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Ravi Varma, the owner of a matchbox factory is a widower and has lost his daughter in an accident. Recognizing that his honest employee Chandru is in a similar position, he decides to help Chandru financially. As Chandru attends training in U.S., Ravi takes care of Chandru's charming daughter. On return, Chandru suggests changing the company's structure; traditionalist Ravi becomes infuriated. Protesting this, Chandru resigns and starts his own matchbox company and becomes the leading matchbox manufacturer. Thus begins Ravi's downfall. His charity and donating activities have eaten up profit and he ends up putting his house up for sale. Chandru calls for the highest bid and wants to give it back to Ravi, but being the man that he is, Ravi will not accept. Chandru has already got Leela, his ex-secretary on whom Ravi had a crush, and now Ravi's house.