In 2019, when businesses were cutting down on costs and laying off employees, 3 people from the same family decided to start a new business venture to heal the environment. Aimed at providing biodegradable food packages, Aecoz was started in 2019 by technology and operations experts Dhanvita Sathyanand, Srinidhi Rajaram, and Bharath Sathyanand from Karnataka.
The startup prevented more than four lakh kilograms of plastic from ending in landfills and earned a revenue of more than ten crores.
| Startup Name | Aecoz |
| Founders | Dhanvita Sathyanand, Srinidhi Rajaram, and Bharath Sathyanand |
| Industry | Disposable paper container manufacturer. |
| Company Classification | Private Limited |
| Headquarters/based-in | Horamavu, Bengaluru, India |
| Idea | To remove plastic food and parcel packaging from the food industry. |
| Revenue | Total revenue of Rs 10.25 crores. |
| Date of Commencement | 6 November 2019 |
| Investments | Not specified. |
The Problem: Why Does This Matter?
Plastic has entered into every phase of our lives, leading to polluting water bodies and the atmosphere. Clogged drains causing floods and other disasters are nothing that any of us are unaware of.
However, the government is putting in efforts to bring things under control, but without the support of the industrial sector, it seems difficult to hold the increasing plastic pollution.
Moreover, the food industry uses way too many plastic containers for home delivery or takeaway. All this can be reduced with eco-friendly containers.
Founders of Agrainz, noticed how much plastic was going into food packaging and wondered if there was a solution.
The Solution: Aecoz Biodegradable Packaging Solutions
A startup like Aecoz along with the government aims to reduce plastic consumption and pollution in India.
In 2019, Bharath Sathyanand, Dhanvita Sathyanand, and Srinidhi Rajaram founded Aecoz. This Bengaluru-based biodegradable packaging startup manufactures eco-friendly food parcels and containers.
Dhanvita (technologist at Misys), her husband Srinidhi (Global Operations VP at JP Morgan) and her brother Bharath (mechanical engineer) all hail from coastal Karnataka.
Since the trio wanted to start something of their own, in 2017, they decided to enter the procurement industry bridging supply chain gaps.
That is when they started Agrainz, a hotel and restaurant procurement company. But with COVID-19 lockdown, the business came to a halt. However, their entrepreneurial spirit didn’t die down.
Then, they entered the biodegradable packaging industry and built it as a separate arm of their business. It was Aecoz, founded in 2019.
Aecoz uses 100% biodegradable paper (Kraft paper, ITC, or Century paper) backed with a US FDA and FSC certification. Reason being, they are eco-friendly, biodegradable, and recyclable easily.
Moreover, they also offer brand packaging and customized brands packaging solutions.
Now, Aecoz is one of the leading disposable food containers and biodegradable packaging providers in the market. Their product ranges from paper cups to pizza boxes, all that can hold varying temperature food items.
Business Model: How Do They Make Money?
All this, they are managing with a small in-house team including only the founders while outsourcing the external processes like manufacturing, production, and sales.
They supply biodegradable packaging solutions not only in India but to food brands in UAE, Europe, New Zealand, and North America.
Being 100% bootstrapped, Aecoz experienced amazing revenue growth since its start. Making a total revenue of Rs 10.25 crores and for FY 24-25, they have already crossed the Rs 4 crore mark.
Moreover, their anticipated revenue for the year is expected to be around Rs 7 crore.
Challenges/Struggles: What Roadblocks Are They Facing?
Even though the founders have a reputed background with their previous business venture Agrainz, it was challenging for them as well to find customers for the biodegradable food packages.
Moreover, during the pandemic, most businesses were focusing on cost-cutting. Thus, convincing the companies to adopt biodegradable packaging was a challenge in itself, followed by long discussions and lots of negotiations.
Slowly, with regular follow-ups and meetings, they succeeded in converting their potential leads to customers.
Pooling the fund was another challenge. Which, the trio, covered with their savings.
Future Vision: What’s Next?
The company aims to convert everything in the food delivery and storage to be environmentally friendly. Moreover, Aecoz delicately understands and meets the unique demands and requirements of the customers and offers tailored paper packaging solutions to suit their needs.
Thus, providing innovative and efficient solutions. Till now, Aecoz has prevented 4 lakh kgs of plastic from entering the food industry and landfills.
Presently, Aecoz has set up a shop in London and aims to expand thereby directly supplying packaging to European food brands and companies.
Key Takeaways: Why Should Users Care?
- Find opportunities in problems.
- Every problem has a solution.
- Provide the solution that you are looking for.
- Stay environmentally friendly.
