- Forever 21, Inc. is an American famous fashion retailer founded by Do Won Chang and Jin Sook Chang. Headquartered in Los Angeles, California and sells a wide range of beauty product, home goods, accessories, clothing for men, women, and kids.
- It has been reported that the company’s cash reserve is decreasing at a rapid pace and the deals looking for the funds have not materialized yet.
One of the most popular fashion retailers Forever 21 might be applying for bankruptcy resulting in the closure of many stores. It has been reported that the company’s cash reserve is decreasing at a rapid pace and the deals looking for the funds have not materialized yet. There is no option left for the founders in this situation except to file for bankruptcy under chapter 11 in the United States. However, the report suggests that there might be some last-ditch efforts to save the company.
The section of stakeholders who will be worried about this development with Forever 21 will be the mall owners and the landlords who are the current hosts of the stores of the fashion retailer’s in their properties. It will be a daunting task for them to look for alternate options on the properties and to bear the loss.
As reported earlier by Bloomberg, some employees of the company earlier approached the powerful and rich landlords to consider investing in the company so that the company is functional, but one of the co-founders is very rigid on decreasing his share. This is the possible reason for deals of fundraising is not progressing ahead.
Forever 21 Operations
Forever 21, Inc. is an American famous fashion retailer founded by Do Won Chang and Jin Sook Chang. Headquartered in Los Angeles, California and sells a wide range of beauty product, home goods, accessories, clothing for men, women, and kids. Began as Fashion 21 store in Highland Park, Los Angeles has grown into prominent clothing stores spread over 723 location around the globe. It has developed several clothing lines Love 21, Heritage and many more.
It is spread across 723 locations including 21 in India and 506 in United States of America and counting. Since its entry into the Indian market in 2010, Forever 21 is known for its trendy offers and chic collection at affordable prices. Forever 21 joined hands with DLF to complete operations in India from building the stores, act as partners. Of course. Though, the product selection is done by the international team. It started with three stores in Delhi and three stores in Mumbai, later on, expand to 21 stores across India.
