Joining the ranks of other clothing stores around the country, Gymboree Corp., the popular children’s clothing store, is reportedly filing for bankruptcy. According to a report by Bloomberg, the company has not seen a profit since 2011. In the process, the company has lost well over $800 million. The bankruptcy move is in the face of an upcoming interest payment that is owed on their debt.
Gymboree is the latest in a long line of other household name clothing brands to seek bankruptcy. Recent retailers in this group are Payless, American Apparel, PacSun, Wet Seal, Sports Authority and many, many more. The reason for these companies seeking bankruptcy is a mix of various factors, the strongest of which is the rise of affordable and online shopping dominating most of the sales.
Despite how intimidating it can sound, bankruptcy is often one of the best strategies one could employ to free themselves from personal or commercial debt with a fresh start. Even though the term “bankruptcy” is often used, there is more than one form of bankruptcy a person can seek, each with their own benefits for each specific situation. One form of bankruptcy allows a business to keep operating as debts are paid in an arrangement for example. Another form of bankruptcy just starts over with a clean slate and liquidated assets.
If you or someone you know is in insurmountable debt and are looking for relief, bankruptcy may be your best option! Contact an experienced bankruptcy lawyer who could help. Contact the law offices of Joel R Spivack today to schedule a case consultation and discuss which bankruptcy is best for you. Call 856-861-6203 or contact online today!