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Popular Ice Cream Brand Thrives After Bankruptcy Filing

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Popular Ice Cream Brand Thrives After Bankruptcy Filing
Source: Pinterest

Popular Ice Cream Brand Thrives After Bankruptcy Filing

Source: Pinterest

Ample Hills Creamery was established in 2011. Brian Smith and Jackie Cuscuna co-founded it. The company started from scratch when both founders invested all their savings into the business, and it was thriving in its early days.

The ice cream brand had stores across the country with an estimated revenue of over $40 million. Unfortunately, the company faced some financial difficulties, resulting in filing for bankruptcy in March 2020.

Ample Creamery Started in New York in 2011

Source: Pinterest

The Ample Hills Creamery started with a simple ice cream pushcart in Brooklyn, New York 2011. Gradually, it thrived after both founders dedicated their time to it. 

By the year 2020, it had over 13 stores in the country and an online platform that enabled shipping ice cream to customers. It has a unique flavor and was endorsed by celebrities like Oprah Winfrey and Steven Spielberg, which helped boost its popularity and sales. 

Poor Financial Decisions

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Despite the huge success and popularity Ample Creamery has achieved, it experienced a great loss, which led to bankruptcy. This was due to poor financial decisions. 

An attempt to expand the company by building a big factory to meet customer demands eventually led them to file for bankruptcy. 

 

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Founders Filed for Bankruptcy

Source: Pinterest

About six months into the expansion project, both Cuscuna and Smith realized they could no longer fund it, which forced them to abandon it. 

By March 2020, they both gave up and filed for personal bankruptcy, leaving their business hanging with uncertain plans. 

Schmitt Industries Acquired Ample Hills

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Funding a new project can be exhaustive. The couple had to secure loans to to fund it,, but it still didn’t work out. After filing for bankruptcy, Schmitt Industries, a machine part manufacturer that invests in the food business, acquired Ample Hills for $1 million.

After selling it off, it was like a little relief because it helped with some debt issues. Despite the sale of the company, they remained broke, but they were determined to pull through and come back strongly. 

Opening a New Ice Cream Shop in New York

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In their efforts to come back strongly, Cuscuna and Smith established a new ice cream shop in New York in 2021, giving it a new name called “The Social.” 

They dedicated their time to their new business and hoped they’d come back better and do better than before. They are committed to making it work for them. 

Cuscuna and Smith Repurchased Ample Hills With New Partners

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Their resilience and commitment to the ice cream business enable them to repurchase Ample Hills for $150,000 in June 2021, but this time, with new partners. 

This time around, they are very careful to avoid situations from their past experiences. They are striving towards more sustainable growth for their beloved Ample Hills. 

 

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Approaching Growth at a Slower Pace

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In light of their experience, Cuscuna and Smith decided to proceed with their new business with greater caution. Finding the ideal investors who shared their vision and beliefs, industry knowledge, and financial discipline were all stressed.

According to Smith, in an interview with CNBC, he spoke about how they’ll approach growth, but at a slower pace this time. He believes they can build the brand and make it work better this time. 

Working Towards a More Sustainable Business Model

Source: Pinterest

This time, Cuscuna and Smith are working together to build the company more progressively and profitably. Cuscuna signed up for business coaching and focused on value connections. 

They both prioritize profit-making and have appointed experts to critical positions in the company, making it more organized and a sustainable business model. 

Applebees Face Business Challenges Like Ample Hills

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Apparently, not just Ample Hills has experienced bankruptcy. Recently, Applebees announced multiple closures due to financial issues. 

This is a result of customer preferences and the high cost of business operations, and it is a general problem for most food companies. The closure of some of their restaurants points towards resiliency in business. 

Red Lobster Bankruptcy

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Every business has its struggles, and managing it and making it thrive for a long time can be difficult. Red Lobster is another company with the issue of bankruptcy, like Ample Hills. 

They struggled due to economic pressures and changing eating habits. These high-profile incidents demonstrate the food industry’s unpredictability and the significance of resilience.

 

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Working Towards a Better Future

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Ample Hills filed for bankruptcy in 2020, but with resilience and determination, they acquired it back in 2021. Now, Cuscuna and Smith own a modest stake in Ample Hills, and they plan to build it better this time. 

Bankruptcy can sometimes be disastrous, crumbling business owners and leaving them wondering what next step to take, but that shouldn’t be discouraging. As seen in the Ample Hills situation, they started over again and are working towards a promising future. 

New Ample Hills Is Located in New York Only

Source: Pinterest

Currently, the business is only located in New York. It relaunched in 2021 at its original Brooklyn space and now has three other branches in the same city. 

The co-founders are very optimistic and hope to expand to other states soon. They have learned from their past mistakes, and as Smith said, growth will be at a slower pace this time. 

 

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