Twoand a half months after it canned its MLM alternative and went wholesale, Dot Dot Smile has filed for chapter.
Dot Dot Smile initiated Chapter 11 proceedings in California on September third.
As per Dot Dot Smile’s submitting, the corporate has $4.4 million in belongings and is $5.6 million in debt.
Dot Dot Smile’s largest collectors are:
- Gary Thompson (seems to be a household mortgage) – $200,000
- CloudFund LLC (debt reduction firm) – $325,000
- Mirror Trend Co. Hong Kong – $1.5 million
- Nano (no info supplied) – $600,000
- Community Ventures LLC (breach of contract) – $353,846
Nothing MLM associated, not less than exterior of the company aspect of issues, seems on Dot Dot Smile’s submitting.
A BerhindMLM reader claimed, as of July thirty first, 2022, that
Nobody has been paid since might. Some persons are owed hundreds of {dollars}. They laid off all of their employees.
The cynic in me is having a tough time seeing Dot Dot Smile’s chapter as something however deliberate.
Firm house owners Nicole and Jeff Thompson (proper) seemingly knew chapter was coming, and figured they needed to eliminate the MLM enterprise earlier than submitting.
There was in all probability no precise intent to ever proceed Dot Dot Smile with out the MLM alternative.
I could possibly be incorrect however Dot Dot Smile swiftly discovering itself $5.6 million in debt over the previous three months doesn’t appear believable.
I’m unsure how this all works out legally. Even when every part is above-board although, it nonetheless displays poorly on the Thompsons with respect to transparency and Dot Dot Smile’s distributors.
Wanting ahead, Dot Dot Smile’s State of Monetary affairs submitting is due on September nineteenth. A gathering of collectors has been scheduled for October twelfth.
Dot Dot Smile is tied to LuLaRoe by the use of Nicole Thompson being the daughter of co-founders DeAnne and Mark Stidham.
Whether or not Dot Dot Smile submitting for chapter has had or could have any affect on LuLaRoe’s enterprise operations is unclear.
