS THIS THAT TEACHES ONE
TO MANAGE RISK AND FAILURE

4ODAY ) AM OPTIMISTIC THAT MY SUCCESS MAY INmUENCE ORDINARY MIDDLE CLASS

)NDIAN MEN AND WOMEN TO SUCCEED IN THE BUSINESS WORLD )F ) CAN CONTINUE TO
INSPIRE CONlDENCE AMONGST YOUNG )NDIAN ENTREPRENEURS ) FEEL GRATIlED

 %NTREPRENEURSHIP IN )NDIA

 /['ZRGTKGPEGUCUCP'PVTGRTGPGWT

+ 'ANESH
&OUNDER AND #%/ 4UTOR6ISTA

.EW $ELHI  ) HAD BEEN MARRIED FOR lVE YEARS HAD A lVE MONTH OLD BABY
WAS RESPONSIBLE FOR MY MOTHER AND TWO UNMARRIED SISTERS AND HAD NO HOME TO
SPEAK OF AND ) DECIDED TO MAKE THE lRST OF MANY LIFE CHANGING DECISIONS IN MY
LIFE ) WOULD START A COMPANY &OOLISH AS IT SEEMED ) KNEW THAT IN MY HEART )
WOULD NEVER FORGIVE MYSELF IF ) DID NOT VENTURE BEYOND MY COMFORT ZONE

!FTER FOUR VENTURES AND  YEARS LATER ) NOW KNOW AND BELIEVE THAT TO BE
A SUCCESSFUL ENTREPRENEUR TWO FUNDAMENTAL THINGS ARE NEEDED ˆ A PASSION
FOR AN IDEA AND THE STUPIDITY TO BELIEVE AGAINST ALL COMMON SENSE THAT THE
IDEA WILL WORK
!T THAT TIME ) HAD VIRTUALLY NO BACKGROUND IN BUSINESS -Y
MOTHER WHO HAD BEEN IN GOVERNMENT SERVICE WAS lERCELY OPPOSED TO EVEN THE
THOUGHT OF SOMETHING AS DRASTICALLY OFF THE BEATEN TRACK AS THIS !ND BACK IN
THOSE DAYS BUSINESS ITSELF HAD A VERY DIFFERENT MEANING )T CONSISTED HUGELY
OF LARGE FACTORIES STARTED BY RICH INDUSTRIALISTS WHO WERE IN POSSESSION OF MANY
ACRES AND FAT POCKETS 3ERVICE BUSINESS WAS IMAGINABLY UNHEARD OF 4HAT WAS
RIGHTFULLY SO #APITAL WAS DIFlCULT TO ACCESS "ANK LOANS WERE AVAILABLE ONLY
AGAINST FULL COLLATERALS MORTGAGE OF ASSETS AND FOR CAPITAL PURCHASE ONLY )T
WAS IN THAT CLIMATE THAT MY PARTNERS AND ) SET OUT WITH 2S  IN OUR
POCKETS TO BUILD OUR VERY OWN COMPANY )44 WHOSE BUSINESS MODEL WAS BASED
ON PROVIDING COMPUTER MAINTENANCE SERVICES TO CORPORATE ORGANIZATIONS 7E
HOPED TO SURVIVE ON THE ADVANCES OF OUR CLIENTS /BVIOUSLY IT IS MORE THAN
EVIDENT WHY MY FAMILY WAS DISPLEASED

7E BOOTSTRAPPED THE COMPANY FOR AROUND EIGHT YEARS FROM  TO 
DURING WHICH TIME THE COMPANY GREW TO  PEOPLE AND OVER  OFlCES )T
WAS RIDING COMFORTABLY ON THE )4 WAVE ,IKE SURFERS WE TOO RODE ON THE )4
BOOM AND ON THE WAY REALIZED THAT WHAT WAS REQUIRED FOR A COMPANY TO TRULY
SUCCEED IS NOT ONLY A SERVICE THAT WOULD SELL BUT ALSO HAVING IT POSITIONED IN
SUCH A WAY THAT IT WORKS FOR YOU AND THE CONSUMER )N  WE MANAGED TO
MAKE THE COMPANY PUBLIC AND BY  WE HAD SOLD THE BUSINESS TO )GATE A
LISTED COMPANY

$URING THIS PHASE CARRYING THE TAG OF A lRST TIME ENTREPRENEUR ) LEARNT MORE THAN
) HAVE IN ALL MY OTHER VENTURES n ON ASPECTS BOTH PRACTICAL AND CONCEPTUAL !T
TIMES WE RAN TOO FAST EXPANDING TOO RAPIDLY ON NOT ENOUGH CAPITAL 3OMETIMES

!NNEXURE )) 
 WE ALSO FAILED TO ANTICIPATE THE ADVANCES THAT TECHNOLOGY WAS MAKING AND THAT
LED US TO CARRY OBSOLETE SPARE STOCK "UT MORE THAN ANYTHING ) LEARNT FROM
THE MANY DISAGREEMENTS BETWEEN THE CO FOUNDERS THAT NOT ONLY DOES HAVING
A CORE TEAM MATTER BUT ALSO HAVING THE RIGHT SET OF PEOPLE IS SACROSANCT !ND
WITH MY EXIT ) LEARNT TO PLAN FOR AN EXIT OR MONETIZATION STRATEGY FROM THE VERY
BEGINNING )N  ) FELT MY TIME HAD COME ) PACKED UP MY BAGS RESIGNED
AS #%/ CONTINUED TO BE DIRECTOR AND LARGE SHAREHOLDER  HANDED OVER RUNNING
OF THE BUSINESS TO MY TWO CO FOUNDERS AND SET OFF TO "ANGALORE WHERE ) JOINED
"HARTI "4 AS THEIR #%/ 7HAT PLEASED ME THE MOST ABOUT WORKING THERE WAS THE
UNIQUE CHALLENGE THAT IT PRESENTED ME )T WAS THE SHEER EXCITEMENT OF TURNING A
COMPANY THAT WAS MAKING HEAVY LOSSES INTO A SELF SUSTAINING PROlTABLE ENTITY
!ND IN TWO SHORT YEARS ) DID JUST THAT

!T THE SAME TIME ) BEGAN TO GROW RESTLESS ! LONG TERM CORPORATE JOB WAS NOT
FOR ME ) AGAIN STARTED FEELING THE NEED TO START SOMETHING TO CREATE MY OWN
COMPANY FROM SCRATCH AND GIVE RISE TO A BRAND NEW SECTOR IF ) COULD 4HAT WAS
THE TIME THAT THE SEEDS FOR #USTOMER!SSET WERE SOWN 4HIS TIME THE SPARK CAME
FROM MY WIFE -EENA WHO WAS SENIOR MANAGER AT -ICROSOFT IN )NDIA HEADING
THEIR )NTERNET BUSINESS )T WAS  AND THE DOTCOM BOOM WAS AT ITS ZENITH
IN THE 53! AND AROUND THE WORLD 7ITH MY WIFE AND ANOTHER PARTNER ) STARTED
A NEW VENTURE ˆ #USTOMER!SSET A COMPANY THAT WOULD GIVE EMAIL SUPPORT TO
)NTERNET COMPANIES LIKE 9AHOO AND %BAY FROM )NDIA

4HE lRST THING THAT ) DID WAS APPROACH 3OFT"ANK A VENTURE CAPITALIST THAT
HAD FUNDED COMPANIES LIKE 9AHOO AND "UYCOM ) RECEIVED A POSITIVE RESPONSE
FROM THEM AND WE WERE ABLE TO SECURE 53 MILLION IN FUNDING WE ALSO
GOT GUARANTEED BUSINESS FOR THE lRST TWO YEARS FROM 3OFT"ANKS )NTERNET
COMPANIES 4HIS DEMONSTRATED THE IMPORTANCE OF TIMING )F WE HAD DELAYED
THE IDEA BY THREE MONTHS IT WOULD HAVE BEEN IMPOSSIBLE TO START A SIMILAR
VENTURE OR BUSINESS

!FTER HAVING PROCURED OUR FUNDING WE WERE ALL SET AND REARING TO GO "UT LIKE
EVERY FOOLPROOF BUSINESS PLAN NOTHING WENT AS PLANNED 7ITH  CAME THE
)4 BUST AND NO CLIENTS LEFT TO SERVE 3O WE FOUND OURSELVES HAVING TO DRASTICALLY
REVAMP OUR SERVICES AND THE TARGET MARKET &ROM EMAIL SERVICE TO )NTERNET
COMPANIES WE SHIFTED TO VOICE AND CALL CENTRES AND FOCUSED ON THE BIG GUYS
LIKE 7AL -ART AND -ARKS AND 3PENCERS &OR THIS WE NEEDED TEAMS IN THE 53!
AND 5+ AND ALL OF A SUDDEN THE 53  MILLION THAT WE HAD BEEN OFFERED BY
3OFT"ANK SEEMED BARELY ENOUGH TO RUN THE BUSINESS FOR SIX MONTHS LET ALONE
TWO YEARS

.EVERTHELESS WITH A STRONG FOUNDING TEAM WE FOUND OURSELVES NOT ONLY ABLE
TO DODGE ALL THE OBSTACLES BUT ALSO GREW INTO A COMPANY OF OVER  PEOPLE
IN TWO YEARS AND STOOD IN THE TOP lVE COMPANIES IN THE SECTOR 4HIS WAS
WHEN WE CAUGHT )#)#)S EYE AND THEY GAVE US AN ACQUISITION OFFER WE COULD
NOT REFUSE )N -AY  )#)#) .93% LISTED )NDIAS LARGEST BANK ACQUIRED
#USTOMER!SSET FOR OVER 53  MILLION )T BENElTED NOT ONLY THE COMPANY BUT
ALSO THE FOUNDERS AND ITS EMPLOYEES )NDEED IT WAS A WIN WIN SITUATION 3O IN

 %NTREPRENEURSHIP IN )NDIA

THAT DEFT MANOEUVRE #USTOMER!SSET BECAME )#)#)/NESOURCE AND IS NOW LISTED
AS &IRST 3OURCE IN )NDIA

4HE MOST EXCITING TIME IN A SERIAL ENTREPRENEURS LIFE COMES AT THAT JUNCTURE
WHEN YOU ARE YET TO START A NEW VENTURE WHILE BEING DONE WITH THE PREVIOUS
ONE 4HE SLATE IS CLEAN AND IT IS YOURS TO lLL AS YOU SEE lT &OR A WHILE ) DABBLED
IN LEGAL WORK HEALTHCARE EDUCATION AND ANALYTICS !S WAS EXPECTED MOST
OF THESE WERE NASCENT IDEAS YET TO BE TAPPED /NCE AGAIN ) WANTED TO START
SOMETHING IN A lELD THAT HAD BEEN UNTIL NOW UNTOUCHED WITH NO COMPETITION
AND NO ESTABLISHED LEADERS !ROUND THIS TIME ) CAME IN CONTACT WITH THREE
YOUNG ENTREPRENEURS REMINISCENT OF MY )44 DAYS FROM THE ))4S))-S WHO
HAD STARTED -ARKETICS A COMPANY FOR STATISTICAL ANALYTICS FROM )NDIA FOR 53
CLIENTS /NCE AGAIN ) WAS IN MY COMFORT ZONE ˆ OUTSOURCING IN A PREVIOUSLY
UNTOUCHED lELD 4HREE YOUNG MEN APPROACHED ME FOR MENTORING TO INVEST IN
THEIR COMPANY AND HELP THEM TO SCALE ) WAS NOW THEIR NON EXECUTIVE #HAIRMAN
ADVISOR AND THE SOLE INVESTOR AND SPENT THE NEXT FEW MONTHS LENDING THEM A
STEADY HAND WHILE IN MY MIND TOILING WITH IDEAS FOR MY NEXT VENTURE

!S EXCITING AS IT WAS IT WAS UNSETTLING TOO -Y IMPATIENCE AND RESTLESSNESS

SEIZED ME EVERY MORNING WHEN ) WOKE UP AND WONDERED WHAT MY NEXT BIG IDEA
WOULD BE -ORE THAN ME MY CHILDREN WONDERED WHY THEIR FATHER SAT AT HOME ALL
DAY TWIDDLING HIS THUMBS -Y lVE YEAR OLD SON DID NOT KNOW WHAT TO SAY IN HIS
CLASS WHEN THE TEACHER ASKED EVERYONE TO TELL ABOUT WHAT THEIR FATHER DID FOR
A LIVING (E SAID @-Y DADDY DOES 3END n 2ECEIVE ON HIS COMPUTER 4HAT IS HIS
JOB (E RECEIVES LOTS OF MAILS
(IS FRIENDS PROBABLY THOUGHT ) WAS A POSTMAN

"ACK IN  WHEN MY WIFE AND ) STARTED #USTOMER!SSET THE NET HAD BEEN
mOODED WITH THE h"ANGALOREDv PHENOMENON /NE SUCH CARTOON STRUCK A CHORD
)T HAD A FATHER SAYING TO HIS CHILD h./
9OU CANNOT OUTSOURCE YOUR HOMEWORK TO
"ANGALORE
v 4HIS SPARKED OFF A NEW INTERNAL THOUGHT PROCESS IN ME ) THOUGHT
@7HY .OT
7E HAVE THE RESOURCES AND MORE TO OUTSOURCE KNOWLEDGE ) BEGAN TO
WONDER IF WE COULD DO SOME KIND OF CONSUMER )NTERNET SERVICE FROM )NDIA FOR
STUDENTS IN THE 53 4HIS WAS THE GENESIS OF 4UTOR6ISTA WWW4UTOR6ISTACOM 
A NEW CONSUMER )NTERNET COMPANY IN EDUCATION SERVICES SPACE THAT AIMS
TO BRING TWENTY lRST CENTURY TECHNOLOGY TO EDUCATION SPACE BY COMBINING
CONTENT SCIENTIlC PEDAGOGY AND ON LINE TEACHING

.OW THAT THE IDEA HAD lNALLY ARRIVED THE BIGGEST CHALLENGE LAY AHEAD #REATING
A REALISTIC BUSINESS MODEL WHICH WOULD BE SCALABLE AND AT THE SAME TIME
PROlTABLE WAS THE lRST OBSTACLE "UT ) TOOK THE PLUNGE IN .OVEMBER 
INEXPERIENCED THOUGH IN THIS lELD )N THE PAST TWO YEARS WE MANAGED TO
RAISE 2S  CRORE IN VENTURE CAPITAL MONEY HAVE GROWN TO  EMPLOYEES WHO
TEACH CURRENTLY  STUDENTS WORLDWIDE /UR TEACHER POOL IS DIVERSE AND
INTERNATIONAL WITH  TEACHERS FROM ACROSS )NDIA 0HILIPPINES (ONG +ONG
AND 3INGAPORE MOST OF WHO TEACH FROM HOME !FTER GOING THROUGH THE CALL
CENTRE "0/ EXPERIENCE WE REALIZED THAT HAVING A LARGE CENTRAL OFlCE WITH
HUGE INFRASTRUCTURE WOULD JUST ADD TO COSTS 5SING TEACHERS FROM HOME GAVE
US mEXIBILITY AND LESSER COSTS ) WAS CONVINCED THAT IF WE COULD LET THE FACULTY

!NNEXURE )) 
 WORK FROM HOME WE COULD TAP THE HUGE POOL OF HIGHLY QUALIlED PASSIONATE
)NDIANS n RETIRED PROFESSORS HOUSEWIVES WHO HAVE TAKEN A BREAK FROM THE
CAREER TO MIND THEIR HOMES AND PASSIONATE TEACHERS WHO DIDNT HAVE THE RIGHT
OPPORTUNITY WHERE THEY LIVED

-EANWHILE -ARKETICS TOO WAS MATURING CONSIDERABLY )T HAD GROWN TO NEARLY

 PEOPLE MOST OF WHOM WERE STATISTICIANS DOING ANALYSIS AND DATA MODELLING
FOR MARKETING COMPANIES LIKE 0' AND #OCA #OLA )N THIS SCENARIO THE COMPANY
GOT A MIND BLOWING ACQUISITION OFFER FROM THE .93% LISTED 7.3 )N MERELY
FOUR YEARS THE FOUNDERS OF -ARKETICS HAD CREATED WITH LESS THAN 2S  CRORE
INVESTMENT OVER 2S  CRORE OF VALUE
.OW THAT IS MY IDEA OF 'REENlELD
ENTREPRENEURIAL GROWTH

4HROUGHOUT MY ENTREPRENEURIAL VENTURES ) HAVE LEARNT MORE ABOUT STARTING

COMPANIES AND BUSINESS THAN ANY " SCHOOL COULD HAVE TAUGHT ME IN A LIFETIME
&IRST AND FOREMOST A GOOD CORE TEAM IS LIKE THE LIFE BREATH OF ANY NEW VENTURE
4HEN THERE IS THE RAZOR SHARP FOCUS ON THE ONE BIG IDEA THAT YOU ARE CHASING
4O SCALE A BUSINESS ARTICULATE YOUR DREAM AND BEGIN TO SELL IT WITH VIGOUR FROM
THE EARLY DAYS TO INVESTORS KEY EMPLOYEES CUSTOMERS AND ANYBODY ELSE WHO
SHOWS SOME SORT OF INTEREST IN YOUR WORK

&ROM DAY ONE GET YOUR FUNDING RIGHT 3OME BUSINESSES REQUIRE LESS TO BREAK
EVEN AND OTHERS FAR MORE CAPITAL 5NDERESTIMATING THE TIME TO PROlTABILITY
COULD PROVE FATAL FOR A COMPANY

'ET YOUR SUPPORT SYSTEM IN PLACE )T IS IMPORTANT TO HAVE FAMILY FRIENDS AND
MENTORS RIGHT BEHIND YOU ,ESS THAN lVE PERCENT OF NEW VENTURES BECOME
GREAT SUCCESSES 9OU NEED TO HAVE ALL THE HIGH VALUE CARDS AS YOU CAN GET TO
WIN THIS GAME 4HE MORE ACES YOU HAVE THE BETTER ARE YOUR CHANCES !FTER
MY lRST VENTURE MY MOTHER AND MY IN LAWS STARTED BELIEVING IN MY IDEAS
BUT TILL THAT TIME IT NEEDED LOT OF COMMUNICATION AND REASSURANCE !S THEY
SAY IN )NDIA BEHIND EVERY SUCCESSFUL MAN THERE IS A DEVOTED WIFE AND A VERY
SURPRISED MOTHER IN LAW

&INALLY WHAT ) HAVE ALWAYS FELT TO BE MOST IMPORTANT IS TO ENJOY THE JOURNEY
2EVEL IN EVERY SUCCESS AND LEARN FROM EVERY FAILURE BUT ALWAYS FEEL WHAT YOU
DO )T SHOULD BE TRUE TO YOUR HEART TRUE TO YOUR PASSION )F YOU DONT FEEL IT IN
YOUR BLOOD YOU PROBABLY SHOULD NOT BE DOING IT IN THE lRST PLACE ,OVE YOUR
WORK AND LOVE YOUR LIFE

