Dhirubhai Ambani first business: From Petrol Pumps to the Birth of Reliance

📖 Dhirubhai Ambani first business: From Petrol Pumps to the Birth of Reliance

A Story of Dreams, Determination, and a 500-Rupee Startup that Changed India Forever
Dhirubhai Ambani's first business began in 1958 when he returned to India from Aden with just ₹500. He started a small trading firm called Reliance Commercial Corporation in Mumbai. Initially, the company focused on importing polyester yarn and exporting spices. Operating out of a tiny office, Dhirubhai’s sharp business acumen, risk-taking ability, and relationship-building skills quickly set him apart. His deep understanding of demand and supply helped him build strong networks in the textile industry. This humble trading venture laid the foundation for what would later become Reliance Industries—one of India’s largest and most influential conglomerates.

Chapter 1: The Boy from Chorwad

In the dry, dusty village of Chorwad in Gujarat, 1932, a boy named Dhirajlal Hirachand Ambani was born to a schoolteacher and a simple homemaker. His father’s income barely kept the family afloat, and Dhirubhai—affectionately called "Dhiru"—grew up in an environment where every rupee mattered.
Even as a child, he displayed a curious sense of business. While others played games, Dhirubhai would bargain with shopkeepers, learn about trade routes from elders, and dream about cities he had only heard of in stories.
At the age of 16, the boy who would one day be called the father of India’s capital markets boarded a steamer to Aden, then a British colony, to work for A. Besse & Co.—a trading firm that dealt in petroleum and textiles.

Chapter 2: Learning the Language of Trade

In Aden, Dhirubhai worked as a clerk in a Shell petrol station. But he wasn’t just pumping fuel—he was absorbing everything. The British manager noticed his sharp mind and made him part of the firm’s commercial operations. He learned:

• How to place bulk orders
• How currency exchange worked
• How profit margins changed markets

It was here that Dhirubhai saw opportunity in movement—that goods in demand in one part of the world could be profitably sourced from another.

Chapter 3: The Birth of a Trader (Return to India)

In 1958, Aden’s political instability forced him to return to India. He had just ₹500 in his pocket, no business degree, no family fortune—but a burning desire to build something big.
He settled in Bombay (now Mumbai), a growing city of mills and money markets. With the little capital he had, he started a small import-export business called:
Reliance Commercial Corporation

• Office: A small 350 sq. ft. space at Narsinathan Street
• Partner: Champaklal Damani (his cousin)

They began by importing polyester yarn and exporting spices.

Chapter 4: Polyester, Profits & Vision

While spices brought slow but steady income, it was polyester yarn that excited Dhirubhai.
He realized:

• India’s textile mills had massive demand for polyester
• Import restrictions meant prices were high
• He could build a network of loyal buyers if he offered consistent supply

He worked 20 hours a day, sometimes sleeping in the office, taking small orders, building trust with every delivery. Slowly, he built a network of mill owners and retailers who began to rely on him for consistent polyester supply.
By the mid-1960s, Dhirubhai and Damani had made modest profits. But their styles clashed—Dhirubhai wanted to take risks, invest profits into expanding, while Damani preferred caution.
So, in 1965, the partnership was dissolved.

Chapter 5: The Solo Leap – Reliance is Born

Dhirubhai renamed the company to Reliance Industries.
Now he was on his own.
He took loans, mortgaged his wife’s jewelry, and used every rupee to buy more polyester. He began to sell directly to textile manufacturers, cutting out middlemen. But it wasn’t just business—it was personal.
He built relationships. He remembered customer birthdays. He helped mill owners get licenses and loans. He became known not just as a trader, but as a man of influence and reliability.
He would often say:

“Profit is not a dirty word. It’s the reward for efficiency.”

Chapter 6: The Mill of Dreams – Naroda Factory

By 1966, Dhirubhai dreamed bigger.
Why only import polyester yarn? Why not manufacture it in India?
But building a factory needed huge capital—and banks were hesitant. So, Dhirubhai did something revolutionary:
He turned to the public.
He offered shares in his company to middle-class investors, going door to door, explaining how they could own a part of his dream.
Thousands invested.
With that money, in Naroda, Gujarat, he built his first textile mill, producing ‘Vimal’ fabrics—named after his elder brother.

