Over the next five years, Greaves Cotton’s financing company Evfin aims to boost its portfolio of funded electric two-wheelers from its current size of about 12,000 units to 500,000.
By expanding from its current presence in 42 locations to 150–160 cities, evfin hopes to service up to 80% of the EV two-wheeler finance market, which is in line with India’s larger drive toward cleaner transportation options.
Given how quickly the EV market is growing in India, the timing seems ideal. Approximately 8% of all two-wheeler sales are currently electric, and this percentage is predicted to increase as consumer acceptance and infrastructure improve.
Greaves Finance CEO P. B. Sunil Kumar claims that evfin’s approach places a strong emphasis on a wide range of services that set it apart from rivals like banks and conventional non-banking financial businesses (NBFCs). Evfin has been evolving from an advice model since its 2019 start to a full-service finance platform that now offers, among other things, insurance, after-sales services, and charging solutions.
In response to consumer concerns about EV ownership, EVFIN launched a number of financing products, such as EcoFin, a standard financing option, ZipFin, which offers short-term, low-interest loans, and SmartFin and RightFin, which provide buyback options for consumers worried about resale value. In an effort to foster confidence and promote EV adoption, Kumar pointed out that these products give consumers financial security and flexibility.
A key component of Evfin’s expansion strategy is its simplified digital finance approach. Loan approvals can be completed in as little as 2.5 minutes thanks to the platform, while loan payments happen in 4–5 hours. In order to draw clients, Kumar emphasized the need of speed, saying, “The faster turnaround is the key.” Since its rebranding in 2023, Evfin has disbursed loans totaling more than Rs 100 crore and now oversees assets valued at more than Rs 150 crore.
Evfin’s “bounce rate,” also known as the missed payment rate, is less than 5%, which is significantly lower than the industry average of about 15%. This makes it more appealing to conservative investors. Furthermore, evfin’s loan rate, which has an internal rate of return (IRR) of roughly 16.7%, is lower than the industry average of 19–21%. This helps draw in price-conscious clients without compromising the quality of their credit.