[2][3] A series of events and factors led to the establishment of the school, one being the discrimination that the Indian students were facing in the British administered schools back in the late 19th CE; the second was, under the British government, education wasn't accessible for the general Indian masses, only the children from upper-class families could get an admission and the third being the marginalization of the Muslim community, since Indian Muslims did not accept English as the medium of instruction in educational institutions, they turned away from formal schools and remained illiterate which alienated them from the newly evolving modern society and relegated them to the background.
Sayeed Mohammed having studied in Calcutta, which was then the capital of British India and the center stage of colonial politics, had developed a good understanding of these factors.
[2] The immediate cause, however, surfaced when the British government, in a deliberate attempt to divide the religious communities, introduced a new policy which provided separate reservations for Hindu and Muslim students.
[4] Sayeed Mohammed, who was then the assistant headmaster of Victoria high school vehemently opposed these divisive and discriminatory policies of the British government and organized mass protests against them.
Sayeed therefore got determined to start a new school where Indian students from all walks of life, communities and classes could access education and nationalist sentiments could be sowed into their young minds.