Solar installation startup SolarSquare raises $40 million in funding

Mumbai-based solar installation startup SolarSquare has raised $40 million in a Series B funding round, the largest venture capital investment in India's solar sector to date.

The funding was led by Lightspeed Venture Partners, with participation from Lightrock, Elevation Capital, Chris Sacca’s Lowercarbon, Nithin Kamath’s Rainmatter, and Gruhas Proptech.

It is also backed by prominent angel investors, including Meesho’s Vidit Atrey and Sanjeev Barnwal, NoBroker’s Amit Agrawal, Saurabh Garg, and Akhil Gupta, UrbanLadder’s Ashish Goyal, Paytm’s Vijay Shekhar Sharma, and others.

Revolutionizing solar adoption in India

Founded in 2015 by Neeraj Jain, Nikhil Nahar and Shreya Jain, SolarSquare specializes in residential solar solutions, handling every step from design and installation to financing and post-sales maintenance.

The startup claims to have served over 20,000 homes and 200 housing societies across India till date. It is also a leader on the government’s National Solar Portal for residential solar installations.

SolarSquare plans to use the capital to expand its reach from 20 to 50 cities in the next two years, enhance its tech platform, and invest in hiring and brand building.

"Only 1% of homes in India have adopted solar so far - we want to accelerate solar adoption by making it easy for families to make the switch to solar. And that’s why we are the first company in India to offer rooftop solar with a promise of guaranteed savings, taking responsibility for not just the installation but also the performance of solar thereafter," CEO Shreya Mishra said.

Innovations driving growth

SolarSquare employs machine learning technology to monitor solar system performance in real-time, providing alerts for any issues. It also offers a five-year savings guarantee, ensuring customers benefit from their investment.

The startup recently transitioned from developing an NBFC for solar financing to launching an app that aggregates residential solar loan options from various banks and lenders.

“We love the passion with which Shreya, Nikhil, and Neeraj have built the brand, the product, and the full stack experience, and we are confident that they are building a company that will change millions of consumers' lives with energy independence,” said Rahul Taneja, partner at Lightspeed.

"SolarSquare's full-stack approach of owning the entire customer experience has already set them apart and made the solar adoption process much simpler. With supportive policies and rising consumer awareness, SolarSquare is well-positioned to bring reliable, affordable solar energy to millions of Indian homes," said Mukul Arora, Partner at Elevation Capital.