In a significant move towards shaping the future of electric mobility in India, Finayo, the innovative electric vehicle (EV) finance and asset management platform, has raised a substantial Rs 16 crore in funding. The funding round was co-led by prominent Non-Banking Financial Companies (NBFCs) F Mec and CFPI, along with support from enthusiastic angel investors.
Empowering EV Business through Technology
Founded in 2020 by Brajendra Singh Tomar and Yogesh Prakash, Finayo has emerged as a trailblazer in green mobility-embedded lending technology. The platform’s Software as a Service (SaaS) model acts as a connective bridge between lenders and customers of EV retailers. This facilitates quicker and more efficient credit decisions and enables retailers and Original Equipment Manufacturers (OEMs) to secure financing for their customers within minutes.
Strategic Utilization of Funding for Technological Advancements
The newly acquired funds will play a pivotal role in propelling Finayo’s technological advancements, aiming to fortify its position in India’s rapidly evolving EV financing landscape. According to a press release by Finayo, the strategic allocation of funds will be instrumental in further expanding the platform’s reach and enhancing its capabilities.
Competitive Landscape in EV Financing
Finayo operates in a dynamic market alongside other major players in the EV financing sector, such as Revfin, Muffin Green Finance, Greaves Finance, Ascend Capital, and Ecofy. The heightened competition underscores the growing importance of financial support structures for the burgeoning electric vehicle industry.
Financial Performance and Growth Trajectory
Despite being in the pre-revenue stage until the fiscal year 2023, Finayo has demonstrated remarkable growth, with operating revenue doubling to Rs 5.5 lakh in the last fiscal year. However, the journey has been challenging, as reflected in the financial statements submitted to the Registrar of Companies (RoC). The company’s losses surged to Rs 41.78 lakhs in FY23 from Rs 6.59 lakhs in FY22. This underscores the company’s commitment to aggressive expansion and development, even at the cost of short-term financial setbacks.
Charting the Course for Sustainable Mobility
Finayo’s strategic funding and focus on technological innovation position it as a key player in shaping India’s sustainable mobility landscape. As the electric vehicle market continues to gain momentum, Finayo’s efforts are poised to play a crucial role in driving accessibility and affordability in the EV sector, bringing us closer to a greener and more sustainable future.
