The American company Bed Bath & Beyond, the largest American company selling specialty goods filed for bankruptcy and is soon to go out of business.
The official website of the company displayed a message that expressed the gratitude of company to all of its loyal customers. It read that the company has made a decision to begin to wind down its operations.
The message said that the decision was hard on the company too and that it was not an easy one to make. The message also read that the Bed Bath & Beyond stores and the buybuy BABY stores will remain open to serve the customers.
The company has 360 store locations for its Bed Bath and Beyond products and 120 stores for its buybuy BABY products, both of which will remain open, as of now.
As per the records, the company has in its bank account more than a million US dollars to conduct the operations during its bankruptcy proceedings. The most awaited category is not the customers but its employees numbering above 41,000 who have no idea what is going to happen to them next.
Many times, just because a company filed for bankruptcy it does not necessarily mean that they are about to go out of business.
Many giant companies in the face of the financial crisis that make them longer able to afford debt have filed for bankruptcy and have emerged back into the business over time. There are reports that suggest the future of Bed Bath & Beyond is uncertain even if it manages to come out of bankruptcy.
As of now, the company has set a date for store close sales, which is two days from today. And if the company gets successful in winning a buyer then the stores won’t be closed and all of the employees will not lose their jobs.
Top marketplace experts have suggested that there are chances for the company to remain as an only online retailer with zero physical stores.
The company issued a statement to say that the bankruptcy filing was its own voluntary decision and that it was about to implement an orderly wind-down of its businesses. And, in the meantime, there will be a limited marketing process to give time for buyers to buy one or more sales of some or all of its assets.
Sue Gove, the Chief Executive Officer of Bed Bath & Beyond stated that the company will not stop working to increase value for the benefit of all stakeholders of the company.
He appreciated the company’s associates, customers, partners, and all the communities that it served for staying as loyal as possible throughout the difficult times.
Earlier in January there were reports that said the company was facing a major existential crisis. What posed as factors behind the downfall of the company are changing habits of the customers that led to a sharp decline in its sales over the years.
The other competitors that rose to the field and the loyal customers who started to search for new options led to some of the products going out of demand in the market.
The company went behind the trend when it was not quick enough to meet the changing needs of the customers and the restrictions that were present in the manufacture of certain goods.
In the same month, the company said in a government filing that it defaulted on its loans and there were no funds waiting to be repaid in the debt category.
Bed Bath & Beyond Bankruptcy: What Happens Now?
The company had a page on its official website that had further details about its closure. The website says that the store closing sales were set to start on April 26, 2023. There was a message that welcomed the buyers to come and shop for their favorite products while the merchandise selection was at its best.
The company informed us that Bed Bath & Beyond customers will still have the option to shop online until a further update comes. It also informed that the customers will have the option to continue to use the Bed Bath & Beyond app and the buybuy BABY app unless a further update that states otherwise comes.
Another concern that many of the customers had were regarding the online orders that are already placed. Those who had placed the order but not received the product yet wanted to know whether they would receive it or not. The company addressed this by saying that the in-stock orders will be fulfilled.
It is to be noted the product that is bought during the store closing sales will be final and there won’t be an option to return or exchange.
And for the products purchased before that. The last date to approach the stores for any kind of returns and exchanges will be April 26. The company still runs on its old policies and the new ones can come to practice at any hour today, April 24.
Bed Bath & Beyond customers will have the option to redeem merchandise credits until May 15, 2023. The customers will have the option to use gift cards until May 8, 2023. By the start of the store’s close sales, customers will lose the privilege to use their buyer coupons.