From Meter to Millions: How a Mumbai Auto Driver Cracked the Rs 8 Lakh Code - Would You Invest?

In a city where autorickshaw rides typically cost Rs 30 to Rs 300, the idea of a driver earning Rs 8 lakh a month sounds almost unbelievable— until it isn’t. A Mumbai-based auto driver is rewriting the rulebook and social media is paying attention.

A short video, now viral across Instagram and X (formerly Twitter), features the driver breaking down how he turned a single autorickshaw into a thriving business generating lakhs in monthly income. His approach? Think beyond the driver’s seat and run the operation like a fleet-management startup.

Also Read: VC funding into Indian startups surges 43% in H1 2024: Report | Republic World

Business expansion

Starting with just one vehicle, the driver gradually added more rickshaws to his name. Today, he manages a mini fleet of 12 autos, employs drivers on commission, and handles operations like route coordination, maintenance, and customer bookings himself.  While some rides come via aggregator apps, others are booked directly through repeat clientele and WhatsApp referrals, thus giving him better margins and customer stickiness.

According to him, the brilliance lies in simplicity as there’s no office, no app, no venture backing — just sharp business instincts and relentless execution.

Business acumen lauded

The story has struck a chord online. Memes, think pieces, and investor jokes abound — with one post reading, “This man’s business has better unit economics than half the mobility startups I’ve seen pitch this year.”

Startup founders and VCs were quick to take notice. “This is the kind of grassroots entrepreneurship that often gets ignored,” said a Bengaluru-based seed investor on X. “The business is cash-positive, customer-validated, and growing organically. What more do you want?”

Is this VC-fundable?

The story gained countrywide attention after Lenskart’s product leader Rahul Rupani detailed his experience in a LinkedIn post. Rupani, facing a dilemma outside the US Consulate with nowhere to store his bag, was approached by an auto driver offering to safeguard it for Rs 1,000. 

Rupani explained, “Since he can’t legally keep 30 bags in his auto, he’s partnered with a local police officer who owns a nearby locker space. The bags go there — legal, secure, zero hassle. The auto is just the funnel.” 

Despite all the plaudits, some experts point out that not all impressive businesses are fit for venture capital. For instance, Sanjeev Bikhchandani, an eminent person in India's startup ecosystem, offered a contrasting viewpoint on the venture's scalability and investment viability. While responding to a friend, Dinesh Khanna, who asked if the idea was "VC fundable," Bikhchandani's answer was a firm "no."

When asked to cite reasons, he maintained, "Because it is not scalable (unless you extend it to other locations) and it has low barriers to entry (competition can enter easily and cut price) unless your cop friend leans on competition and drives it away, it does not require capital and I cannot figure out what the exit will be (unless perhaps it can list on the SME exchange)."