Starting a business takes nerve. You have to be self-motivated, hungry to create your own space and make a mark as an individual and be willing to take major financial risks, or else you're probably better off working for someone else. This is what the industry experts have to say. And taking a closer look at our very own IT channel community, we found several people who had also started their careers as employees in organizations but later went on to become some of the leading names in the trade. Lets take a look at some of these people who risked all they had to start their own ventures and make it a success.

Taking a closer look
The big question is 'Why does an employee becomes an entrepreneur?' especially if he has a meaty job in hand and a secure future? In order to know the answer to this question we need to put ourselves in the shoes of the employee. “I wanted to do something on my own which would let me establish my own identity,” said Sanath Babu of Bangalore-based Sri Durga Com­putech Pvt Ltd, who after completing his education as an engineer joined Wipro as a field engineer. It was after eight years of working at the same company that Babu gave in his resignation. On asking what made him take such a drastic step when he had a lucrative job in his hand, Babu explained, “It was not there in my mind initially that's why I chose to be in service. But gradually while working and meeting clients, it struck me that if I could perform the job as an employee I could deliver the same as an entrepreneur as well. Also, I had gathered all the required experience in this field and thought it was high time to start something of my own and also do well to others by creating employment opportunity for them.”

“Having work experience in the same field has helped me to know people more closely and know who to contact for business. It also helped me to understand customer needs better before suggesting a solution” Anil Gupta, Royal Computers

The transition from an employee to an entrepreneur is one of the toughest decisions that one has to take, unless probably they have a strong financial support or a trade background. It's a journey towards the unknown and requires determination. It's not as easy as it seems, even for people like Babu who hailed from a business background. He too faced several challenges in his initial days, “We faced lot of difficulties in our initial days. Our financial backing was not too strong and we had little experience of software distribution and other minute crunches that generally come when starting a new venture. Also, we faced lots of challenges from people who were already established in the market. The competition was huge.”

So how do we define an incumbent employee who becomes an entrepreneur? Some economists define them as people who take on risks in pursuit of profits. They create value by shifting resources out of low productivity areas to higher productivity areas. Gurpreet Singh, who started off his career as a marketing executive with Delhi based-Groovy Computers and later started Arrow Technologies as a partnership firm in 1995 elaborated, “I chose to leave my job and start my own enterprise since I felt that it was very difficult to grow the way you want to, if you are merely employed.” Pradeep Biyani of Kolkata-based Suntronic Systems recounts a similar story. After working for about four years with Supertron Electronics, Biyani felt there was not enough scope for growth and he needed to do something on his own. “I parted ways with Super­tron though it was not a very easy decision to make,” stated Biyani.

The transition from an employee to an entrepreneur is for people who are willing to acknowledge the desires of their heart. Dormant dreams come to life and challenges, that were once limiting, are overcome. Girish Madhavan of Chennai-based Quadsel Systems also dreamt and aspired to achieve something in life. “Though my interest was to do an engineering course, family problems never allowed me to pursue studies where I wanted. But I never gave up. I joined a software firm, even while attending evening college. I worked there for nearly two years, till I completed college, and then I moved on to Megamatics as Manager – Trainee in 1989. I was teaching even in my first job at Computer Techniques Pvt Ltd,” he said.

Madhavan's hard work and relentless efforts to come up in life put him on the growth path soon. He was headhunted by Sowswe Electronics, a sister concern of Megamatics, for their marketing operations which opened up new avenues for him. Having worked for over five years at Sowswe, Madhavan called it a day in 1996 to start his own venture. He floated the company -Quadsel Systems, to provide technology solutions in IT space. “I had to sell my house to start this business and settle some of my family loans, which were raised when my father fell sick and was hospitalized. I had to face many challenges in life and took them in my stride. In fact, I decided to get into business mainly because of my family commitments and financial pressures. I knew I couldn't make it big working under some one. Hence I started my own venture,” said Madhavan.
Similarly, for Alwin Lobo of Mumbai-based Active Infotech, starting his own venture was nothing less than a dream come true. Lobo started his career as an audit person. “In 1999 I started my own enterprise. I always wanted to be an entrepreneur. Initially it was very difficult to start the business. But I had self-confidence as well as tremendous interest in this field. I never had strong financial support yet with my goal, vision and hard work I managed to reach this stage,” he said.

“To run a business one has to have good business acumen and a serious approach towards business. In this field, most people start off their own business instantly but there are few survivors” Pradeep Biyani, Suntronic Systems

Traits of a good entrepreneur
Knowing what it takes to start and sustain a business is critical to the existence of any venture. However, having the right skills is just as critical and dynamic. “According to me, a 360 degree awareness of the market scenarios and being in constant contact with customers are the qualities of a good entrepreneur. I always make it a point to be in touch with my customers either through e-mail or by calling them. Either way I maintain a good relationship with them, which actually goes a long way in making a successful entrepreneur,” remarked Anil Gupta of Delhi-based Royal Computers who stared his career as a marketing executive with Delhi-based distribution firm Zenith Computers in 1989, and later on formed Royal Computers in 1992. “Hard work pays. If not today, you will be rewarded some other day. And, there is a guiding force which takes you through the struggles and challenges in life,” said Madhavan, who scripted a success story - from working as one of the employees in a channel company to floating an organization with a sales force of more than 100 people today. “I did my job and was dedicated in my work. The rest came on its own.”

