Will Dean Forced Out Of Tough Mudder (And What Else Co-Founder Lawsuit Alleges)

Stories have been circulating for months that Tough Mudder is in tough financial straits: vendors and race winners had not been paid, and TMHQ recently announced that there would be no prize money for any races in 2019.  Last week reports emerged about a lawsuit against Tough Mudder by one of its co-founders, and the complaint pulls back the curtain on the company’s strained balance sheets.

Guy Livingstone co-founded Tough Mudder with his friend Will Dean, who became the face of the company. Anyone who read Dean’s book “It Takes a Tribe” will recognize the name, but the book doesn’t discuss much of Livingstone’s role in the company. While I had assumed this omission had to do with the vanity-project nature of Dean’s book, it now appears that it was a sign of the crumbling relationship between the company’s founders.

The complaint outlines the company’s financial history, from its heyday in 2012 when it made a profit of $10 million, to its current state, where it relied on $18 million in outside financing to keep the operation going. A caveat: this complaint is clearly Livingstone’s side of the story. We have not seen Tough Mudder’s response, nor have the underlying financial documents been revealed. Still, the details are juicy.

According to Livingstone, he pulled back his involvement in the company in 2013, at which point the company started to falter. Tough Mudder was eventually bailed out by Active Network LLC. You will recognize the name from your credit card statement if you have signed up for a local 5K, an Ironman, or any number of other athletic events.

Over the next few years, Tough Mudder went deeper and deeper into debt to Active. At the end of last year, Active tried to find a buyer for Tough Mudder, and when it failed, it moved on to a more aggressive plan: in exchange for its debt, it took control of the company and forced Dean to resign. The litigation stems in part from the terms of Dean’s severance package. Tough Mudder was owned by Dean and Livingstone, 60/40. According to the lawsuit, Dean negotiated his exit without Livingstone’s knowledge or consent, handing over his control to Active.

What does this mean for the average weekend racer? Ironically, all this bad news for two wealthy Englishmen could be good news for the rest of us. Unlike the original Tough Mudder, a scrappy startup with a stubborn leader, Active is a big company. Most of it was recently sold for $1.2 billion to Global Payments Inc., a multi-billion dollar payments conglomerate. This means that Tough Mudder is now controlled by a company with deep pockets owned by a bigger company with even deeper pockets. They have already made changes: a new president took over at TMHQ, Kyle McLaughlin.

Mr. McLaughlin appears to have a strong background in events management and doesn’t seem as interested in promoting himself the way Dean did. If he can right the ship, Tough Mudder could have a future. The flip side is that the company is now controlled by people at a greater distance from the product and who have no history in the sport of OCR. Should Tough Mudder fail to break even this year, even without handing out prize money, the new overlords might find it easier to pull the plug. They will also need to find a way to resolve what could be a very expensive judgment against the company in the form of Livingstone’s lawsuit.

We have scheduled an upcoming podcast breaking down this even further in the coming days.

Hunter McIntyre – T Minus 30


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Hunter McIntyre Podcast OpenFit

Hunter McIntyre is back on the show to talk about his new fitness workout plan:

Tough Mudder T-Minus 30.

We will also discuss:

  • What 10-year-old Hunter was up to.
  • The new batch of athletes he’s surrounding himself with, in Colorado.
  • What it’s going to take to #GetHunterToTheGames.
  • Special appearance by Matt Kempson.
  • So much more.

Todays Podcast is sponsored by:

Tough Mudder T Minus 30 Program

Show Notes:

Support Us On Patreon

Listen using the player below or the iTunes/Stitcher links at the top of this page. 

State Of The Obstacle Racing Industry – 2019

Obstacle racing attendance

To set the stage for our first article of this kind in 4 years, let’s take a look back to some recent history in the obstacle racing industry.

In December of 2014, Spartan Race, Tough Mudder, and Warrior Dash were well-established as the “Big 3” in OCR and we asked if BattleFrog Series had positioned itself as the 4th player in the space. Great obstacles and professionally produced races were quickly making BattleFrog a  fan favorite with participants looking to mix it up with something besides more Tough Mudder headbands or Spartan Trifecta medals.

Over the next year, BattleFrog announced a massive expansion to 44 races and the biggest payouts the industry had ever seen. They also announced sponsorship of a major College Football Bowl Game in January of 2016, which never made sense to anyone. Eight months later, they closed their doors.

