ProsParity Raises $2 Mn From BEENEXT, All In Capital To Build Full Stack EV Financing Platform

Electric vehicle financing platform ProsParity has secured $2 Mn (around 16.6 Cr) in pre-seed funding from BEENEXT, Sparrow Capital, All In Capital, DeVC, and Huddle Ventures. 

The round also saw participation from angel investors like Artha School cofounder Ashish Gupta, Mosaic Wellness cofounder Dhyanesh Shah,  Tracxn cofounder Abhishek Goyal and Country Delight cofounder Nitin Kaushal.

The startup said it would use the funds raised to build the proof of concept for its EV financing play. As per ProsParity’s website, the company is looking to simplify credit access for purchase of EVs (two and three wheelers) as well as for setting up EV dealerships. 

Founded by Saurabh Khodke and Anirudh Dhakar in November 2023, ProsParity claims to be creating a full stack platform for EV financing and will use the funds to build its loan origination networks, starting with central India, though the startup has not specified which states it would be targeting.

“Today, electric vehicle financing is an emerging asset class. The Indian EV market is poised for exponential growth and affordable financing solutions are critical to enable this transition. The current landscape is catered by very few large NBFCs and private banks, primarily serving a limited customer base,” Khodke said in a statement. 

Before launching ProsParity, the founders worked together at financial services firm Northern Arc Capital and consumer lending platform Stashfin. While Khodke was a senior VP at Stashfin before ProsParity, Dhakar was a director at Northern Arc till January 2024 before he joined ProsParity as a cofounder. 

The startup aims to bring the demand for EV financing on a single platform so that lenders can channel their capital across the EV value chain, from individual consumers to EV manufacturers to fleet operators and retailers or dealers. ProsParity aims to get to assets under management (AUM) base of INR 100 Cr within two years. 

EV financing is a massive and untapped opportunity in India and critical to driving wider adoption of electric vehicles. Individual OEMs such as Mahindra, Tata, Ola Electric and others are tying up with financial institutions to facilitate loans to EV buyers. 

For instance, digital lending startup CASHe rolled out CASHe Green to offer customised finance solutions for electric two-wheelers. Last year, Ola Electric inked a partnership with Shriram Finance and other institutions to facilitate EV sales through accessible loan options.