CHALLENGER COMPUTERS: Age No Bar

The name of the company reflects the emotions of 23-year old Kalpesh Jain and
24-year old Bharat Mehta. When Challenger Computers started operations three
years ago, the duo looked at this business as nothing less than a challenge.
Today it is a well-known Rs 15-crore computer spares and peripherals
organization.

STARTING YOUNG

When most collegians his age were having a good time, Kalpesh wanted to get
into a business that had immense potential for growth. Seeing his son’s
burning desire for business, Kalpesh’s father helped them with a small place.
The duo recruited two employees to start operations selling mice and keyboards
in 1999. In the very first year itself, the company achieved a turnover of Rs 48
lakh.

Today, the company trades in almost all computer peripherals and networking
equipments and has 10 employees. It is also an authorized dealer for Samsung and
Dax products. "But I continue to pay my father the rent for the
office," smiles Kalpesh.

Despite having a free hand in doing their business, both youngsters seek his
father’s advice. "We submit the company’s balance sheet every six
months to him," says Kalpesh. Such guidance from parents and senior
colleagues in the trade, has ensured a strong bottomline for Challenger.

PLAYING WITH PRICE

Challenger Computers is known for its competitive rate in Lamington Road,
but this has also got it in trouble. Some dealers complained to Samsung that it
was selling products below cost. The vendor retaliated by asking its partners to
boycott Challenger Computers. "It issued an instruction that anyone dealing
with me would be boycotted as well," he recalls.

But Kalpesh refused to take this lying down. "I righteously sent a
letter to Samsung with original copies of all invoices and bills to prove my
innocence, which they verified and later apologized to me."

Though this incident affected Challenger’s sales for three months, business
quickly picked up momentum and Kalpesh even won a free trip to Australia in a
scheme run by Savex Computers for Samsung products.

RESELLING TO CORPORATES

Although Challenger has been involved in reselling activities, it has
recently employed two engineers to service corporate customers. It has also
started taking annual maintenance contracts. Kalpesh now wants to expand his
business and start a retail outlet in Lamington Road.

NELSON JOHNY