Company: Ele Farm Hub
Founder: Sujayraj KB
Turnover: Rs 1.5 crore
Sujayraj KG, associated with Patanjali Ayurveda Chikitsalaya for two years, broke away and started his entrepreneurial journey by launching Ele Farm Hub in 2016. The company makes and sells organic food and medicinal products at low costs.
Sujayraj (31) has invested Rs 40 lakh in this business and is now seeing a turnover of Rs 1.5 crore. The main key to success, according to him, is the frequent contact and healthy relationships the company has fostered with the farmers who supply ingredients to the company. “By maintaining these relationships with our farmers, we are ensuring the quality of our products,” he adds.
Excerpts from an interaction with SMBStory:
SMBStory: How did the company diversify into making a range of products?
Sujayraj KB: I come from a farming family and I was also associated with Patanjali, which had created a brand name for organic products. However, there were not enough food product categories in the company to meet the potential demand. So, I decided to set up a business to make a wide variety of organic products, which were also known for their medicinal properties.
SMBS: What were the key milestones in your journey?
SKB: One key moment was the idea to cut out the middlemen, so that the seller gains the best benefits and can acquire high quality products without much worry. Another milestone was participating in MSME expos, which gave us a broad spectrum of potential customers and contact with high level officials who appreciated our quality and workmanship.
SMBS: How are you differentiating from the competition?
SKB: We constantly try to make regular improvements and changes as per the market trends and needs. Apart from this, we are selling our products at competitive prices so that we get regular orders. This makes us quite unique. Customers and other entrepreneurs have given us good reviews and recommendations, which shows their satisfaction with our wide range of cost-conscious products.
SMBS: What are your challenges in terms of sustaining and growing the business?
SKB: Our primary challenges include maintaining credit and margin, and stock maintenance without affecting the overall quality of our employees and products. Overall, I believe the challenges can be overcome as long as a business avoids self-investment. It should start with help from the appropriate financial services and research must be thorough at all levels. We also give credit only to known sources. I advise other business owners to approach the government and gather all possible help before starting a business venture.
SMBS: What are your future plans?
SKB: We are still trying to minimise or completely remove the middle management. I am seeking to make the community a healthier environment to live in and provide complete support to agriculture businesses. A lot can happen with good government support in encouraging direct buyer and seller business ventures and taking bigger risks by supporting farmers and small businesses.
(This story is published in partnership with the MSME Ministry to showcase success stories of SMEs)