Football fans (no pun intended) could considerBattleFrog as the XFL of obstacle racing. They were new and shiny, had money, and willing to take some risks. They were one of the first to promote obstacle completion over penalties, and they introduced obstacle difficulty lanes. However, the front office seemed to lack the basic know-how needed to compete with the big boys, long term.  There was the Bowl Game sponsorship, along with online ads that promoted sales, not unlike your local rug merchant.

Had BattleFrog been willing to take it slowly, stick to 12-20 markets a year, perhaps even stick to the East coast to minimize costs, and continued to innovate, we may have a different industry. They could have taken market share from the big 3 over time. But, like so many “take over the world today/gone tomorrow” business ideas, they tried to go nationwide overnight. They spent lots of money in wrong places, and could not convert that to high attendance numbers. Leo Fernandez Pujals, the money man at BattleFrog and one of the richest men in Spain, pulled the plug suddenly, after what would be their last event in August of 2016.

So how has everyone else been faring in the last few years? For the purposes of this article, Obstacle Racing Media will focus on industry changes on the United States based companies. We are working on some content for the future that will speak to the growth of worldwide OCR.

Update On The Big 3

*Spartan Race

When our last report went live, Boston-based Spartan Race was still undergoing expansion. They tripled their 2012 attendance numbers to a whopping 320 thousand finishers by end of 2014. While the exploding “hockey stick” growth has slowed, Spartan is still on the upswing. 2018 numbers saw them produce 63 events in the United States and their attendance was over 400 thousand participants. There are currently 57 races on the schedule for 2019.

*Of the Big 3, Spartan is the only race that we can confirm yearly, public-facing, finisher numbers through Athlinks. For Tough Mudder, Warrior Dash, and most other races, we will base information on factors such as the number of events per year, and attendance numbers given to us by the race organizations themselves.

Warrior Dash

In our 2015 article, we spoke about how Red Frog (Warrior Dash’s parent company) has suffered the largest retraction in the OCR boom-bust of 2012-2014. However, Red Frog has been steady the last 3 years with 23 events nationwide, and the same amount scheduled for 2019. For their “10th season”, Warrior Dash is announcing new obstacles and launching a two-lap and 1-mile option.

Tough Mudder

Tough Mudder has undergone the most changes since our last report. Right around the time that BattleFrog went out of business in the fall of 2016, Tough Mudder began a year-long stretch of announcing new formats, large payouts, and media deals with CBS, Facebook, Amazon, and The CW. Along the way, they continued to produce 35-38 Tough Mudder events per year. Toward the end of 2018, there were rumblings of financial troubles as athletes complained of payment delays. Last month, TMHQ announced a new stripped down “back to our roots” campaign with the removal of all cash prize payouts. Currently, 26 events are scheduled for 2019.

Rugged

Why is Rugged Maniac in The Big Three subsection? Because they have proven they belong. The guys at Rugged probably do the least media/ self-promotion, and somehow have made some of the biggest splashes in our industry. Mark Cuban cashed out his famous investment in August of last year when Rugged got acquired by GateHouse Media. From 11 events in 2011, Rugged had brought their race weekend total to 24 events when ORM last did an update. Still growing steadily, they did 29 events in 2018 and will produce the same number of events this year. According to the participant numbers that they provided, their attendance numbers per race have gone down slightly. However, they now put on more events per year than Mudder or Warrior Dash and have very healthy registration numbers.

The Next Tier

Savage Race

Back in 2015, Savage received praise for doing things the “right way”. As opposed to the nuclear rocket-ship takeover plan of BattleFrog and so many others, Savage has continued to grow slowly. They still add a few cities every couple of years, expanding to 15 weekends in 2019. Their attendance has maintained the same or been slightly increased in their most successful markets. Last year they began adding a Sunday, short course “Blitz” with payouts.

BoneFrog Challenge

BoneFrog was created by ex-Navy Seals in Western Massachusetts back in 2013. The put on 10 events last year and are scheduled to put on as many this year. Even though they are an early player in the space, they’ve struggled to get big attendance numbers and may need some help to stay afloat long term.

Regional Series

Conquer The Gauntlet started in Oklahoma and Arkansas back in 2012 and in their largest year, had 9 events. They’ve scaled back to 6 events for 2019, and those appear to be healthy.

