Cotopaxi was the first company to incorporate as a Benefit Corporation from inception and raise venture funding from institutional investors. With a proven track record including revenue growth of 100% month-over-month, the company plans to use new funds to grow product offerings and launch new gear and apparel categories for customers.
The firm also plans to use the funding to continue expanding their Questival events into additional cities across the United States. The Questival is a 24-hour adventure race that features exciting and quirky physical and social challenges, and benefits local charities while teams compete to win international trips, sportswear, cash and other prizes. More than 6,000 people have participated in the three Questivals to date. With the launch Questival taking place in 2014, Cotopaxi plans on more than 20 Questivals in 2015.
Since launching 11 months ago, Cotopaxi has more than doubled its team of e-commerce experts and humanitarians who share a vision of providing high-quality gear to adventurers and urbanites everywhere.
“Greycroft Partners brings tremendous e-commerce experience to Cotopaxi and we can’t wait to work with them to expand on our unique offline to online customer acquisition events,” said Davis Smith, CEO and co-founder of Cotopaxi. “Today’s consumers not only demand high quality products, but they want transparency into how goods are made and they also value making a social impact with their purchases. Cotopaxi not only delivers quality performance gear and clothing, but our customers have a direct impact on making the world a better place.”
“With an incredible mission and variety of outdoor and lifestyle products along with strong charitable partners, Cotopaxi is a rapidly emerging brand in the quickly growing direct to consumer e-commerce sector,” said Ellie Wheeler, Principal at Greycroft Partners. “The quality of Cotopaxi products and the work that they do, all over the world, is second to none and we’re delighted to work with Davis and his team on expansion and growth in the coming months.”
Cotopaxi products are manufactured in sweatshop-free factories that offer sustainable, equitable wages to the employees and adhere to strict fair labor practices.
Other investors who participated in the round include NEA, Forerunner Ventures, Lerer Hippeau Ventures and several prominent angel investors such as, Jeff Kearl (Stance), Josh James (Domo), adding to the already impressive list of angels including Neil Blumenthal (Warby Parker), Dave Gilboa (Warby Parker), Andy Dunn (Bonobos), and Brian Lee (The Honest Company).