The delictable cupcake bakery known for selling cupcakes in a multitude of flavors such as Cookie Dough and their signature Red Velvet Cheesecake, has announced Monday that they will be shutting down their stores. This comes a week after they were delisted from NASDAQ.
According to ABC, it cannot be confirmed how many employees would be affected or how many stores will remain. In an emailed statement sent to employees Monday the company stated, “regrettably Crumbs has been forced to cease operations and is immediately attending to the dislocation of its employees while it evaluates its limited remaining options”. Crumbs will have to file Chapter 7 bankrupcy liquidation.
Crumbs was founded in 2003 and went public in 2011. Since then the company had 65 locations in 12 states and Washington, DC. Recently, Crumbs had reported a $3.8 million loss in sales, lower than the $2 million from the previous year. In May, the company stated it “may be forced to curtail or cease its activities” if they didn’t start to see more of a profit.
For more information on the demise of the cupcake empire, click on over to ABC.