Glosslab, a luxury nail salon chain based in Manhattan, has officially filed for Chapter 11 bankruptcy protection. The company previously made headlines following reports of unpaid rent and financial instability.
The brand had successfully raised $20 million from a high-profile roster of investors, including former NBA star Amar’e Stoudemire, model Olivia Culpo, NFL quarterback Jared Goff, and members of The Chainsmokers. However, founder and CEO Rachel Apfel Glass, a former hedge fund manager, has recently faced intense scrutiny regarding the company’s management.
Insiders have characterized the business as being plagued by disorganized spending and internal chaos. While Glosslab once operated nearly 20 locations across several states and planned to expand to 65 branches, its footprint has drastically shrunk. Currently, only two salons in Tribeca and the Flatiron District remain open.
In court documents, Glass attributed the firm’s downfall to a combination of legal battles with European Wax Center founder Joshua Coba and damaging media coverage. She claimed that negative press caused potential investors and buyers to withdraw their interest, effectively halting a much-needed cash infusion.
As part of the bankruptcy proceedings, Glass is seeking to sell the remaining assets of the company to VD Brand Holdings. This move is intended to satisfy creditors and preserve the jobs of over 50 remaining employees.
The company has previously defended itself against allegations from former staff members who described Glass as an “absentee” leader and claimed the salons employed unlicensed technicians. A spokesperson for Glosslab denied these accusations, maintaining that all staff members are properly licensed and that the business remains committed to high service standards.