 %NTREPRENEURSHIP IN )NDIA

 1P'PVTGRTGPGWTU

-3 3IDHU

&OUNDER AND #%/ !PARA %NTERPRISE 3OLUTIONS 0 ,IMITED

!N ENTREPRENEUR IS A PERSON WHO UNDERTAKES AND OPERATES A NEW VENTURE

AND ASSUMES ACCOUNTABILITY FOR THE INHERENT RISKS ASSOCIATED WITH CREATING
SOMETHING "EING IN BUSINESS OR BEING AN ENTREPRENEUR IS ABOUT TAKING RISKS
AND CONFRONTING CHALLENGES %NTREPRENEURS CAN BUILD NEW COMPANIES 4HEY CAN
ALSO REJUVENATE EXISTING COMPANIES THROUGH BUYOUTS AND TURNAROUNDS OR BUILD
AND CREATE NEW COMPANIES INSIDE EXISTING COMPANIES

%NTREPRENEURS BUILD COMPANIES THAT ARE SPECIlCALLY CRAFTED TO EXPLOIT PARTICULAR

OPPORTUNITIES 4HIS GIVES THEM AN ADVANTAGE OVER OLDER COMPANIES THAT WERE
DESIGNED IN RESPONSE TO CHALLENGES OF THE PAST AND WHICH NEED TO ADAPT
TO CURRENT REQUIREMENTS ! TRULY DYNAMIC ECONOMY IS CHARACTERIZED BY THE
DEVELOPMENT OF NEW PRODUCTS AND SERVICES INCLUDING NEWER AND MORE EFlCIENT
METHODS 4HE NEWER METHODS DRIVE OUT OLDER LESS EFlCIENT ONES AS WELL AS THE
BUSINESSES THAT USE THEM

) AM DRIVEN BY THE SHEER PASSION FOR INNOVATION AND FOR SELLING ) STRONGLY
BELIEVE SELLING IS ALL ABOUT CREATIVITY !LL OTHER FUNCTIONS IN A COMPANY SUCH AS
HUMAN RESOURCE MANAGEMENT lNANCE AND SERVICES COME INTO PLAY ONLY UPON
SELLING 4HIS IS THE MOST CHALLENGING AND SATISFYING AREA OF BUSINESS WHILE OF
COURSE THERE ARE OTHER CHALLENGES SUCH AS MARKETING INVESTMENT INFUSION AND
SERVICES TO ENABLE SALES ) ENJOY ALL OF THESE FUNCTIONS AND BELIEVE THAT ) AM
LEARNING ALL THE TIME

"ORN IN ,UDHIANA 0UNJAB AND RAISED IN #HANDIGARH ) COMPLETED MY INITIAL

SCHOOLING AT 3HIVALIK 0UBLIC 3CHOOL AND $!6 #OLLEGE #HANDIGARH !FTER
GRADUATING FROM "ANGALORE 5NIVERSITY IN THE lELD OF MECHANICAL ENGINEERING IN
 ) STARTED MY CAREER AT %UREKA &ORBES AND MOVED INTO SALES  MARKETING
ROLES AT (#, 4ECHNOLOGIES (YDERABAD AND 7IPRO )NFO4ECH "ANGALORE ) WORKED
FOR 7IPRO FOR A COUPLE OF YEARS

"ASED ON MY SUCCESS AT 7IPRO MY PEERS SUGGESTED THAT ) SHOULD START MY

OWN BUSINESS 4HOUGH INITIALLY ELATED ) DID NOT KNOW FROM WHERE TO START
AND DISCUSSED THE IDEA WITH A FEW OF MY COLLEAGUES AND FRIENDS -Y FRIENDS
WERE DELIGHTED AND IMMEDIATELY PROPOSED THE NAME OF THE lRM @!PARA WHILE )
DESIGNED THE LOGO 4HOUGH THE NAME AND LOGO WERE IN PLACE ) DID NOT HAVE

!NNEXURE )) 
 THE REQUIRED FUNDS TO START A COMPANY 4O START !PARA AND PURSUE MY PASSION
) LITERALLY HAD TO PAWN EVERYTHING INCLUDING JEWELLERY MY MOTORBIKE AND OTHER
INCIDENTAL ASSETS AND lNALLY MANAGED TO RAISE A LITTLE MONEY !PARA WAS STARTED
IN  IN A SMALL HUMBLE WAY HOUSED IN MY FRIENDS GARAGE AND THEN WE
MOVED INTO AN APARTMENT

!PARAS LINE OF BUSINESS IN  WAS DELIVERING 5.)8 SERVICES TO SEMI CONDUCTOR
lRMS ) CHANCED UPON THE IDEA TO DELIVER 5.)8 SERVICES TO SEMI CONDUCTOR
lRMS AS THESE lRMS WERE RELATIVELY NEW TO THE )NDIAN MARKET AND VERY FEW
COMPANIES WERE DELIVERING SUCH SERVICES !FTER A COUPLE OF YEARS OF STRUGGLE
IN SELLING 5.)8 SERVICES !PARA HAD ATTAINED A MARKET LEADERSHIP POSITION IN
DELIVERING 5.)8 SERVICES TO SEMICONDUCTOR lRMS BY  %VEN AS !PARA REACHED
ITS MARKET LEADERSHIP POSITION ) WAS PERSONALLY NOT SATISlED -Y PENCHANT FOR
INNOVATION MEANT THAT ) WAS ALWAYS LOOKING TOWARDS POSITIONING SOMETHING
NEW IN THE MARKET ! VORACIOUS READER ) USED TO KEEP MYSELF ABREAST OF NEW
TECHNOLOGIES IN THE )4 INFRASTRUCTURE SPACE

)NITIALLY WHILE THE SEMI CONDUCTOR INDUSTRY WAS RECEPTIVE TO !PARA BECAUSE
OF THE QUALITY OF SERVICES DELIVERED EARLIER ) STILL STRUGGLED TO MAKE AN IMPACT
IN THE OTHER INDUSTRY VERTICALS SUCH AS THE TELECOM "&3) MANUFACTURING
PHARMACEUTICALS AND AUTOMOTIVE INDUSTRIES ) SUCCEEDED IN GAINING A FOOTHOLD
IN THE STORAGE MARKET IN )NDIA BY  (ISTORY REPEATS ITSELF AGAIN ) DID NOT
KNOW WHAT TO DO WHAT WAS NEXT
/NE THOUGHT WAS CLEAR WHATEVER ) WOULD
DO IT WOULD BE RELATED TO THE AREA OF )4 INFRASTRUCTURE ) STARTED THINKING IN
TERMS OF WHAT ENTERPRISES WOULD DO TO ACCESS DATA STORED AND HOW THEY COULD
ACCESS SUCH DATA IN A SECURE MANNER $URING THE YEARS   MOST OF
THE -.#S IN )NDIA HAD THEIR SERVERS IN THE 53! OR %UROPE AS NETWORKING AND
SECURITY WAS A CRITICAL AREA OF CONCERN IN )NDIA ) WAS CLEAR ABOUT ONE THING
STORAGE NETWORKING AND SECURITY WOULD FORM THE CORE )4 INFRASTRUCTURE FOR ANY
ENTERPRISE THIS THEN WAS THE BASIS FOR !PARAS FORAY INTO THE NETWORKING AND
SECURITY BUSINESS IN THE YEAR  "EING A PURE )4 INFRASTRUCTURE SOLUTIONS
PROVIDER IN  WE FORAYED INTO DELIVERING PROFESSIONAL SERVICES GLOBALLY AND
DELIVERING REMOTE MANAGEMENT SERVICES IN 

!PARA HAS GROWN INTO A SUCCESSFUL )NFORMATION 4ECHNOLOGIES )4 3YSTEMS

INTEGRATOR SPECIALIZING IN INTEGRATED NETWORK SECURITY AND STORAGE SOLUTIONS
/NE CANNOT ACCOMPLISH MUCH WITHOUT INNOVATION )N ORDER TO TAKE !PARA TO
THE NEXT LEVEL WE SET UP !PARA ,ABS TO BUILD THE NEXT GENERATION PLATFORM
SERVICES FOR THE )4 INDUSTRY 4HE FOCUS IS TO SCALE THE CURRENT BUSINESS WITHIN
)NDIA AND BEYOND AND TO EXPAND SUCH SERVICES

!PARA WAS BUILT BLOCK BY BLOCK DOUBLING OUR PROlTABILITY AND REVENUE YEAR ON
YEAR AND WE HAVE MOVED INTO OUR OWN PREMISES 7E CONTINUE TO DOUBLE OUR
PROlTS AND REVENUE YEAR AFTER YEAR 4HAT HAS BEEN THE WAY OF LIFE AT !PARA

 %NTREPRENEURSHIP IN )NDIA

 /[,QWTPG[

3AM "ALSARA

#-$ -ADISON #OMMUNICATIONS 0VT ,IMITED

!FTER COMPLETING MY --3 FROM *AMNALAL "AJAJ IN  ) WAS OFFERED A POSITION
THROUGH ONE OF MY PROFESSORS IN MARKETING AT A #OMPANY CALLED 3ARABHAIS A
LARGE )NDIAN &-#' #OMPANY  ) LATER MOVED TO ANOTHER MARKETING ASSIGNMENT
IN #ADBURY !FTER EIGHT YEARS IN MARKETING ) REALIZED THAT SUCCESS IN MARKETING
IS CLOSELY RELATED TO SUCCESS IN ADVERTISING AND THEREFORE MOVED OVER TO
ADVERTISING

) WAS THE FOUNDER MEMBER OF #ONTRACT *74S SECOND AGENCY IN )NDIA AND
AFTER SPENDING FOUR YEARS IN #ONTRACT ) MOVED TO -UDRA 4HE BEST THING ABOUT
ADVERTISING IS THAT IT IS A YOUNG PEOPLES BUSINESS )T KEEPS YOU ON YOUR TOES )T
MAKES YOU THINK ON YOUR FEET )T MAKES YOU THINK DIFFERENTLY AND INNOVATIVELY
ALL THE TIME

!FTER  YEARS OF WORKING IN MARKETING AND ADVERTISING ) FOUNDED -ADISON

ON -ARCH   )N -ADISON UNTIL  WE DEALT WITH ONLY THREE OR FOUR
CLIENTS 4HESE CLIENTS WERE OF COURSE VERY LARGE AND KEPT REWARDING US WITH
ADDITIONAL BUSINESSES WHICH KEPT US GROWING AT A HEALTHY PACE 7HILST MOST
BUSINESS STRATEGISTS WOULD THINK THIS TO BE TOO RISKY A STRATEGY MY THINKING
WAS THAT @SPREADING MYSELF TOO THIN WAS MORE RISKY A STRATEGY )N THOSE DAYS
MY BELIEF ALSO WAS @3MALL WAS BEAUTIFUL BUT THEN IN THE MID S WHEN )NDIA
CHANGED ITS MIND AND THE ECONOMY LIBERALIZED AND OPENED UP ) ALSO CHANGED
MY MIND !T THAT TIME ) DREW INSPIRATION FROM THE FACT THAT @#ONSISTENCY IS A
VIRTUE OF FOOLS


)N  OUR THEN LARGEST CLIENT 'ODREJ A LARGE )NDIAN INDUSTRIAL HOUSE WITH
LARGE PRESENCE IN &-#' DID A JOINT VENTURE WITH 0ROCTER  'AMBLE AND WE GOT
INTO A RELATIONSHIP WITH 0ROCTER  'AMBLES GLOBAL AGENCY WHICH WAS THEN
$-"" 4HIS ALLIANCE LASTED FOR ABOUT lVE YEARS AND WE PARTED WAYS IN 
3INCE  WE HAVE SURVIVED THRIVED AND PROSPERED FOLLOWING THE UNBUNDLING
OR SPECIALIZATION ROUTE 0ROCTER  'AMBLE RECOGNIZED THAT AS AN AGENCY WE HAD
SIGNIlCANT STRENGTH IN MEDIA ALONE BUSINESS AND AWARDED US THEIR -EDIA !/2
7HEN WE PARTED WAYS WITH $-"" THEY TOOK AWAY THE CREATIVE BUSINESS BUT
RETAINED THE MEDIA BUSINESS WITH US

!NNEXURE )) 
 5SING THIS AS A SPRINGBOARD AND THE FACT THAT THE WORLD HAD BEGUN TO RECOGNIZE
THE IMPORTANCE OF MEDIA ALONE SPECIALISTS WE WENT ON TO BUILD UP OUR
INFRASTRUCTURE CAPABILITIES AND EXPERTISE AND BECAME THE COUNTRYS LEADING
MEDIA AGENCY )N  WE WERE VOTED BY %CONOMIC 4IMES "RAND %QUITY AS
THE h-OST !DMIRED -EDIA !GENCYv AND WERE VOTED NO  ON EACH AND EVERY
PARAMETER FROM NEGOTIATION SKILLS TO PLANNING TO RESEARCH 7E WERE ALSO VOTED
THE h-OST !DMIRED 0LANNING !GENCY IN v )N  WE WERE AGAIN VOTED AS
THE h-OST !DMIRED -EDIA !GENCYv

4HE TWO MAIN MEDIA WHICH CONTRIBUTE TO ALMOST  OF AD SPEND ARE PRINT 
46 RADIO AND )NTERNET THOUGH ARE EXPECTED TO SHARPLY INCREASE OVER THE NEXT
FEWER YEARS #LIENTS APPRECIATE CREATIVITY IN ADVERTISING BECAUSE THEY KNOW
THAT IN THE ULTIMATE ANALYSIS ONLY ENLIGHTENED WORK THAT CAN SET A BRAND APART
BUILD LASTING BRAND VALUE AND THEY LOOK FOR CREATIVITY IN ALL ASPECTS NOT JUST IN
THE  SECONDS 46 COMMERCIAL

/UR DESIRE IS TO BE THE PREFERRED AGENCY OF CHOICE OF LARGE ENLIGHTENED

ADVERTISERS AND WE BELIEVE THAT WHAT CLIENTS ARE LOOKING FOR ARE BEST IN CLASS
SPECIALIST UNITS "ECAUSE CLIENTS KNOW THAT IF THEY HAVE TO CONTINUE TO BE
GLOBALLY COMPETITIVE THEY NEED TO HAVE AGENCY PARTNERS WHO ARE BEST IN
CLASS AND AN AGENCY THAT IS BEST IN CLASS IN EVERY SPHERE OF COMMUNICATION
FROM #REATIVE TO -EDIA TO "4, TO $IRECT -ARKETING TO 02 IS YET TO EMERGE

4HEREFORE THEY NEED TO HIRE MORE THAN ONE AGENCY 4ODAY -ADISON HAS 
SPECIALIST UNITS IN DIFFERENT AREAS OF #OMMUNICATION %ACH OF THESE UNITS IS
HEADED BY SPECIALISTS FROM THE RESPECTIVE lELDS &OLLOWING THIS STRATEGY HAS
PROVED TO WORK GIVEN THAT IN THE LAST THREE YEARS OUR GROWTH RATES HAVE BEEN
GOOD   AND  

7E ARE STRONGLY FOCUSED ON DELIVERY TO THE CLIENT AND OUR ATTEMPT HAS ALWAYS
BEEN TO CUT OUT ALL EXPENDITURE THAT DOES NOT DIRECTLY CONTRIBUTE TO INCREASING
THE QUALITY AND QUANTITY OF DELIVERY TO THE CLIENT ) BELIEVE THAT IS THE ONLY
WAY TO REMAIN COMPETITIVE TODAY 3OMETIMES ) DO FEEL THAT YOUNG PEOPLE
SET UNREALISTIC TARGETS FOR ACHIEVEMENT AND PERSONAL GROWTH WHICH LEADS TO
HIGHER LEVEL OF FRUSTRATION AND BURNOUTS AND ULTIMATELY LEADS TO THEIR LEAVING
THE INDUSTRY

,IKE IN ANY INDUSTRY THE CHALLENGES REMAIN BUT -ADISON CONTINUES TO FUNCTION
BY ITS MOTTO n @)F IT IS SAFE IT IS RISKY

 %NTREPRENEURSHIP IN )NDIA

 /['PVTGRTGPGWTKCN,QWTPG[

3ANJEEV "HIKCHANDANI

&OUNDER AND #%/ OF )NFO%DGE )NDIA ,IMITED

)NFO %DGE )NDIA ,TD IS BETTER KNOWN BY ITS mAGSHIP WEB SITE n NAUKRICOM
!PART FROM THIS THE COMPANY HAS FOUR OTHER DIVISIONS n *EEVANSATHICOM
)NDIAS THIRD LARGEST MATRIMONIAL PORTAL  1UADRANGLE ITS EXECUTIVE SEARCH
lRM  ACRESCOM )NDIAS LEADING REAL ESTATE PORTAL AND 'ULFNAUKRICOM A
RECENTLY LAUNCHED LOCAL JOB SITE FOR THE -IDDLE %AST 

4HE ORGANIZATION STARTED OUT AS A PARTNERSHIP lRM DOING SALARY SURVEYS IN

 )NITIALLY ) WAS A SLEEPING PARTNER ) JOINED THE lRM FULL TIME IN /CTOBER
 AFTER QUITTING MY JOB WITH THE MARKETING DEPARTMENT AT 'LAXO 3MITH+LINE
THEN CALLED (-- 

7HILE ) WAS WORKING AT (-- ) NOTICED A COUPLE OF THINGS THAT STAYED WITH
ME 7E WERE A TEAM OF HALF A DOZEN OR SO MARKETING EXECUTIVES WHO USED TO
SIT IN AN OPEN HALL ) NOTICED THAT WHENEVER THE OFlCE COPY OF "USINESS )NDIA
CAME IN EVERYONE WOULD READ IT BACK TO FRONT ˆ BECAUSE THEY ALL WANTED TO
LOOK AT THE APPOINTMENTS SECTION lRST 4HESE WERE HIGHLY QUALIlED PEOPLE WHO
WERE HAPPY IN THEIR JOBS 4HEY WERE NOT LOOKING TO SWITCH ) lGURED THAT EVEN
IF YOU ARE NOT LOOKING FOR A JOB YOU WILL LOOK AT A JOB *OBS ) REALIZED ARE AN
EXTREMELY HIGH INTEREST INFORMATION CATEGORY FOR ALMOST ALL PEOPLE 4HE SECOND
OBSERVATION THAT STAYED WITH ME WAS THAT EVERY FEW DAYS SOME OR THE OTHER
HEAD HUNTER WOULD CALL AND TRY AND ENTICE ONE OF US TO CONSIDER A CHANGE 4O
ME IT APPEARED THAT THERE WERE HUNDREDS OF HEAD HUNTERS IN THE MARKET EACH
WITH A HANDFUL OF CLIENTS AND WITH VACANCIES THAT WERE NOT ADVERTISED IN THE
APPOINTMENT COLUMNS "Y EARLY  ) HAD CONCLUDED THAT THERE WAS PROBABLY
A LARGE HIGHLY FRAGMENTED DATABASE OF JOBS OUT THERE WITH (2 MANAGERS AND
HEAD HUNTERS WHICH IF SOMEONE WERE TO AGGREGATE AND KEEP CURRENT WOULD BE
A VERY VALUABLE RESOURCE

