Dhanaji and his adversary, Santaji Ghorpade, are acknowledged for their pivotal role in combating the Mughal forces during the reign of Rajaram I.

In the absence of central authority, these two commanders acted on their own initiative and swiftly developed expertise in coordinating cavalry movements over extended distances.

A marathi drama 'Bhangale Swapn Maharashtra' written by Bashir Momin Kavathekar depicts the thrill and adventures raid on Aurangzeb's camp at Tulapur and also brings out how stringently the guidelines laid down by Shivaji Maharaj were being followed by maratha soldiers (which spared Aurangzeb's life because he was offering religious prayers).

In 1705, a Maratha Army, consisting of approximately 40,000 soldiers led by Dhanaji, launched a successful assault on Surat, defeating the Mughal forces across the entire region of Gujarat, extending up to Bharuch, and subsequently imposing the Chauth tribute on them.

[6] In 1708, through the mediation of his assistant Balaji Vishwanath, who would later assume the position of Peshwa in 1713, Dhanaji disassociated himself from Tarabai and aligned with Shahu I at Battle of Khed.