Florida’s Mud Endeavor and the northeast’s City Challenge both have been producing 4-5 events since the early days of OCR and are well received in their regions.

Epic Series, which focuses on CrossFit style exercises combined with obstacles, minus the mud, are expanding to 7 events in the southwest region of the U.S. in 2019.

Whatever happened to:

In our 2015 article, we listed Down and Dirty as a potential “Big 4” member. Down and Dirty snagged Subaru as their title sponsor after losing Merrell but seemed eager to leave the industry and closed up shop in early 2016.

Other races with multiple locations that have also left the scene since our last report was Dirty Girl, Ridiculous Obstacle Course, Bad Ass Dash, Men’s Health Urbanathlon and West Coast-based Gladiator Rock N Run.

Summation & Forecasting: Since our last report, the industry apparently still had some market correction of the 2012-2015 boom-bust to experience over the next two years. Since 2017, the dust has had lots of time to settle, and we are left with what appears to be a healthy industry.

Some may see the reduction in events of Tough Mudder and their loss of TV contracts as a sign that they are on the way out. It’s very possible, that they are experiencing their own personal market hangover later than they should have. Putting on 26 events (which is essentially every other weekend in a year) has worked well for Rugged Maniac and Warrior Dash. If Tough Mudder tightens the financial reins and can still build quality obstacles while creating a first class experience like their competitors, they can probably rebound.

*Special thanks to Stuart Clark for his assistance with extensive data research. Art direction by Patrick Keyser.

 

World’s Toughest Mudder – An Ode to Pissing in My Wetsuit

When I think about the world’s toughest race
A mudder that put me in my place
The memory that I cannot replace
Is pissing in my wetsuit

I registered in the previous year
My training plan became more clear
A piece of training I never went near
Was pissing in my wetsuit

The forecast was cold for our race day
The five-mile course ahead of us lay
Nolan and Eli never bothered to say
We’d be pissing in our wetsuits

Worlds Toughest Mudder GirlThis competitor probably pissed in her wetsuit

The first couple laps were warm and free
The sun was out, everyone could see
I figured no other runner would be
Pissing in their wetsuit

The sun went down and it turned cold
The time had come for me to be bold
And deliver a liquid colored gold
By pissing in my wetsuit

The first couple times were totally weird
Being seen by others is what I feared
But eventually I became less skeered
Of pissing in my wetsuit

Worlds Toughest Mudder PondThe pond was the perfect place for pissing in your wetsuit

Turning laps, my heart would pound
My friends and family I couldn’t let down
I mastered the art of walking around
Just pissing in my wetsuit

As grass and obstacles turned to ice
The liquid warmth was really nice
Some laps I would even go twice
By pissing in my wetsuit

When the race was over my body was toast
My pit crew wouldn’t even come close
The smell of ammonia was super gross
From pissing in my wetsuit

Worlds Toughest Mudder WoodsTwo Ryans – Possibly Pissed in their Wetsuits

When I got home and cleaned my stuff
A simple scrub was not enough
Removing the smell was really tough
From pissing in my wetsuit

I watched the special on TV
They didn’t mention, I didn’t see
That Rea and Kris, I guarantee
Were pissing in their wetsuits

The moral of this story is
If during the race you have to wizz
The only acceptable answer is
Pissing in your wetsuit

Worlds Toughest Mudder Mendoza

I guarantee these guys pissed in their wetsuits

All Photo Credit Goes to OCR Nation

 

Tough Mudder Stadium Race

Tough Mudder announced they are putting on a stadium race in the spring of 2019. The first event, affectionately titled “Tough Mudder’s Cousin In A Stadium” will take place an hour and a half northwest of London, in Northhampton, England. The event will be located at Franklin’s Gardens, home of The Northhampton Saints Rugby Club.

The original “Tough Mudder 5K” hoped to get new participants by removing fire, ice, and electricity from the “Classic” course. “5K Urban” takes it one step further by stating “The Tough Mudder 5K Urban series has no water or mud due to its city-based locations”. They do promise 5k (3.1 miles), 13 obstacles, and a brand new green headband.