+EEPING THIS AT THE BACK OF MY MIND AS USEFUL INFORMATION WHICH ) DID NOT
KNOW WHAT TO DO WITH ) QUIT MY JOB TO JOIN MY PARTNER (E HAD BEEN OPERATING
OUT OF HIS BEDROOM TILL THEN #LEARLY THIS WOULD NOT DO NOW THAT THERE WERE
TWO OF US 7E SET UP OFlCE IN THE SERVANTS QUARTERS ABOVE THE GARAGE IN MY
FATHERS HOUSE ) HAD RECENTLY MARRIED 3URABHI A CLASSMATE FROM ))- AND WE

!NNEXURE )) 
 ALSO LIVED IN THE SAME HOUSE IN ONE OF THE BEDROOMS ) PAID MY FATHER A RENT
OF 2S  A MONTH FOR USE OF THE SERVANTS QUARTERS

&OR THE lRST FEW YEARS WE DID SALARY SURVEYS AND BUILT AND MARKETED A DATABASE
OF PHARMACEUTICAL TRADEMARKS 7E HAD A LOT OF FUN BUT lNANCIALLY WE STRUGGLED
"USINESS WAS ADEQUATE FOR THE COMPANY TO STAY AmOAT BUT ) WAS UNABLE TO DRAW
A SALARY &ORTUNATELY 3URABHI WAS WORKING IN .ESTLE AND WE WERE ABLE TO RUN
THE HOUSE ON HER SALARY .EVERTHELESS TO MEET MY PERSONAL EXPENDITURE ) WOULD
TEACH AT BUSINESS SCHOOLS AS VISITING FACULTY ON WEEKENDS ) TAUGHT 7RITTEN
!NALYSIS OF #ASES 0RESENTATION 3KILLS -ARKETING -ANAGEMENT -ARKETING IN
3ERVICE )NDUSTRIES AND OTHER COURSES AT )-4 'HAZIABAD AND OTHER BUSINESS
SCHOOLS IN $ELHI ,ATER ) VISITED ))- !HMEDABAD FOR GUEST LECTURES A FEW TIMES
) ALSO GOT INVITED BY A FEW COMPANIES TO CONDUCT TRAINING PROGRAMMES FOR THEIR
STAFF "Y  ) HAD BUILT UP A MODEST SIDE INCOME THROUGH TEACHING AND
TRAINING SO THAT ) DID NOT NEED TO BURDEN THE COMPANY WITH MY SALARY WHICH
IN ANY CASE IT WAS UNABLE TO PAY

-EANWHILE IN  THE $EPARTMENT OF 4ELECOMMUNICATIONS $O4 ADVERTISED

THAT IT WAS PLANNING TO START A VIDEOTEX SERVICE IN $ELHI 4HE PLAN WAS TO HOST
A NUMBER OF DATABASES ON A SERVER IN ONE OF THE TELEPHONE EXCHANGES IN $ELHI
4HESE DATABASES WOULD BE ACCESSIBLE BY ANYONE FROM SEVERAL PUBLIC ACCESS
TERMINALS ON PAYMENT OF A FEE $O4 NEEDED PRIVATE INFORMATION PROVIDERS WHO
WOULD OWN BUILD AND MAINTAIN THESE DATABASES $O4 WOULD PAY THE INFORMATION
PROVIDER A SHARE OF THE REVENUE EARNED FROM THE PUBLIC ) FELT THAT THIS COULD BE
A GOOD BACKBONE ON WHICH TO DEPLOY A DATABASE OF JOBS AND BUILD A BUSINESS
AROUND IT )T WAS A PAY TO VIEW MODEL WHERE INITIALLY THE EMPLOYER WOULD BE
ALLOWED TO HOST HIS JOB FREE AND WE WOULD EARN FROM THE REVENUE SHARE THAT THE
$O4 WOULD GIVE US 7E PREPARED A DETAILED PROPOSAL ALONG WITH FEASIBILITIES
AND THE PRODUCT FEATURES !S LUCK WOULD HAVE IT THE $O4 PROJECT NEVER TOOK
OFF HOWEVER WE HAD A PRODUCT CONCEPT READY WITH NOWHERE TO DEPLOY IT 7E
DUMPED THIS PROJECT AND CONTINUED WITH OUR OTHER WORK

)N  MY PARTNER AND ) DECIDED TO GO OUR SEPARATE WAYS AND HE RETAINED THE
DATABASE PART OF THE BUSINESS AND ) KEPT THE 3ALARY 3URVEY PART AS WELL AS THE
NAME )NFO %DGE "Y THEN WE HAD AROUND TEN EMPLOYEES AND WE WERE DOING A
TURNOVER OF AROUND 2S  LAKH IN THE YEAR 7E HAD MOVED OUT OF THE SERVANTS
QUARTERS A YEAR AGO TO MOVE TO A RENTED OFlCE IN 'REEN 0ARK %XTENSION !FTER
THIS SPLIT ) MOVED BACK WITH lVE EMPLOYEES TO THE OFlCE AT HOME n THIS TIME
WE OCCUPIED TWO SERVANTS QUARTERS  WAS A GOOD YEAR FOR MY WIFE AND ME
AS OUR DAUGHTER 4ANVI WAS BORN IN !UGUST

/VER THE NEXT TWO YEARS ) ROLLED UP MY SLEEVES AND WE FOCUSED ON THE BUSINESS
WHICH PROSPERED AND WAS ABLE TO PAY ME A REASONABLY HANDSOME SALARY WITH
WHICH ) WAS ABLE TO FUND THE BUILDING OF TWO ADDITIONAL mOORS IN THE HOUSE
3URABHI 4ANVI AND ) MOVED TO THE lRST mOOR AND WERE GLAD FOR THE EXTRA
SPACE IT GAVE US 7E SHIFTED THE OFlCE FROM THE SERVANTS QUARTERS TO THE
SECOND mOOR OF THE HOUSE 4HE ADDITIONAL OFlCE SPACE ENABLED ME TO LOOK
AT HIRING AND DIVERSIlCATION )N  3URABHI QUIT HER JOB AT .ESTLE TO BE A

 %NTREPRENEURSHIP IN )NDIA

FULL TIME MOTHER FOR A FEW YEARS ) WAS lNANCIALLY STRAPPED AFTER PAYING FOR
THE HOUSE CONSTRUCTION AND THE LOSS OF HER INCOME WAS A MATTER OF CONCERN
4O COMPOUND MATTERS THE BUSINESS HIT A DOWNTURN IN EARLY  AND SOON
ENOUGH WE WERE BARELY BREAKING EVEN /NCE AGAIN ) COULD NOT TAKE A SALARY
FROM THE COMPANY

&ORTUNATELY IN MID  A CLOSE FRIEND AND THE EDITOR OF THE 0IONEER .EWSPAPER
#HANDAN -ITRA OFFERED ME A PART TIME ASSIGNMENT WITH THE NEWSPAPER AS
#ONSULTING %DITOR ) GLADLY ACCEPTED HAPPY TO GET A STEADY INCOME 4HE
WORKLOAD WAS LITTLE n ONLY A FEW HOURS A WEEK ) WAS ABLE TO MANAGE IT AND
STILL DEVOTE ENOUGH TIME TO )NFO %DGE -Y PARALLEL STINT WITH 4HE 0IONEER WAS
TO CONTINUE FOR THE NEXT FOUR YEARS

)N /CTOBER  ) VISITED )4 !SIA IN 0RAGATI -AIDAN AND SAW THE WORD )NTERNET
FOR THE lRST TIME AT ONE OF THE SMALLER STALLS THERE ) FOUND OUT MORE ABOUT
WHAT IT WAS AND REALIZED THAT THIS COULD BE A POTENTIAL MEDIUM ON WHICH
WE COULD DEPLOY THE JOBS DATABASE IDEA WHICH WE HAD ABANDONED lVE YEARS
EARLIER /VER THE NEXT FEW WEEKS ) READ ABOUT THE )NTERNET AND BY $ECEMBER
 ) HAD DECIDED TO LAUNCH A JOB SITE )N THE SAME MONTH OUR SECOND CHILD
2AGHAV WAS BORN 7HILE THIS WAS GOOD NEWS IT MEANT THAT 3URABHI WOULD BE
GROUNDED FOR A FEW MORE YEARS

) ROPED IN A COUPLE OF FRIENDS AND GAVE THEM EQUITY IN THE COMPANY !NIL ,ALL
A GENIUS AND ONE OF THE BEST SOFTWARE PROGRAMMERS ) HAVE MET WAS TO BE IN
CHARGE OF TECHNOLOGY 6 . 3AROJA ANOTHER BRIGHT SPARK WHO WAS A YEAR JUNIOR
TO ME AT ))- WOULD LOOK AFTER OPERATIONS ) GAVE MY BROTHER SOME EQUITY TOO
AND ASKED HIM TO FUND A SERVER IN THE 53! ON AN ONGOING BASIS 7E REGISTERED
THE DOMAIN NAME NAUKRICOM AND 3AROJA ASSISTED BY A COUPLE OF DATA ENTRY
OPERATORS COMPILED A DATABASE OF JOBS FROM PUBLISHED SOURCES !NIL QUICKLY
PROGRAMMED THE SITE .AUKRICOM WAS LAUNCHED IN -ARCH  AT A TIME WHEN
THERE WERE ONLY A FEW THOUSAND )NTERNET USERS IN THE COUNTRY 7E HAD NEVER
HEARD OF 6ENTURE #APITAL OR A DOTCOM VALUATION 7E JUST FELT IT WAS A GOOD
BUSINESS IDEA 7E BEGAN TO MARKET OUR JOB LISTING SERVICES TO (2 -ANAGERS
THROUGH DIRECT MAIL

)NITIAL REVENUE WAS SLUGGISH MOST LISTINGS WERE FREE (OWEVER TRAFlC ON THE SITE
WAS VERY GOOD 7E WERE GETTING A LOT OF PRESS COVERAGE SINCE THERE WERE FEW SITES
AROUND AT THAT TIME TO COMPETE FOR MEDIA ATTENTION 4HE SITE DID REVENUE OF
JUST OVER 2S  LAKH IN THE lRST YEAR OF OPERATIONS )N THE SECOND YEAR HOWEVER
REVENUE QUICKLY CLIMBED TO 2S  LAKH 7E REALISED WE HAD A WINNER ON OUR
HANDS AND DECIDED TO SHUT OUR OTHER BUSINESSES AND DEPLOY THE ENTIRE STAFF ON
NAUKRI ) DID NOT TAKE A SALARY FROM THE COMPANY SINCE ) WAS GETTING A MONTHLY
RETAINER FROM 4HE 0IONEER 3AROJA AND !NIL ,ALL WOULD TAKE A LOW SALARY n ENOUGH
TO GET BY ON 7E WERE EXCITED ABOUT THE FUTURE OF NAUKRICOM

-EANWHILE IN  THERE WERE DEVELOPMENTS AT 4HE 0IONEER 4HE 4HAPAR 'ROUP
DECIDED TO SHUT DOWN THE PAPER SINCE IT WAS MAKING LARGE LOSSES #HANDAN
BEING THE lGHTER THAT HE IS DECIDED TO TAKE OVER THE PAPER AND SAVE IT

!NNEXURE )) 
 (E ENLISTED ME IN THE CAUSE AND WITH ME PLAYING THE JUNIOR ROLE WE TOOK
OVER THE PAPER IN MID  ) BEGAN TO HANDLE THE MANAGEMENT SIDE OF THE
BUSINESS AND WORKED ON A REVIVAL PACKAGE FOR THE PAPER 7E CUT COSTS AND
SUCCESSFULLY OBTAINED FUNDING FOR 4HE 0IONEER FROM lNANCIAL INSTITUTIONS &OR
ME THE EXPERIENCE WITH 4HE 0IONEER WAS INVALUABLE AS FOR THE lRST TIME ) HAD
A LARGE ORGANIZATION AND TEAM REPORTING TO ME ) GOT THE EXPERIENCE OF DEALING
WITH lNANCIAL INSTITUTIONS &OR THE lRST TIME ) FACED A CRISIS OF A VERY LARGE
MAGNITUDE n THERE WERE TIMES WHEN WE WERE RUNNING EIGHT MONTHS BEHIND ON
SALARIES /UR EFFORTS PAID OFF AND 4HE 0IONEER HAD TURNED THE CORNER BY END
 4HE ENLARGED ROLE AT 4HE 0IONEER MEANT THAT ) WAS PUTTING IN A  TO
 HOUR WORK DAY SEVEN DAYS A WEEK IN ORDER TO DO JUSTICE TO BOTH JOBS "Y
END  THE WORK SCHEDULE WAS BEGINNING TO TELL ON ME ) DECIDED TO REDUCE
MY TIME COMMITMENT TO 4HE 0IONEER SINCE THE CRISIS HAD PASSED

"Y  THE DOTCOM FEVER HAD HIT )NDIA AS WELL ) WAS BEWILDERED TO SEE DOTCOMS
THAT WERE JUST STARTING OUT GETTING VALUED AT TENS OF CRORES (ERE WE WERE DOING
REVENUES OF 2S  LAKH YET ) COULD NOT PAY MYSELF A SALARY ) ALSO FELT THAT IF A 6#
WERE TO FUND ANOTHER JOB SITE WE WOULD BE UNABLE TO COMPETE WITH OUR MEAGRE
FUNDS 7E APPROACHED THREE 6# lRMS AND TWO AGREED TO FUND US AT A VALUATION IN
EXCESS OF 2S  CRORE 7E CHOSE TO GO WITH )#)#) SINCE WE FELT THERE WAS GREATER
INVESTOR COMPATIBILITY )N !PRIL  )#)#) INVESTED 2S  CRORE IN )NFO %DGE FOR
 OF THE COMPANY 4HE REAL GROWTH STORY OF NAUKRICOM BEGAN NOW 5NTIL THEN
IT HAD BEEN A COTTAGE INDUSTRY 2ATHER THAN SPEND HUGE SUMS ON ADVERTISING WE
FELT THAT WE HAD TO BE IN THE BUSINESS FOR THE LONG HAUL SO WE SPENT THE FUNDS
SLOWLY ˆ ON OFlCES PEOPLE PRODUCT DEVELOPMENT AND SERVERS 7E HAD PLANNED
TO MAKE A LOSS FOR A COUPLE OF YEARS AS WE RAMPED UP THE ORGANIZATION 2EVENUE
GREW CONTINUOUSLY QUARTER ON QUARTER AND WITHIN TWO YEARS WE WERE MAKING A
PROlT ONCE AGAIN AT A MUCH HIGHER REVENUE BASE THAN BEFORE .EVERTHELESS THE
MELTDOWN YEARS WERE TENSE SINCE EACH MONTH END WE WOULD BE UNSURE ABOUT THE
PROSPECTS THE NEXT MONTH

4ODAY NAUKRI HAS OVER  MILLION REGISTERED USERS  EMPLOYEES OVERALL  
OFlCES  CLIENTS AND OVER  SHARE OF THE TRAFlC IN DOMAIN )N 
 ITS REVENUE WAS OVER 2S  CRORE WITH A 0"4 OF OVER 2S  CRORE .AUKRI
ACCOUNTS FOR OVER  OF COMPANY TURNOVER AND CURRENTLY OFFERS TO OUR CLIENTS
THE FOLLOWING SERVICES

z *OB
 LISTING SERVICES TO ATTRACT RESPONSE TO VACANCY ADVERTISEMENTS 4HIS
IS AKIN TO VACANCY ADVERTISEMENTS IN NEWSPAPERS 0RICES RANGE FROM 2S
 TO 2S  LAKH DEPENDING ON THE LEVEL OF VISIBILITY ON THE SITE
THE NUMBER OF JOBS PUT UP THE NATURE OF JOB LISTING AND THE PERIOD OF
SUBSCRIPTION
z 2ESPONSE MANAGEMENT SERVICES USING OUR PROPRIETARY SOFTWARE TOOL
WITH WHICH CLIENTS CAN QUICKLY SHORTLIST THE RIGHT APPLICANTS AND SCHEDULE
INTERVIEWS
z !CCESS
 TO OUR DATABASE OF REGISTERED USERS

 %NTREPRENEURSHIP IN )NDIA

! FEW MONTHS AGO THE LEADING 3ILICON 6ALLEY BASED 6ENTURE #APITAL lRM +LEINER
0ERKINS #AUlELD AND "YERS INVESTORS IN 'OOGLE AND !MAZON AMONG OTHER
COMPANIES AND 3HERPALO 6ENTURES BOUGHT A STAKE IN THE COMPANY )NFO %DGE
WAS LISTED IN )NDIA IN .OVEMBER  /UR VISION IS TO CONSOLIDATE OUR POSITION
AT )NDIAS LEADING ONLINE CLASSIlEDS COMPANY AND MAKE FORAYS INTO SELECTED
INTERNATIONAL MARKETS

&UTURE 0LANS

/UR FUTURE PLANS ARE CONTINUOUSLY EVOLVING .EVERTHELESS IF ) WERE TO DO SOME

CRYSTAL BALL GAZING OUR FUTURE PLANS CURRENTLY INCLUDE THE FOLLOWING

z )NTERNATIONAL MARKETING OF OUR CURRENT SERVICES TO RECRUITERS IN COUNTRIES

AND INDUSTRIES WHERE )NDIAN TALENT IS REQUIRED n 53! -IDDLE %AST !FRICA
3OUTH %AST !SIA AND %UROPE
z 'OING DEEPER INTO )NDIA AND SETTING UP BUSINESS DEVELOPMENT OFlCES IN
THE TOP  CITIES OF )NDIA
z #ONTINUOUSLY IMPROVING OUR CURRENT PRODUCTS AND SERVICES TO ENSURE WE
STAY AHEAD OF COMPETITION
z -AKING OUR PRODUCTS MORE AND MORE LOCALLY RELEVANT SO AS TO DIFFERENTIATE
OURSELVES FROM COMPETITION WHICH IS IN )NDIA WITH A GLOBAL TEMPLATE
z ,AUNCH OF NEW SERVICES THAT MAKE RECRUITERS WORK SIMPLER
z 'ROWING THE *EEVANSATHI 'ULFNAUKRI VOICE AND MOBILITY AND ACRES
BUSINESSES
z ,AUNCHING OF ONE OR POSSIBLY TWO MORE ONLINE BUSINESSES IN 
z !CQUIRING SMALL INTERNET BUSINESSES POST )0/ AND GROWING THEM
z %VALUATING ENTRY INTO OTHER INTERNATIONAL MARKETS WITH LOCAL INTERNET
BUSINESSES

0EOPLE 0HILOSOPHY

-Y PEOPLE PHILOSOPHY IS VERY SIMPLE ATTRACT TALENT RESPECT TALENT GIVE TALENT
SPACE TO GROW REWARD TALENT AND RETAIN TALENT