“I wanted to do and achieve a lot more than what I was doing and I realized that a job couldn't meet my expectations” Manoj Rathi, Diamond Infotech

What it takes
Most entrepreneurs will credit their success to their experience, business plans and financial backing. But this combination can lead to failure also. A business plan, experience and funding is not enough. Personal growth must also take place for a successful transition into entrepreneurship. “For anyone to become a successful entrepreneur he should preach honesty, dedication and hard work at all costs. Regardless of the amount of money one has at their disposal, it can't make them a successful businessman until and unless they have command over these best practices,” warned Singh. For Lobo, keeping one's commitments, along with maintaining a good relationship and delivering quality services to customers is the route to becoming a successful businessman. For Madhavan, a successful channel partner who is now trying to take his company to the next level, there's only one message for anyone who wants to follow his footsteps, “Work hard. Work smart. Work dedicatedly. The rewards will follow you soon.”

Typical trend in IT
It has been observed over the years that this phenomenon of employees turning into entrepreneurs is a trend typical to IT. In the last one decade there have been many instances of the same in this industry though it is hardly visible in other segment. “Starting a career in IT trade had always lured me and for that I even took formal education in information technology related subjects,” recalled Gupta.

“When I started business it was the time when IT trade was in its adolescent stage, proffering higher margins. During the early 90's lot of distribution channels were establishing themselves and at that point of time IT was considered one of the most lucrative business options, moreover the margins which were very attractive made me leave my job and start my own company. But sincerely I never thought I'd become an entrepreneur. It all happened by chance and when it happened I grabbed the opportunity,” explained Gupta.

“In IT the money flow is very easy. What a person earns as an employee, he can earn the same amount by doing his own business. Naturally people are attracted to launch their own venture once they gain enough experience from their previous jobs,” opined Biyani. “But to run your business one has to have good business acumen and a serious approach towards business. That's why you can find that in this field most people start off their own business instantly but the survivors are few. When we had started about a decade back, things were pretty easy, but it is very tough today,” observed Biyani.

“I always wanted to be an entrepreneur. Initially it was very difficult to start the business. But I had self-confidence as well as tremendous interest in this field. I never had strong financial support yet with my goal, vision and hard work I managed to reach this stage” Alwin Lobo, Active Infotech

For Manoj Rathi of Kolkata-based Diamond Infotech, IT was the most prospective and lucrative career option when he started off over a decade back. “I could easily sense the tremendous opportunities lying in the field. I did a software course in Aptech after I finished class 10. Then I joined an AMC and solution providing company called AVJ Infotech where I worked for about two years as a direct marketing executive,” he said. Rathi had to take a break from his job for his class 12 final exams and when the time came, he decided to start his own business. “I belong to a business family, naturally I had a knack for business from the beginning. I wanted to do and achieve a lot more than what I was doing and I realized that a job couldn't meet my expectation. I could feel the spark. And what better option could it have been during those days? I started my business with a sum of Rs 9,000 in 1995. And in 1998 I started Diamond Infotech Pvt Ltd with three people,” he said.

Speaking in the same vein, Babu said, “I can't say that it is a typical trend in the IT field. But yes, in the initial days, when IT was just emerging in our country, everybody could measure its potential and see the future growth prospects. Earning money was easy then. Since it was a new industry, the number of players was also less. Probably all these reasons attracted people to start their own venture in this field. Though the scenario now is just the opposite.”

“I chose to leave my job and start my own enterprise since I felt that it was very difficult to grow the way you want to, if you are merely employed” Gurpreet Singh, Groovy Computers

Experience pays off
It is said that experience pays off. And at least these few good men have no hesitation in agreeing to that. “I learnt everything in IT business starting from marketing to communicating with people under the able guidance of my boss at AVJ. That proved to be my learning pedestal. I got the exposure that I had required in this field through my job,” claimed Rathi. For Gupta his previous job experience helped him to handle his own enterprise more prudently, “Having work experience in the same field has helped me to know people more closely and know who to contacted for business. It also helped me to know customer needs better before suggesting them solutions.”

Biyani learnt the A to Z of IT business as he did all kinds of chores in his previous company. “Initially I was a one man army and did everything from procurement to delivery, cash collection, service and assembling. My role was that of a CEO or an all-in-one executioner. The growth was very fast and in the process I learned and gathered tremendous experience,” said Biyani. He holds those days to be very significant and owes a lot to Bhandari, who helped him grow and be whatever he is today.

Running the show
“I have been able to manage good growth of my business by adopting a few simple points. First of all I always kept track of the latest solutions. Following this trend, my company more or less remained the first to sell products that come into the market. I think this is the best way of chalking out a good growth path and run a business successfully,” remarked Gupta.

However, for Lobo it is his team and their joint effort that has helped him to achieve what he has till date. For Babu also, teamwork along with sincerity towards keeping commitments makes a difference. “It is very important for any entrepreneur to create and maintain a good in-house team,” he suggested. While Rathi hails his team's efforts and pays due credit to the principal companies for Diamond's success he pointed out, “One should be very clear of their goals and be determined to achieve them in time. A strong core team along with proper functioning of the team is very essential; and keeping commitments is the prime thing to gain market credibility.” Agreeing that team effort is a key strength for any successful venture Biyani also mentioned that finance management is the pillar that holds and runs the business, “One needs to be very good in man management in order to create and sustain a core team. Secondly, a strong and experienced person should be deployed to head the finance of any organization.”

To sum up, experience from a previous job in the same field has helped the employees-turned-entrepreneurs to run their own enterprise in a more mature and tactical way. The kind of exposure they got in the field as an employee -helped facilitate them to learn the nitty-gritty's of handling a business.

Piyali Guha (With inputs from Anjali Choudhary in Delhi, S Gopikrishna in Chennai, Nelson Johny in Mumbai and Subbalakshmi BM in Bangalore)

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