Hasiru Dala Innovations Private Limited

Hasiru Dala Innovations Foundation Story

Hasiru Dala Innovations is a social enterprise that has made significant strides in transforming the lives of waste pickers and the environment in India. Founded in 2015, the company has its roots in the nonprofit organization Hasiru Dala, which means "Green Force" in Kannada. Here is a look at the vision, early days, and the founding team behind this innovative company.

Vision and Early Days

The vision of Hasiru Dala Innovations is to create a world with no waste and no waste pickers. The company aims to integrate waste pickers into the circular economy, turning them into green-collar professionals and entrepreneurs. This vision was born out of the need to address the plight of Bengaluru’s waste pickers, who were largely invisible to the government and society at large.

In the early days, the founders of Hasiru Dala, including Marwan Abubaker, observed the conditions of waste pickers and worked to provide them with respect and dignity. They began by documenting the waste picker community in 2013 to understand their circumstances better and to create better livelihood opportunities for them. This effort led to the formal establishment of Hasiru Dala Innovations in 2015.

The initial focus was on empowering waste pickers through various initiatives such as plastic segregation, event trash management, and complete waste management of buildings. The goal was to ensure that waste pickers were paid fairly for their labor and were treated as partners rather than just workers.

Founding Team Background

The founding team of Hasiru Dala Innovations includes Marwan Abubaker, who has been instrumental in shaping the company’s mission. Marwan and his team had extensive experience working with waste pickers before formally founding the company. One of the founders was also the president of the association of waste pickers, which helped in leveraging the network of waste pickers for the company’s operations.

The team’s background in social work and their understanding of the waste management sector have been crucial in the company’s success. They have managed to gain the trust of the waste picker community, which was one of the earliest hurdles they faced. Establishing trust was key to their success, as waste pickers are often skeptical of outsiders.

The founders’ dedication to putting purpose over profit has been a defining characteristic of Hasiru Dala Innovations. Their focus on bettering the lives of waste pickers rather than just making money has set them apart in the industry.

Hasiru Dala Innovations Business Evolution

Hasiru Dala Innovations has undergone significant evolution since its inception. From its initial concept to its current state, the company has expanded its services, achieved key milestones, and diversified its product portfolio.

From Initial Concept to Current State

The company started by focusing on the bifurcation of waste management operations for bulk waste generators. This involved creating innovative business models that leveraged the expertise and entrepreneurship of waste pickers. Over time, Hasiru Dala Innovations has moved up the waste value chain by commissioning modern bio-methanation plants and launching biogas plants through joint ventures like Sustainable Impacts[1]).

Today, the company serves over 430 clients across Bangalore and has provided livelihoods to 5,144 waste pickers. It has expanded its operations to include dry waste collection centers in Bengaluru, Mysuru, and Tumakuru, and plans to expand geographically across the country[1][3]).

Hasiru Dala Innovations has also become India’s only multi-stream end-to-end waste management company guaranteed for fair trade by the World Fair Trade Organization (WFTO). This recognition underscores the company’s commitment to ethical and sustainable practices[1]).

Key Growth Milestones

The company has achieved several key milestones that highlight its growth and impact. Here are some notable achievements:

• Seed funding raised from Social Alpha and Ennovent after winning the runners-up at the ‘Tata Social Enterprise Challenge’[1]).
• Winning the ‘Karnataka State Environment Award’ and the ‘Millennium Alliance Award’[1]).
• Receiving the FICCI Circular Economy Award and the Sankalp X Artha Impact Award[1]).
• Launching the biogas plant through a joint venture called Sustainable Impacts[1]).
• Turning EBITDA positive in just 23 months[1]).

These milestones reflect the company’s innovative approach and its ability to make a significant impact in the waste management sector.

Product Portfolio Expansion

Hasiru Dala Innovations has expanded its product portfolio to include a range of services and products. Here are some key areas:

• Plastic segregation and supply of fair-trade guaranteed plastic waste to global brands like H&M, The Body Shop, and Cofresco[4]).
• Event trash management and complete waste management of buildings[2]).
• Operation of dry waste collection centers and community composting services[3]).
• Total Waste Management Services, including a wastepickers van unit franchise model for door-to-door collection of segregated waste[3]).
• Biogas plant operations through joint ventures like Sustainable Impacts[1]).

This diversified portfolio helps the company in creating stable livelihoods for waste pickers and in strengthening the green and circular economy in India.

Hasiru Dala Innovations Technology Infrastructure

Hasiru Dala Innovations has invested in robust technology infrastructure to support its operations and innovation in the waste management sector.

Core Platform Architecture

The company’s core platform architecture is designed to support its end-to-end waste management services. This includes the use of proprietary technology acquired from EnCashea, which helps in efficient waste collection and processing. The platform enables the company to manage its operations effectively, from waste collection to recycling and biogas production[4]).

The architecture also supports the company’s innovative pricing models, such as the "pay as much as you generate" model for door-to-door waste collection services. This user-centric approach has been instrumental in making waste management services accessible and affordable for a wider audience[3]).

Security and Compliance Framework

Hasiru Dala Innovations places a strong emphasis on security and compliance. The company ensures that all its operations adhere to strict environmental and social standards. Being guaranteed for fair trade by the World Fair Trade Organization (WFTO) is a testament to its commitment to ethical practices[1]).

The company also complies with local regulations, such as those set by the Bangalore Municipality, which has recognized the rights of waste pickers and issued them identity cards. This recognition ensures that waste pickers are treated with dignity and respect[1]).

