The Betsey Johnson Bankruptcy

Betsey Johnson LLC filed for bankruptcy back in April when the recession caused a major downslide in sales. The company sells eclectic jewelry, clothes, and purses for moderate to high prices, and is often sought after by middle and upper-class Americans, The bright colors and bling of Betsey Johnson products used to draw in a crowd, but the company has slowly seen their products fain less popularity in the fashion world. Some assume that fashion trends, which are now focusing on vintage and rustic jewelry, are pushing away the rainbow and rhinestones that is featured on Betsey Johnson products. While the company is still selling their products in all major department stores and their outlet shops, they are trying to restructure the company and get the money they need to eliminate their debt.

Despite the bankruptcy, Betsey Johnson came up with the money to throw herself a late birthday bash. The designer turned 70 this year, and celebrated with confetti, a fashion show, and a performance by Cyndi Lauper. Johnson’s own daughter popped out of a large faux birthday cake at the party, and her two young children watched while their grandma performed cartwheels and splits. The party was full of folks in the industry who came to honor the youthful grandma. Despite her vivacious personality, Betsey has had it hard recently.

The woman is a breast cancer survivor who lost control of her signature boutiques earlier this year. All 63 of them are going out of business, selling their puffy party dresses at cheap prices. Steve Madden Ltd., which now owns Betsey Johnson, will be selling the company’s clothing and other products on a wholesale basis and online. The brand name will still be sold in department stores. If your business is tumbling downward, then talk to a bankruptcy attorney today to start in on a new financial plan. You may need to declare bankruptcy in order to avoid your creditors and get your finances back in order!