Used two-wheeler platform Vutto has raised $7 million in its Series A funding round, led by global venture capital firm RTP Global, with participation from existing investor Blume Ventures.

The fresh capital will be deployed to expand Vutto’s footprint in Delhi NCR, enter new cities, and further strengthen its three operational pillars, supply, refurbishment, and customer experience.

Building a Phygital Model in a Fragmented Market

Founded in 2024 by Rohit Khurana (ex-Swiggy, Truebil, Shuttl) and Sitaram Ankilla (ex-Shipsy, SuprDaily), Vutto operates a full-stack, phygital platform for buying and selling pre-owned two-wheelers.

The model integrates both digital and offline touchpoints:

• Customers can browse certified vehicles online,
• Test-ride bikes at Vutto’s showrooms, and
• Purchase refurbished vehicles that include a six-month warranty, three free services, and complete support for paperwork, insurance, and financing.

In just one year, Vutto claims to have sold 1,500 vehicles and now runs three showrooms in Delhi, with bikes typically selling within 12 days of listing.

Vutto: Founder Insights and Strategy

The co-founders emphasize that profitability and scalability are central to their playbook.

• “This is a business of building a strong store-level funnel and running a low-cost operating model so that unit economics work. Our first store, launched just a year ago, is already profitable,” said Sitaram Ankilla, adding that the challenge now is to replicate this model at ‘1,000x scale’.
• Co-founder Rohit Khurana noted that while India’s used two-wheeler market is large but fragmented, Vutto aims to “unlock enormous scale” by solving for trust, standardization, and affordability.

Investor Perspective

Explaining the decision to back Vutto, Nishit Garg, Partner at RTP Global, said:

“The team has lived the grind of scaling ops-intensive businesses in India and brings executional muscle to an underserved category. With its refurbishment-led approach, Vutto is building the trust this market has long lacked”.

Blume Ventures, which also led Vutto’s earlier $1 million seed round joined by angel investors from Swiggy, OfBusiness, Tracxn, BatterySmart, and others, doubled down in this round.

Industry Context

India’s used two-wheeler market is massive but difficult to scale.

• In FY24, nearly nine million pre-owned two-wheelers were sold, generating an estimated $3.8 billion in revenue.
• The sector, however, faces challenges such as fragmented supply, thin margins, high operating costs, and customers continuing to prefer local dealers.

This has led to several high-profile shutdowns – including BeepKart, CredR, and Cars24’s two-wheeler vertical. Yet, investors remain bullish. Just last month, TVS Motor committed an additional ₹64 crore investment in DriveX, another pre-owned two-wheeler platform.

Against this backdrop, Vutto’s refurbishment-first, phygital approach is being seen as a differentiator capable of sustaining trust and scale.

Consolidate Operations

With its latest funding, Vutto plans to consolidate operations in NCR before venturing into new territories. The company is betting on its low-cost, high-velocity operating model, sourcing vehicles directly from consumers and banks, refurbishing them in-house, and offering warranties, to break through the barriers that stalled earlier players.

If execution aligns with vision, Vutto could emerge as one of the rare survivors capable of organizing India’s vast but chaotic used two-wheeler market.

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