US-based athletic apparel firm Yogasmoga has filed for Chapter 11 in US Bankruptcy Court following an involuntary Chapter 7 Bankruptcy in November. Despite its pure-digital start, the retailer soon took its yoga clothing to brick-and-mortar stores in 2015, increasing its physical network to ten shops during the past twelve months.
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Rishi Bali, Co-Founder, Yogasmoga admitted the liquidation came as a result of “overgrowing,” specifically failing to raise a new round of capital because there was a big disagreement with its main investor. He said, “As a founder of the company, I am gutted by the news because it’s really hard to build companies. Due to a combination of factors, we couldn’t close the financing. It was a little bit of overgrowing, and so we are filing so that we can shrink our footprint.”
Launched in 2013, Yogasmoga’s value of its assets is estimated to be somewhere between US $ 1-10 million dollars.
