Commercial vehicle marketplace startup 91trucks has carried out a major restructuring exercise, laying off nearly 70% of its workforce and shutting down dozens of its brick-and-mortar retail stores.

The downsize leaves the company with a lean team of roughly 50 people, down from its previous headcount of around 150 employees.

The move highlights a sudden strategic retreat for the Gurugram-based platform, driven by a sharp mismatch between early optimism and macroeconomic realities.

1. Growth Projections Fall Flat

According to sources close to the company, the restructuring was triggered after 91trucks failed to meet aggressive growth targets over the preceding six months. The business hit a wall due to several factors:

  • Softening Demand: The broader commercial vehicle segment has experienced a distinct demand slowdown, exacerbated by stubborn fuel prices that continue to squeeze the margins of small transport operators and truck owners in smaller towns.
  • Aggressive Offline Expansion: Like several players in the automotive retail space, 91trucks built out a heavy, high-overhead physical footprint that became unsustainable when transaction volumes dipped.

2. A Total Geographic Retreat to the North

91trucks Co-founder and CEO Siddharth Sharma confirmed the headcount reduction, framing it as a necessary consolidation to survive a tough funding environment.

As part of this survival strategy, the company is completely changing its geographic focus:

  • The Closures: Nearly two dozen 91trucks retail stores have been permanently shuttered, with closures heavily concentrated across Southern India and Madhya Pradesh.
  • The Operational Bottleneck: Sharma noted that exiting these markets was largely driven by operational complexities and lengthy timelines involved in backend compliance—specifically Registration Certificate (RC) transfers and inter-state vehicle documentation.
  • The North Focus: Moving forward, 91trucks will retreat to its core stronghold, focusing its remaining capital and resources entirely on the Northern Indian market.

3. Leadership Exits and Pre-Crash Buying

The internal shakeup has extended all the way to the top. The company’s Country Head recently resigned amidst the operational chaos.

The rapid downsizing caught the market by surprise, especially considering the startup’s aggressive expansion moves just a quarter ago. In March 2026, 91trucks acquired Motorfloor and Trucksfloor—two mobility-focused platforms operated by Indiyanet—in an effort to rapidly absorb the commercial vehicle ecosystem.

While the company had been in early discussions to raise around $10 million in fresh funding, the severe cash burn from its offline stores forced its hand into this heavy 70% staff cut to stabilize the business before capital completely ran dry.

4. What It Signals for India’s Mobility Startups

The 91trucks layoffs add to a wider pattern of belt-tightening across India’s new-age startups, where investors are now prioritising a clear path to profitability over rapid expansion. Capital-heavy, offline-led models have been hit hardest, with rising attrition and cost cuts visible elsewhere too—for example, the sharp jump in Zepto’s employee attrition in FY26. By contrast, asset-light mobility players continue to attract capital, as seen in Zypp Electric’s talks to raise $40–50 million. For 91trucks, the bet is that a leaner, North-focused operation can stretch its runway until demand and funding conditions improve.

Frequently Asked Questions

Why did 91trucks lay off 70% of its workforce?

According to sources cited in the report, 91trucks missed aggressive growth targets over six months amid softening commercial vehicle demand and high overheads from its offline stores. The heavy cash burn forced the company to cut about 70% of its staff to conserve capital.

Where is 91trucks based and which markets will it keep?

91trucks is a Gurugram-based commercial vehicle marketplace. As part of its restructuring, it has shut nearly two dozen stores—mainly in Southern India and Madhya Pradesh—and is concentrating its remaining resources on the Northern Indian market.

Was 91trucks raising funding before the layoffs?

Yes. The company had been in early discussions to raise around $10 million in fresh funding, but the cash burn from its physical stores forced it to cut headcount first to stabilise the business before that capital could close.