Inspiring Success Story Of Balaji Wafers Owner Who Started With Just INR 10000

In 1982, Chandubhai Virani, the 60-year-old founder and chairman of Balaji Wafers Private Limited, began creating potato wafers with a little investment of Rs 10,000 in a shed built in his backyard. He subsequently went on to develop a firm with a revenue of Rs 1,800 crore in 2017. Balaji Wafers, the leading regional potato wafer and snacks brand in the country and the country's second largest player in the potato wafer market.

Chandubhai's dad, the late Popat Ramjibhai Virani, an average farmer, handed Rs 20,000 to 3 of his sons - Meghjibhai, Bhikhubhai, and Chandubhai – to spend properly in 1972. Chandubhai was barely 15 years old when the family moved to Dhundoraji in Jamnagar region, roughly 79 kilometres from Rajkot.

His older brothers put money on farming equipment and fertilisers, but they lost money. A weak rainfall and ensuing severe drought forced the 3 brothers to depart in search of work, and the youngest Kanubhai left behind with his parents and two sisters.

No work was too large or too little for Chandubhai. After a year, the movie canteen owner was so impressed that he offered him and his siblings a contract for Rs 1,000 per month. The entire family had relocated to Rajkot by 1982, and Ramjibhai had purchased a home with a big compound. The family made'masala' sandwiches for the cafeteria; they were a popular, but they were perishable, and Chandubhai viewed wafers as a potential product. After canteen work, Chandubhai set up a tiny shed in the courtyard with an estimated cost Of rs 10,000 and began his trials with producing chips.

Chandubhai worked at three canteens: two at Astron Cinema and one at the city's Kotecha Girls High School. Soon after, he was distributing wafers to another 25-30 merchants, and in 1984, they settled on the name 'Balaji.' The difficulties, however, were not yet ended. 

Nothing stopped Chandhubhai, who remained in his efforts despite the setbacks, believing that things will improve and never sacrificing on quality. In 1989, Chandubhai opened a business in the Aji GIDC region of Rajkot, which was then Gujarat's largest potato wafer facility, with modest revenues and a bank loan of roughly Rs 50 lakh.

Balaji Wafers Private Limited was founded in 1992 by three brothers, Bhikhubhai, Chandubhai, and Kanubhai. They fought back against competitors like Uncle Chipps, Simba, and Binnies by providing quality products, delivery, pricing, and service. 

Balaji now has 4 factories in India, with a combined processing capabilities of 6.5 million kg of potatoes and 10 million kg of namkeen per day. Balaji produces over 30 other salty snacks and savouries in addition to potato wafers. Their third factory in Valsad, which opened in 2008, can handle 9,000 kg of potatoes per hour, which was the biggest capacity in Asia at the time. In 2016, a high-tech, completely automated facility was opened in Indore, with the goal of expanding throughout the country.

According to a report by global research firm Euromonitor, while Lay's market share fell from 51.1 percent to 49.5 percent between 2013 and 2015, local companies such as Balaji Wafers progressively increased their market share every year in a market worth roughly Rs 7,000 to 10,000 crores.  The firm is now growing at a rate of roughly 20% to 25% each year. Many organisations, including MNCs, have sought Chandubhai to buy a part in Balaji.