*UST AS YOU TAKE BETS ON BUSINESSES YOU TAKE BETS ON PEOPLE 4HOSE BETS THAT
LOOK LIKE THEY ARE COMING GOOD YOU BACK WITH MORE INVESTMENTS 4HE COMPANY
HAS PLACED BETS ON A DOZEN OR SO SENIOR MANAGERS IN THE PAST lVE YEARS 7HEN
SOMEONE LOOKED LIKE THEY WERE SUCCEEDING WE WOULD REWARD THE PERSON FOR
PERFORMANCE AND ALSO INVEST MORE BEHIND THAT BUSINESS

7HAT THIS MEANT WAS THAT PEOPLE WHO WERE PERFORMING ENDED UP HEADING
BIGGER BUSINESSES AND HAD A VERY HIGH VARIABLE PAY 4HIS WOULD EITHER MOTIVATE
THE NON PERFORMERS TO WORK HARDER OR RESULT IN THEIR LOOKING FOR OTHER JOBS
7HEN SOMEONE LEFT THAT BUSINESS WOULD BE GIVEN TO A PROVEN PERFORMER AS AN
ADDITIONAL CHARGE

!NNEXURE )) 
 +EY TO THIS PROCESS IS OUR COMPENSATION STRATEGY WHERE WE PAY A lXED SALARY
THAT IS LOWER THAN THE MARKET BY  OR SO (OWEVER OUR PERFORMANCE LINKED
VARIABLE PAY IS SUCH THAT PEOPLE CAN DOUBLE OR EVEN TRIPLE THEIR lXED SALARY
4HIS ENSURES THAT PERFORMERS ARE PAID WELL BEYOND THE MARKET AND SO CANNOT BE
HEAD HUNTED .ON PERFORMERS EITHER IMPROVE AND EARN HIGH VARIABLE PAY GOING
FORWARD OR LEAVE ON THEIR OWN 4HEY DO NOT HAVE A PROBLEM lNDING JOBS SINCE
THEIR lXED PAY IS  BELOW MARKET 7E ARE ABLE TO ATTRACT TALENT BECAUSE WE
OFFER A HUGE UPSIDE FOR PERFORMANCE 7E HAVE AN ATTRITION RATE OF OVER 
IN THE COMPANY HOWEVER IN THE LAST lVE YEARS WE HAVE NOT LOST MORE THAN 
PEOPLE WHOM WE REALLY WANTED TO RETAIN 'ENERALLY IF A PERSON STAYS FOR A YEAR
HE TENDS TO STAY FOR A LONGISH TIME &OR MOST PEOPLE IN THE COMPANY VARIABLE
PAY FORMS OVER  OF TOTAL COMPENSATION

4HE OTHER THING ) BELIEVE IN IS GENUINE EMPOWERMENT -ANAGERS IN NAUKRI

USUALLY TAKE INDEPENDENT BUSINESS CALLS )T HAS TAKEN ME QUITE A WHILE TO
PERSUADE OTHERS IN THE ORGANIZATION TO SUPPORT EMPOWERMENT WITH ACTION
RATHER THAN WITH WORDS 7HEN AN ORGANIZATION GROWS FROM  PEOPLE TO 
PEOPLE IN SEVEN YEARS WITH A WHOLE LOT OF LATERAL HIRES YOU GET A MISH MASH OF
CORPORATE CULTURES (OWEVER WE ARE NOW GRAVITATING TOWARDS A CULTURE WHERE
PEOPLE ARE ENCOURAGED TO SPEAK THEIR MINDS TAKE DECISIONS AND CHALLENGE
THEIR SUPERIORS JUST AS MY IMMEDIATE REPORTS CHALLENGE ME 4HIS IS WHAT BUILDS
LEADERSHIP AT ALL LEVELS IN OUR COMPANY 4HE TOUGHEST BIT HERE WAS TO GET
SUPERVISORS TO ACCEPT BEING CHALLENGED BY THEIR TEAMS AND ACCEPTING IT WITH
AN OPEN MIND

!PART FROM THIS ONE OF THE +2!S FOR (2 IS TO ENSURE THAT PEOPLE HAVE FUN AT
THE WORK PLACE 4HE AVERAGE AGE IN OUR COMPANY IS  3O (2 PLANS A WHOLE
CALENDAR OF ACTIVITIES FOR EMPLOYEES ˆ A PICTIONARY CONTEST A DUMB CHARADES
CONTEST A BEST DRESSED EMPLOYEE CONTEST ON THE $IWALI PARTY TAMBOLA ETC )
SEE A KEY PART OF MY JOB AS CREATING CONDITIONS WHERE PEOPLE ENJOY WORKING
WHERE THEY FEEL HAPPY COMING TO OFlCE AND WHERE TALENTED PEOPLE CAN GIVE
THEIR BEST

)NNOVATION

4HE ONE QUALITY THAT OUR COMPANY POSSESSES IN ABUNDANCE IS IMAGINATION

%VERY TIME WE HAVE SUCCEEDED WE HAVE INNOVATED NOT THAT EVERY INNOVATION
HAS SUCCEEDED  %VERY TIME WE HAVE IMITATED WE HAVE FAILED NOT THAT EVERY
FAILURE IS AN IMITATION  4HERE WAS A TIME WHEN ALMOST ALL IDEAS THAT WERE
IMPLEMENTED WERE MINE !S THE ORGANIZATION GREW ) REALIZED THAT SUSTAINABLE
SUCCESS WOULD ONLY COME WHEN THERE WERE MANY BRIGHT PEOPLE THINKING ABOUT
THE BUSINESS AND SUCCESSFULLY IMPLEMENTING THEIR GOOD IDEAS

4O DO THAT ) HAD TO lRST CHANGE MYSELF )T TOOK ME A YEAR OR SO AFTER GETTING 6#

INVESTMENT TO LEARN TO DELEGATE AND TO EMPOWER PEOPLE ) SLOWLY UNDERSTOOD
THAT IN ORDER TO SCALE UP YOU HAVE TO LET GO "UT YOU MUST LET GO TO THE RIGHT
PEOPLE 4HEREFORE ASPECTS SUCH AS HIRING NURTURING AND RETAINING THE RIGHT
TALENT BECAME KEY TO THE SUCCESS OF THE COMPANY

 %NTREPRENEURSHIP IN )NDIA

) INSTINCTIVELY UNDERSTOOD THAT QUALITY OF IDEAS FREQUENTLY HAS LITTLE TO DO
WITH LEVEL IN THE HIERARCHY )N OUR COMPANY THE BEST IDEAS OFTEN COME FROM
THE BOTTOM OF THE RUNG ESPECIALLY FROM THE FRONT LINE SALES PEOPLE WHO ARE
REGULARLY IN TOUCH WITH CUSTOMERS !LSO GOOD IDEAS OFTEN CHALLENGE THE EXISTING
ASSUMPTIONS OF SENIOR MANAGEMENT 4O CUT THROUGH THE HIERARCHY WE SET UP
E GROUPS IN THE COMPANY TO TRADE NOTES 3O THERE IS ONE E GROUP FOR THE ENTIRE
COMPANY AND ONE FOR EACH DEPARTMENT IN THE COMPANY

&OR INSTANCE IF A CLIENT GIVES FEEDBACK FOR IMPROVEMENT OF ONE OF OUR PRODUCTS
THE RELATIONSHIP MANAGER IMMEDIATELY POSTS IT ON THE SALES E GROUP FOR A
DISCUSSION 4HE IDEA IS TOSSED AROUND AND IF IT GETS TRACTION IT IS PASSED ON TO
THE PRODUCT DEVELOPMENT TEAM FOR EVALUATION AND PERHAPS IMPLEMENTATION
7E HAVE FORMED A CROSS FUNCTIONAL TEAM THAT CONDUCTS AN INNOVATION MEETING
EVERY WEEK AND PRIORITISES AND PLANS A ROLLOUT OF PRODUCT INNOVATIONS 4HIS
PROCESS ALONE HAS RESULTED IN OVER  PRODUCT AND PROCESS INNOVATIONS LARGE
AND SMALL IN THE LAST ONE YEAR

7E HAVE CONSCIOUSLY ENCOURAGED A CULTURE OF DISSENT IN THE COMPANY !NYONE

CAN TELL THE #%/ HE IS WRONG IF YOU DIFFER WITH HIM AND GET AWAY WITH IT
&REQUENTLY MY IDEAS ARE CHALLENGED AND REJECTED 4O AN OUTSIDER OUR MEETINGS
WILL APPEAR TO BE ANARCHIC BUT THEY WORK VERY WELL FOR THE ORGANIZATION !NARCHY
IS AN IMPORTANT ELEMENT OF INNOVATION

4HUS A CULTURE OF INNOVATION HAS BEEN INSTITUTIONALIZED )T EXTENDS BEYOND

PRODUCT DEVELOPMENT TO ALL OTHER AREAS OF COMPANY OPERATION

!NNEXURE )) 
 #EEKFGPVCN'PVTGRTGPGWT

3RIRAM 2AGHAVAN

0RESIDENT  #O FOUNDER #OMAT 4ECHNOLOGIES 0 ,IMITED

%NTREPRENEURSHIP IS AN ONGOING JOURNEY THAT UNFOLDS WITH EACH PASSING DAY

7HEN ) WRITE ABOUT MY EXPERIENCES ) REALIZE THAT THERE WAS NO BLUEPRINT THAT
) FOLLOWED 3HEER SPIRIT OF ENTERPRISE A PASSION FOR DISCOVERY COMBINED WITH
lNDING A NOBLE BUSINESS PARTNER AND IMMENSE GOOD FORTUNE HAS BROUGHT ME
WHERE ) AM TODAY

) CHANCED UPON THE CONCEPT OF SELLING DURING MY SEVENTH GRADE /NE SUMMER
) HELPED A FRIEND RUN A STATIONERY STORE IN "ANGALORE (ERE MY FRIEND EXPLAINED
CONCEPTS LIKE @CROSS SELL AND @UP SELL (E TAUGHT ME SIMPLE TECHNIQUES OF
IDENTIFYING GOOD CUSTOMERS RESPECTING REPEAT CUSTOMERS AND JUDGING @CREDIT
WORTHY CUSTOMERS 4HESE WERE EARLY LEARNING OPPORTUNITIES THAT BECAME THE
FOUNDATION OF MY BUSINESS SUCCESS

) MET MY OUTSTANDING BUSINESS PARTNER 2AVI 2ANGAN JUST AS ) lNISHED COLLEGE

THROUGH A COMMON FRIEND $R 3UNDAR A RESEARCHER WITH THE .ATIONAL !EROSPACE
,ABORATORIES .!,  2AVI WAS COMPLETING HIS lNAL YEAR PROJECT UNDER HIS
GUIDANCE (E GAUGED THAT PUTTING US TOGETHER WOULD BE IDEAL AS WE HAD ENTIRELY
DISSIMILAR SKILLS THAT COMPLEMENTED EACH OTHER IN A BALANCED MANNER

)N  THE SCRIPTING OF #OMAT BEGAN *UST OUT OF COLLEGE AND AT  ) WAS
BULLISH AND FEARLESS
7E STARTED WITH NO MONEY FROM 2AVIS GARAGE ESSENTIALLY
PROVIDING SOFTWARE DEVELOPMENT TO .!, /UR INHERENT URGE TO SUCCEED SPURRED
US ON 7E LANDED OUR lRST REAL PROJECT IN (ONG +ONG THROUGH OUR CONTACTS AT
THE #HAMBER OF #OMMERCE

4HE FOLLOWING YEAR WE FORMED ALLIANCES WITH 53 CUSTOMERS AND ) DECIDED TO

MOVE WITH ONE CUSTOMER TO THE 53! ) TRAVELLED WITH 53 AND LIVED OUT OF
A SUITCASE IN MY BROTHERS APARTMENT IN #LEVELAND 7ITH LITTLE MONEY AND A FEW
CONTACTS ) LOOKED AT DEVELOPING BUSINESS FOR #OMAT IN )NDIA WHILE ALSO BUILDING
A SELF SUSTAINING ORGANIZATION LOCALLY )N THE 53! #OMATS ACTIVITIES WERE ON
TWO LEVELS ˆ ONE WAS TO SEND WORK TO )NDIA PRIMARILY DIGITIZATION AND "0/
TYPE WORK AND THE OTHER WAS TO UNDERTAKE CONSULTING WORK FOR CLIENTS IN THE
53 &OR EXECUTING PROJECTS IN THE 53! WE HIRED PEOPLE LOCALLY AND GREW THE 53
BUSINESS FROM SCRATCH TO A MULTI MILLION DOLLAR REVENUE BUSINESS WITHIN A YEAR
7E ATTRACTED &ORTUNE  COMPANIES LIKE !MERICAN !IRLINES -OBIL /IL AND

 %NTREPRENEURSHIP IN )NDIA

.OKIA AS CUSTOMERS AND BUILT A VERY PROlTABLE SMALL ENTERPRISE #OMAT GAINED
REPUTE AS A TOP QUALITY TECHNOLOGY CONSULTING COMPANY FOR LARGE CORPORATIONS
AND WE HAD A WELL RENOWNED CLIENT BASE ) THEN DECIDED TO SELL THE #OMAT 53
BUSINESS WITH INTENT TO MOVE BACK TO )NDIA 7E ATTRACTED A LOT OF HIGH END
BIDDERS AND IN  WE SOLD THE BUSINESS FOR STOCK AND CASH AND EXITED VERY
PROlTABLY &OR SOME TIME TO ENSURE CONTINUITY ) LIVED IN THE 53! AND #OMAT
)NDIA CONTINUED TO GROW AS PLANNED 7HILE IN THE 53! ) WORKED WITH SEVERAL
NOT FOR PROlT ORGANIZATIONS PRIMARILY AS AN ADVISOR IN THE ENTREPRENEURSHIP
SPACE FOR BUILDING SUSTAINABLE BUSINESSES

) RETURNED TO )NDIA IN  #OMAT )NDIA NEEDED ADDITIONAL BANDWIDTH TO CARVE

OUR SPACE AS A LEADER IN E GOVERNANCE 4HE TURNING POINT CAME AS SOON AS )
RETURNED 4HE DEADLY TSUNAMI IMPACTED THE COASTAL RURAL 4AMIL .ADU ) TRAVELLED
TO #UDDALORE WITH A FRIEND TO ASSIST IN RELIEF EFFORTS 4HE ENTIRE REGION WAS IN
CHAOS WITH LIMITED STAFF AND NO PROPER MANAGEMENT OF RELIEF EFFORTS 4HERE WAS
NO SYSTEM IN PLACE TO TRACK THE RELIEF MATERIAL COMING IN FROM VARIOUS CORPORATE
AND OTHER ORGANIZATIONS AND INDIVIDUALS AND THEIR DISTRIBUTION AMONGST THE
TSUNAMI VICTIMS ) WAS RESOLUTE IN ENSURING THAT A SEMBLANCE OF ORDERLINESS WAS
BROUGHT IN 7ITH NECESSARY PERMISSIONS FROM THE $ISTRICT #OMMISSIONERS OFlCE
WE CREATED A SOFTWARE SYSTEM TO TRACK RELIEF MATERIAL AND ITS DISTRIBUTION ,ATER
#OMAT SENT IN ENGINEERS TO INSTALL THE SOFTWARE SYSTEM AND THIS VERY SYSTEM
CONDUCTED OPERATIONS IN THE REGION THAT YEAR 4HIS EXPERIENCE WAS EXTREMELY
INSPIRATIONAL IN THAT IT LAID OUT THE REALITY ˆ THAT SUCH A LARGE POPULATION IN
)NDIA WAS LIVING IN ISOLATION )T ALSO BARED THE EXTENT OF EXPLOITATION IN RURAL
)NDIA ˆ EVEN IN TIMES OF DIRE NEED )T WAS CLEAR THAT THESE INDIVIDUALS DID NOT
KNOW THEIR RIGHTS MUCH LESS lGHT FOR THEM

-Y EXPERIENCE IN THE 53 HAD TAUGHT ME THAT THERE WAS A METHOD TO MADNESS

AND RESEARCH BACKED MOST BUSINESS ENDEAVOURS !T #OMAT WE DECIDED TO DO
THINGS SCIENTIlCALLY TO ACHIEVE MAXIMUM SOCIAL IMPACT AND TEAMED WITH THE
0OVERTY !CTION ,AB AT -)4 TO EVALUATE OUR WORK 4HIS DECISION AND OUR TRAVELS
TO RURAL )NDIA ALLOWED US A lRST HAND FEEL OF WHAT LAY AHEAD

#OMAT REDElNED ITSELF IN )NDIA AND WE FOCUSED ON CITIZEN CENTRIC SERVICES BY

PROVIDING EASY ACCESS USING TECHNOLOGY 4HE REALIGNMENT TOOK A YEAR AND A
HALF AND WE SOLD OFF NON CORE AREAS IN SOFTWARE DEVELOPMENT AND "0/ !N
OFFSHOOT OF THIS WAS THE ESTABLISHMENT OF RURAL BUSINESS CENTRES THAT PROVIDE
GOVERNMENT AND BUSINESS SERVICES TO RURAL )NDIA 7E REALIZED RURAL )NDIA WAS
EXTREMELY DEPENDENT ON THE GOVERNMENT AND FOUND THAT WORKING CLOSELY WITH
THE GOVERNMENT ENABLED US TO CATER TO ITS CITIZENS "EING A CONTRACTOR WITH
THE GOVERNMENT DID NOT WORK IN OUR FAVOUR AS CASH mOW ISSUES IMPACTED SCALE
AND GROWTH

! SUCCESSFUL ENTREPRENEUR NEEDS TO BE ABLE TO CHANGE STRATEGIES EFFECTIVELY 3O

#OMAT IMPLEMENTED THE 0UBLIC 0RIVATE 0ARTNERSHIP 000 MODEL FOR .EMMADI
 RURAL CENTRES IN +ARNATAKA IN  7E GENERATED REVENUE FROM DELIVERING
'OVERNMENT SERVICES TO CITIZENS 7E lRST WORKED WITH THE +ARNATAKA GOVERNMENT
AND EXPANDED INTO THE #OMMON 3ERVICE #ENTRE #3# PROJECTS 0RESENTLY WE

!NNEXURE )) 
 HAVE A NETWORK OF OVER  CENTRES ACROSS TWO STATES AND ARE EXPANDING TO
 ACROSS )NDIA 7E ALSO PROVIDE RURAL "0/ OPPORTUNITIES AND #OMAT NOW
HAS THE POTENTIAL TO OFFER )NDIAS RURAL CITIZENS MULTIPLE SERVICES

