Based on insights from the StartUptoScale Podcast with Settle’s Mel Cafagna and Branden Foote
When you’re growing your CPG brand, operations and financing can quickly become your biggest roadblocks. One minute, you’re hand-building spreadsheets. Next, you’re managing five SKUs, multiple retail partners, and wondering where all your cash went.
In this episode of the Foodbevy Podcast, host Jordan Buckner sits down with Melissa Cafagna and Branden Foote from Settle to discuss the backend systems—and financing tools—you need to scale your brand successfully.
The Scaling Struggle: Why Founders Get Stuck
Growing a brand isn’t just about getting more sales. It’s about keeping your operations, supply chain, and finances in sync—something most brands struggle with.
“I like to think of it as a train on two tracks—cash flow on one side, inventory and supply chain on the other. You need both moving together, or the whole thing crashes.” – Branden Foote
Many founders start with spreadsheets, which work fine—until they don’t. Jordan shared how adding one product broke his carefully-built dashboard. The takeaway? Spreadsheets can’t handle complexity. And in CPG, complexity is guaranteed.
The Essential Backend Tools for CPG Brands
Branden outlines five foundational systems every brand should implement to run their backend efficiently:
1. Inventory Management (IMS)
Know what you have, what you need, and where it’s going.
2. Sales Order Tracking
Stay on top of incoming orders across retail, wholesale, and DTC.
3. Bill Pay
Avoid missed payments and manage cash flow proactively.
4. Procurement Tools
Simplify and automate purchase orders with your suppliers.
5. Reporting and Margin Visibility
Understand your actual costs and profitability, not just revenue.
Trying to track all this in spreadsheets? You’re setting yourself up for mistakes and missed opportunities.
When to Move Beyond Spreadsheets
The short answer: sooner than you think. Branden’s rule of thumb is this:
“If your manual work is outpacing your growth, it’s time to switch.”
The real cost of broken systems? Missed invoices, unfulfilled POs, and thousands of dollars left on the table. As Jordan puts it, “There’s real monetary value to operational errors—and most founders don’t realize it until it’s too late.”
Why the Cash Conversion Cycle Is a Killer
One of the biggest pain points in scaling is the cash conversion cycle—the time between paying for inventory and getting paid by your retailers.
When you move from DTC to wholesale, that timeline stretches. Now you’re paying for inventory months before receiving payment from distributors like KeHE, UNFI, or retailers on Net 45 or Net 60 terms.
“Every founder has that moment where one big retailer wants to double the product—and you don’t have the cash to make it. That’s when the cash crunch hits.” – Jordan Buckner
Navigating the World of Debt Financing
There’s no one-size-fits-all approach to funding growth, but Mel lays out a helpful framework for choosing the right debt options:
✅ Smart Options (for early-stage brands)
- 0% interest credit cards – Great if your supplier accepts them and you have strong personal credit.
- Fintech lenders like Settle – Designed for inventory and operational financing without predatory terms.
⚠️ Caution Zone
- Merchant Cash Advances (Wayflyer, Clearco, etc.)
Fast cash, but expensive. Understand the actual APR, especially if repaid early.
“If a lender doesn’t look at your balance sheet, that’s a red flag. They don’t care how much debt you already have.” – Melissa Cafagna
Mel also reminds founders to have a clear plan for repayment. If you don’t know exactly where the revenue is coming from to pay back the debt, don’t take it.
The Settle Advantage: Connecting Operations with Capital
Settle is more than bill pay—it’s a Finventory platform purpose-built for CPG brands. It connects your backend systems with your financing tools so you can:
- Track real-time landed costs and margins
- Access working capital without high-interest traps
- Improve runway before your next raise
- Get actionable insights from your financials
And for brands raising venture capital, Settle can help stretch equity dollars further by funding repeatable expenses like inventory or packaging, while reserving equity for higher-risk initiatives.
Bonus: What Lenders and Investors Actually Want to See
Settle integrates with QuickBooks, NetSuite, and other platforms to pull in your financials—and help you clean them up. Because when it comes to funding, your books need to be tight.
“If you’re pitching and don’t know your margins, or your books are a mess, that’s a problem. Hire a CPG-focused accountant as soon as you can afford one.” – Melissa Cafagna
Final Thoughts
Most brands fail not because of bad products, but because they can’t manage their backend operations or cash flow. Settle offers the systems and capital tools to help you build a sustainable foundation.
So whether you’re just moving into retail or already feeling the growing pains—don’t wait for your spreadsheet to break. Build the infrastructure now to support your brand’s future.
Ready to get started with Settle?