1. Educomp was founded in 1994 by Shantanu Prakash with zero capital after experiences in event management and computer lab businesses. 2. It grew slowly initially but saw rapid growth after receiving venture capital in 2000, reaching revenues of Rs. 276 crores by 2007-08. 3. Educomp offers education products and solutions reaching over 32,000 schools and 21 million learners. It has become a market leader in digital education content.

1. USE
ENTREPRENEURSHIP
TO CREATE A
SOCIAL IMPACT
PRESENTED BY :
DINESH KUMAR(UoM MKTG SEC. B)

2. “EDUCOMP”
“TRANSFORMATION
THROUGH
CONSOLIDATION”

5. FOUNDER

6. Mr. Shantanu
Prakash
• Born in Rourkela, a small town with only one notable
feature - the steel plant.
• An alumni(1988 M.B.A Graduate)of Indian Institute
of Management, Ahmedabad.
• After class 10, the family shifted to Delhi and he
enrolled in DPS, a “shiny, big city school.”
• A reasonably good student, Shantanu joined Shri
Ram College of Commerce.
And that's when it first became evident, ‘this
guy is different.’

7. KEY PERSONS
• MD&CHAIRMAN - Shantanu Prakash
• CEO – Sanjay Jain
• CFO – Sangeeta Gulati
• Sr Vice President – Amisha Beri

8. VIEWS ON
ENTREPRENEURSHIP
• ENTREPRENEURSHIP is the science and art of creating
the VALUE.
• It’s all about being an eternal, insane optimist.
• You don't need any capital to start, you can start with a
zero capital also.
• There are two questions which need to be asked:
a) Is the business inherently scalable ?
b) Is the market opportunity large enough?

10. KEEP LEARNING TOGETHER

11. THE ROAD TOWARDS
EDUCOMP

12. Initial time
• At SRCC, Shantanu started a company along with a
friend. The business was organising rock music
concerts.
• They made a lot of money around Rs. 4-5 lakhs -
truly a lot of money 30 years ago!
• Shantanu used to be on the floor of Delhi Stock
Exchange, every single day for almost two years. Till
he lost all the money!
• After it, Shantanu got into IIM Ahmedabad.
CONTD…….

13. • Shantanu joined IIMA, even as the event
management business back in Delhi continued to
flourish.
A contract had been signed with Thums
Up to do a series of concerts all over India.
• At the time of placements, Shantanu recalls that 17
of his batch mates joined Citibank at salaries of Rs 7-
8,000 a month in 1988 and not surprisingly, shantanu
did not go for placements at all.

14. SETTING OF THE
FOUNDATION FOR EDUCOMP
• With his friend and partner from the event
management business he launched a company
focused on education.
• The idea was to set up computer labs for
schools. The business model was innovative -
the schools did not invest.
• They only paid a monthly fee for every student
who used the lab and signed a multi-year
contract.
“That was the time when IT was coming
into schools. So there was this whole mystery
around IT.
CONTD……..

15. CONTD……
..
• When we went and spoke to school principals, they
welcomed us with open arms saying these guys
know more about how to retrofit a computer lab in
the school than we do. So we actually got off to a
great start.
• In two year(1990-92), the company did 50-60 schools
and boasted a couple of hundred employees. The
turnover was Rs. 4-5 crores.
After having some differences in understanding
between both friends, view changed………..

16. CONTD…..
• In year 1992, Shantanu decided to go on his own…..his
partner kept most of the money while Shantanu started
with very small.
EDUCOMP started its life with zero capital base.
• EDUCOMP started with a different focus.. instead of
hardware, Educomp went into software.
• The first product it launched was a ‘School Management
System’, an ERP of sorts for schools which took two years
to build.
• But it wasn't a very successful product.(10 schools)
• Getting into the details of how the company grew, it was
slow.Very slow initially.

