REI’s Accelerator Fund Invests in Renegade Running Retailer
Running is one of the most popular outdoor activities, but more than 96 percent of the businesses targeted to the sport are owned by white people.
REI is doing its part to change that.
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Through its REI Path Ahead Ventures, the accelerator program and investment fund created by the outdoor retailer, the company is making an investment in Renegade Running, a specialty running store based in Oakland, Calif., with a founder of color. The mission of REI’s $30 million Path Ahead program is to support businesses owned by Black, Indigenous, Latinx, Asian American and Pacific Islanders.
The amount of the investment in Renegade Running was not disclosed, but the company said it will use the funds to “take its mission to additional communities,” starting with a pop-up at the Los Angeles Marathon this spring.
Renegade Running was founded in 2020 by Victor Diaz with a goal to help members in his community connect to the joy and benefits of running. Running had helped Diaz manage his stressful job as a public-school educator in underserved communities. He switched gears and opened Renegade Running in the spring of 2020 after noticing a lack of diversity at many of Oakland’s running events, clubs and stores.
“Running is a sport built around community, which can be especially beneficial to those living in underserved neighborhoods,” said Diaz. “Local run shops often serve as a place to convene that connection, but for those who don’t see themselves represented in running culture — especially in a community as diverse as Oakland — they can be intimidating.”
Renegade Running is designed to service both elite and recreational runners, which is evident in the store’s layout and product offering. In addition to established brands such as Nike, Hoka, Asics and On, it offers under-the-radar brands such as Nnormal, Norda, Speedland and 4t2. It also organizes events and experiences for its customers, and through a sponsorship with Nike, offers Camp Renegade, a summer running camp for high schoolers.
“When you come into Renegade, you’ll see people whose faces and experiences are almost never portrayed in traditional running media,” Diaz said. “You’ll find unique brands, very few of which you can find at other specialty shops in the country. Many of the people who participate in our workshops and clinics don’t consider themselves to be ‘runners.’”
Diaz plans to use the money from REI to expand beyond Oakland to other communities.
“We believe that premium run specialty stores like Renegade play a critical role in the future of running by bringing pinnacle brands and products to market, delivering top-tier service, and shaping the culture of run both within their immediate community and as a source of inspiration for runners nationally,” said Fan Zhou, REI’s general manager for run and footwear. “Running is a way people can connect with the outdoors, so we hope that Renegade and stores like it continue to inspire consumers to run.”
“Running can be an incredible way to connect with nature,” added Payam Daniel Abbassian, investment director of REI Path Ahead Ventures. “We’re deeply inspired by the work Renegade has done in Oakland and are proud to partner with them as they advance their mission to make running more inclusive and accessible to more people.”
REI’s Path Ahead fund provides capital in exchange for equity but never takes a controlling interest in any business. The fund has also invested in Alder, a size-inclusive, sustainable women’s outdoors brand; Wheel the World, a travel marketplace focused on people with disabilities; Kobee’s, a natural lip balm brand, and Pynrs, a technical running apparel brand, among others.
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