4HE TRANSFORMATION OF RURAL )NDIA IS OCCURRING ON FOUR DIFFERENT LEVELS &IRST

RURAL CITIZENS HAVE BECOME MORE ASPIRATIONAL AND SELF DRIVEN WITHIN THEIR
COMMUNITIES DUE TO THE INFORMATION REVOLUTION 3ECOND THE GOVERNMENT
HAS DIRECTED INITIATIVES TOWARDS THIS SECTOR WITH SOPS 4HIRD CORPORATES ARE
EXPANDING THEIR NETWORK AND STRESS THE IMPORTANCE OF RURAL MARKETS ,AST
PEOPLE LIKE US SOCIAL ENTREPRENEURS WHO AIM TO CONVERT RURAL )NDIA INTO A
WORKFORCE THAT GENERATES A REVENUE STREAM FOR BUSINESS 0RESENTLY ) BELIEVE
THESE FORCES ARE IN CLOSE COLLABORATION AND THIS WILL CULMINATE IN TREMENDOUS
SUCCESS 4ODAY )NDIA IS SYNONYMOUS WITH )4 )N TIME THE SERVICES ECONOMY
OF RURAL )NDIA WILL BE THE SINGULAR FORCE THAT DRIVES THE )NDIAN ECONOMY 4HE
PROCESS OF SELF DISCOVERY HAS JUST BEGUN BUT ) AM PROUD THAT #OMAT IS PROVIDING
THE NECESSARY IMPETUS FOR THIS REVOLUTION 2URAL )NDIA WILL BE WHAT WILL DElNE
OUR COUNTRY IN THE YEARS TO COME

-Y STORY HAS BEEN EXCITING AND FULlLLING THUS FAR ) AM DRIVEN BY THE URGE
TO EMPOWER PEOPLE -Y DEEP SENSE OF PURPOSE PERSISTENCE AND AN EDGE FOR
BACKING THE RIGHT OPPORTUNITIES HAVE WORKED TO MY ADVANTAGE ) HAVE AN
INHERENT SENSE OF VALUES AND BELIEVE THAT HUMILITY INTEGRITY AND BEING TRUE TO
ONESELF ARE KEY QUALITIES TO ACHIEVING SUCCESS

4ODAY #OMAT IS SUCCESSFUL 7HAT IS MORE SATISFYING IS THAT #OMAT IS SYNONYMOUS

WITH SOCIAL ENTREPRENEURSHIP IN )NDIA AND THE RECOGNITION RECEIVED FOR THIS
HAS BEEN A DEEPLY TOUCHING EXPERIENCE 4HE 7ORLD 4ECHNOLOGY !WARD SUMMIT
NOMINATED ME FOR BEING A SOCIAL ENTREPRENEUR IN  AND IN  THE )NDIRA
)NSTITUTE AWARDED ME @3UPER !CHIEVER OF THE 9EAR 4HESE AWARDS AND RECOGNITION
SHOWCASE THE TRUE POTENTIAL OF SOCIAL ENTREPRENEURSHIP AND ARE A TRIBUTE TO THE
UNFAILING SUPPORT ) HAVE RECEIVED FROM MY TEAM AT #OMAT ) AM BLESSED WITH
A GREAT BUSINESS PARTNER IN 2AVI (IS PERSEVERANCE AND PATIENCE HAS LED TO
THE SUCCESSFUL IMPLEMENTATION OF OUR IDEAS 2AVI AND ) FORM A GREAT @INSIDE
OUTSIDE TEAM AND ) WILL ALWAYS REMAIN INDEBTED TO HIS SUPPORT WITHOUT WHICH
OUR DREAMS WOULD NOT HAVE BEEN REALIZED

'OING AHEAD #OMAT HAS TO CONTINUE DElNING THIS SPACE AND WE LOOK FORWARD TO
UNLOCKING THE TRUE VALUE AND MIGHT OF SOCIAL ENTREPRENEURSHIP IN )NDIA "EING
A STRONG ADVOCATE OF ASSOCIATION AND COLLABORATION ) URGE READERS INSPIRED BY
MY STORY TO PARTNER WITH US

 %NTREPRENEURSHIP IN )NDIA

 #P'PVTGRTGPGWTUJKR,QWTPG[KP+PFKC

3UBHASH "AGARIA

#HAIRMAN AND -$ +EMWELL )NDIA ,IMITED

3UBHASH "AGARIA BEGAN HIS CAREER MANAGING A TEA MACHINERY MANUFACTURING AND
EXPORTING BUSINESS IN !SSAM )NDIA )N THE EARLY S HE MOVED TO "ANGALORE
TO ALMOST START AFRESH AND TO SEARCH FOR BIOTECH AND PHARMA OPPORTUNITIES
WORLDWIDE )N ORDER TO DO SO HE DECIDED TO TRAVEL EXTENSIVELY IN %UROPE 53!
AND *APAN MAKING COLD CALLS AND ENCOURAGED ONLY BY HIS BELIEF IN HIMSELF !FTER
ALL IN THE EARLY S HARDLY ANY BIOTECH PRODUCTS WERE IN THE MARKET AND IN
FACT RESEARCH HAD JUST BEGUN IN THE lELD )N FACT THE )NDIAN BIOTECH INDUSTRY
WAS MINIMAL TO NON EXISTENT /WING TO HIS YOUNG ENTHUSIASM AND DEDICATION
3UBHASH MANAGED TO WIN CONTRACTS TO BE AN )NDIAN AFlLIATE OF SOME LEADING TOOLS
AND SERVICES PROVIDERS TO THIS RESEARCH GROUP ˆ WORLD RENOWNED COMPANIES LIKE
0HARMACIA "IOTECH -ILLIPORE 7ATERS AND "ECTON $ICKINSON

-ILLIPORE )NDIA 0VT ,TD

%VEN THOUGH THESE ALLIANCES WERE MADE THE )NDIAN IMPORT REGULATIONS IN THOSE
DAYS MADE BUSINESS VERY DIFlCULT TO RUN AND CUSTOMS DUTIES WERE ALMOST
UNAFFORDABLE )N SPITE OF SUCH HURDLES 3UBHASH WAS ABLE TO PERSEVERE AND
CONTINUE TO SUPPORT THE BIOTECH RESEARCH IN )NDIA %VENTUALLY THIS LED TO
WINNING OVER A JOINT VENTURE WITH -ILLIPORE AND SIMULTANEOUSLY WITH 7ATERS
%VEN HERE IT PROVED DIFlCULT TO CONVINCE -ILLIPORE TO DO A *6 WITH AN )NDIAN
COMPANY WHEN MOST !MERICAN HI TECH COMPANIES WERE HESITANT OWING TO LOCAL
)NDIAN REGULATIONS AND INSUFlCIENT PATENT PROTECTION LAWS -OREOVER -ILLIPORE
HAD NEVER ENTERED INTO A *6 IN ANY PART OF THE WORLD /NCE 3UBHASH MANAGED TO
CONVINCE THE THEN #HAIRMAN OF -ILLIPORE TO INVEST IN -ILLIPORE )NDIA HE HAD TO
PHYSICALLY SIT IN THE $ELHI GOVERNMENT OFlCES HIMSELF TO GET ALL THE APPROVALS
CLEARED IN   MONTHS &INALLY -ILLIPORE )NDIA WAS CREATED AS A   VENTURE
BETWEEN 3UBHASH "AGARIA AND -ILLIPORE #ORP 53! RESPECTIVELY

-ILIIPORE )NDIAS OPERATIONS HAVE BEEN GROWING AT A HEALTHY RATE OF  

OVER THE LAST FEW YEARS AS THE BIOTECH AND PHARMA MARKET IN )NDIA HAS BEEN
GROWING SUBSTANTIALLY &OR EVEN FURTHER GROWTH 3UBHASH HAS CONSTANTLY PUSHED
-ILIIPORE #ORP TO CONSIDER )NDIA FOR OUTSOURCING MANUFACTURING OF ITS HIGH TECH
PRODUCTS &INALLY IN  -ILIIPORE MOVED ITS KEY TECHNOLOGY FOR PRODUCTION OF
CHROMATOGRAPHY SYSTEMS FROM THEIR 53 PRODUCTION SITES TO )NDIA AND CLOSED DOWN

!NNEXURE )) 
 THE 53 SITES .OW THE WORLDWIDE PRODUCTION FOR STANDARD CHROMATOGRAPHY SYSTEMS
IS DONE IN )NDIA -ILIIPORE ALSO MOVED SEPARATION COLUMNS MANUFACTURING FROM
THEIR PLANT IN 5+ TO )NDIA AND ONCE -ILIIPORE )NDIA BEGAN MANUFACTURING AT
WORLD STANDARDS THE 5+ PLANT WAS CLOSED DOWN

-ILIIPORE )NDIA RECEIVED TREMENDOUS PRESSURE FOR MOVING THESE PRODUCTS FROM THE
53 AND 5+ TO )NDIA 4HE EMPLOYEES IN THOSE PLANTS WERE VERY UPSET THAT hTHESE
)NDIANSv WERE RESPONSIBLE FOR THEIR UNEMPLOYMENT 3O 3UBHASH AND HIS TEAM HAD
TO BE VERY DIPLOMATIC IN CONVINCING THESE EMPLOYEES TO PASS ON THE TECHNOLOGY
SO THAT MANUFACTURING COULD BE DONE SUCCESSFULLY IN )NDIA

-ILIIPORE ALSO PROVIDES A RANGE OF SERVICES TO PHARMA AND BIOTECH CUSTOMERS

WORLDWIDE FROM THEIR LABS IN 53 &RANCE AND *APAN ,AST YEAR 3UBHASH WAS
ABLE TO CONVINCE -ILIIPORE #ORP TO BUILD A SIMILAR LAB IN )NDIA TO SERVICE )NDIAN
CUSTOMERS ,ABS OF INTERNATIONAL STANDARDS MANNED BY VERY WELL TRAINED SCIENTISTS
WERE CONSTRUCTED AT A SHORT NOTICE AND SERVICES WERE STARTED FOR )NDIA .OW THE
)NDIAN LAB IS EXPANDING ITS GLOBAL REACH AND HAS BEGUN SERVICING CUSTOMERS IN
%UROPE AND !SIA 0ACIlC

+EMWELL 0VT ,TD

!LONG WITH FOLLOWING HIS PASSION FOR BIOTECHNOLOGY 3UBHASH ALSO BOUGHT OVER
+EMWELL 0VT ,TD A "ANGALORE BASED PHARMACEUTICAL COMPANY IN  !T THAT
TIME THE COMPANYS OPERATIONS INCLUDED MANUFACTURING AND MARKETING lNISHED
PHARMACEUTICAL PRODUCTS AND AN !0) PRODUCTION PLANT 4HE COMPANY WAS ALSO
MAKING A SUBSTANTIAL LOSS EACH YEAR 3UBHASH REALIZED THAT THE ONLY WAY TO TURN
THE COMPANY AROUND WAS TO TAKE SOME BOLD DECISIONS AND HE CLOSED DOWN THE
PHARMACEUTICAL MARKETING BUSINESS COMPLETELY CHANGING TRACK TO BECOME A
 PURE PLAY CONTRACT MANUFACTURING COMPANY 3UBHASH REALIZED EARLY THAT
THOUGH THE LARGE PHARMACEUTICAL COMPANIES HAD CAPTIVE MANUFACTURING FACILITIES
THEN THEIR HIGH COST STRUCTURES WOULD SOON DRIVE THEM TO START OUTSOURCING THEIR
MANUFACTURING REQUIREMENTS

(OWEVER IN THOSE DAYS IT WAS VERY DIFlCULT TO CONVINCE MULTI NATIONAL COMPANIES
TO OUTSOURCE PRODUCTS FOR CONTRACT MANUFACTURING IN )NDIA THEIR FEAR BEING
COUNTERFEITED BY THE CONTRACT MANUFACTURER 3UBHASHS HIGH STANDARD OF INTEGRITY
COMBINED WITH HIS ENTHUSIASM AND DRIVE WERE THE SELLING POINTS THAT CONVINCED
'LAXO 0HARMACEUTICALS TO OUTSOURCE SOME PRODUCTS IN SMALL QUANTITIES TO +EMWELL
IN  4WENTY YEARS LATER THIS RELATIONSHIP HAS EXPANDED SUBSTANTIALLY AND
TODAY +EMWELL IS 'LAXOS LARGEST CONTRACT MANUFACTURER IN )NDIA

/VER THE LAST TWO DECADES +EMWELL HAS EXPANDED WITH NEW 'REENlELD FACILITIES
7ITH THE EXPANSIONS +EMWELL INCREASED THE BREADTH OF ITS SERVICE OFFERINGS AND
NOW OFFERS FORMULATIONS OF TABLETS LIQUID ORALS ORAL DROPS OINTMENTS CREAMS
EARDROPS NASAL DROPS AND DUSTING POWDERS !LSO WITH THE EXPANSIONS IT ADDED NEW
CUSTOMERS INCLUDING 0lZER .OVARTIS *OHNSON  *OHNSON AND !STRA:ENACA 7HILE
3UBHASH TRIED TO CONTINUOUSLY IMPROVE +EMWELLS SYSTEMS AND FACILITIES MOST
)NDIAN MANUFACTURING COMPANIES FAILED TO ACHIEVE TRUE INTERNATIONAL STANDARDS

 %NTREPRENEURSHIP IN )NDIA

AND WERE THUS UNABLE TO WIN OVER ANY INNOVATOR COMPANIES TO OUTSOURCE FROM
)NDIA 4HIS WAS IN PART OWING TO THE STRICT $RUG 0RICE #ONTROL RULES THAT KEPT THE
CONVERSION RATES OF PHARMACEUTICAL PRODUCTS ALMOST lXED FOR OVER  YEARS 4HIS
MADE IT DIFlCULT FOR )NDIAN PHARMACEUTICAL MANUFACTURING COMPANIES TO EVEN
lGHT INmATION IN EXPENSES LEAVE ALONE MAKING FURTHER INVESTMENTS IN QUALITY AND
OPERATIONS

!FTER TWENTY YEARS OF OPERATING IN THE DOMESTIC MARKET 3UBHASH DECIDED IT WAS
TIME FOR +EMWELL TO GO GLOBAL 3TUDYING THE TRENDS OF OUTSOURCING IN VARIOUS
INDUSTRIES 3UBHASH REALIZED THAT THE PHARMACEUTICAL INDUSTRY WORLDWIDE WOULD
ALSO HAVE TO START OUTSOURCING TO INCREASE PROlTABILITY 4O CAPITALIZE ON THESE
TRENDS AND +EMWELLS CURRENT OPERATIONS 3UBHASH TOOK TWO STEPS

&IRST 3UBHASH DECIDED TO LEVERAGE +EMWELLS KNOW HOW IN )NDIA TO SET UP

A WORLD CLASS FACILITY TO MANUFACTURE VARIOUS TYPES AND FORMS OF TABLETS FOR
EXPORTS TO 53! AND %UROPE )T WAS 3UBHASHS VISION TO CONSTRUCT )NDIAS LARGEST
CONTRACT MANUFACTURING FACILITY FOR EXPORTING TABLETS WITH A CAPACITY OF  BILLION
TABLETS 4O BUILD A STATE OF THE ART FACILITY FOR CONTRACT MANUFACTURING FOR 53
AND %UROPEAN MULTINATIONALS WAS QUITE CHALLENGING UNDER )NDIAN REGULATIONS
BECAUSE MOST BUILDING MATERIALS HAD TO BE IMPORTED !LSO IT WAS DIFlCULT
RECRUITING COMPETENT ENGINEERING SERVICES CAPABLE OF BUILDING A STATE OF THE
ART FACILITY 4HIS WAS MAINLY BECAUSE THE ENVISIONED FACILITY WAS NOT SIMILAR TO
EXISTING MANUFACTURING UNITS IN )NDIA AS THEY MANUFACTURE GENERIC DRUGS WHILE
+EMWELL WAS FOCUSING ON ETHICAL AND BRANDED DRUGS

3ECOND TO BE A GLOBAL PLAYER 3UBHASH REALIZED THAT HAVING MANUFACTURING

FACILITIES ONLY IN )NDIA WAS NOT ENOUGH (E FELT THE NEED TO ESTABLISH OPERATIONS
IN AREAS SUCH AS %UROPE 53! AND 3OUTH !MERICA 3UBHASH MADE HIS lRST
INTERNATIONAL ACQUISITION IN 5PPSALA 3WEDEN BUYING A MANUFACTURING FACILITY
FROM 0lZER THE LARGEST PHARMACEUTICAL COMPANY IN THE WORLD 4HE EXPERIENCE OF
RUNNING THIS PLANT HAS BEEN INVALUABLE FOR +EMWELLS EMPLOYEES BOTH TECHNICALLY
AND COMMERCIALLY ESPECIALLY IN THE RUNNING OF +EMWELLS NEW TABLET FACILITY IN
)NDIA !BOVE ALL IT HAS HELPED TO BUILD A STRONG RELATIONSHIP WITH 0lZER AND HAS
PUT +EMWELL AND THUS )NDIA ON THE GLOBAL MAP OF CONTRACT MANUFACTURING

!NNEXURE )) 
 1P'PVTGRTGPGWTUJKR

3UBRAMANI 2AMACHANDRAPPA #-$

2ICHCORE ,IFESCIENCES 0VT ,TD "ANGALORE

! SHIP IS SAFE IN HARBOUR BUT THATS NOT WHAT SHIPS ARE BUILT FOR x
!NONYMOUS

-Y LEARNING IN THE PAST FEW YEARS IS THAT THE VICTORIES HAVE LITTLE IMPACT WHEN
YOU START UP )T IS THE FAILURES THAT MAKE ALL THE DIFFERENCE %NTREPRENEURSHIP
TO ME IS ABOUT UNDERSTANDING YOUR FEARS AND SEEING FAILURE AS NOTHING MORE
THAN A LEARNING EXPERIENCE

"ACKGROUND

) WAS BORN INTO A TRADITIONAL JOINT FAMILY -Y FATHER STARTED OUT AS A DAILY WAGE
WEAVER IN A SILK WEAVING UNIT /VER TIME HE BUILT UP A LARGE ENTERPRISE OF HIS
OWN MANUFACTURING SILK FABRICS IN OLD CENTRAL "ANGALORE "EING A MAN OF HIS
WORD HE HAD GAINED A LOT OF RESPECT CREDIBILITY AND GOODWILL IN SOCIETY (E
RETIRED FROM ACTIVE BUSINESS IN THE EARLY S AND LIKE IN MOST TRADITIONAL
BUSINESS FAMILIES HANDED OVER THE REINS TO HIS BROTHER 5NFORTUNATELY FOR OUR
FAMILY MY UNCLES INEPTITUDE IN lNANCIAL MANAGEMENT RAN THE BUSINESS TO THE
GROUND (AVING BEEN A STALWART IN SOCIETY MY FATHER SUFFERED SEVERE MENTAL
TRAUMA AND PASSED AWAY IN  7ITH THE DEATH OF MY FATHER MY UNCLE
VANISHED AND DID NOT TAKE UP ANY RESPONSIBILITY FOR THE FAMILY OR THE lNANCIAL
LIABILITIES ) WAS THEN  AND IN THE THIRD YEAR OF MY COLLEGE STUDYING TEXTILE
ENGINEERING

7HILE ) WAS COPING WITH THE LOSS IN THE FAMILY ) WAS SLAPPED WITH SEVERAL
LITIGATIONS AND THREATS FROM BANKS AND INDIVIDUAL CREDITORS 4HAT YEAR )
ATTENDED COURT MORE OFTEN THAN MY ENGINEERING CLASSES AND THE SITUATION
REQUIRED ME TO QUIT STUDIES IF ) WERE TO DISENTANGLE MY INHERITANCE OF DEBT
"UT ) DECIDED TO CONTINUE WITH MY STUDIES AS ADVISED BY MY FATHER MOMENTS
BEFORE HE PASSED AWAY 7HEN ) LOOK BACK TODAY ) REALIZE THAT HIS LAST WISH WAS
THE GREATEST GIFT HE LEFT BEHIND ) GRADUATED AS A TEXTILES ENGINEER IN 
RANKED FOURTH IN THE UNIVERSITY

