Customer Spotlights

Customer moment: How CAPNOS uses Mercury Working Capital to fund its ecommerce inventory

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Mercury

Brendan Wang, founder and CEO at CAPNOS
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Screenshot of the Mercury Working Capital dashboard
Working capital built for ecommerceExplore LoansMercury is a fintech company, not an FDIC-insured bank. Banking services provided by Choice Financial Group and Evolve Bank & Trust ®️; Members FDIC. Deposit insurance covers the failure of an insured bank.
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We spoke with Brendan Wang, founder and CEO at CAPNOS, about how his company uses Mercury Working Capital to fund inventory purchases, research and development (R&D), and most recently, to assist with equity adjustments.

Feature: Mercury Working Capital

Company: CAPNOS

CEO and co-founder: Brendan Wang

What they’re building: Flavored pressurized air inhalers that help people eliminate, reduce, or replace vaping.

This interview has been lightly edited for clarity.


How does your product/service work?

Our company, CAPNOS, is on a mission to help one million people quit vaping by 2027.

We produce flavored pressurized air inhalers to address behavioral cravings. These work by stimulating the hand-to-mouth sensory expectation and providing a throat-hit sensation using pressurized puffs of air. The devices have zero smoke, zero nicotine, and zero charge; optional natural extracts provide an aromatic sensation with each inhale. Starter packs are available in value or premium options with replaceable flavor refills.

When did you realize that your company could benefit from a working capital solution?

We had found product-market fit by seeing increasing demand for behavioral cessation solutions, so we needed a way to finance additional production orders for both existing and new SKUs. Since we knew working capital would help us achieve sustainable and predictable cash flows, we felt it was the right move to help our business grow.

Did you look into working capital with other providers before Mercury? What was that experience like?

Before Mercury, we’d received working capital from two other providers. One provider assessed terms based on one sales channel, but not the other. The second provider had visibility into CAPNOS financials, but the cost of capital was substantially higher than Mercury’s.

What have you used Mercury Working Capital for? How did investing in those things help you grow?

Right now, we’re on our third financing term with Mercury. We mainly used this for inventory purchases, R&D, and most recently, to assist with equity adjustments. By focusing on product innovation, we aim to continue to be the leading provider of behavioral aids that are accessible to anyone, anytime, and anywhere.

Has consolidating your banking and capital solution to one provider had an impact on your business?

By consolidating capital to one provider, our finances are simpler. There's an established repayment schedule as we don't have to go to multiple sites to pay off our capital loans

Working Capital loans provided by Mercury Technologies, Inc.
1. Banking
Mercury is a fintech company, not an FDIC-insured bank. Banking services provided by Choice Financial Group and Evolve Bank & Trust ®, Members FDIC. Deposit insurance covers the failure of an insured bank.
2 with Mercury makes financial management easy, even if we have backup accounts with other providers.

How important is it for a growing business to have a financing partner?

Having a financing partner for a growing, sustainable business can help reduce the mental toll of raising capital while also building confidence in achieving operational autonomy. Funding specific milestones instead of raising venture capital can be a much more accessible option while positioning a business to remain lean and resourceful.

What is something about the loan platform on Mercury that you appreciate?

Mercury’s loan platform is incredibly easy to use and understand. You can easily see the weekly payment amount, the number of payments remaining, and their scheduled draw dates. What surprised me the most, though, was the cost of capital — it’s much more competitive than what we’ve seen from other providers. That's why we keep coming back.

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Mercury

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