Unlike a typical Tough Mudder weekend,  the “Stadium Urban 5K” will begin on Friday, and end on Saturday. The “Up Late” Friday evening waves will run from 6:00 pm – 8:00 pm, and Saturday heats will go from 8:30 am to 1:45 pm

Costs: Entrance – £42 ($52), Bag Drog – £3 ($3.78) which goes to charity, Spectators – Free

The Spartan Stadium series has been immensely successful over the last several years. Will we see similar success with Tough Mudder? Will the Tough Mudder Urban 5k make it’s way to the USA? Stay tuned, true believers.

Fun Fact: Once upon a time, Tough Mudder announced the first ever Urban Mudder. It was a 5-mile “no mud” event they called Tough Mudder’s Cousin in the City. We had a great time as you can see in the video below. 

World’s Toughest Mudder 2018

Prologue

As a World’s Toughest Mudder novice, I was not sure what to expect, going into the race. I read the rules, I listened to pre-race podcasts, asked advice from past participants, followed the social media frenzy leading up to the event, and I scoured through articles and information provided from prior years. Planning for World’s Toughest Mudder was quite an ordeal in itself! While I had previously competed in other Ultra distance obstacle and trail races, preparing for a 24 hour event was a marathon of research, prepping, packing, and list-checking. At the advice of others, I purchased a full body wetsuit, neoprene gloves, neoprene hats, and a waterproof headlamp. I organized my nutrition, made a plan with my pit crew, and teed up at the start line with my heart on my sleeve. I knew it would be difficult and cold; I knew that I was embarking on the longest, most challenging athletic event of my amateur career to date. I was a little nervous and scared, but I was more excited than anything: excited to test my gear, test my legs, and test my strength against 24 hours of OCR. I knew that this competition would (obviously) be about the mileage and the ability to complete obstacles, but I had no idea this race would end up as more of a contest of grit than any other physical skill or athletic proficiency.

Course Design

The 5 mile loop was relatively flat with only about 600 feet of gain per lap. There was not a lot of single track or technical trail running, and most of the course was gravel roads and dirt paths. Leading up to the race, there had been heavy rain in the area. Most of the course was extremely slick and muddy, with Georgia clay turning into slimy, shoe-sucking smush. The slickness of the running paths resulted in poor shoe traction, excess mud on obstacles like Everest and Mudderhorn, and the slowing of cadence. There were a few steep downhills in the woods that required the use of branches and tree trunks as stabilizers, but the course was still relatively “runnable,” despite conditions. The rain caused traditionally “muddy” obstacles like Mud Mile, Happy Ending, and Kiss of Mud to become swamps of thick mud that engulfed competitors like quicksand. TMHQ maintained the standard rules of allowing (and encouraging) competitors to assist each other through the obstacles and penalty laps were offered in lieu of obstacle completion; across several obstacle failures, participants would max out at an additional 1.6 miles in penalties per loop.

Stoking the fire a bit, TMHQ had some special rules and variations in place that allowed runners to make strategic choices about their race and to earn a “Golden Carabiner,” which worked as a “get out of jail free” pass to either skip obstacles or take alternate routes on course. Runners could earn a Golden Carabiner once hitting the 25 mile (5 lap threshold), as well as by completing more difficult lanes of specified obstacles on course. In the late hours of the night, both Funky Monkey and Leap of Faith included Golden Carabiner lanes that made the regular obstacle even more complex; completion of one of these lanes earned the competitor a Golden Carabiner. Runners could redeem their Golden Carabiner at any other point during the race, either skipping a specific obstacle or being allowed to take an alternate route on course that bypassed a stretch of obstacles. Another spark of ambiguity was a fork in the road halfway through the loop that opened at 8:00 PM; TMHQ had devised two unique routes that competitors could choose between, one having standard obstacles (Quagmire, The Bloc Ness Monster, Leap of Faith, and The Guantlet) and the other having electrocution obstacles (Eletroshock Therapy, Entrapment, and Operation). This “pick your poison” and Golden Carabiner approach to course design maintained the integrity of the 5 mile loop distance, regardless of the route taken.

The Race

The race started at noon on Saturday, and the sun was shining! With a little bit of a wind chill, the temperatures were still warm enough for the short sleeves and smiles. Our first lap was a 5 mile tour and preview of the course-no obstacles; competitors took a Golden Carabiner route through the first lap, bypassing a view of some of the obstacles. For the first hour of the race, none of the obstacles were opened; beginning at 1:00 PM, obstacles were methodically opened via a rolling start through the course. By 3:00 PM, all of the 26 obstacles were opened (except for The Stacks, which opened at midnight). Most competitors started their first lap with a strong pace, full of excitement and energy about the day that lay ahead of us. I saw and felt that speed and enthusiasm on course, as runners continued into laps two and three.

