EV Financing Startup Vidyut Raises $2.5 Mn Funding

Vidyut, a full-stack electric vehicle ecosystem platform has raised $2.5 million in a funding round from global fintech investor Flourish Ventures.

The funding will help Vidyut expand its battery-as-a-service (BaaS) offerings for both passenger and commercial electric vehicles (EVs). This investment supports Vidyut's mission to speed up India's clean energy transition by making EV ownership more accessible and affordable for small and medium businesses (SMBs), according to a press release.

BaaS model lets users lease battery usage instead of buying the battery upfront. This helps customers cut down the initial cost of purchasing an EV. Vidyut's BaaS offerings can reduce the upfront cost of three-wheelers by about 35% to 40%.

Read also- Make in Box Raises $260K In Pre-Series Funding Round

“Through our BaaS offering, we are able to bring the upfront acquisition cost of EVs down by almost 35% to 40%. It reduces the monthly cash outflow for consumers by 10% to 15%,” said Xitij Kothi, Co-founder, Vidyut.

“I think we've seen a phenomenal response to our BaaS offering on the commercial side. These businesses face concerns around unknown recurring capital expenditure, uncertainty around battery life, battery replacement cost, etc. Our model addresses that head on. Hence, at least on the commercial side, we've been able to see a very good response. On the personal vehicle side also, I think the consumer response has been decent," he added.

About Vidyut 

Founded in 2021 by ex-Swiggy and Bounce executives Kothi and Gaurav Srivastava, the Bengaluru-based Vidyut transformed commercial EV financing by separating batteries from EVs and offering them on a pay-per-km subscription basis. This lowered the upfront cost of three-wheeler EVs by 35-40%, making them much cheaper than ICE vehicles from the start.

In 2023, Vidyut expanded to offer EV resale and lifecycle management services, gaining quick customer adoption and market interest. In September 2024, the company entered the passenger EV market with a partnership with JSW MG Motor India, introducing India’s first BaaS model for four-wheelers that reduces vehicle costs by 30%.

With partners like TATA Motors, JSW, MG Motor India, Mahindra Last Mile Mobility, Piaggio, and Euler Motors, and a distribution network across 30 cities, Vidyut has helped micro-entrepreneurs and fleet operators switch to sustainable EVs while increasing their earnings by 10-15%.

The company also launched an EV resale platform for three-wheeler commercial vehicles, covering everything from inspection and valuation to sale and RTO documentation. This platform has simplified the resale process and helped customers earn 10-15% more than with ICE vehicles in the secondary market.

Startup Funding News: Your Gateway to Every Funding Update.

Latest Startup News: Stay updated with the latest startup news and trends. Your go-to source for startup ecosystem updates.

Startup Stories: Discover inspiring tales of startups overcoming challenges and achieving success.