*OBS WERE HARD TO COME BY AND AFTER SEVERAL ODD JOBS ) GOT A LUCKY BREAK WITH
A JOB AT "IOCON AS A MARKETING EXECUTIVE -Y EXPERIENCE AT "IOCON SHAPED
MY THINKING THE PROFESSIONAL ENVIRONMENT COUPLED WITH +IRAN -AZUMDARS

 %NTREPRENEURSHIP IN )NDIA

ENTREPRENEURIAL SPIRIT AND LEADERSHIP QUALITIES INSPIRED ME TO BELIEVE IN MY
DREAMS 2ICHCORE WAS BORN IN MY MIND

4AKING THE PLUNGE

) QUIT "IOCON IN  AND AFTER A SHORT STINT IN MANAGING lNANCIAL REPORTING
FOR A #HENNAI BASED BUSINESS GROUP ) WAS lNALLY READY TO TAKE THE PLUNGE
) BORROWED 2S  FROM MY FRIENDS TO BUY A 0# IN  AND 2ICHCORE WAS
SUDDENLY A REALITY 4HE OFlCE WAS AT HOME AND ) HAD NO STAFF OTHER THAN MY
SISTER TO SUPPORT ME IN THE OPERATIONS

2ICHCORE BEGAN AS A DISTRIBUTOR TO "IOCON THIS ASSOCIATION GAVE ME THE

INITIAL SUPPORT TO ESTABLISH SOME REGULAR CASH mOW !CQUIRING THE lRST FEW
CUSTOMERS WAS TOUGH AND EVENTFUL -Y INITIAL DAYS WERE A TEST OF PATIENCE AND
RELENTLESS PERSEVERANCE AND ) CAME FACE TO FACE WITH THE RUDE REALITY OF BEING
AN ENTREPRENEUR WITH NO MONEY IN )NDIA "ANKS NEEDED COLLATERALS SUPPLIERS
NEEDED ADVANCE PAYMENTS AND CUSTOMERS NEEDED CREDIT &INANCIAL PRUDENCE
AND BOOTSTRAPPING CAME NATURALLY TO 2ICHCORE AND THIS HAS KEPT US GOING FOR
THE LAST SEVERAL YEARS "UT MODERATION HAS NOT RUBBED OFF ON INVESTMENT INTO
CRITICAL AREAS 7E HAVE INVESTED CONTINUOUSLY IN 2$ AND THE COMPANY IS IN THE
PROCESS OF APPLYING FOR lVE UNIQUE PATENTS WITH GLOBAL POTENTIAL

#ONTINUED LEARNING

!FTER MANAGING 2ICHCORE FOR TWO YEARS ) REALIZED THAT MY THINKING WAS STILL
LIMITED ! CHANCE VISIT TO )3" AT (YDERABAD CHANGED ALL THAT 4HE FACILITY AND
WHAT )3" STOOD FOR INSPIRED ME ) JOINED )3" FOR A ONE YEAR -"! PROGRAMME )T
WAS AN INTERESTING ONE YEAR OF LEARNING WITH ME ATTENDING THE COURSE THROUGH
THE WEEKDAYS AND RUSHING BACK TO "ANGALORE OVER THE WEEKENDS TO MANAGE
2ICHCORE 4HOUGH MANAGING TIME WAS TOUGH ) WAS ABLE TO SIMULTANEOUSLY
IMPLEMENT MY LEARNING AT THE BUSINESS SCHOOL INTO ACTION AT 2ICHCORE

4HE "USINESS

2ICHCORE TODAY IS AN APPLICATION RESEARCH ORIENTED BIOTECH COMPANY 4HE COMPANY

PRODUCES NOVEL ENZYME FORMULATIONS FOR NEW APPLICATIONS WHICH SOLVE KNOWN
PROBLEMS IN CONVENTIONAL INDUSTRIES LIKE SUGAR AND ALCOHOL BIO FUEL ANIMAL FEED
RENEWABLE ENERGY RESOURCES EFmUENT MANAGEMENT ETC /UR PRODUCTS ARE AIMED AT
HELPING THESE INDUSTRIES MAKE THEIR PROCESSES CLEANER GREENER AND MORE EFlCIENT

7E HAVE IN A SHORT TIME SPAN WON ENCOURAGING ACCOLADES 2ICHCORE

,IFESCIENCES REPRESENTED )NDIA IN THE @)NTEL 5NIVERSITY OF #ALIFORNIA "ERKELEY
4ECHNOLOGY %NTREPRENEURSHIP #HALLENGE HELD IN #ALIFORNIA IN  AND
IT WAS DECLARED THE SECOND MOST INNOVATIVE START UP COMPANY 4HE EVENT
FEATURED START UP COMPANIES ACROSS INDUSTRY SEGMENTS FROM ALL OVER THE WORLD
2ICHCORE ,IFESCIENCES WAS ALSO DECLARED THE @CHAMPION OF CHAMPIONS BY $34
$EPARTMENT OF 3CIENCE AND 4ECHNOLOGY 'OVERNMENT OF )NDIA n )NTEL )NDIA
)NNOVATION #HALLENGE  ) HAVE ALSO BEEN RECENTLY NOMINATED AS THE

!NNEXURE )) 
 (ONORARY !MBASSADOR FOR THE $34 )NTEL )NDIA )NNOVATION 0IONEER #HALLENGE IN
PARTNERSHIP WITH )NDO 53 3CIENCE AND 4ECHNOLOGY &ORUM

4HE 4EAM

!S THE COMPANY GREW ) REALIZED THAT ) COULD NOT DO EVERYTHING MYSELF AND
THAT IT WAS TIME TO BUILD AN EXPERIENCED THINK TANK ) APPROACHED MY MENTORS
TO COME ON BOARD AND ) WAS PLEASED TO HAVE 0ROFESSOR +AVIL 2AMACHANDRAN
!SSOCIATE $EAN AT )3" 0ROFESSOR $HINAKAR +OMPALA "IOTECHNOLOGIST 5NIVERSITY
OF "OULDER $ENVER #/ 53! AND 'P #APT 2. 3HARMA JOIN ME IN MY JOURNEY
BASED ON THEIR BELIEF IN ME AND MY DREAMS ) FEEL THEIR EXPERIENCE COUPLED WITH
MY ENERGY CREATES A VERY POSITIVE FORCE TO TAKE 2ICHCORE TO THE NEXT LEVEL

-ORE THAN THE THINK TANK ) AM PROUD OF THE YOUNG ENERGETIC DEDICATED TEAM
AT 2ICHCORE WHO BELIEVE IN THE COMMON VISION WITH THE SAME PASSION THAT ) DO
!T 2ICHCORE WE BELIEVE THAT TOGETHER WE WILL CHANGE THE WORLD

&UNDING

2UNNING A BUSINESS AND RAISING MONEY TO FUND A BUSINESS ARE TWO ENTIRELY
DIFFERENT ACTIVITIES WITH THEIR OWN UNIQUE CHALLENGES &OR AN ENTREPRENEUR
THE BIGGEST CHALLENGE IS TO MAKE YOUR INVESTOR BELIEVE IN YOUR DREAM )N ORDER
TO RAISE FUNDS FOR MY BUSINESS ) MET MORE THAN  6#S BEFORE ) FOUND THE
ONE THAT WAS WILLING TO GO THE DISTANCE WITH ME $URING THIS PROCESS ) FACED
SEVERAL UNCOMFORTABLE QUESTIONS ABOUT MY BUSINESS WHICH ALMOST MADE ME
QUESTION IF ) WERE ON THE RIGHT TRACK ) REALISED THAT MORE THAN THE BUSINESS
PLAN PATIENCE AND EXTREME SELF CONVICTION ARE PREREQUISITES FOR RAISING FUNDS

3EEING NEW OPPORTUNITIES

4HROUGH THIS JOURNEY ) HAVE COME ACROSS SEVERAL HURDLES IN CRITICAL AREAS
SUCH AS STATUTORY COMPLIANCE REGULATORY ISSUES lNANCE INFRASTRUCTURE
HUMAN RESOURCES ETC !ND MANY A TIME ) HAVE WISHED THERE WERE A SINGLE
POINT FOR ASSISTANCE +NOWING THAT THIS IS A COMMON PROBLEM FOR MOST START
UP COMPANIES ) SEE THIS AS AN OPPORTUNITY AND HAVE EMBARKED ON ANOTHER
VENTURE TO HELP OTHER ENTREPRENEURS IN THEIR EARLY DAYS AND THE INITIATIVE WWW
ENTREPRENEURSINDIACOM WILL BE LAUNCHED SHORTLY )N SHORT ENTREPRENEURSHIP
IS A WAY OF LIFE AND IF ONE KEEPS THEIR EYES OPEN THERE ARE OPPORTUNITIES
GALORE TO TAP INTO ) ALSO TAKE A KEEN INTEREST IN SHARING MY EXPERIENCES AS AN
INNOVATOR ENTREPRENEUR IN NUMEROUS ENTREPRENEURSHIP DEVELOPMENT FORUMS

%NTREPRENEURSHIP A WAY OF LIFE

#ONTRARY TO WHAT IS BELIEVED ENTREPRENEURSHIP IS NOT ABOUT BEING YOUR OWN BOSS
)N FACT YOU HAVE TO BE WILLING TO BE THE lRST SERVANT IN YOUR ORGANISATION

4O ME ENTREPRENEURSHIP IS NOT A JOB OR PROFESSION )T IS MY LIFE )T IS WHAT )

LOVE DOING

 %NTREPRENEURSHIP IN )NDIA

 #,QWTPG[KP/GFKECN'PVTGRTGPGWTUJKR
'PVTGRTGPGWTUQHVJG0GY+PFKC

@$R !RJUN +ALYANPUR $R 3UNITA -AHESHWARI

4ELERADIOLOGY 3OLUTIONS 4ELERADIOLOGY 3OLUTIONS

9OU ARE OVER QUALIlED THERE ARE NO JOBS FOR YOU HERE #IRCA 

-Y HUSBAND $R !RJUN +ALYANPUR AND ) RETURNED TO )NDIA IN  (E HAD

TRAINED AT !))-3 .EW $ELHI AND ) AT /SMANIA -EDICAL IN (YDERABAD !FTER
NINE YEARS SPENT IN TRAINING AND WORKING AT AN )VY ,EAGUE 5NIVERSITY IN THE
5NITED 3TATES ˆ 9ALE 5NIVERSITY ˆ WE DECIDED TO RETURN TO )NDIA TO WORK AS
DOCTORS AND DO GOOD WHERE THERE WAS THE CHANCE TO DO THE GREATEST GOOD /N
RETURNING ) A 0EDIATRIC #ARDIOLOGIST IE A HEART DOCTOR FOR CHILDREN GOT A JOB
AT A LOCAL CARDIAC HOSPITAL WHEREAS !RJUN A 2ADIOLOGIST IE AN EXPERT IN #4
SCANS AND -2)S COULD NOT GET A LOCAL JOB IN "ANGALORE 4HIS WAS 

&ORTUNATELY FOR US 9ALE 5NIVERSITY HAD KEPT !RJUN ON AS FACULTY IN THE HOPE
THAT WE WOULD CHANGE OUR MINDS ABOUT LIVING IN )NDIA AND WOULD RETURN TO
THE 5NITED 3TATES 4HIS SAW US THROUGH THE lRST TWO YEARS OF HIS @)NDIAN
UNEMPLOYMENT /N ONE OF HIS TRIPS BACK AN EX !MERICAN COLLEAGUE TOLD HIM
@)F EVER YOU MOVE BACK TO THE 53 COME AND JOIN OUR GROUP AND WORK WITH US
!S A JOKE HE SAID @2ICHARD )LL WORK WITH YOU FROM )NDIA
 4HIS WAS  AND
NO ONE HAD EVER DONE INTERNATIONAL TELERADIOLOGY IE REPORT SCANS FROM )NDIA
FOR !MERICAN HOSPITALS

!S IT WAS HE HAD NO SIGNIlCANT OPPORTUNITIES IN )NDIA AND HE WAS WORKING FOR

9ALE ON A PART TIME BASIS SO WE DECIDED TO LOOK INTO THE FEASIBILITY OF THIS @JOKE
7E DID A TRIAL STUDY WITH 9ALE 5NIVERSITY ON THIS CONCEPT OF A DOCTOR IN )NDIA IN
THE DAY TIME REPORTING #4 SCANS FOR PATIENTS IN !MERICAN EMERGENCY ROOMS AT
NIGHT ˆ IE USING THE NIGHT DAY TIME DIFFERENCE TO PROVIDE SEAMLESS COVERAGE
TO EMERGENCY ROOMS )NTERESTINGLY THE CONCEPT WORKED AND THE RESEARCH WAS
PUBLISHED AND PRESENTED AT !MERICAN MEDICAL MEETINGS !RJUN BEGAN WORKING
FOR 9ALE 5NIVERSITY FROM "ANGALORE FROM A HOME OFlCE 7ITHIN SIX MONTHS THE
PROGRAMME WITH 9ALE FELL THROUGH ˆ THERE WAS TOO MUCH OPPOSITION TO SUCH A
CONCEPT @7HY ARE OUR SCANS GOING TO )NDIA )S THERE NO DOCTOR IN !MERICA WHO
CAN REPORT THEM WERE THE NATURE OF QUESTIONS ASKED

(OWEVER WE HAD SEEN THE FUTURE 4HIS COULD BE DONE 4HERE WAS A SHORTAGE OF
RADIOLOGISTS FOR THE NIGHT SHIFT IN THE 53! 7HY NOT lLL THAT NEED BY HAVING

!NNEXURE )) 
 DAYTIME FRESH DOCTORS IN )NDIA 7E SET UP A COMPANY IN )NDIA ˆ 4ELERADIOLOGY
3OLUTIONS ˆ FROM OUR HOME AND WITH 2S  PAID A NEPHEW TO DESIGN A
WEBSITE )N  WE PUT OURSELVES ON THE 7ORLD 7IDE 7EB AND GOT OUR lRST
HOSPITAL CONTRACT

) THINK WE REPRESENT THE NEW %NTREPRENEURS OF OPPORTUNITY OF THE NEW )NDIA

ˆ NO BUSINESS BACKGROUND NO lNANCE KNOWLEDGE NO IDEA OF HOW TO RUN A
COMPANY NO INCLINATION TO RUN ONE UNTIL THE OPPORTUNITY PRESENTS ITSELF

4HE lRST FEW YEARS WERE CHALLENGING ˆ BANDWIDTH COSTS WERE HIGH OUR HIGH
SPEED BANDWIDTH LINES WOULD GET CUT BY LINESMEN DIGGING THE ROADS THE
ELECTRICITY WOULD GO OFF FOR EIGHT HOURS AND WE WOULD BE UNABLE TO PROVIDE
SERVICE TO THE 53 HOSPITALS WE WERE INUNDATED BY PAPERWORK INVOLVED IN
RUNNING A COMPANY IN )NDIA AND SO ON !BOVE ALL WE WERE A BROWN COMPANY
IN A VERY WHITE SPACE

  )NDIA WAS GETTING KNOWN FOR "0/ WORK (OWEVER SUCH HIGH END
MEDICAL WORK ˆ IE DOCTORS IN )NDIA DIRECTING PATIENT CARE IN !MERICA ˆ HAD
NOT BEEN DONE OR HEARD OF 7E BEGAN TO GET HOUNDED BY THE 53 PRESS ESPECIALLY
AT THE PEAK OF THE ANTI OUTSOURCING TIRADE IN  7E HAD TO DEAL WITH STORIES
ABOUT POOR QUALITY )NDIAN @RADIOLOGY SWEATSHOPS AND THE LIKE

(OWEVER WE DECIDED TO DIG IN OUR HEELS AND WORK AWAY TO PROVE THEM ALL WRONG
7E FOCUSED ON QUALITY AND BECAME THE lRST )NDIAN HEALTHCARE ORGANIZATION
TO GET THE *#!(/ SEAL *OINT #OMMISSION ON !CCREDITATION OF (EALTH #ARE
/RGANIZATIONS FROM THE 53! IN  7E FOCUSED ON TRAINING WITHIN OUR
ORGANIZATION AND PROCESSES TO PROVIDE SUPERIOR QUALITY DIAGNOSTIC REPORTS TO
THE 53 #URRENTLY OUR QUALITY IS  VERSUS A 53 NATIONAL AVERAGE OF 
7E DECIDED WE WERE GOING TO PROVE TO THE !MERICANS THAT AN )NDIAN COMPANY
CAN PROVIDE HIGH END HIGH QUALITY MEDICAL SERVICES TO !MERICAN PATIENTS AT
A LOWER COST AND ON TIME )T WAS OUR AIM TO PUT )NDIA ON THE GLOBAL MAP OF
TELEMEDICINE AND BY 'ODS GRACE WEVE DONE IT

4HERE ARE SOME FACTORS THAT HELPED US GROW NUMBER  BEING THE 340) ˆ
THANKS TO THE BENElTS OFFERED TO COMPANIES SUCH AS OURS WE WERE ABLE TO
SAVE MONEY AND REINVEST THAT MONEY IN BUILDING INFRASTRUCTURE WE NOW HAVE
A BEAUTIFUL  SQ FT CAMPUS IN 7HITElELD "ANGALORE AND IN IMPROVING
OUR TECHNOLOGY !DDITIONALLY WE USED THE MANPOWER IN )NDIA TO OPTIMIZE
DELIVERY TO THE 53! %VERY REPORT ON A PATIENT IS CALLED IN BY OUR CALL CENTRE
TEAM OUR )4 TEAM HAS BUILT A WORLD CLASS RADIOLOGY INFORMATION SYSTEM THAT
WE ARE NOW SELLING TO 53 CLIENTS AND SO ON 7E ALSO LEARNT HOW TO PROCEED
WITHIN )NDIAS INFRASTRUCTURAL CHAOS ˆ WE INVESTED IN A 2S  LAKH GENERATOR
OVERCAME REDUNDANCIES IN BANDWIDTH INSTALLED INVERTORS FOR EACH COMPUTER
SET UP OFlCES OUTSIDE "ANGALORE EG $ELHI -UMBAI AND #HINA !LL THIS WOULD
NOT HAVE BEEN POSSIBLE WITHOUT 340) SUPPORT AND THE TAX HOLIDAY UNTIL 

/UR COMPANY GREW FROM A TWO PERSON OPERATION IN  TO A CURRENT STRENGTH
OF OVER  EMPLOYEES 3INCE WE HAD NO BUSINESS PRECONCEPTIONS WE INSTITUTED

