The Challenge: Scaling a Creator-Driven Brand Across Major Retail

When YouTube sensation FaZe Rug and venture studio VO/D launched 1UP Candy, they faced a challenge familiar to many emerging CPG brands: how to fund rapid expansion across multiple retailers while preserving equity for strategic growth initiatives.

The brand had all the right ingredients for success–a co-founder with over 50 million followers across social platforms, innovative non-chocolate candy products designed for Gen Z and Gen Alpha consumers, and packaging that disrupted traditional candy aisle aesthetics. With strong initial interest from Walmart, 1UP needed to fund the inventory for this opportunity with Walmart.

https://1upcandy.com/pages/about-us

But candy retail comes with unique challenges. Purchase orders arrive with minimal lead time–sometimes just 60 days or less–and different retailers have varying requirements and timelines. "The candy category operates on incredibly short timelines," explained Erin Wall, President and CRO of Lunr Capital. "Brands need to fund inventory, get it manufactured, and ship it fast. There's no room for delays when you're dealing with major retailers."

For a brand pursuing aggressive multi-retailer expansion, managing inventory financing across these complex dynamics could make or break their growth trajectory.

The Solution: Lunr Capital's Strategic Partnership Model

Lunr Capital was brought on as 1UP Candy’s inventory financing partner at the start of their Walmart launch. From day one, the goal wasn’t just to fund a single PO—it was to enable a long-term retail expansion strategy without giving up equity.

“We chose Lunr because they understood the urgency and complexity of scaling in retail,” said a member of the 1UP Candy team. “They fund inventory directly to our manufacturers, which lets us use our capital for growth–not for floating product costs. That flexibility has been game-changing.”

Unlike traditional venture funding, which often requires brands to trade ownership for operational runway, Lunr’s model helps founders preserve equity while still scaling aggressively. For 1UP, that meant saying yes to retail opportunities without compromising long-term value.

But the support went beyond financing. Lunr’s flexible capital allowed 1UP to manage the nuances of multi-retailer growth–handling varying order volumes, delivery timelines, and compliance needs across partners like Walmart, Five Below, and Circle K.

On top of that, Lunr acted as a true strategic partner. The team supported 1UP through key retail milestones, shared best practices for scaling creator-led brands, introduced equity investors, and helped grow broker and distribution networks.

“It’s not just about money,” said Erin Wall, President and CRO of Lunr Capital. “We work side-by-side with our brands to navigate the messy middle of retail—so they can focus on building something great.”

The Results: From Launch to 12,000 Doors

The partnership's impact was immediate and substantial. Following their Walmart launch, 1UP Candy achieved remarkable growth milestones:

• Achieved full chain distribution at Walmart
• Grew to 12,000 retail doors nationwide
• Expanded from Walmart to include Circle K and Five Below
• Maintained strong sell-through rates across all retailers

https://1upcandy.com/collections/fruit-chews/products/sour-bursts-fruit-chews-blue

This rapid expansion would have been nearly impossible without flexible inventory financing. As one 1UP team member reflected, "Imagine trying to manage all those different retailer timings and requirements while worrying about whether you can fund them. We needed to focus on growing the business, not managing cash flow gaps."

Scaling Together with Lunr

1UP Candy's success demonstrates how the right financial partnership can transform growth potential into market reality. With Lunr's support, the brand was able to compete effectively against established candy giants, securing premium shelf space and building sustainable retail relationships.

As 1UP continues innovating–launching freeze-dried candy formats and developing Mexican-inspired flavors for 2025–their partnership with Lunr remains central to their expansion strategy. For Lunr Capital, 1UP  represents exactly the type of company we love to work with: an innovative brand, with strong market fit, that needs flexible capital and strategic support to reach their full potential. In an industry where timing is everything and opportunities are fleeting, having the right financial partner can make all the difference.

About Lunr Capital: Lunr Capital provides inventory financing solutions for emerging CPG brands, helping them scale across retail channels without diluting equity. Beyond capital, Lunr serves as a strategic partner, offering guidance and connections to support sustainable growth.