17. REAL GROWTH OF EDUCOMP
• In 1998, six years after starting, Educomp’s revenues
stood at Rs 3.5 crores.
• Educomp received $2.5 million of venture capital in
June 2000
• In the year 2000, the topline was around Rs 12
crores.
• in FY ‘07-08, Educomp clocked revenues of Rs 276
crores, with net profits of Rs 70 crores.

20. 2011-2012
Consolidating our strengths
Expanding our impact.
• Products and solutions reach out
to over 32,000 schools and
approximately 21 million learners
• Reach was almost to 20.3 million
learners.
• 2012 was the 20th anniversary of
EDUCOMP.

21. 2013-2014

23. CONTD……
• The year 2013-14 was an epochal year for the
Company.
• Overall cost of operations in our smartclass
business declined by 31% between FY13 and FY14.
• Corporate overhead declined by 51% in the same
period of time.
• A market leader reaching out to more than 8,000
government schools across 11 states, Edureach
offers content in as many as 10 regional languages

25. HOW IT HAPPENED
• “At that time, the market penetration levels are less than
two per cent. And Educomp can keep growing 100 per
cent over the next 10 years. Without reaching a saturation
point.”
• This could have happened 3-4 four years earlier, it could
have happened 3-4 years later.
One of the many reasons Educomp was
eventually able to attract talent was because people easily
become passionate about education.
CONTD…..

26. CONTD…..
• The company was growing 100 per cent a year, they
were now five times larger than our nearest
competitor in India in this space...
AFTER IT
• The heat of growth is fuelled by a timely dose of
venture capital(Educomp received $2.5 million of
venture capital in June 2000).

27. • Six years later when more funds were needed for expansion,
Educomp decided to raise the money through an IPO.
• It was Rs.50 crores in sales and still they were very happy to
took the company as public rather than take private equity
money.
• Educomp is valued at about one and a half billion dollars (as of
May 2008).
• “More than the monetary sacrifice, it is really the sacrifice of
time when you are an entrepreneur. And that is a much more
expensive sacrifice than money.”
• Shantanu admits he works 24x7….My life is completely
unidimensional.

28. PRODUCTS
OFFERED

31. GLIMPSES OF
AWARDS AND RECOGNITION
GOT BY
EDUCOMP
 In Indian Eduction Awars 2013:
 Best K12 School Chain-National
 Best Digital Content for Smartclass
 Innovation in Early Learning for Little
Millennium
 In May 2013 Issue:
 Ranked Number 12 In Business
World’s India’s Fastest Growing
Companies

32.  In Entrepreneur Awards 2012:
 Best Education Company to work with
 Best Innovative K 2012 School
 Best Education Webinar Series
 Selected as Asia’s Promising Business
School(JRE Business School)
 Franchise India presented “ENTREPRENEUR OF
THE YEAR” award to Mr. Shantanu Prakash in April
2011.
 EDUCOMP was featured in Asia’s “Best under a
Billion” list released by Forbes Asia in Sep 2011

33. ADVICE TO YOUNG
ENTREPRENEURS
• The risk-reward equation is completely in favor of the
entrepreneur.
• There is no way that you will be economically rewarded
lesser for being an entrepreneur than by taking up a job.
• Choose anything that you want, that interests you, the
internal passion you have.
• Keep some of those key principles in mind –
Is the opportunity big enough
Are you able to make a contribution
Fundamentally change something that generates value?

34. EXAMPLE OF YOUNG
ENTREPRENEURS
• Recently, Educomp invested in an online tutoring company.
• This company, Three Bricks E-Services, was started by three
very young IIMA entrepreneurs. Chandan Aggarwal, Riju and
Mohit.
• They were in business for a year and a half and then
Educomp acquired a 76% stake in their company.
• In a short period of two years, each of these people, if you
value their 24% stake in the company, would be worth at
least Rs.15-20 crores each.

35. There is no way you can do that if you are
doing a job. Impossible!