How We Evaluate Brands for Lunr Financing

We hear from emerging CPG brands every day: at trade shows, through referrals. One of the most common questions we hear is: Is Lunr the right financing partner for my brand?

In our earlier article, Finding the Right Financing Partner for Your Consumer Brand, we covered how to prepare your business for capital.

This post is about fit. Specifically, how to know whether Lunr is the right partner for your stage, and what signals we look for when evaluating a partnership with an emerging brand.

What Lunr Does (and Why It’s Different)

Lunr provides flexible inventory financing for emerging consumer brands. That means we pay your manufacturing partners for the inventory you need to launch at omni channel retail, and then we get paid back when the goods are sold. This is different than AR factoring or PO financing.

If you’re scaling into mass, club, or national retail, that cash need can get big fast. And it’s one of the top reasons great brands struggle to meet demand. Here’s how Lunr is different from traditional options:

• We get repaid only after you get paid. That means your cash flow isn’t tied up while waiting on retailer payments, and you’re not making daily or weekly repayments from ongoing revenue or paying upfront interest.
• We fund production upfront. Whether that’s through your co-man, manufacturer, or directly through your ops team, we can support tight timelines. And we fund up to 100% of your cost of goods, transportation costs, and raw materials.
• We act as a strategic partner. Not just a lender. We understand how retail works—and we work alongside you to move quickly and make the most of every opportunity.

Jack Richie, our Director of Finance, often says that timing is everything. “The most painful part of growth for CPG brands is when you’re winning, but you can’t fund the wins,” he says. “That’s exactly where we come in.”

What We Look For in a Brand

Jackie Bae, who leads our Client Success team, works closely with founders to make sure key criteria are met when evaluating a partnership for Lunr. Here’s that list:

At least 12 months of financial history: We need to see a track record, even if it’s still early. A year of clean books gives us the data we need to assess fit and structure financing responsibly.

Demonstrated revenue traction: Consistent sell-through over time helps us understand demand, production needs, and how capital can support your next phase of growth.

Year-over-year growth: We’re not looking for hockey-stick charts, but we do want to see upward progress that reflects product-market fit and execution.

A retail commitment (or you have just had an incredible meeting with your merchant): Lunr is built to support brands entering or scaling within omni channel retail. If you’re preparing for launch with a major retailer, we’re likely a strong match.

Healthy product margins: Margins should allow for both growth and repayment without creating pressure on your business. If you’re working toward margin improvement, we’re happy to talk through what that looks like.

A clear plan to scale—even if you’re not profitable yet: You don’t need to be profitable, but you should understand your unit economics and how capital will help you grow in a sustainable way.

For more specific number thresholds or edge cases, feel free to reach out to our team directly. We’re happy to walk through what we look for in more detail.

What “Ready” Looks Like in the Real World

The best way to understand whether Lunr might be a fit is to see how other brands have used our financing to reach major retail milestones. Here are a few recent examples:

SmashFoods needed capital to launch new snack bites as production costs grew. Lunr funded inventory upfront, allowing them to move quickly. “Lunr just gets it,” said founder Anna Peck.

The result: two new product lines, entry into Costco, 3x revenue growth, and 4,500+ stores in under a year. Read more about our partnership with SmashFoods here. 

1UP Candy was expanding into Walmart, Circle K, and Five Below. Lunr financed production and helped the team scale fast without giving up equity. “It let us focus on growth instead of worrying about how to fund every order.”

1UP grew to 12,000 doors with strong sell-through across all channels. Read more here. 

Lunr has worked with brands in 17 different consumer segments, growth plans, and capital needs. From frozen food to garden care to seasonal retail programs, we’ve helped founders secure production funding, meet tight timelines, and expand into national retail. Additional recent partnerships include:

When in Doubt, Reach Out

If your brand is growing and retail opportunities are starting to take shape, it’s a good time to reach out. You don’t need to be ready for capital today. A quick conversation can help you prepare, whether that means reviewing your numbers, connecting with a fractional CFO, or staying in touch until the timing is right.

“Founders often ask if they need a signed PO before reaching out,” Jackie Bae said. “The earlier we talk, the better. Lunr is unique in that we can fund inventory production even before a PO is issued.”

We built Lunr to support brands through the most critical moments of growth. If you’re facing big opportunities and want a capital partner who understands the pace and complexity of retail, we’d love to hear from you.

Email us at hello@lunrcapital.com or apply now to start the conversation.

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.