 %NTREPRENEURSHIP IN )NDIA

(2 PRACTICES THAT AN (2 CONSULTANT LATER TOLD US WERE ALL WRONG
7E INCENTIVIZED
EMPLOYEES WITH NEGATIVE POINTS FOR DROP IN QUALITY PAID THEM TO WORK ON
3UNDAYS CREATED A FUN ATMOSPHERE OUR OFlCE IN 7HITElELD NOW HAS A SLIDE
FROM THE ST mOOR TO THE BASKETBALL COURT  INVESTED IN TRAINING SO THAT EVERY
MEMBER OF OUR TELRAD FAMILY FELT THEY WERE GROWING 4HESE EFFORTS HAVE WORKED
/UR ATTRITION IN EMPLOYEES OVER A YEAR IS LESS THAN ONE

(AVING BEEN BITTEN BY THE ENTREPRENEURIAL BUG WE GOT HOOKED TO THE NEW BUZZ
THAT IS THERE IN )NDIA 7E EXPANDED INTO SEVERAL RELATED AREAS OF HEALTHCARE
&OR EXAMPLE WE DO HIGH END MEDICAL RESEARCH WITH THE *ACK 7ELCH '% #ENTRE
IN 7HITElELD %ARLIER THEY COLLABORATED WITH !MERICAN 5NIVERSITIES ON THESE
PROJECTS NOW WITH US !DDITIONALLY WE DO CONSULTING ON *#!(/ FOR MEDICAL
GROUPS )4 CONSULTING IN THE HEALTH CARE SPACE AND TRAINING AT OUR VERY OWN @2AD
'URUKUL 7E BUILT AND RUN A MULTI SPECIALITY ACUTE CARE PRE HOSPITAL CENTRE
CALLED 28$8 AND WE NOW HAVE EMPLOYEES ALL OVER THE WORLD INCLUDING A DOCTOR
IN #HINA !LL THIS HAS BEEN RECOGNIZED WITHIN THE MEDICAL COMMUNITY AND !RJUN
RECEIVED THE @%NTREPRENEUR OF THE 9EAR !WARD FROM -ODERN -EDICARE IN -ARCH
 7ELCOME TO THE BRAVE NEW WORLD OF )NDIAN MEDICAL ENTREPRENEURS

!LTHOUGH WE STARTED OFF BY PROVIDING TELERADIOLOGY SERVICES TO !MERICAN

HOSPITALS WE WERE APPROACHED BY THE 3INGAPORE GOVERNMENT AND BECAME THE
lRST )NDIAN HEALTHCARE ORGANIZATION TO BE ACCREDITED BY THE -INISTRY OF (EALTH
OF 3INGAPORE /UR )NDIAN DOCTORS SITTING IN "ANGALORE REPORT ON 8 RAYS AND #4
SCANS OF 3INGAPOREAN PATIENTS 7E REDUCED THE TURNAROUND TIME ON A REPORT
FROM THREE DAYS TO ONE HOUR IN 3INGAPORE 7E CURRENTLY COVER NINE MEDICAL
CENTRES IN 3INGAPORE IN A PROGRAMME INITIATED AND BLESSED BY THE (EALTH
-INISTER OF 3INGAPORE )N &EBRUARY  WE SET UP A COMPANY IN %UROPE TO TAP
THE %UROPEAN NEED FOR TELERAD SERVICES ˆ 4ELERAD %UROPE !ND WE SIGNED WITH
A GROUP IN 0UERTO 2ICO AND /MAN TO PROVIDE TELEDIAGNOSTICS

5NFORTUNATELY WE HAVE NOT BEEN SUCCESSFUL IN DOING MUCH ON A LARGE SCALE IN

OUR OWN COUNTRY FOR OUR OWN PEOPLE 7E DO RUN TWO RADIOLOGY DEPARTMENTS IN
"ANGALORE AND ARE TRAINING STUDENTS AND TECHNOLOGISTS IN RADIOLOGY (OWEVER
IN THE GRAND SCHEME OF THINGS THIS IS ON A SMALL SCALE 7E ARE PASSIONATE ABOUT
GIVING BACK TO OUR COUNTRY 7E FEEL 'OD GAVE US THIS COMPANY FOR A PURPOSE TO
USE THE TECHNOLOGY AND DOMAIN KNOWLEDGE AND EXPERTISE GAINED VIA RUNNING
THIS COMPANY AND TO PUT IT TO GOOD USE FOR REMOTE PARTS OF )NDIA 7ITHOUT GOOD
DIAGNOSIS IN RURAL )NDIA THE HEALTH CARE PLAN FOR A PATIENT CANNOT BE MADE
'ETTING A HIGH QUALITY DIAGNOSTIC REPORT TO RURAL )NDIA WILL CHANGE THE WAY
HEALTHCARE IS DELIVERED THERE 7E HAVE SET UP A 4ELRAD &OUNDATION THAT AIMS TO
TAKE HIGH QUALITY DIAGNOSTICS TO REMOTE PARTS OF )NDIA WHERE THERE ARE PATIENTS
AND SCANNERS BUT NO RADIOLOGISTS 7E HAVE BEEN COVERING 2AMAKRISHNA -ISSION
(OSPITAL IN !RUNACHAL 0RADESH GRATIS FOR OVER SIX MONTHS NOW !ND HOPE TO
EXPAND THIS COVERAGE TO OTHER AREAS AND HOSPITALS THAT NEED IT

!PART FROM 4ELERAD WE ARE ALSO INVOLVED WITH A TRUST CALLED 0EOPLEPEOPLE THAT
BUILDS PLAYGROUNDS IN POORER SECTIONS OF +ARNATAKA PRIMARILY IN GOVERNMENT

!NNEXURE )) 
 SCHOOLS THUS FAR WE HAVE PUT UP  PLAYGROUNDS IN "ANGALORE IN GOVERNMENT
SCHOOLS AND FUNDS ACTIVITIES FOR CHILDREN 7E ARE ALSO INVOLVED IN RUNNING
A HEALTH ASSISTANT TRAINING PROGRAMME AT +ARUNASHRAYA A HOSPICE FOR THE
TERMINALLY ILL IN 7HITElELD "ANGALORE

)NTERESTINGLY THE GOVERNMENT LARGELY IGNORES SMALLER COMPANIES SUCH AS OURS

ALTHOUGH WE HAVE SEEN A CHANGE IN THIS REGARD OVER THE PAST YEAR 7E MADE
A REPRESENTATION TO THE +ARNATAKA GOVERNMENT THREE YEARS AGO THAT WE WOULD
COVER ALL THEIR DISTRICT HOSPITALS VIA A TELERAD LINK 4HE REPRESENTATIVE WE SPOKE
TO SIMPLY ASKED @7HY 7E SAID WE WANTED TO GIVE BACK TO OUR COUNTRY (E
LOOKED MOST SCEPTICAL AND NOTHING EVER CAME OF THE PROJECT )T IS OUR BELIEF THAT
SMALLER INNOVATIVE NICHE COMPANIES SUCH AS OURS HAVE THE DOMAIN KNOWLEDGE
EXPERTISE AND WILL TO DO GOOD THINGS IF GIVEN A CHANCE 'REATEST GOOD CAN BE
ACHIEVED IF WE WORK WITH THE 'OVERNMENT AS THE 'OVERNMENT MACHINERY HAS
THE ABILITY TO REACH THE MAXIMUM NUMBER OF POOR AND DISADVANTAGED PATIENTS
)NSHALLAH AND 'OD WILLING THIS WILL HAPPEN SOON IN THE NEW )NDIA

"EING ENTREPRENEURS IN THE )NDIA OF TODAY IS BOTH CHALLENGING AND STIMULATING

7E FEEL PROUD TO BE SHOWCASING )NDIA AS A DESTINATION OF HIGH END MEDICAL
WORK )T FEELS WONDERFUL TO BE CREATING JOBS AND SUPPORTING FAMILIES )T IS AN
EMPOWERING FEELING TO BE ABLE TO USE HIGH TECH SOLUTIONS FOR REMOTE PARTS OF
!SIA 4HE CREATIVE ENERGY OF TAKING AN IDEA AND MAKING IT WORK IS UNMATCHED

 %NTREPRENEURSHIP IN )NDIA

 'PVTGRTGPGWTUJKR

6IJAY .AIR
#O &OUNDER AND $IRECTOR /NLY -UCH ,OUDER
 YEARS OLD

7HILE STILL IN JUNIOR COLLEGE AT 3YDENHAM IN -UMBAI ) TOOK THE lRST STEPS
IN MY PROFESSIONAL CAREER WITH 0ROCTER  'AMBLE ONE OF THE WORLDS LARGEST
CONSUMER COMPANIES ) WAS PART OF A FOCUS GROUP THAT WAS REVIEWING THEIR
TEEN FOCUSED PORTAL AND ENDED UP WORKING FOR THE WEBSITE ) WAS CHARGED WITH
BUILDING A NATION WIDE TEAM CONSTITUTING TEENAGERS LIKE MYSELF AND MANAGING
THE WEBSITE AND THIS SERVED AS A FANTASTIC SPRINGBOARD TO LEARN THE ROPES OF
BEING AN ENTREPRENEUR AT THE AGE OF 

!FTER TWO YEARS OF WORKING WITH 0' A CHANCE ENCOUNTER WITH 3ANDEEP
-ITTAL THE FOUNDER OF A WEBSITE CALLED GIGPADCOM AIMED AT BRINGING TOGETHER
MUSICIANS ACROSS THE COUNTRY LED TO MY JOINING GIGPAD )T SEEMED FAR MORE
CHALLENGING AND HELPED CULTIVATE MY TASTE IN MUSIC AT THE SAME TIME 4HE
WORK AT GIGPAD INVOLVED REVIEWING SHOWS AND KEEPING THE SITE ALIVE BUT )
SOON DISCOVERED THAT MY TRUE CALLING WAS ORGANIZING CONCERTS AND WORKING
BACKSTAGE WITH THE BANDS RATHER THAN A DESK JOB WRITING ABOUT THEM

7HEN ) WAS  A BAND CALLED !CQUIRED &UNK 3YNDROME APPROACHED ME TO MANAGE

THEIR BAND AND IT SOUNDED LIKE AN INTERESTING PROJECT 3INCE THERE WERE NOT MANY
INDEPENDENT MANAGERS OPERATING IN )NDIA IT WAS UNCHARTED TERRITORY FOR ME
AND INDEED FOR THE PEOPLE ) WORKED WITH 7E TASTED SUCCESS WITHIN THE lRST FEW
MONTHS MANAGING TO PERFORM MORE SHOWS THAN ANY OTHER BANDS IN THE COUNTRY
) ENDED UP TRAVELLING THE LENGTH AND BREADTH OF THE COUNTRY WITHIN THE lRST FEW
MONTHS ALL THE TIME LEARNING AND DISCOVERING THE TRICKS OF MY TRADE

!T THIS POINT ) CHOSE TO DROP OUT FROM THE FORMAL EDUCATION THAT ) WAS
PURSUING AS ) lRMLY BELIEVED THAT MY FUTURE LAY IN THE MUSIC INDUSTRY THE
SKILLS FOR WHICH COULD ONLY BE LEARNT lRST HAND ) DID NOT FEEL A COLLEGE DEGREE
WOULD HELP ME BE BETTER AT MY CHOSEN VOCATION

) SOON STARTED MANAGING MORE BANDS INCLUDING :ERO 0$6 AND 0ENTAGRAM
AMONG THE BIGGEST ROCK BANDS IN THE COUNTRY AND BOOKED OVER A  SHOWS IN
THE lRST YEAR 4HIS PHASE EXPOSED ME TO DIFlCULTIES AND GAPS IN THE EXISTING
MUSIC INDUSTRY IN )NDIA AND ) STARTED FOCUSSING ON OTHER CORE AREAS OF THIS
INDUSTRY SUCH AS DISTRIBUTION PRODUCTION ORGANIZING CONCERTS ETC 4HE BIG
PICTURE WAS ALWAYS TO HAVE A COMPLETE $O )T 9OURSELF $)9 SETUP

!NNEXURE )) 
 )N LATE  ) FOUNDED MY COMPANY /NLY -UCH ,OUDER /-,  AN ENTITY THAT WOULD
MANAGE BANDS AND PRODUCE MUSIC ALBUMS TO BEGIN WITH 7E TIED UP WITH 3ONY ONE
OF THE WORLDS BIGGEST MEDIA AND ENTERTAINMENT CORPORATIONS 3OON /-, MANAGED
ARTISTS WERE BEING DISTRIBUTED AT ALL MAJOR MUSIC STORES ACROSS )NDIA

4HERE WERE OTHER SIGNIlCANT MILESTONES ALONG THE WAY 0ENTAGRAM /-,S MARQUEE
BAND EARNED THE DISTINCTION OF BEING THE lRST BAND TO PLAY AT %STONIAS 3UN $ANCE
-USIC &ESTIVAL AND LATER AT THE PRESTIGIOUS 'LASTONBURY -USIC &ESTIVAL IN %NGLAND

'IRISH 4ALWAR JOINED ME IN  AS A PARTNER IN /-, NOW A PRIVATE LIMITED

COMPANY 7E STARTED #OUNTER #ULTURE RECORDS WHICH BECAME THE RECORD LABEL
ARM OF /-, )N  WE FOUNDED @BABBLElSH PRODUCTIONS ALONG WITH 3AMIRA
+ANWAR AS THE PRODUCTION ARM UNDER /-,

7HILE TRAVELLING WITH BANDS ACROSS THE COUNTRY WE DEVELOPED HEALTHY

RELATIONSHIPS WITH COLLEGES WHERE OUR BANDS PERFORMED /VER THE LAST TWO
YEARS /-, ESTABLISHED A STRONG NETWORK WITH THESE CAMPUSES INCLUDING THE
LEADING ENGINEERING COLLEGES SUCH AS THE ))4S AND ELITE BUSINESS SCHOOLS SUCH
AS THE ))-S AS OUR ARTISTS WERE INVITED TO PERFORM TIME AND AGAIN )N THE MUSIC
BUSINESS THE ONLY PERSON NOT MAKING SUFlCIENT MONEY IS THE ARTIST HIMSELF
7E HAVE ATTEMPTED TO CORRECT THIS FUNDAMENTAL ANOMALY IN THE SYSTEM WITH
AN ALL INCLUSIVE APPROACH WHERE THE MUSICIAN BECOMES AN INTEGRAL PART OF HIS
PROMOTIONS AND IS MORE AWARE OF HIS RIGHTS AS AN ARTISTE

!CROSS THE WORLD THERE ARE TWO PARALLEL STREAMS IN THE MUSIC INDUSTRY 4HE
MAINSTREAM INDUSTRY CENTRES AROUND THE BIG WELL KNOWN BANDS AND MAJOR
RECORD LABELS #O EXISTING IN ITS SHADOWS IS AN INDEPENDENT INDIE MUSIC
SCENE WHERE SOME OF THE BEST YET MOSTLY UNKNOWN MUSIC THRIVES 4HESE ARTISTS
CONNECT DIRECTLY WITH FANS AND ARE MORE IN CONTROL OF THEIR CAREERS AND RARELY
HAVE TO COMPROMISE ON THEIR ARTISTIC INTEGRITY AND THE QUALITY OF THEIR WORK
!T /-, WE AIM TO WORK WITH THESE INDEPENDENT ARTISTS AND HELP THEM BE MORE
SUCCESSFUL WHILE MAINTAINING THEIR INDEPENDENT STREAK /NCE BANDS AND ARTISTS
ARE PART OF THE /-, FAMILY THEY ARE RECORDED AND DISTRIBUTED THEIR VIDEOS
ARE PRODUCED AND THEY PERFORM LIVE SHOWS ACROSS THE COUNTRY 7E SERVE AS A
ONE OF ITS KIND END TO END !RTIST -ANAGEMENT #OMPANY HELPING OUR ARTISTS
INTEGRATE ALL ASPECTS OF THEIR CAREERS

4HE NEXT STEP FOR /-, IS TO TAKE )NDIAN BANDS INTERNATIONAL AS MANY OF THEM
HAVE THE TALENT BUT NOT ENOUGH EXPOSURE TO LAUNCH INTERNATIONALLY !T /-, WE
ARE LOOKING AT NEW MEDIA WITH A FRESH PERSPECTIVE AND EXPLORING NEW OPTIONS
SUCH AS ONLINE DISTRIBUTION AND USE OF OTHER DIGITAL FORMATS 7E BELIEVE THE
FUTURE LIES IN lNDING A BALANCE BETWEEN ONLINE AND OFmINE PROMOTIONS AND BOTH
WILL CO EXIST 7E INTEND TO PROPEL /-, INTO ONE OF )NDIAS MOST WELL KNOWN AND
INDEPENDENT MUSIC lRMS OPERATING ACROSS A GAMUT OF BUSINESSES SUCCESSFULLY

) HAVE BEEN EXTREMELY LUCKY THAT MY PASSION FOR MUSIC IS ALIGNED WITH THE
WORK WE DO AT /-, 4HE FREEDOM TO PAINT MY OWN CANVAS AS AN ENTREPRENEUR IS
EXHILARATING AND THE CHALLENGES ) FACE EVERY DAY MAKE MY LIFE FAR RICHER THAN IT
WOULD HAVE BEEN IF ) HAD FOLLOWED THE WELL TRODDEN PATH

 %NTREPRENEURSHIP IN )NDIA

 #PPGZWTG+++

-ETHODOLOGY

4HIS STUDY IS BASED ON FORMAL ONE ON ONE INTERVIEWS WITH ENTREPRENEURS AND
OTHER STAKEHOLDERS OF THE ENTREPRENEURIAL ECOSYSTEM ALONG WITH REVIEW OF POLICY
LITERATURE BY .+# RESEARCHERS 4HE INTERVIEWS WERE CONDUCTED ACROSS SIX CITIES
OF )NDIA n 0UNE +OLKATA #HENNAI !HMEDABAD (YDERABAD AND "ANGALORE
WHILE A FEW RESPONSES ARE ALSO INCLUDED FROM THE .ATIONAL #APITAL 2EGION .#2
AND -UMBAI 7ITHOUT EXCEPTION ALL ENTREPRENEURS WERE FORTHCOMING WITH THEIR
RESPONSES AND DISPLAYED SIGNIlCANT INTEREST AND INVOLVEMENT )NTERVIEWS WITH
ENTREPRENEURS WERE BASED ON A mEXIBLE FRAMEWORK OF QUESTIONS WHILE KEEPING
CORE ISSUES AS A PRIORITY BACKGROUND ENTREPRENEURIAL TURNING POINTS VIEWS ON
FACILITATIVE TRIGGERS AND THE NATURE OF ROADBLOCKS 7E ALSO CONDUCTED INTERVIEWS
WITH OTHER STAKEHOLDERS SUCH AS THE lNANCIAL COMMUNITY BANKERS ANGEL
INVESTORS VENTURE CAPITALISTS STATE lNANCE CORPORATIONS ETC  EDUCATIONAL
INSTITUTIONS INCUBATION CENTRES INCUBATEES CHAMBERS OF COMMERCE INDUSTRY
ASSOCIATIONS INSTITUTIONAL NETWORKS AND ASSOCIATIONS OF ENTREPRENEURS &INALLY
WE ALSO REQUESTED AND RECEIVED PROlLES OF SOME ENTREPRENEURIAL ICONS WHOSE
PERSONAL NARRATIVES PROVIDE RICH INSIGHT AND DIRECTION

