Veerkrupa Jewellers Ltd Management Discussions

Business Overview

Our Company was originally incorporated as Veerkrupa Jewellers Private Limited on September 13,

2019 under the Companies Act, 2013 vide certificate of incorporation issued by the Registrar of Companies, Gujarat, Dadra and Nagar Haveli. Subsequently the name of the company was changed from "Veerkrupa Jewellers Private Limited” to "Veerkrupa Jewellers Limited” under the Companies Act, 2013 pursuant to a special resolution passed by our shareholders at the EGM held on January 07, 2020 and had obtained fresh certificate of incorporation dated January 17, 2020 issued by the Registrar of Companies, Gujarat, Dadra and Nagar Haveli. The CIN of the Company is U36910GJ2019PLC109894.

Our business operations began as a proprietary firm in 2001. With years of experience, growing brand awareness, increase in customer trust, relationship and footfall, our Proprietor- Mr. Chirag Arvind Shah took a plunge to grow their business by setting up a Company under the name of Veerkrupa Jewellers Private Limited in the year 2019. Subsequently, our Company had acquired the business of Proprietorship Concerns of one our Promoter- Mr. Chirag Arvind Shah viz, M/s Veerkrupa Jewellers through the Business Succession Agreement dated January 01, 2020. Consequently, the entire business operation of the proprietorship firm was merged into our Company.

Our jewellery business includes the sale of jewellery made of gold, silver, studded and other jewellery products that include diamond, platinum and other precious and semi-precious stones. Our product profile includes designer, traditional, modern and combined designs of jewellery at best prices. The variety of jewellery offered enhances our efficiency and enables us to attract and retain the ever growing customer base and relationship. Our aim and focus on design and innovation, our ability to recognize consumer preferences and market trends, the intricacy of our designs and the quality of our products are our key strengths.

OUR COMPETITIVE STRENGTHS:

Over the years "Veerkrupa Jewellers” has established itself as a renowned brand in northeast of central Ahmedaba- Naroda and Narol and the adjoining areas. Our brand name "Veerkrupa Jewellers” provides us with the advantage of the customers relying on the quality of the product. Over the years, through the customer centric approach, our core focus on maintaining the customer trust and transparency, has been rewarded and contributed towards brand recognition and customer loyalty. All of our gold jewellery is hallmarked by BIS except gold jewellery weighing less than two grams which is not required to be hallmarked.

- We maintain long term strong business relationships with our key suppliers as we procure chains and jewelries in bulk.

- We have smooth credit cycle with our debtors and creditors. This gives us leverage over the others as there is flexibility in payment cycle.

- Our company has experienced Promoters & Management.

- Focus on increasing Market Share in the Domestic Market.

- Grow sales in regulated markets through business arrangements.

- Focus on increasing product visibility through various branding, advertising and marketing methods.

- Active and regular participation in trade fairs and exhibitions.

Currently, we sell our branded products through our showrooms only in Ahmedabad, Gujarat. The efficiency of the marketing and sales network is critical success factor of our Company. We have strengthened our brand portfolio with local, targeted marketing strategies aimed at different customer profiles, various markets and price segments and for various uses and occasions. Our marketing team along with our promoters through their experience and good rapport with customers owing to timely and quality delivery of service plays an instrumental role in creating and expanding the sales network of our Company. The marketing channels adopted by our Company include Print media- advertisements in magazines, posters, newspaper templates, social media and participation in Jewellery trade fairs and exhibitions conducted by GJEPC and IGJ. Our marketing team maintains an ongoing relationship with our customers. They also regularly solicit prospective customers by providing them with the structured findings and updated catalogues. Further, we follow structured approach for our product development which involves market research, sales analysis and brand development. We share our findings with our existing and potential customers in securing new orders.

Jewellery retailing/wholesale trade is a highly competitive industry. Each of the locations wherein company presently has its showrooms has well established players who have well-built foot hold on the market. Competition in the industry is based mainly on the trust, quality, design, availability and pricing. We continuously take measures to reduce our procurement, production and distribution costs and improve our operating efficiencies. We compete with various well established jewelers such as Kalyan Jewellers India Limited, Malabar Gold Private Limited Titan Company Limited (Tanishq), and Tribhovandas Bhimji Zaveri Limited as well as local jewellers and craftsmen, most of whom are from the unorganised sector.

Our registered office and corporate office is well equipped with computer systems, internet connectivity, other communication equipment, security and other facilities, which are required for our business operations to function smoothly.

As on date of Prospectus, Our Company does not possess any major plant & machinery.

We believe that our employees are key contributors to our business success. We focus on attracting and retaining the best possible talent. Our Company looks for specific skill-sets, interests and background that would be an asset for our business. All our employees are permanent employees and on the payroll of our Company.