A family-owned startup that began with a $100,000 Kickstarter campaign has secured $62 million from Camino Partners, the investment firm founded by KIND Snacks creator Daniel Lubetzky.
Intake Breathing, which sells magnetic nasal dilators designed to open the nasal passages, is approaching $100 million in annual revenue after years of selling primarily through its own website and Amazon. The Santa Barbara company now plans to move into major retail stores, putting itself in direct competition with established brands in the nasal strip market.
The investment is Intake's first institutional funding since it was founded in 2019 by medical device inventor Jim Castillo, his daughter Natalie and son-in-law Alex Hauck, who serves as CEO.
The product emerged from Castillo's attempts to create a better alternative to conventional adhesive nasal strips. Instead of using a flexible band that stretches across the nose, Intake uses two adhesive tabs with small magnetic connectors and a reusable rigid band that pulls the sides of the nose outward.
The company initially found customers among athletes and people looking to improve their breathing during exercise or sleep. Its products have appeared on professional athletes, including Manchester City footballer Erling Haaland, and were featured at New York Fashion Week.
Intake says it has sold more than 100 million pairs of breathing tabs since 2023, with triple-digit compound annual growth over the past three years.
Those sales have largely come through direct-to-consumer channels, where the company can control its marketing, pricing and customer relationships.
The next stage is considerably more complicated.
Selling through large retailers requires consistent inventory, wider distribution, new packaging decisions and relationships with buyers who manage thousands of competing products.
Camino brings experience in precisely that transition. KIND helped turn nutrition bars into a mainstream snack category, expanding beyond their original placement alongside specialist health products.
Elle Lanning, Camino's president, sees a similar opportunity in nasal breathing products.
According to data cited by the investor, 74% of Intake's customers had not previously purchased traditional nasal strips, suggesting the company is attracting consumers who were not part of the existing category.
That matters because Intake is not simply trying to win market share from Breathe Right, the established nasal strip brand. It is attempting to expand when and why consumers use nasal breathing products.
Breathe Right's parent, Prestige Consumer Healthcare, recently acquired the brand in a transaction valued at approximately $1 billion, highlighting the commercial value of the category.
Intake's rise also comes amid a wider consumer interest in products marketed around sleep, recovery and everyday wellness. Brands selling mouth tape and other breathing accessories have emerged alongside more established health products.
But popularity and medical effectiveness are separate questions. Intake's sales growth does not independently establish the extent to which its products improve athletic performance or sleep outcomes.
Hauck says the company will use its new capital to recruit experienced retail executives, strengthen operations and expand distribution.
Camino has not disclosed the valuation or ownership stake associated with its investment.
For a company that largely built its business without institutional capital, the next challenge is moving from online sales to national retail without losing the customer demand that supported its early growth.
Sources: Beauty Independent · Modern Retail · Axios