Chapter 7: The Rise of an Empire

The Naroda mill became a hit.

• Vimal was promoted as “A woman’s first choice.”
• Celebrities endorsed the brand.
• Demand surged.

Reliance expanded rapidly—vertically integrating from textiles to polyester production to petrochemicals.
He took Reliance public in 1977. Over 58,000 small investors joined the journey. Dhirubhai transformed stock markets, attracting middle-class Indians to equity for the first time.
By the 1980s, he was competing with India's biggest industrial houses.

Chapter 8: The Legacy of the First Step

That first import-export business—founded with ₹500 and an unshakable belief—was the seed that grew into Reliance Industries, today one of India’s most valuable companies.
Dhirubhai Ambani passed away in 2002, but his vision lives on:

• In every Reliance refinery
• In Jio, which revolutionized telecom
• In the belief that a common man can build uncommon wealth

His story is not just about business, but about trust, resilience, and ambition.

📌 Key Takeaways from His First Business

              Lesson                                                                         Description

• Start Small                                                Dhirubhai started with ₹500 and no office.
• Focus on Demand                                     He chose polyester because mills needed it.
• Relationships Matter                                 He built personal bonds with clients.
• Take Calculated Risks                               He invested in his own mill instead of staying a trader.
• Public Trust                                               He used public investment when banks denied him.

📚 Final Words

Dhirubhai Ambani’s first business was not just about polyester or spices. It was a business of belief—belief in the Indian dream, in the power of ordinary people, and in the future of self-made enterprise.

He often said:

“Think big, think fast, think ahead. Ideas are no one's monopoly.”

📘 FAQ: Dhirubhai Ambani First Business

❓ 1. What was Dhirubhai Ambani's first business?
Answer:
Dhirubhai Ambani's first business was Reliance Commercial Corporation, started in 1958 in Mumbai. It was a small trading firm dealing in importing polyester yarn and exporting spices.

 
❓ 2. How much capital did Dhirubhai Ambani start with?
Answer:
He started his first business with just ₹500, which he had saved from his job in Aden (now Yemen), where he worked for a trading firm.

 
❓ 3. Who was Dhirubhai Ambani’s partner in his first venture?
Answer:
His early business partner was Champaklal Damani, a relative. However, their partnership ended in 1965 due to different business ideologies.

 
❓ 4. Why did Dhirubhai Ambani choose polyester yarn as a business?
Answer:
Dhirubhai identified a growing demand for polyester in India’s textile industry. Since polyester was in short supply, importing it gave him a strong business edge.

 
❓ 5. Where was his first office located?
Answer:
His first office was a small 350 sq. ft. room on Narsinathan Street in Mumbai (then Bombay).

 
❓ 6. How did Dhirubhai fund the growth of his business?
Answer:
Initially, he reinvested profits and took small loans. Later, when banks were hesitant to finance his expansion, he raised money from the public through equity — an unusual move at the time.

 
❓ 7. What happened to the original business?
Answer:
The trading business evolved into Reliance Industries, which diversified into textiles, petrochemicals, energy, and telecom — becoming one of India’s largest companies.

 
❓ 8. What made Dhirubhai Ambani’s first business successful?
Answer:
Key reasons include:

• Sharp business insight
• Strong supplier and customer relationships
• Willingness to take calculated risks
• Focus on high-demand products
• A vision to scale and build trust through public investment

 
❓ 9. Did Dhirubhai Ambani face challenges in his first business?
Answer:
Yes, he faced limited capital, competition, lack of formal education, and even skepticism from banks. However, he overcame them with persistence, networking, and innovation.

 
❓ 10. How is Dhirubhai Ambani’s first business remembered today?
Answer:
It is remembered as the humble beginning of Reliance Industries — a global powerhouse — and as a classic example of how determination and vision can turn ₹500 into a billion-dollar empire.