Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comKey Contacts
Back
CD Stores LLC, formerly known as Carol’s Daughter Stores LLC, filed for protection under Chapter 11 of the bankruptcy law April 24, according to The Wall Street Journal. The company was joined in filing by the individual companies behind Carol’s Daughter stores. Founded by Lisa Price in 1993, the chain produces skincare, body and hair products using natural ingredients, with a focus on African-American women. Its line has had past financial backing by a number of black celebrities, including Jay Z, Will Smith and Jada Pinkett Smith.
Two days prior, Siena Lending Group LLC announced the completion of a $3 million senior secured revolving credit facility for Carol’s Daughter Holdings, LLC, which owns 100 percent of CD Stores LLC, to support the company’s expansion of its distribution model, according to ABL Advisor.
“We are pleased to have the opportunity to help Carol’s Daughter expand its distribution channels and look forward to its future growth and success,” said president and CEO of Siena Lending Group David Grende in the announcement.
In court papers filed the afternoon of April 24, Chief Financial Officer of Carol’s Daughter John Elmer explained that most of the company’s stores have been unprofitable for the past four years. In preparation for the filing, CD Stores closed all but two of its stores, and terminated 29 of 42 total employees. Carol’s Daughter hopes to reorganize and consolidate its operations around its two remaining stores, which are located in Brooklyn and Harlem. The company’s products continue to be available via its website and through a number of third parties.
In previous court papers, signed by Mr. Elmer, the company reported assets and liabilities each in the $1 million to $10 million range.
- Practices: Bankruptcy & Creditors' Rights, Corporate Transactions & Business, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Why Compliance Monitoring Matters for NY and NJ Businesses
Compliance programs are no longer judged by how they look on paper, but by how they function in the real world. Compliance monitoring is the ongoing process of reviewing, testing, and evaluating whether policies, procedures, and controls are being followed—and whether they are actually working. What Is Compliance Monitoring? In today’s heightened regulatory environment, compliance […]
Author: Dan Brecher
When Are New Jersey Business Owners Personally Liable for Corporate Debt?
New Jersey personal guaranty liability is a critical issue for business owners who regularly sign contracts on behalf of their companies. A recent New Jersey Supreme Court decision provides valuable guidance on when a business owner can be held personally responsible for a company’s debt. Under the Court’s decision in Extech Building Materials, Inc. v. […]
Author: Charles H. Friedrich
Commercial Real Estate Trends to Watch in 2026
Commercial real estate trends in 2026 are being shaped by shifting economic conditions, technological innovation, and evolving tenant demands. As the market adjusts to changing interest rates, capital flows, and workplace models, investors, owners, tenants, and developers must understand how these trends are influencing opportunities and risk in the year ahead. Overall Outlook for Commercial […]
Author: Michael J. Willner
One Big Beautiful Bill: New Tip Income Tax Rules Employers & Workers Need to Know
Part 2 – Tips Excluded from Income Certain employees and independent contractors may be eligible to deduct tips from their income for tax years 2025 through 2028 under provisions included in the One Big Beautiful Bill. The deduction is capped at $25,000 per year and begins to phase out at $150,000 of modified adjusted gross […]
Author: Scott H. Novak
One Big Beautiful Bill: New Overtime Tax Rules Employers and Employees Need to Know
Part 1 – Overtime Pay and Income Tax Treatment Overview This Firm Insights post summarizes one provision of the “One Big Beautiful Bill” related to the tax treatment of overtime compensation and related employer wage reporting obligations. Overtime Pay and Employee Tax Treatment The Fair Labor Standards Act (FLSA) generally requires that overtime be paid […]
Author: Scott H. Novak
New York’s FAIR Business Practices Act: What the New Consumer Protection Measure Means for Your Business
In 2025, New York enacted one of the most consequential updates to its consumer protection framework in decades. The Fostering Affordability and Integrity through Reasonable Business Practices Act (FAIR Act) significantly expands the scope and strength of New York’s long-standing consumer protection statute, General Business Law § 349, and alters the compliance landscape for New York […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.