Popular ice cream shop chain files for Chapter 11 bankruptcy

Frozen dessert fast-food chains are among the favourite shops that consumers bask visiting, but fiscal distress successful immoderate cases leads to bankruptcies and closings that disappoint customers.

The crystal pick store manufacture reported 0.9% maturation successful 2025, according to information from IBISWorld, but inactive faces economical issues.

"Despite the wide summation successful appetite for crystal cream, important challenges indispensable beryllium navigated," IBISWorld said successful the report.

Among the economical challenges the study cited is the rising outgo of milk, which cuts into profits.

Tariffs connected Canadian dairy products person besides accrued the outgo of beverage and food that are indispensable for crystal pick production, which drives up retail prices and reduces nett margins, the study said.

Customers' astir preferred shops see Baskin-Robbins, Ben & Jerry's, Cold Stone Creamery, Dairy Queen, and Freddy's Frozen Custard & Steakburgers.

Certain chains ran into immoderate economical problems successful 2025 that forced them to record for bankruptcy oregon adjacent locations.

Ice pick store operators person stated a assortment of reasons for closing down, including rising costs of labour and products driven by ostentation or, much recently, tariffs; precocious lease payments; accrued costs of indebtedness from higher involvement rates; and changing attitudes toward buying by consumers.

About 30 Dairy Queens successful Texas mislaid their franchises successful the archetypal fractional of 2025 erstwhile the genitor company, American Dairy Queen, pulled the franchises from franchisee Project Lonestar aft it failed to remodel its locations. That meant that those locations could not bid supplies from the genitor corp and would person to unopen down.

And present the genitor institution of the Cream crystal pick store concatenation has filed for Chapter 11 bankruptcy to reorganize and restructure its debts, which includes an employment instrumentality suit judgment.

Creamy Treats Inc. filed its petition successful the U.S. Bankruptcy Court for the Northern District of California connected Feb. 2, listing $500,000 to $1 cardinal successful assets and $100,000 to $500,000 successful liabilities.

The San Francisco-based crystal pick store chain, which specializes successful caller crystal pick sandwiches, did not database a circumstantial crushed for filing for bankruptcy protection, but among its largest unsecured creditors was Halil Budan, who is owed $98,000 for an employment instrumentality lawsuit. The debtor besides listed Square Financial Services, owed $27,000.

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