Hitting obstacles as they started to open, I finished my second lap wet. The heat of my running pace and the sunshine kept me comfortable, and the blue skies created a beautiful backdrop to the event. Coming back around Mudderhorn and into the pit area at the completion of my third lap, the sun was moving towards the horizon. The Georgia autumn wind started to pick up and I began to realize just how cold this race was going to be. I was able to complete three laps fairly quickly and hit my pit crew before sunset. My wetsuit and headlamp went on for lap four, and the wetsuit never came off until I crossed the finish line. Watching the sunset from Ladder to Hell around 1.5 miles into my fourth lap was a special memory from that day; this tall obstacle was placed at the top of a hill, giving a panoramic view of the streaked paintbrush of dusk settling over the race. By the time I came into my pit for my fifth lap, the sun had settled over the edge of the woods.

As soon as darkness hit, the temperatures began to drop. Many competitors decided to opt out of active participation and camp out in their tents, avoiding the course in the cold. Throughout the night (my laps six to nine, approximately 10:00 PM to 6:00 AM) the course was relatively empty. I experienced long stretches of running alone, occasionally being passed my elite men and spotting other headlamps through the woods in the distance. With the temperatures in the low thirties, many obstacles began to ice over – even the grass and trees surrounding the course began to freeze. Around midnight, the TMHQ team began to methodically shut down certain obstacles, specifically those that resulted in total head submersion, as well as some of the obstacles that had dangerously slick frost. As a precautionary measure to ensure runners’ safety, obstacles such as Under Water Tunnels, Lumber Jacked, Skidmarked, Berlin Walls, Cage Crawl, and The Gauntlet were closed until sunrise. Many of the other water obstacles did remain open throughout the night, including Augustus Loop, Mud Mile, Twin Peaks, Funky Monkey, Happy Ending, and The Stacks (once opened at midnight).

Even with the improvised TMHQ safety modifications to the course, competitors that continued to fight overnight for mileage remained wet, muddy, and cold. The vibe on the course had shifted from energy and excitement to quiet perseverance and steady focus. Runners fought the conditions and their own demons to sustain a pace quick enough to stay warm, but slow enough to maintain shoe traction amidst slick running paths and icy obstacles. Once the sun began to rise on Sunday morning, the dawn brought warmer temperatures, many obstacles re-opened for completion, and the hibernating competitors came back out on course to continue their quest for mileage goals and the desired “24 Hour” finisher headband. The course began to refill with participants, pit crew began to awaken with a renewed sense of vigor, and the festival area began buzzing with excitement again.  By late morning, I was embarking on my final two laps, eleven and twelve; my pace had slowed to intermittent periods of jogging and walking, but I was determined to finish what I had started and reach my 60-mile goal. My last two loops were surreal and dreamlike, with the warmth of the sun back on my shoulders and the realization of the mortality of the event: my 24 hours was almost over. Despite the pain in my legs and the fatigue in my body, I felt so alive running across the finish line. This was my first World’s Toughest Mudder, and certainly not my last.

Epilogue

As I mentioned before, World’s Toughest Mudder became less of a competition of obstacle proficiency and running speed, and more of a test of mental fortitude and determination. Less than 25% of competitors reached 50 miles and less than 2% completed 75 or more miles, which were lower than most of the previous years’ result statistics. There was a clear division amongst competitors (and ultimately, finishers): those that succumbed and submit to the cold, and those that found comfort and resolve in the rawness of the adversity of their circumstances. Only a small group of competitors remained actively on course through the cold, ice, and solitude of the night; less than one-third of the twelve hundred participants maintained a continuous progression of laps through the dark. These are the racers that were able to put their heads down, remain determined, and march onward towards coveted mileage bibs (50 and 75 Mile threshold bibs). World’s Toughest Mudder 2018 was just as I expected it to be; it was an obstacle course race designed to challenge your speed, obstacle technique, physical endurance, and athletic performance.  But World’s Toughest Mudder 2018 was also something that many (including myself) did not expect it to be; it was a trial of overall tenacity, perseverance of will, and the mental grit that it takes to move forward in spite of cold, doubt, fear, and difficulty.