Is Mumbai auto driver's Rs 8 lakh/month hustle VC fundable? Sanjeev Bikhchandani responds

A Mumbai autorickshaw driver's ingenious solution to a common problem outside the US Consulate has sparked a viral conversation, with Info Edge founder Sanjeev Bikhchandani weighing in on its investment potential. The driver has found a lucrative niche by offering safe storage for bags, which are prohibited inside the consulate premises, reportedly earning between Rs 5 lakh to Rs 8 lakh a month without even driving his auto.

The story gained traction 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. While the fee might seem steep, it provides a crucial service for visa applicants anxious about missing appointments. Rupani's post highlighted the driver's entrepreneurial flair, noting he serves 20-30 customers daily, pulling in Rs 20,000-Rs 30,000 a day.

But, Sanjeev Bikhchandani, a prominent figure in India's startup ecosystem, offered a different perspective on the venture's scalability and investment viability. Responding to a friend, Dinesh Khanna, who asked if the idea was "VC fundable," Bikhchandani's answer was a firm "no."

On X, Bikhchandani laid out his reasons: "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)."