Telugu Little Theatre was founded in 1946 by Kopparapu Subba Rao. It was founded under the presidency of K. V. Gopalaswamy. Subba Rao had wide experience as a director in different cities and abroad. He fought in World War I in Mesopotamia, where he produced plays with soldiers as actors. He was a gifted author. He won recognition as a composer of musicals for Roshanara in 1921, Rana Pratap in 1923, Tara-Sasankam i.e. "Tara and Sasanka" in 1928, Strisamrajyam i.e. "Women`s Empire" in 1932, and Vasantasena in 1934. He was equally adept in modern prose drama. His burlesque, Alii mutha is the best satirical-lyrical Telugu play.

Little Theatre produced Subba Rao`s adaptation of Gogol`s Inspector General us Inapa Teralu in 1953. This was hailed as a great success of the combined efforts of all personnel belonging to different branches of theatre under his harmonic direction. He started the Little Theatre not only to produce plays of merit but also to help contemporary actors and directors in technical know-how. He introduced spotlights and cyclorama on the Telugu stage. In order to help theatre workers acquire knowledge about the scientific methods of stagecraft, he built a huge reference library.

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