Hell no
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Wow this sucks lol
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I am seeing that Frankie’s has filed for chapter 11.
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Oh dear. Don’t they owe a lot of people a lot of variants?
Looks like he filed on 12/14/2022:
The business is deeply in debt:
$942,221.81 by my number-crunching.
Apparently, he is claiming there are no assets to pay any of these unsecured creditors.
The IRS, North Carolina Department of Revenue are in their. So, those are for this year’s or possible back taxes.
Ivan Tao, the artist is a creditor for $6,000 so he never got paid. The rest is comic distributors, loans, and unpaid rent.
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Damn. And, that’s just the 20 largest, right? There could be a ton of smaller ones not listed here. I really don’t know how any company doing a zillion store exclusives as their primary business model make any money. For every quick sell out cover, I’d bet there are 20+ that don’t come close to selling out.
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apparently he has a bad gambling problem
Correct.
Someone break it down cor me since im not a legal expert. What can a company or in this case Frankie’s comic do since they don’t have enough money to pay back the massive debt they owe and are bankrupt?
For the time-being there is an “automatic stay” on any debt collection activity from Frankie’s creditors.
The bankruptcy court will examine the company’s assets. Frankie’s claimed, in its original filing, that it had no assets capable of paying the creditors. However, they just announced a WhatNot auction today. So, who knows if the Bankruptcy Court is aware of that sale. Usually these types of sales are overseen by the bankruptcy court to distribute proceeds among creditors.
At any rate, I’d imagine the majority of these creditors will get nothing, except the IRS and NC Department of Revenue.
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Oh how quickly this will blow up… 
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Yeah, people were giving me shit right off the bat for posting it in the Frankies group and asking about it. All he would say was, did you call or email about your concern? Wouldn’t address the filing until he had to.
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Especially since it looks like he’s still selling Ivan Tao Exclusives.
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Seeing as Dorksidetoys and Old Republic Collectibles both went out of business in the past two weeks leaving tons of toy collectors out hundreds of dollars and with no reasonable expectation of receiving their pre-orders, I’d say you were perfectly entitled to discuss this publicly available information.
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Kevin Fields is a douche. Hell, most of these store variant guys are douche bags. The faster they go bye-bye, the better
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I think his position on that post is overly optimistic. While true the company is protected from debt collection activities from creditors (for now, pending a resolution which may involve a payment plan), future creditors will not look favorably extending credit after this filing.
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Shopify and PayPal will be headaches for sure, but I’d wager Frankie’s will use someone else’s accounts (or piggyback) to get books from Lunar, PRH and Diamond. How this unfolds will be interesting from a plane crash perspective as well as testing more than a few bankruptcy laws.
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