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American Freight closing all stores amid bankruptcy



Furniture and appliance retailer American Freight is closing all stores nationwide as part of Chapter 11 bankruptcy proceedings by its parent company, Franchise Group Inc.

The company is shuttering all 328 of its stores and initiating store closing sales nationwide as it winds down its operations while its parent company undergoes restructuring. 

On Friday, American Freight said it is offering “significant discounts” on the brand’s full assortment of inventory, up to 30%. Products included in the sale range from living room sets, bedroom furniture, dining tables, and a selection of scratch and dent and new-in-box appliances. 

The closing sales are being managed by Hilco Consumer-Retail.

“Our goal is to deliver outstanding value to customers during this full chain closing sale,” Hilco Consumer-Retail CEO Ian Fredericks said. “Everything is on sale and must be sold.”

The company also said that new inventory is arriving and expected to move quickly.

Furniture and appliance retailer American Freight is closing all stores nationwide. Facebook/American Freight Appliances & Furniture
The chain is offering “significant discounts” on the brand’s full assortment of inventory. Clayton Park/News-Journal / USA TODAY NETWORK via Imagn Images

Earlier this month, Franchise Group Inc. — which also owns brands including Pet Supplies Plus, The Vitamin Shoppe, and Buddy’s Home Furnishings — began bankruptcy proceedings in the U.S. Bankruptcy Court for the District of Delaware.

The proceedings depend on an agreed-upon restructuring deal with holders, aimed at strengthening the Franchise Group’s capital structure and better positioning its other leading brands “for continued sustainable growth.”

Moving forward, Pet Supplies Plus, The Vitamin Shoppe, and Buddy’s Home Furnishings will continue to serve customers as usual both in-store and online.

Earlier this month, Franchise Group Inc. — which also owns brands including Pet Supplies Plus and The Vitamin Shoppe began bankruptcy proceedings. Andriy Blokhin – stock.adobe.com
Moving forward, Pet Supplies Plus, The Vitamin Shoppe, and Buddy’s Home Furnishings will continue to serve customers in-store and online. Sundry Photography – stock.adobe.com

Already this year, store closures in the U.S. outnumber openings, something not seen in 2023 or 2022, according to CRE Daily. 

This comes after 2023 saw more than 4,000 stores announce closure plans, two times higher than the prior year, according to analysis by the Daily on Retail, an investor-oriented consumer research platform, cited by the National Retail Federation. 



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