The entrepreneur discusses starting a new company called Incept that creates and services unique office automation products for small and medium enterprises (SMEs) in India. Incept's first products are time and attendance management biometric systems. The entrepreneur notes that India has over 2.5 million SMEs that could benefit from Incept's products. The entrepreneur also discusses future plans to expand Incept's product lines and customer base both within India and globally. The entrepreneur takes pride in what the young company has achieved so far and the lessons learned along the way.

1. EXERCISE NO: 3 DATE: 17.8.2012
AN INTERVIEW FROM AN ENTREPRENEUR
The new India has more people taking risks, and even more people willing to facilitate the
process of taking risks. Entrepreneurial India is abundant with angel investors and venture
capitalists, who have now understood that India can also innovate. And India is innovating, like
never before! Labor is still cheap and we still outsource, but we also know how to utilize the ever
increasing globalization.
Did the crisis change the business rules? What do you think, during the crisis companies
outsource more or cut spending altogether, outsourcing included?
To some extent, it did. India saw a strange trend, different from what US showed. We did see a
number of large corporations losing big money and businesses including outsourcing showing
loss, but the period also brought risky entrepreneurs in the business world who wanted to benefit
from the negative times. Number of small businesses increased significantly during the crisis,
and many businesses centered on these SMEs also surfaced.
You recently started a new company, what is it about?
Well, this question looks like a continuation of my previous answer. Because, we also started our
company to utilize the fact that India has more than 2.5 million SMEs and this number is
growing at a very high rate. Our company Incept creates, sells, and services unique Office
Automation products for SMEs (small and medium businesses).
So who exactly is your customer?
Every Small and medium sized enterprise across India belongs to our current target group, and
we are also looking at global expansion. Small shops as well as commercial offices can benefit
from us. We are starting with Time & Attendance Management Biometric Systems and will
move on to many more exciting products.

2. What about the future? New product lines? New customers?
Future plans include expansion into tier 2 and 3 cities of India. And talks of expansion to other
countries following similar economy as India are also on. Among new product lines, we are next
coming up with remote employee surveillance systems.
Any success stories you would like to mention?
I’d like to share one testimonial from a customer, who said that they improved their profit in the
quarter in which they bought our product by about 20%, due to the indirect effects it brought.
They had bought our attendance management system which helped them reduce their HR loads
and focus more on work while helping increase productivity. It was nice to hear someone giving
us a quantitative compliment, rather than a qualitative praise.
Are you proud of what you have accomplished so far?
I’d say it’s the beginning and we are still learning. We are proud of what we have achieved, and
also of what we have failed to achieve, as it has taught us more. Sounds like a dialogue from an
inspirational book, but its really true.
What is what makes your company special?
This is an interesting question, considering the fact that there are more than 600 companies in
India who supply office automation products. But when you consider the fact that our products
are created with only SMEs in mind, we become somewhat special. Add to this the fact that our
products are novel and innovative, and we become even more special. But the final nail on the
wall of specialty is the way we do our business: our business model is such that we do not
involve distributors or resellers, but sell and service our products directly, using our own service
partners.
Did you start alone or you have some partners?
I started with the help and support of an entrepreneur who had seen the risks to come out clean,
Hariom Sharma. And today we have a 12 member dedicated team.

3. What are the most difficult things to overcome when starting a company in India?
Though the answer may vary based on the sector to which a company belongs, the biggest
problem faced by us and also by various other entrepreneurs, is the legal tangle which forces you
to take undesirable steps. For example, the taxation system in the country is so complex and
poorly managed, that small businesses still suffer hugely and the worst effects are seen during
starting up.
How was your path from idea to getting the first customer?
Tough but exciting. We decided to pitch the idea to a customer who could have been the last
choice for our products. But after various meetings, when he was convinced, we knew that we
would succeed. So we took the tough road, hoping to get rewards if we are able to cross it.
Any advice for young people not having the courage to start their own businesses?
As I also mentioned in one of our company’s newsletters, try to run naked in public and that’s
when you’ll be ready to become an entrepreneur. You can become a better entrepreneur at any
age by taking masters of business administration classes.