Innovation in its Industry

Hasiru Dala Innovations has been at the forefront of innovation in the waste management sector. Here are some key innovations:

• Commissioning of modern bio-methanation plants to move up the waste value chain[1]).
• Launching biogas plants through joint ventures like Sustainable Impacts[1]).
• Implementing a wastepickers van unit franchise model for door-to-door collection of segregated waste[3]).
• Developing innovative pricing models such as the "pay as much as you generate" model[3]).
• Supplying high-quality recyclables to global brands, ensuring fair trade practices[4]).

These innovations have not only improved the efficiency of waste management but also created sustainable livelihoods for waste pickers and contributed to a cleaner environment.

Company Market Impact

Hasiru Dala Innovations has made a significant impact on the market, particularly in the area of waste management and the lives of waste pickers. Here’s a closer look at their achievements.

User Base Growth

Hasiru Dala Innovations has seen substantial growth in its user base, primarily due to its innovative circular economy business models. The company integrates waste pickers into the circular economy value chain, providing them with better livelihoods and recognition as green-collar professionals.

The user base includes various stakeholders such as corporates, apartment complexes, and event organizers. For instance, their Total Waste Management Service caters to bulk waste generators, ensuring 100% legal compliance and environmental sustainability[6][7]. This comprehensive approach has attracted a wide range of clients seeking responsible waste management solutions.

The company's Event Waste Management service is another key area of growth. This service helps eco-aware hosts manage waste efficiently during events, minimizing waste generation and ensuring that any waste produced is processed and diverted away from landfills[6]. This has made Hasiru Dala Innovations a go-to solution for environmentally conscious event planners.

Market Share Expansion

Hasiru Dala Innovations has expanded its market share by offering a range of services that cater to different needs within the waste management sector.

Their services include Circular Waste Management, Circular Events, and Plastics Circularity Services. These services not only help in managing waste but also ensure fair pricing for wastepickers and informal scrap dealers through tie-ups with global brands[7]. This holistic approach has helped the company gain a significant market share in the waste management industry.

In addition to their core services, Hasiru Dala Innovations also processes organic wet waste into compressed bio gas and organic fertilizer through a joint venture. This diversification has further increased their market presence and appeal to a broader client base.

Financial Inclusion Initiatives

Hasiru Dala Innovations has been instrumental in promoting financial inclusion among waste pickers and informal waste workers.

The company empowers waste pickers to become entrepreneurs and green-collar professionals, thereby creating predictable livelihoods for them. This is achieved through their core ethos of Inclusive Circularity, which ensures the deliberate and planned inclusion of waste pickers in the circular economy value chain[6].

By providing ethical and professional aggregation of plastic waste, Hasiru Dala Innovations ensures that waste pickers receive fair compensation for their work. This initiative has significantly improved the financial stability and social status of waste pickers, contributing to their overall well-being.

Company Financial Journey

Hasiru Dala Innovations has experienced a notable financial journey since its inception.

Revenue Growth Story

The company has shown a steady increase in revenue over the years. Here are some key points:

Hasiru Dala Innovations Private Limited was incorporated on October 8, 2015, and has since grown significantly. For the financial year ending on March 31, 2022, the company's operating revenue range was between INR 1 crore and INR 100 crore.

Their revenue growth can be attributed to the expansion of their services, including Total Waste Management, Event Waste Management, and Plastics Circularity Services. These services have been well-received by clients, leading to increased revenue[6].

Path to Profitability

While the company has seen revenue growth, its path to profitability has had its challenges.

For the financial year ending on March 31, 2022, Hasiru Dala Innovations' EBITDA decreased by 34.26% compared to the previous year. However, the company's book net worth increased by 28.01% during the same period.

Despite the decrease in EBITDA, the company's focus on inclusive circular economy models and its diverse range of services have helped maintain a stable financial foundation. The increase in net worth indicates a positive trend in the company's overall financial health.

Investment Rounds and Valuations

Hasiru Dala Innovations has secured investments to support its growth and expansion.

The company has collaborated with various organizations to enhance its delivery process and social impact. For instance, the Vanguard group has added its expertise to improve Hasiru Dala’s delivery process to global clients, which has helped in securing funding and refining services.

While specific details on investment rounds and valuations are not readily available, the company's strategic partnerships and joint ventures indicate a strong potential for future growth and investment.

Company Strategic Partnerships

Hasiru Dala Innovations has formed several strategic partnerships to enhance its services and impact.

Banking Collaborations

The company has partnered with financial institutions to support its financial inclusion initiatives.

Although specific details on banking collaborations are not provided, Hasiru Dala Innovations' focus on creating predictable livelihoods for waste pickers suggests that they may work with banks to provide financial services and support to this community.

Such partnerships would help in ensuring fair compensation and financial stability for waste pickers, aligning with the company's ethos of Inclusive Circularity.

Merchant Partnerships

Hasiru Dala Innovations has partnered with various merchants and global brands to ensure fair pricing for waste pickers.

The company has tie-ups with global brands that commit to using fairly traded plastic waste in their products or packaging. This ensures that waste pickers receive equitable and fair compensation for their work.

These partnerships also help in scaling up the company's services, particularly in the area of plastics circularity. By working with merchants, Hasiru Dala Innovations can ensure a steady supply of recycled plastics to meet the demands of their clients.

Technology Alliances

The company has formed alliances with technology partners to enhance its operations and services.

Hasiru Dala Innovations has collaborated with technology experts to improve its delivery process. For example, the Vanguard group has provided expertise to enhance the company's delivery process to global clients purchasing recycled plastics.

Additionally, the company's use of technology in processing organic wet waste into compressed bio gas and organic fertilizer indicates a strong focus on leveraging technology to innovate and expand its services.