ApplianceSmart Inc. — the retailer of new, closeout, out-of-carton and scratch-and-dent appliances — has filed for Chapter 11 bankruptcy protection.
ApplianceSmart has three locations, two in Minnesota and one in Ohio. At its peak, the company had 20 locations in the United States, nine of them in Minnesota. Earlier this year ApplianceSmart closed three other Minnesota locations.
Appliance Recycling was based in Hopkins, but it moved to Las Vegas earlier this year and has also changed its company name to JanOne Inc. The bankruptcy filing was made in the Southern District of New York.
Initial bankruptcy filings didn’t list a total number of assets and liabilities. They did list a range of $1 million to $10 million in assets and liabilities and 100 to 199 creditors. The Star Tribune is listed as one of 20 creditors with the largest claims.
ApplianceSmart is owned by Las Vegas-based Live Ventures, a holding company of diversified businesses. Live Ventures acquired the retail business from Appliance Recycling Centers of America in April 2018 for $6.5 million.
Over the summer, ApplianceSmart closed three of its five Minnesota stores in Apple Valley, St. Paul and Rochester. Stores in Champlin and Maplewood are still open.
The ApplianceSmart bankruptcy filing was made Dec. 9 and signed by Chief Financial Officer Virland Johnson, who is also CFO of Live Ventures.
Live Ventures and Appliance Recycling/JanOne are connected by similar officers. Live Ventures’ CEO is Jon Isaac, the son of Appliance Recycling’s CEO Tony Isaac. Johnson serves as CFO of both Live Ventures and Appliance Recycling/JanOne.