ProsParity, focused on transforming credit distribution, raises $2M in funding

ProsParity, a fintech startup focused on transforming credit distribution in the electric mobility sector, has raised $2 million in a pre-seed funding round.

The round was led by global institutional investors like BEENEXT, Sparrow Capital, All In Capital, DeVC, and Huddle Ventures.

Additionally, several angel investors participated, including Dr Ashish Gupta (co-founder of Junglee & Helion Ventures), Raj Dugar (ex-Eight Roads Ventures), Dhyanesh Shah (co-founder of Mosaic Wellness), Abhishek Goyal (co-founder of Tracxn), and Nitin Kaushal (co-founder of Country Delight).

Utilization of the raised capital 

The startup plans to use the funds for building proof of concept, developing technology, and expanding origination networks, initially focusing on Central India.

It also aims to build a comprehensive partnership network encompassing OEMs, fleet operators, dealerships, and lenders. ProsParity looks to democratize EV financing for the mass market and achieve an Asset Under Management (AUM) of Rs 100 crore within the next two years.

Making financing more accessible for end customers

Founded by Saurabh Khodke and Anirudh Dhakar, the company aims to simplify and scale financing for electric vehicle (EV) dealers and original equipment manufacturers (OEMs), thereby making financing more accessible for end customers.

The platform aggregates financing demand, enabling lenders to channel their capital into the emerging EV financing asset class.

Addressing EV financing challenges

India's EV market, particularly in the two and three-wheeler space, faces significant financing challenges. High interest rates, low loan-to-value ratios, lengthy approval processes, and limited specialized financing options hinder the growth of electric mobility.

ProsParity's platform seeks to address these issues by providing optimized risk-adjusted returns for lenders and better access to financing for customers.

According to NITI Aayog, the annual loan market for EVs in India is projected to reach INR 3.7 lakh crore by 2030.