Adapt And Accelerate
Despite the several setbacks in the startup ecosystem at the moment, Stonefield Flavours, a flavour manufacturing startup, has witnessed an impressive growth phase, wherein the company not only met its targets but exceeded them with a 45 per cent growth compared to the previous year.
Talking about what the company did differently to stay afloat, Sandeep Devgan, CEO at Stonefield Flavours explains, “We have been successful because we embraced change quickly, especially during the pandemic. We had one of the best years in 2022-23. We stayed true to our vision of ‘inspiring change, delighting lives’.”
The company said that while keeping innovation as its core strength, it focused on its people. It encouraged open communication, flexibility, recognition and opportunities to grow, which helped Stonefield achieve its targets.
Cashflow: The King
Speaking on the importance of maintaining cash flow, Devgan says, “We are conservative in our financial projections. We maintained healthy reserves and secured multiple sources of funding, including bootstrapping, debt and equity. The key takeaway from our growth story would be to keep your ears to the ground and listen. Don’t just sell products to customers, instead, solve their problems.”
For Devgan, the year gone brought Stonefield Flavours its “biggest growth since inception”. He adds, “As a company, we are currently in a strong financial position and have sufficient cash to fund our growth plans for the foreseeable future."
As far as its long-term strategy is concerned, Stonefield is looking for opportunities to collaborate with like-minded investors and partners who can help the company achieve its goals and accelerate growth.
Overcoming Roadblocks
Enlisting the challenges the company faced during its initial stages, Devgan says, “The availability and prices of raw materials due to global challenges was a huge challenge. This impacted our supply chain and production, and we had to adapt quickly to keep up with demand.” Additionally, the competition from mass market players is a challenge.
Sharing the company’s 2023 plans, Devgan comments, “We will continue to foster a culture of innovation and encourage our employees to come up with new ideas that can drive growth. We plan to invest in new flavour delivery systems to meet changing customer needs and preferences.”
The startup is also eyeing to expand into new markets abroad and experiment with new business ideas and products, with a focus on improving its margins through cost reduction initiatives and strategic pricing.
