Crumbs Bake Shop Inc closed all of its stores nationwide on Monday, and the Crumbs in Larchmont Village fell to the same abrupt decision, shuttering as of the end of business day.
A spokesperson for the New York-based cupcake shop said that the corporation notified employees on Monday that the stores would be closing by the end of the day. “Regrettably Crumbs has been forced to cease operations and is immediately attending to the dislocation of its devoted employees while it evaluates its limited remaining options,” the company said in a statement to The Wall Street Journal. Those options could include a bankruptcy filing, the spokeswoman said.
Crumbs was the leader-in-the-pack of the cupcake craze, with a husband-and-wife team in Manhattan opening its first store in 2003. A shell company eventually took Crumbs public three years ago, but over the last two years the business has seen a decline. The Nasdaq Stock Market suspended trading of Crumbs shares on July 1st, when the company failed to meet the minimum requirement of either having $2.5 million in shareholder equity, or meeting benchmarks for annual net profit or market cap.
Sadly, our Larchmont Village shop was one of 48 stores in 10 states that is shuttered this morning – leaving Crumbs fans at a loss for their Cookies & Cream, Squiggle, or Blackout cupcakes.