19 Sep 2018, 08:37 — 5 min read
Enterprise: Shri Radha Krishna Gases & Gas Plant Leasing Company
Director: Sunil Jayraj Ved
Year it was founded: 2006
Sector: Energy/ Oil & Gas
Based out of: Aurangabad, Maharashtra
Innovation is the key to survival of any business – be it a startup or family-run well established business. In 2006 Sunil Jayraj Ved, the scion of the five-decade old Ved Group of Firms & Industries, ventured into the formulation of industrial gases – with key focus on nitrogen gas. Being the world’s 7th most abundant element, nitrogen is one of the gases, which is always in demand in several industries and has several applications in manufacturing, health care, transportation and other essential sectors. However, Sunil found that the transportation, tracking and unloading of cylinders was a difficult and an inefficient process. Moreover, finding customers was difficult as the commodity was costly. Not one to give up, he came up with ‘rent & lease’ model for his business. This allowed him to set up an onsite nitrogen gas plant for his customers. The idea caught on and his company - Shri Radha Krishna Gases & Gas Plant Leasing Company now has 25 plants across 6 states.
Living up to its motto ‘You Grow! We Grow!’, the company is working to expand its footprint across India and SAARC (South Asian Association for Regional Cooperation) trading nations.
In conversation with GlobalLinker (GL), Sunil Ved (SV) shares his business journey.
GL: Tell us about your business and how it came into being.
SV: Ved Group of Firms & Industries is one of the oldest trading houses in the country and recently celebrated our Golden Jubliee in Aurangabad with four division i.e. trading, liasioning, FMCG (fast moving consumer goods) distribution and manufacturing of gases.
Established in 2006, Shri Radha Krishna Gases & Gas Plant Leasing Company is a subsidiary of Ved Group of Firms & Industries.
We are primarily into manufacturing of onsite nitrogen gas. We have 25 plants in 6 states with several more in the pipeline.
We specialize in supplying of industrial gases. With a vast customer base, we found it difficult to transport cylinders; loading and unloading of cylinders at the customers’ end; tracking of cylinders etc. Then in 2006 we came up with the idea of renting/ leasing onsite nitrogen gas plant. The manufacturing division was started by me.
GL: What is the USP of your business?
SV: The USP of our business is that we are one of the pioneers in onsite nitrogen gas plant to be given on lease/ rent basis, which was initially a very new concept in India. For the customer it has the benefit of a fully automated plant with zero investment, no spares, no maintenance cost and no operational hassles. We always believe that if our customer grows, ultimately, we grow. Our tagline is ‘You Grow, We Grow’.
GL: What are the challenges you have faced in establishing your business?
SV: This takes me back to when I was starting out. Industrial gas being a capital item, we would follow-up with customers, sometimes for more than a year, and the customer would eventually back out. The primary reason was capex/money. Every month we would travel 300-500 kms to visit a single customer. Then the ‘Lease-Rent’ model was introduced. But it took us 21 months to convince our first customer (an MNC) and the second big order took 18 months. Thereafter there has been no looking back. Our plant sells itself.
GL: How have you benefited by being a member of GlobalLinker.
SV: Being a member of GlobalLinker opens doors to people in various fields and services, which helps us a lot. Also, we have access to several groups, articles and conversations regarding development and services available.
GL: What is your big business dream?
SV: Presently we have 25 plants in 6 states. We would like to extend our presence pan India and in SAARC countries as well.
GL: What is your message to aspiring entrepreneurs?
SV: There is no substitute for hard work. Destiny supports only those who work hard. Have patience, dream big. Work for and with passion and surely you will achieve all your dreams.
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Posted byGlobalLinker Staff
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