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Old 07-29-2012, 06:08 PM   #109
Brendan McNamar
Affiliate Brendan McNamar is offline
 
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Join Date: Mar 2010
Location: Glendale  AZ
Posts: 2,216
Re: Stop Anthos from Taking over CrossFit

And now I am 100% convinced Anthos is totally full of **** about their motives.

"Dear CrossFitters:

My name is Bryan Kelly and I am a Managing Director at Anthos Capital. As you may have heard, we have entered into a definitive agreement to purchase Lauren Glassman’s ownership interest in CrossFit subject to court approval. I am writing to tell you about us, respond directly to misunderstandings about our objectives, and to tell you that we will be supportive, non-managing, value-add partners to CrossFit, the affiliates, and the community.

By way of personal background, I have been CrossFitting for the past two years and know and love the CrossFit community. Like many of you, CrossFit has had a profound positive impact on my wellness and life. Due to CrossFit, I’m in better shape at 34 than I was at 24 and I hope that I’ll be even healthier at 44 than I am now. Many of my colleagues are also active CrossFit participants, and feel the same way. I developed tremendous respect for Coach Glassman and the Affiliates in revolutionizing the fitness industry. This is what attracted our firm to consider investing in CrossFit.

We got to know the CrossFit team over several years, built a mutual respect, and became interested in the idea of investing. We learned of Lauren’s interest in selling her shares and reached an agreement with her that we believe will be beneficial to all. Our investment accomplishes several things: it provides Lauren with a fair and orderly transition out of CrossFit (consistent with her role of co-founder of CrossFit and her 50% ownership interest), it doesn’t create substantial financial obligations for CrossFit in connection with a buy out of Lauren’s interests, and it results in Greg having a partner who respects him and his vision and will support him in his efforts to further build the company.

Grossly inaccurate claims have been made about our intentions. For clarity, our plan is to help Coach Glassman professionally execute his vision by playing a supporting, hands off role. Greg will continue as CEO and we will be an investor with no managing responsibilities. We will own 50%, not a majority. We will be equal partners. We have absolutely no desire to change the affiliate model by turning them into Globo gyms. Our core philosophy as investors is to be supportive, non-control partners to the companies and teams we back.

I have met with Greg several times. It is my style to brainstorm and throw out a variety of ideas that the entrepreneur can take or leave as he/she pleases. After hearing feedback from several of you affiliates, my suggestion is that affiliates could benefit if CrossFit HQ (or a third party provider) offered optional technology services (website, member billing, member communication) to Affiliates that wanted them – those that wanted to could employ these initiatives, those that did not want to would conduct business as usual.

We raise ideas, but ultimately the decision is Greg’s and we view our role as one that helps, not directs. More broadly, the reason we are attracted to CrossFit is because of its important Affiliate model. We have absolutely no intention or desire to create a franchise model, tell you how to run your business, or force you to sell products you don’t believe in.

We know the affiliates are the lifeblood of the community and are critical to the long-term success of CrossFit – both as a fitness revolution and as a business. In short, why would an investor want to destroy the future of a company in which they invest? We want to do well in the future by you doing well in the future.

As we all know though, a core tenant of CrossFit is the relentless pursuit of betterment. We’re confident that our partnership can help do that.

Best Regards,

Bryan"

If Bryan was a member of my gym he would now be an ex-member of my gym.
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