"ESIDES QUALITATIVE DATA ON SOME KEY ISSUES SUCH AS AVAILABILITY OF HUMAN

RESOURCES HELPFULNESS OF GOVERNMENT INFRASTRUCTURE ETC  WE ALSO ASKED
ENTREPRENEURS TO RATE THEIR PERCEPTIONS ALONG NUMERICAL SCALES "ASED ON
BOTH QUANTITATIVE PARAMETERS SUCH AS GENDER AGE OF ENTREPRENEUR SECTOR
YEAR OF STARTING EDUCATIONAL QUALIlCATIONS TURNOVER OF ENTERPRISE NUMBER OF
EMPLOYEES ETC AND QUALITATIVE PARAMETERS SUCH AS FAMILY SUPPORT IMPORTANCE
OF EDUCATION lNANCIAL ASSISTANCE TAXATION POLICIES CORRUPTION REGULATORY
ISSUES PROBLEMS IN SCALING UP ETC  STATISTICAL MEASURES WERE COMPUTED
&URTHER BASED ON CONSULTATIONS WITH OTHER STAKEHOLDERS WE RECEIVED ADDITIONAL
SUGGESTIONS TO ENHANCE %NTREPRENEURSHIP IN THE COUNTRY 4HESE HAVE BEEN DULY
ACKNOWLEDGED

4HIS STUDY EXPLORES SOME OF THE MOST SIGNIlCANT ENTREPRENEURIAL ISSUES IN

)NDIA WITH A VIEW TO RECOMMENDING BROAD POLICIES THAT WOULD FURTHER ENHANCE
THE SPREAD OF %NTREPRENEURSHIP 7HILE HIGHLIGHTING BROAD ISSUES THE STUDY HAS
NOT MADE DETAILED EMPIRICAL INVESTIGATIONS ON MICRO ISSUES BASED ON RIGOROUS
ECONOMETRIC TECHNIQUES

!NNEXURE ))) 

 #PPGZWTG+8

,IST OF 2ESOURCES

4HIS SECTION CONTAINS A LIST OF RESOURCES RELEVANT FOR ENTREPRENEURS AND OTHER
STAKEHOLDERS IN THE ENTREPRENEURIAL ECOSYSTEM

.KUVQH4GUQWTEGU

 HTTPMSMEGOVIN AND HTTPWWWLAGHU UDYOGCOM 4HE -INISTRY OF

-ICRO 3MALL !ND -EDIUM %NTERPRISES LISTS VARIOUS GOVERNMENT SCHEMES
FOR ENTREPRENEURS
 HTTPWWWTECHNO PRENEURNET 4HE4ECHNOLOGY)NNOVATION-ANAGEMENT
AND %NTREPRENEURSHIP )NFORMATION 3ERVICE ASSISTS TECHNO PRENEURS IN
lNDING TECHNOLOGIES PROJECTS FUNDING OPTIONS AND INFORMATION ON POLICY
ENVIRONMENT INCENTIVE SCHEMES AND INDUSTRIAL INFRASTRUCTURE AVAILABLE IN
THE COUNTRY COVERING CENTRAL AND STATE GOVERNMENTS
 HTTPWWWSIDBIIN 4HE 3MALL )NDUSTRIAL $EVELOPMENT "ANK OF )NDIA
WORKS TOWARDS EMPOWERING -ICRO 3MALL AND -EDIUM %NTERPRISES
 HTTPDSTGOVINSCIENTIlC PROGRAMMET D TDBHTM 4HE 4ECHNOLOGY
$EVELOPMENT "OARD AIMS AT ACCELERATING THE DEVELOPMENT AND
COMMERCIALISATION OF INDIGENOUS TECHNOLOGY OR ADAPTING IMPORTED
TECHNOLOGY TO WIDER DOMESTIC APPLICATION 4HE BOARD PROVIDES lNANCIAL
ASSISTANCE IN THE FORM OF EQUITY SOFT LOANS OR GRANTS
 HTTPWWWDSIRNICINTPDUPTEPPTEPPHTM 4HE 4ECHNOPRENEUR 0ROMOTION
0ROGRAMME IS RUN BY $EPARTMENT OF 3CIENTIlC  )NDUSTRIAL 2ESEARCH
 HTTPWWWNUMSUMCOMSPREADSHEETSHOW 4HIS LISTS 6#S BASED
IN )NDIA ANDOR MAKING INVESTMENTS IN )NDIAN COMPANIES
 HTTPWWWINDIAVCAORG 4HE )NDIAN 6ENTURE #APITAL AND 0RIVATE
%QUITY !SSOCIATION )6#! IS A MEMBER BASED NATIONAL ORGANIZATION THAT
REPRESENTS VENTURE CAPITAL AND PRIVATE EQUITY lRMS
 HTTPWWWINDIANANGELNETWORKCOM 4HE )NDIAN !NGEL .ETWORK )!. IS
)NDIAS lRST AND LARGEST !NGEL NETWORK WITH SUCCESSFUL ENTREPRENEURS AND
HIGH PROlLE #%/S INTERESTED IN INVESTING IN EARLY STAGE BUSINESSES ACROSS
)NDIA WHICH HAVE THE POTENTIAL TO CREATE DISPROPORTIONATE VALUE )!.
HAS INVESTED IN MULTIPLE SECTORS LIKE INFORMATION TECHNOLOGY INTELLECTUAL
PROPERTY HOSPITALITY MOBILE EDUCATION )NTERNET ETC
 HTTPYCOMBINATORCOM 9 #OMBINATOR IS A 53 VENTURE lRM SPECIALIZING
IN EARLY STAGE START UPS SEED FUNDING  )T HELPS START UPS THROUGH WHAT

!NNEXURE )6 
 IS FOR MANY THE HARDEST STEP FROM IDEA TO COMPANY AND INVESTS MOSTLY IN
SOFTWARE AND WEB SERVICES )T MAKES SMALL INVESTMENTS RARELY MORE THAN
 IN RETURN FOR SMALL STAKES IN THE COMPANIES IT FUNDS USUALLY
INDUSTRY   
 HTTPWWWTHENETWORKENTERPRISESFUNDIN 4HE .ETWORK %NTERPRISES
&UND IS AN EQUITY FUND THAT INVESTS IN COMMERCIALLY VIABLE SUSTAINABLE
ENTERPRISES IN SECTORS IMPACTING LOW INCOME HOUSEHOLDS
 SHTTPWWWGVmCOMHOMEHTM 'UJARAT 6ENTURE &INANCE ,IMITED IS A
PIONEER OF VENTURE CAPITAL IN )NDIA )T IS AN INDEPENDENT BOARD MANAGED
AUTONOMOUS VENTURE lNANCE COMPANY BASED AT !HMEDABAD
 HTTPWWWTHESEEDFUNDCOM 4HE 3EED &UND BASED IN -UMBAI IS A
PARTNERSHIP AND NETWORK OF EXPERIENCED INVESTORS ENTREPRENEURS AND
EXECUTIVES WITH A MISSION TO lND AND INVEST IN UNIQUE HIGH POTENTIAL
EARLY STAGE )4 COMPANIES
 HTTPWWWVENTUREINTELLIGENCEIN 6ENTURE )NTELLIGENCE IS THE LEADING
PROVIDER OF INFORMATION AND NETWORKING SERVICES TO THE PRIVATE EQUITY AND
VENTURE CAPITAL ECOSYSTEM
 HTTPWWWNENONLINEORG 4HE .ATIONAL %NTREPRENEURSHIP .ETWORK
.%. IS A NETWORK OF OVER  TOP ACADEMIC INSTITUTIONS ACROSS )NDIA
ENCOMPASSING A  STRONG STUDENT BASE AND OVER  FACULTY
MEMBERS LEADING ENTREPRENEURSHIP PROGRAMMES AT VARIOUS INSTITUTES
 HTTPWWWTIEORG 4HE )NDUS %NTREPRENEURS ALSO KNOWN AS 4ALENT )DEAS
AND %NTERPRISE IS SPREAD ACROSS  COUNTRIES FOSTERING ENTREPRENEURSHIP
GLOBALLY THROUGH MENTORING NETWORKING AND EDUCATION
 HTTPWWWALEAPORG n 4HE !SSOCIATION OF ,ADY %NTREPRENEURS OF !NDHRA
0RADESH !,%!0 PROVIDES A PLATFORM TO FEMALE ENTREPRENEURS WHO HELP
EACH OTHER AND WORK IN COLLABORATION FOR WELFARE MAXIMIZATION
 HTTPWWWBYSTONLINEORG 4HE "HARAT 9UVA 3HAKTI 4RUST WORKS WITH
YOUNG PEOPLE IN THE AGE GROUP OF   WHO ARE EITHER UNEMPLOYED OR
UNDEREMPLOYED PROVIDING lNANCIAL AND MENTORING SUPPORT TO ESTABLISH
THEIR OWN VENTURES
 WWWEDIINDIAORG 4HE %NTREPRENEURSHIP $EVELOPMENT )NSTITUTE OF )NDIA
%$)  SETUP IN  FOSTERS ENTREPRENEURSHIP THROUGH VARIOUS PROGRAMMES
AND COURSES
 HTTPBARCAMPORG "AR#AMP IS AN INTERNATIONAL NETWORK OF TECHNO
ENTREPRENEURS WHO MEET FROM TIME TO TIME TO SHARE IDEAS AND SELL
PRODUCTS
 HTTPWWWBUSINESSGYANCOM 4HIS IS A +ARNATAKA BASED BUSINESS
MAGAZINE ON %NTREPRENEURSHIP
 HTTPWWWKASSIACOM +ASSIA IS A PREMIER VOLUNTARY STATE LEVEL NON
GOVERNMENT INSTITUTION OF SMALL SCALE INDUSTRIES IN +ARNATAKA
 HTTPMACCIAORGIN 4HE -AHRATTA #HAMBER OF #OMMERCE )NDUSTRY 

 %NTREPRENEURSHIP IN )NDIA

 !GRICULTURE -!##)! IS THE LOCAL CHAMBER OF COMMERCE IN 0UNE SERVING
THE -AHARASHTRA REGION
 HTTPWWWGUJARATCHAMBERORG 4HE 'UJARAT #HAMBER OF #OMMERCE AND
)NDUSTRY IS A LOCAL CHAMBER OF COMMERCE IN !HMEDABAD
 HTTPWWWBIZTRADESHOWSCOMCII CHENNAI 4HE #HENNAI WING OF
#ONFEDERATION OF )NDIAN )NDUSTRY
 HTTPWWWBENGALCHAMBERCOM 4HE "ENGAL #HAMBER OF #OMMERCE
AND )NDUSTRY LOCATED IN +OLKATA IS AN IMPORTANT CHAMBER OF COMMERCE
ESPECIALLY FOR THE EASTERN REGION
 HTTPWWWFAPCCIIN 4HE &EDERATION OF !NDHRA 0RADESH #HAMBERS OF
#OMMERCE IS A LOCAL CHAMBER OF COMMERCE
 HTTPWWWFKCCIORG3ITEINDEXPHP 4HE &EDERATION OF +ARNATAKA
#HAMBERS OF #OMMERCE  )NDUSTRY IS A LOCAL CHAMBER OF COMMERCE LARGELY
CATERING TO ENTREPRENEURS IN "ANGALORE

!NNEXURE )6 
 #PPGZWTG8

'LOSSARY

!)- !LTERNATIVE )NVESTMENT -ARKET

!,%!0 !SSOCIATION OF ,ADY %NTREPRENEURS OF !NDHRA 0RADESH
!33/#(!- !SSOCIATION OF #HAMBERS OF #OMMERCE
!7!+% !SSOCIATION OF 7OMEN %NTREPRENEURS OF +ARNATAKA
"##) "ENGAL #HAMBER OF #OMMERCE AND )NDUSTRY
")% "USINESS )NCUBATION FOR %NTREPRENEURSHIP
"0/ "USINESS 0ROCESS /UTSOURCING
"934 "HARATIYA 9UVA 3HAKTI 4RUST
#!'2 #OMPOUND !NNUAL 'ROWTH 2ATE
#!24 #REDIT !PPRAISAL AND 2ATING 4OOL
#%.6!4 #ENTRAL 6ALUE !DDED 4AX
#)"), #REDIT )NFORMATION "UREAU )NDIA ,IMITED
#)) #ONFEDERATION OF )NDIAN )NDUSTRY
#))% #ENTRE FOR )NNOVATION )NCUBATION AND %NTREPRENEURSHIP
#-)% #ENTRE FOR -ONITORING )NDIAN %CONOMY
#3/ #ENTRAL 3TATISTICAL /RGANIZATION
$)4 $EPARTMENT OF )NFORMATION 4ECHNOLOGY
$3" $UN AND "RADSTREET
%$) %NTREPRENEURSHIP $EVELOPMENT )NSTITUTE
%0&/ %MPLOYEES 0ROVIDEND &UND /RGANIZATION
%3)# %MPLOYEES 3TATE )NSURANCE /RGANIZATION
&!0#)) &EDERATION OF !NDHRA 0RADESH #HAMBERS OF #OMMERCE AND
)NDUSTRY
&)##) &EDERATION OF )NDIAN #HAMBERS OF #OMMERCE AND )NDUSTRY
&)44 &OUNDATION FOR )NNOVATION AND 4ECHNOLOGY 4RANSFER
&)7% &EDERATION OF )NDIAN 7OMEN %NTREPRENEURS
&+##) &EDERATION OF +ARNATAKA #HAMBERS OF #OMMERCE AND )NDUSTRY
'##) 'UJARAT #HAMBER OF #OMMERCE AND )NDUSTRY
'%- 'LOBAL %NTREPRENEURSHIP -ONITOR
(3. (ARMONIZED 3YSTEM OF .OMENCLATURE

!NNEXURE 6 
 )$3-4 )NTEGRATED $EVELOPMENT OF 3MALL AND -EDIUM 4OWNS
)))4 )NDIAN )NSTITUTE OF )NFORMATION 4ECHNOLOGY
))- )NDIAN )NSTITUTE OF -ANAGEMENT
))3C )NDIAN )NSTITUTE OF 3CIENCE
))3%2 )NDIAN )NSTITUTE OF 3CIENCE %DUCATION AND 2ESEARCH
))4 )NDIAN )NSTITUTE OF 4ECHNOLOGY
)0 )NTELLECTUAL 0ROPERTY
)02 )NTELLECTUAL 0ROPERTY 2IGHTS
)0/ )NITIAL 0UBLIC /FFER
)3" )NDIAN 3CHOOL OF "USINESS
)3"! )NDIAN 34%0 AND "USINESS )NCUBATOR !SSOCIATION
)4 )NFORMATION 4ECHNOLOGY
)4E3 )NFORMATION 4ECHNOLOGY ENABLED 3ERVICES
*..52- *AWAHARLAL .EHRU .ATIONAL 5RBAN 2ENEWAL -ISSION
+!33)! +ARNATAKA 3MALL SCALE )NDUSTRIES !SSOCIATION
,,0 ,IMITED ,IABILITY 0ARTNERSHIP
-#! -INISTRY OF #OMPANY !FFAIRS
-##)! -AHRATTA #HAMBER OF #OMMERCE )NDUSTRY AND !GRICULTURE
-#'3 -UTUAL #REDIT 'UARANTEE 3CHEME
-'! -UTUAL 'UARANTEE !SSOCIATION
-,) -EMBER ,ENDING )NSTITUTIONS
-/34 -INISTRY OF 3CIENCE AND 4ECHNOLOGY
-3-% -ICRO 3MALL AND -EDIUM %NTERPRISES
.!33#/- .ATIONAL !SSOCIATION OF 3OFTWARE AND 3ERVICE #OMPANIES
.#!,4 .ATIONAL #OMPANY ,AW !PPELLATE 4RIBUNAL
.#,4 .ATIONAL #OMPANY ,AW 4RIBUNAL
.%& .ETWORK %NTERPRISES &UND
.%. .ATIONAL %NTREPRENEURSHIP .ETWORK
.($0 .ATIONAL (IGHWAYS $EVELOPMENT 0ROJECT
.)4 .ATIONAL )NSTITUTE OF 4ECHNOLOGY
.+# .ATIONAL +NOWLEDGE #OMMISSION
.3$- .ATIONAL 3KILL $EVELOPMENT -ISSION
.3%2" .ATIONAL 3CIENCE AND %NGINEERING 2ESEARCH "OARD
.32#%, . 3 2AGHAVAN #ENTRE FOR %NTREPRENEURIAL ,EARNING
.34%$" .ATIONAL 3CIENCE AND 4ECHNOLOGY %NTREPRENEURSHIP
$EVELOPMENT "OARD

 %NTREPRENEURSHIP IN )NDIA

/0# /NE 0ERSON #OMPANY
0!. 0ERMANENT !CCOUNT .UMBER
0% 0RIVATE %QUITY
0-'39 0RADHAN -ANTRI 'RAM 3ADAK 9OJANA
000 0UBLIC 0RIVATE 0ARTNERSHIP
2!- 2ISK !SSESSMENT -ODEL
2$ 2ESEARCH AND $EVELOPMENT
2") 2ESERVE "ANK OF )NDIA
25$)3%4)3 2URAL $EVELOPMENT AND 3ELF %MPLOYMENT 4RAINING )NSTITUTES
3") 3TATE "ANK OF )NDIA
3")# 3MALL "USINESS )NVESTMENT #OMPANY
3#!& 3INGLE #OMPOSITE !PPLICATION &ORM
3#64 3TATE #OUNCILS FOR 6OCATIONAL 4RAINING
3)$") 3MALL )NDUSTRIES $EVELOPMENT "ANK OF )NDIA
3%") 3ECURITIES AND %XCHANGE "OARD OF )NDIA
3%2# 3CIENCE AND %NGINEERING 2ESEARCH #OUNCIL
3).% 3OCIETY FOR )NNOVATION AND %NTREPRENEURSHIP
3-% 3MALL AND -EDIUM %NTERPRISES
3-%2! 3-% 2ATING !GENCY
30! 3CHOOL OF 0LANNING AND !RCHITECTURE
306 3PECIAL 0URPOSE 6EHICLE
34%0 3CIENCE AND 4ECHNOLOGY %NTREPRENEURSHIP 0ARK
4!. 4AX !CCOUNT .UMBER
4$" 4ECHNOLOGY $EVELOPMENT "OARD
4E.E4 4HE 4ELECOMMUNICATIONS AND #OMPUTER .ETWORKING 'ROUP
4E00 4ECHNOPRENEUR 0ROMOTION 0ROGRAMME
4)$% 4ECHNOLOGY )NCUBATION $EVELOPMENT OF %NTREPRENEURS
4I% 4HE )NDUS %NTREPRENEURS
6!4 6ALUE !DDED 4AX
6# 6ENTURE #APITAL
6%4 6OCATIONAL %DUCATION AND 4RAINING

!NNEXURE 6