Star SME (Medium)
Person: Virendra D. Sanghavi
Turnover (2009-10): Rs 66 crore
PAT (2009-10): Rs 6 crore
Business: Outsourcing engineers
*This company is a client of YES Bank
You could call it the midlife bug. Virendra D. Sanghavi had been an engineer for 24 years when a former employer's decision to farm out a consultancy job led him to set up his own business, with just two engineers. The lure was an advance of Rs 8 lakh. For 10 years, his company, Aarvi Encon, stuck to consultancy and remained small.
The big break came in 1996 when Reliance Petroleum decided to hire his 300 engineers on a man-hour basis. "That was the beginning of our technical manpower outsourcing business," says Jaydev Sanghavi, Executive Director. Turnover shot up from Rs 50 lakh to Rs 3 crore.
Today, Aarvi Encon has 2,200 engineers on its rolls, and only five per cent of its turnover comes from consultancy. The engineers are full-time Aarvi employees, but are deployed at client locations. Business is growing at 60 per cent a year.