A 30-year-old bakery in South Carolina that launched a major expansion almost two years ago has filed for bankruptcy and closed its doors, leaving more than 200 people unemployed.
The Muffin Mam closed its 100,000-square-foot factory in Laurens on Wednesday after filing for bankruptcy Tuesday in federal court.
In an emailed statement, the company blamed the “continuing effects of Covid-19”.
Bankruptcy court records show the company owes 189 creditors nearly $ 6 million. When the expansion to Laurens was announced, it was estimated to be an investment of $ 18.8 million.
A secured creditor, Pinnacle Bank, is listed in the bankruptcy case, but it does not say what is owed. The others are unsecured creditors.
Creditors include the Greenville and Laurens County tax agencies and the IRS. Among the largest unsecured creditors are Atlantic Corporation, which owes $ 600,760; Hardman Distribution, $ 591,400; JWC Engineering, $ 447,447; and Creative Cooking Solutions, $ 382,750.
Creditors run the gamut of businesses such as janitorial services, insurance companies, recruiting companies, septic systems, blueberry and egg co-ops, and tech companies.
Todd Littleton, CEO of The Muffin Mam, said in a press release: âAfter Muffin Mam commissioned a new facility in early 2020, initial lockdowns related to the pandemic significantly limited interactions with customers, which had a negative impact on new income. “
He also said the company was struggling to source and hire skilled labor.
âWhile we are deeply disappointed with this result, we sincerely want to thank our employees, customers and suppliers for their tireless efforts over the past 2 years in our struggle to survive,â he said.
Baker Stephanie Croley started The Muffin Mam as a small cafe in Greenville in 1990. She chose the name in nod to a favorite nursery rhyme “The Muffin Man”. In two years, Croley had grown into the wholesale bakery industry, and within a year, sales had grown to half a million dollars.
The company then purchased a facility in Simpsonville. Croley died in 2014, and the company was acquired by Azalea Capital, a Greenville investment firm, a few years later.
This story was originally published November 11, 2021 10:44 am.