Revolutionising Natural Fibre Industry
Reshamandi, a natural fibre supply chain startup, has registered three times revenue at Rs 1,248 crore in the first three-quarters of FY22-23. "Re-looking at their product mix, margins, efficient use of capital and human resources, etc., has helped Reshamandi bring profitability and growth to the business through the efficient use of resources at hand," says Saurabh Kumar Agarwal, Co-founder and CTO of the company.
Relationships And Trust
The success mantra of Reshamandi’s leadership has always been about relationships and trust. "Trust is intrinsic to every relationship, and Reshamandi stands true to its tagline, 'Relationships Matter'. We strengthened it by putting more trust in our teams, our employees and our stakeholders. I think all B2B businesses are built on relationships and our growth is a clear indicator of that," Agarwal added.
As far as the last financial year is concerned, Reshamandi did well. In terms of revenue, Reshamandi has gone from Rs 20 crore in FY21 to probably closing around Rs 2000 crore in FY23, with Earnings Before Interest, Taxes, Depreciation, and Amortisation (EBITDA) profitability in the last two quarters of 2022–23. Agarwal said that the company is open to collaborating with the right set of people and organisations that share Reshamandi’s desire to make a difference and create large value for this ecosystem.
Traditional Mindsets: An Obstacle
Speaking about the early-stage challenges Reshamandi faced, Agarwal says, "Having been used to the traditional methods, it took us time to prove the benefits of technology." Another persistent challenge, Agarwal says, has been "the cash-deprived nature of the textile sector", which Reshamandi is attempting to address via ReshaMudra by providing short and long-term financial support to the stakeholders.
In the future, Reshamandi plans to focus on creating a robust tech-led business instead of just a tech-enabled business model. As far as investments are concerned, Agarwal says, "We are looking for a non-banking financial company (NBFC) partner with whom we can address the textile sector's capital problem. We will also concentrate on expanding our overseas business at a rapid pace."
Reshamandi also plans to move into the private label space, where it will be able to come up with its own blends and fabrics and launch these private labels via B2B platforms.
