US non-alcoholic beverage retailer Boisson has moved to close its stores and is set to restructure the business under Chapter 11 bankruptcy protection.
Boisson said the decision “to shift its operational focus is in the best interests of its creditors and other stakeholders”, according to a LinkedIn statement from founder Nicholas Bodkins.
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Founded in 2021, Boisson has five physical locations in New York, where its headquarters are located, and other stores in San Francisco, Los Angeles and Miami.
Boisson CEO Sheetal Aiyer said: “Like many fast-growing consumer startups, the company has faced notable financial challenges in recent months, both in ways to focus investment given the overall complexity of the business as it currently operates, and in broader macroeconomic conditions facing retail and consumer start-ups.
“Significant infrastructure, including fixed costs associated with the retail footprint and bi-coastal warehouse operations further compounded these challenges. Without a necessary restructuring plan, the company could not continue operating. Despite concerted efforts to mitigate these obstacles, the resources available were insufficient to sustain the status quo.”
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Boisson’s e-commerce shop and wholesale operations will become the main focus for the retailer.
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By GlobalDataBodkins wrote in a statement that “other difficult decisions have been made” following the decision to close its physical shops.
“While this is certainly disappointing, taking these actions will allow the company the opportunity to put forth a restructuring plan aimed to focus on the wholesale distribution and e-commerce divisions, which continue to operate, accepting and fulfilling orders without interruption.”
The founder added that this decision is “not the non-alcoholic category’s failure”.
He wrote: “No one should consider this anything other than what it is: a failed venture-backed start-up that grew too quickly, made mistakes, and wasn’t able to find capital fast enough to continue to build three businesses at the same time (bricks and mortar retail, e-commerce, and wholesale import/distribution), which in hindsight, proved to be impossibly hard to execute.”
Boisson served more than 250,000 customers, according to Bodkins, and sold independent non-alcoholic brands such as Ghia, Pentire, Noughty, French Bloom, Kolonne Null and Caleño.
