Biggest Business Bankruptcies Of 2024

February 5, 2025

by Attorney S. Zachary T.  Brock

Biggest Business Bankruptcies of 2024 & Indiana’s Impact
Table of Contents

Business Bankruptcy in Indiana 2024

2024 has been a challenging year for businesses across the U.S., with major companies filing for bankruptcy due to rising costs, inflation, and shifting consumer habits. Some well-known retailers and corporations couldn’t keep up, leaving employees, customers, and creditors facing uncertainty.

Indiana businesses have also felt the effects of these financial struggles, with closures affecting local economies and jobs. For business owners facing financial distress, understanding what led to these bankruptcies can offer valuable insight. More importantly, knowing your legal options, including Chapter 11 reorganization or Chapter 7 liquidation, can make all the difference in navigating financial hardship. Brock Legal, LLC, led by Zach Brock, helps business owners make informed decisions about bankruptcy, restructuring, and debt relief.

Major Business Bankruptcies of 2024

Several big-box retailers and national brands have filed for bankruptcy this year. Here are some of the most notable:

Big Lots

The discount retailer struggled to keep up with inflation and declining consumer spending. With sales dropping, Big Lots closed multiple locations nationwide, including some in Indiana.

JoAnn Fabrics

The craft and fabric retailer filed for Chapter 11 early in the year, citing supply chain issues and reduced demand. Stores in Indiana were among those affected.

Red Lobster

The seafood chain faced rising operational costs and changes in consumer habits, forcing it to close locations and file for bankruptcy.

Spirit Airlines

Skyrocketing fuel costs and financial losses led Spirit Airlines to bankruptcy, raising concerns about affordable air travel for budget-conscious travelers.

Party City

A decline in event spending and competition from online retailers put Party City in financial trouble. The company shut down several locations, including some in Indiana.

The Impact on Indiana Businesses

While national corporations have dominated bankruptcy headlines, Indiana has also seen its share of closures, leaving employees, business owners, and customers in a difficult position.

Scarlet Lane Brewing Co.

Once a staple in Indiana’s craft beer scene, Scarlet Lane Brewing Co. closed its McCordsville flagship location after a decade in business.

American Freight

The furniture and appliance retailer shut down all 328 of its stores nationwide, including seven locations in Indianapolis, Speedway, Bloomington, Lafayette, and Muncie.

Regal UA Circle Centre

The closure of this longtime Indianapolis movie theater left downtown with fewer options for filmgoers, another sign of changing consumer habits.

Leon Tailoring Co.

After 120 years of business, Leon Tailoring Co. shut its doors due to declining foot traffic and shifts in the retail industry.

For small business owners in Indiana, these closures are a reminder of the financial pressures many face. However, bankruptcy doesn’t always mean shutting down. With the right legal guidance, it can be an opportunity to reorganize and move forward with a stronger financial foundation.

How Brock Legal, LLC Helps Indiana Businesses in Financial Distress

Business bankruptcy isn’t just about closing a business. It’s about making the best financial decision for your future. Zach Brock and Brock Legal, LLC work with business owners to explore all options, whether that means restructuring debt under Chapter 11, settling liabilities, or liquidating assets under Chapter 7.

How Bankruptcy Can Help Your Business

  • Debt Restructuring and Negotiation – Businesses struggling with cash flow may be able to renegotiate debts or work with creditors to avoid full bankruptcy.
  • Chapter 11 Bankruptcy – Allows businesses to stay open while reorganizing debts under a court-approved repayment plan.
  • Chapter 7 Bankruptcy – If keeping the business open is no longer an option, Chapter 7 can help settle debts and liquidate assets efficiently while ensuring legal protections.
  • Asset Protection Strategies – Many business owners worry about personal liability in a business bankruptcy. Brock Legal helps protect assets and ensure compliance with Indiana laws.
Biggest Business Bankruptcies of 2024 & Indiana’s Impact

What Business Owners Should Know About Bankruptcy in 2024

Filing for bankruptcy doesn’t always mean the end. Many well-known brands, including those on this list, have used Chapter 11 to restructure debt and keep operations running. Indiana business owners have similar options.

If your company is struggling with mounting debt, missed payments, or creditor lawsuits, now is the time to take action. Waiting too long can limit your choices and make financial recovery more difficult.

Brock Legal, LLC provides strategic legal guidance to business owners facing financial challenges. Contact the firm today to explore your options and start planning a path forward.

If you’re considering when to file for bankruptcy in Indiana, the best way to get started is to consult with an experienced attorney. At Brock Legal LLC, we provide:

✔️ A detailed evaluation of your financial situation.
✔️ Guidance on whether Chapter 7 or Chapter 13 is best for you.
✔️ Representation throughout the bankruptcy filing process.
✔️ A strategy to help you rebuild your financial future.

Contact us today to schedule a consultation and take the first step toward financial relief.

Need Help With Bankruptcy? Contact Brock Legal LLC Today!

If you’re facing financial hardship and wondering when to file for bankruptcy in Indiana, don’t wait until creditors take further action. Schedule a free consultation with Brock Legal LLC to discuss your options.

📞 Call: (317) 203-9098
🌐 Visit: indyfinancelaw.com

Attorney S. Zachary T. Brock

Brock Legal | Central Indiana & Indianapolis Bankruptcy Lawyer

Attorney S. Zachary T. Brock

Zach empowers individuals faced with financial challenges by providing them with effective solutions and unwavering support in the areas of consumer finance and bankruptcy law.

By actively listening and empathizing with each client, Zach works to gain a deep understanding of every individual or family’s unique circumstances. This helps him tailor his legal strategy to best meet the needs of each client.

“No matter what may be weighing you down financially, Brock Legal is here to help. My mission is to help navigate you through whatever stressful circumstance you may be faced with, by offering unparalleled education and service in the areas of consumer finance and bankruptcy law. Let us show you how our firm can help. Contact Brock Legal today!”

-Zach

BROCK LEGAL LLC

Google Reviews