EV Financing Platform Revfin Raises $4 Million In Pre-Series A Funding

Revfin, a digital e-mobility consumer lending platform underwriting financially excluded and underserved segments, has raised $4m (Rs 30 crores) in a pre-series A funding round with both equity and debt. This fund raise will help the firm fast-track the adoption of EV solutions among the low-income consumers in the country. The funds raised will be utilised for extending loans to drive growth from the current monthly disbursement run-rate of INR 3 crores to INR 15 crores per month. The funding round was led by Redcliffe’s Dheeraj Jain, Let’s Venture Angel Fund, Anuraag and Ruchirans Jaipuria (Beverages), Rishi Kajaria (Ceramics) and Rahul Seth (Power Generation). Other investors include Amit Goel (Knam), Ranjit Yadav (Info Edge, Car Dekho).

Commenting on the fund raise, Sameer Aggarwal, Founder of RevFin said, “As electric mobility is seeing rapid adoption in India, lack of financing options remains the largest roadblock. Revfin’s EV financing platform overcomes challenges of consumer underwriting and product risks to make financing convenient and accessible. The latest infusion of funds will provide us more fuel to overcome multiple barriers in the EV financing space in a structured manner and establish Revfin as a market-leading EV financier in India.”

It must be mentioned here that the vast majority of e-vehicles in India, even today, comprise of e-rickshaws serving low cost, last mile transportation needs in towns and cities across India. However, most run on lead acid batteries, as lithium ion batteries would make them unviable for their owners. That transition is the challenge to surmount for new generation firms.

Dheeraj Jain of Redcliffe said, “Significant tailwinds exist for the EV sector as costs are declining and nearly all e-commerce platforms are transitioning to electric mobility. Lack of financing remains the single biggest reason for low adoption so far. RevFin has built the first and a very unique digital platform for financing EVs for driver-cum-owners. They have shown potential to scale with presence in 100+ towns in a short span of time. With a stellar founding team, RevFin is set to scale 15X in the next 12 months and we are very excited to participate in this journey.”

Considering the $50 billion (₹3.7 trillion) market size projections of financing of EVs by 2030, RevFin, is targeting to capture 20% of the market share in electric 3-Wheeler (E3W) financing in UP and Bihar this year. E3Ws will account for 65-75% of new three-wheeler (3W) sales by 2030.

Revfin is working with Shell Foundation, a UK-registered charity that supports innovative business solutions and enterprise models that can contribute towards sustainable development goal, to accelerate the adoption of electric mobility solutions among the low income consumers from Tier 2 and 3 towns.