Famous Chartered Accountant : Mr.Radhe Shyam Agarwal

Once a CA left his job, sold his products on hand-pulled rickshaw and is now among the 100 richest Indians!

Although it seems to be a script of Bollywood movie, but this is the real life story of Mr.Radhe Shyam Agarwal.

A Chartered Accountant and a Company Secretary, Mr. Agarwal graduated from St.Xavier’s College, and also holds an LLB from Calcutta University.

In 1970, he joined the renowned Aditya Birla Group as Vice President. But within four years, he left his cushy job and decided to follow the torturous trail of entrepreneurship.

In 1974, Mr. Agarwal and his childhood friend R.S. Goenka, borrowed a seed capital of Rs. Twenty Thousand, and incorporated a company. The company was meant to deal in Ayurvedic medicines and cosmetics under the brand name of Emami.
The intial days were tougher then they appeared. The capital base of Emami was small, angle investing was an non existing concept, and the entire cosmetic market was dominated by multinationals. Due to the lack of working capital, the early founders used to sell products from one shop to another on hand-pulled rickshaws.

The finacial astuteness came handy in 1978, when he decided to take over a century old business of Himani Ltd, a privately owned company. Himani Ltd had an established goodwill in the West Bengal, but was in financial trouble. Inspite of being a company with a small capital base, the acquisition was carried out, and later it became the turning point in the Mr. Agarwal’s story. Himani was restored to profit and the debt taken for the deal was paid off within two years. A decade later an antiseptic cream, named Boroplus was launched. It became a success to the extent that later boroplus itself became the brand, and other products, like boroplus prickly heat powder, were launched under its flagship. Emami, later went on acquiring stakes in Zandu Ltd and created further brands under its umbrella. In addition to this, the entire range of Navratna products, like Navratna talcum powder, were also launched by Emami.

Today  Emami is a Group of Indian multinational companies, dealing in real estate, paper, edible oils, cement etc, and is widely known for there FMCG range. The founders has unanimously  decide that the group will not enter the tobacco, liquor, hotels or film businesses.

In 2015, the net worth of Mr. Agarwal was assessed as $1.43 billion!

As I am closing this article, I have realised that I can never see a tube of Boroplus in the same way.

P.S Since Mr. R.S Goenka has equal relevence in the success story of Emami. I found it legit to attach the photograph of both the gentlemen.
Mr. Agarwal is on left and Mr. Goenka on the right.

Also see :-  Famous Chartered Accountant : Mr.Nirmal Jain

Naina Lal kidwai – Motivation for each CA Student

All three posts are Written by :

Mrinal Pandey ( Staff Writter : CA Notes )

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