Solar installation and financing startup SolarSquare announced on November 3 that it had raised Rs 100 crore in a Series A round led by Elevation Capital and Chris Sacca’s multi-billion-dollar climate technology fund Lowercarbon.
Existing investors Good Capital, Rainmatter, Better Capital and angel investors such as Meesho’s Vidit Atrey and Sanjeev Barnwal also participated in the round.

The startup raised Rs 30 crore in a June seed round led by Good Capital with participation from Lowercarbon, Symphony Asia, Rainmatter, Better Capital and GoMassive.

The new funds raised will be used to expand pan-India operations over the next 18-24 months. Currently, the company operates in Bengaluru, Delhi, Gujarat, Hyderabad, Madhya Pradesh and Maharashtra. SolarSquare plans to make a major investment to launch its in-house NBFC, offering 5-minute loan approvals to residential solar buyers.

The company also plans to develop comprehensive technologies such as – consumer apps for monitoring solar power generation, building robust back-end tech dashboards in the customer journey – from order booking to installation, and merchants for installation and sales partners’ end application.

SolarSquare operates regional warehouses in a hub-and-spoke model. Currently, the team size is around 200 people, with plans to add another 100 by the end of 2023. The company is also increasing its leadership hiring.

Founded in 2015 by Indian Institute of Technology Mumbai graduate Neeraj Jain and ex-Panasonic Corp Nikhil Nahar, the company initially worked on B2B projects for solar panel design, installation and financing. In 2020, the third co-founder, serial entrepreneur and IIT Bombay graduate Shreya Mishra joined. The company then decided to become a direct-to-consumer brand, primarily focusing on residential projects in non-metro areas.

Founder and CEO Mishra told Moneycontrol that for the B2B business, the company has partnered with well-known names such as Jindal Steel, Unilever, Panasonic, Reliance and Johnson & Johnson.

The average order value for residential startup projects is around Rs 1.5 to 2 lakh. Over the next 18-24 months, the startup will use the new funds to apply for an NBFC license.

“While solar is a great product, mass adoption requires financing,” Mishra said. “It’s not a value-added service; it’s tied to our core product. Market explosions only happen with financing. The same trend in China has been observed in the US and Australia.”

“With the launch of the NBFC, we will be able to provide EMI financing for a period of five years. Now, customers can choose to have zero interest charges for six months. With this funding, we will apply for an NBFC license,” she added.

“Solar power is now cheaper and cleaner than digging up and burning old dinosaur bones, so it makes sense to put it on your roof,” said billionaire venture capitalist and Lowercarbon founder Chris Sarkar. , especially in the sunniest regions of the world, such as India. But installing panels isn’t always easy. We support Shreya, Neeraj and Nikhil as they have cracked the code for accessible rooftop solar.”

Mukul Arora, Partner at Elevation Capital, added: “SolarSquare’s full-stack business model and product innovation deliver a high-quality experience for consumers, laying the foundation for a technology-first home energy brand.

Shreya, Neeraj and Nikhil’s obsession with customers Their in-depth experience in the solar industry positions them to become a leading company in the climate technology space in India, and we are delighted to partner with them on this journey.”