Lalwani was born on 16 October 1961 to Jamnadas Lalwani and Gouridevi Lalwani in Indore, Madhya Pradesh. He is a Sindhi whose family migrated from Pakistan after the Partition of India. Lalwani completed his Higher Secondary from Madhya Pradesh Board in 1978. He graduated with a B. Tech degree from Veermata Jijabai Technological Institute affiliated to University of Bombay. 