This Man Turns ₹5L Loan into ₹150 Cr Turnover Menswear Fashion Brand

Little did Raj Nawani know that he would be dressing up celebrities when he started a small, Men’s ‘ready to wear’ shop- ‘Sorry Madam’ in Damoh, MP in 1995. A little less than two decades later, actors like Dharam Ji (Dharmendra), Krushna Abhishek, Sunil Grover and many more have often been spotted in customised jackets by his brand.

Financially, the company crossed turnover of Rs 150 crores in 2023-24 and is aiming to touch Rs 500 crores in the next 2 years. With 250+ employees they are roaring to grow. Nostrum is available across 1500 multi brand outlets and at 100 Shop in Shop (SiS). 

How it all started:

Bhojraj Nawani was all of 23 years old when he completed B Sc Biology and started a shop for ready to wear clothing range for men in 1995 named ‘Sorry Madam’ As the name signifies, was only for men. The shop became a rage in the small city in Damah, Madhya Pradesh. 

Raj goes back in time to talk about his roots with Startup Pedia, “I belong to a middle class family, and my father owned a fabric shop by the name of ‘Jai Jawan Jai Kisan.’ When I was young, my friends would seek my advice when it came to styling. Since I had beautiful handwriting, they would ask me to write or create a design on paper which they would later get embroidered. They happily flaunted the customised dress.” 

“With that experience I started Sorry Madam, a shop for ready made clothes for men. The shop became successful and I wanted to expand. So with the earnings of Rs 7 lakh I started ‘Capture’ in Raipur in 1999. As the shops became popular, I wanted to spread further and start a wholesale business.” Raj started the business with his brother Jatin Nawani, who retired after a while. 

The Mumbai Story

In 2003 Raj visited Mumbai to see what he could do here. He researched and reached out to various vendors who could help him in translating his vision, meanwhile learning about the entire process of manufacturing.  

“In 2003, I started Diode in Mumbai with just Rs 3 lakhs. While dealers trusted me because of the timely payments, I faced a major tragedy when I lost everything in the shop in the 2006 flood.” However, this man of steel rose like a Phoenix, and worked hard to start his next venture.

Also Read: Brother Duo Converts Agri-Waste into ₹3 Cr Turnover Tableware Startup

Nostrum Genesis

Registered as Nostrum Fashion Pvt Ltd in 2008, Raj re-started the work with loans from people who trusted him. Nostrum refers to Ram Baan or something that never fails. Raj also designed the logo himself which has references to the arrows. 

“I took a Rs 5 lakh loan on interest from well-wishers and met fabric suppliers who helped us to restart again. We received the first order for 11000 jeans. Knowing our own manufacturing capacity I knew that it is not possible to produce so much. Thus, we only supplied about 5000 jeans,” explained Raj to the journalist from Startup Pedia.

Also Read: Friends Launched Affordable Korean-style Lifestyle Brand, Made ₹5 Cr

He elaborates, “With such supplies the vendors got confident and started exporting too. With the success of the brand, I brought my family to Mumbai in 2007. Till now I had been traveling between Chhattisgarh and Mumbai. 2006-07 was also the year when we launched lycra jeans which were flexible and gave amazing fit. They became a rage and were an instant hit.” 

Today Nostrum has a presence across pan India.

Their range consists of men’s bags, jeans, jackets, shirts, where jeans have become their USP. While the jackets and jeans are priced between Rs 2000-4000, their Tshirt range starts from Rs 699 only.

Handling competitors

Raj is always in for healthy competition; however his own integrity does not allow him to let dishonest people go by so easily. He explained to Startup Pedia, “As our brand became popular, fakes also came with variations of our brand. At one point there were 13 such duplicate brands. I sued them all legally and stopped production. Thus, I tackled the fakes the right way.”

The Business Partner: 

Raj’s sister’s son, Balraj Nawani (40 years old) joined the business in 2012. He looks after accounting while Raj ensures smooth operations. 

Balraj told the journalist from Startup Pedia, “I had been working with Capture from the age of 18 years. Over the years I learnt about handling the backend, and kept an eye on the accounts. But I also handled Admin, HR, sales and marketing, making company policies as well as agreements for distributors. By 2012 I was ready to handle a bigger role and partner my maternal uncle.

Also Read: School Dropout Disrupts Lighting Industry, Brings Sunlight Indoors

We have kept our USP of offering premium quality menswear at affordable prices. This has possibly led us to where we are today. While the journey has been full of challenges, we have always ensured that we take them head on and emerge victorious.”

The business:

Nostrum has won the award for India’s Most admired brand by the Cloth Manufacturing Association of India.

Like all other businesses, theirs too was impacted by Covid. Braving through difficult times, they are now coming back to normal.

The company also forayed into e-commerce, which is doing well and has added to the reach of Nostrum to a wider consumer base. 

Also Read: 20YO Clueless Students Built A ₹6.4 Cr Revenue Legal Tech Business

The Success Meter:

Today he has an amazing office + space in Sharma Industrial Estate Goregaon, Mumbai spread across 20000 sq ft, that has been awarded amongst the top 10 offices in the vicinity.

Raj reminisces about the old times and how life has changed for him. He told Startup Pedia, “Initially, I traveled in buses and trains and proudly bought my first scooter. And others wondered why I was so happy about it, but I had bigger dreams. Even though I now have luxury cars, I sometimes ride my old scooter, which keeps me connected to where I came from.”

Pampering the team:

Raj told Startup Pedia, “I have more than 250 employees, out of them 20% are with us since the very beginning. I can trust my entire business on them. Recently I took them on a trip to Dubai. We stayed at Atlantis, enjoyed the good life and even had a limousine ride. These are people who didn’t even have passports, and getting that was another Herculean task. And I feel they deserve this happiness in life. I do love my family but I  love my employees more. I am because of them.”