Turno, an electric vehicle (EV)-focused fintech startup, is set to raise $5.5 million (around ₹50 crore) in a pre-Series B funding round, underlining growing investor confidence in India’s commercial EV and clean mobility ecosystem. The fresh round comes at a time when demand for electric three-wheelers and last-mile delivery vehicles is rising steadily across urban and semi-urban India.
The funding round is expected to further strengthen Turno’s position as a key enabler for EV adoption among fleet operators, small transporters, and first-time entrepreneurs who often struggle with access to structured vehicle financing.
Strong Investor Backing Reflects EV Financing Potential
The pre-Series B round is expected to see participation from a mix of domestic and global investors, including Stellaris Venture Partners, British International Investment, B Capital, and Quona Accion Inclusion Fund. Following the round, Turno’s post-money valuation is estimated to be close to ₹492 crore, indicating strong belief in the startup’s long-term growth story.
The company has approved the issuance of compulsorily convertible preference shares as part of the fundraising, a move typically adopted by startups preparing for rapid scaling in the next phase of growth.
What Turno Does and Why It Stands Out
Founded by Hemanth Aluru and Sudhindra Reddy, Turno operates at the intersection of electric mobility and fintech. The startup focuses on the sale and financing of commercial electric vehicles, especially electric three-wheelers, which form the backbone of last-mile transport and logistics in India.
Turno works with multiple EV manufacturers to help customers select vehicles best suited to their usage needs. Beyond vehicle sales, the startup offers tailored financing solutions, enabling drivers and fleet owners to switch from internal combustion engine vehicles to electric alternatives with lower upfront stress.
This end-to-end approach allows Turno to address one of the biggest barriers to EV adoption — affordable and accessible financing.
Use of Funds and Expansion Plans
The capital raised in the pre-Series B round is expected to be used for scaling operations, expanding presence in new cities, strengthening lender partnerships, and improving the company’s technology platform. Turno is also likely to invest in credit underwriting, data analytics, and customer onboarding systems to improve loan approvals and repayment tracking.
The startup already has operations across key EV-friendly markets such as Delhi, Telangana, and Maharashtra, and aims to deepen penetration in high-growth regions where demand for electric commercial vehicles is increasing rapidly.
Financial Performance and Growth Trajectory
Like many growth-stage startups, Turno is currently prioritising scale over immediate profitability. In the last reported financial year, the company posted modest revenues while continuing to report losses due to expansion costs, technology investments, and customer acquisition expenses.
However, investors appear comfortable with this strategy, given the long-term potential of the commercial EV financing segment. With India pushing aggressively toward electric mobility through policy support and infrastructure development, the addressable market for Turno is expected to grow significantly over the coming years.
Building Momentum in India’s EV Ecosystem
Turno’s upcoming fundraise highlights a broader shift in the Indian startup landscape, where capital is increasingly flowing toward sustainable mobility, climate tech, and fintech platforms that solve real-world problems. Commercial EVs are expected to play a crucial role in reducing emissions, lowering fuel costs for operators, and transforming urban transport economics.
As the EV ecosystem matures, platforms like Turno — which combine vehicle access with financial inclusion — are likely to become critical building blocks of India’s clean transport future. With strong investor backing and a clear focus on execution, Turno is positioning itself to be a long-term player in this fast-evolving sector.