New York-based menswear retailer Maverick has long been a fixture of the online retail landscape.
But this week, the company filed for bankruptcy protection amid a downturn in the fashion industry.
Maverick’s woes started with a series of online stores, including a store in New York City that went out of business in 2011.
After losing the store to competitor Fendi, the retailer went into bankruptcy in the summer of 2012, and its founder, Michael E. Mavers, died in 2013.
Maverik’s bankruptcy filing on Thursday revealed the retailer is facing an ongoing battle to keep its brands afloat.
It said it had a backlog of about $200 million, about 20% of the $1.4 billion in merchandise it currently holds.
The company’s woes have been exacerbated by a recent downturn in online retail.
E-commerce platforms like Amazon, eBay, Etsy, and Amazon Fresh have all lost hundreds of millions of dollars in revenue.
In May, eBay shut down a popular online marketplace called Shopify, and in August, Etsy closed down the shop, as well.
Mavers and his son, Michael, took over the business in 2013, and the two have said they plan to take the business public, which could result in another sale.
But that plan has faced criticism from the consumer advocacy group Fight for the Future, which accused the brothers of “shooting themselves in the foot” and failing to properly educate customers on the company’s online products.
Fight for the Futures said the brothers have failed to explain how the company will operate without a central store to sell its inventory online.
“Mavericks business model has not been sustainable, and it is time for the brothers to put their heads down and find a new model,” Fight for Future President Daniel Stoehr said in a statement.
According to Mavers biography on Mavericks website, the Mavers family started out in a small farm in North Carolina in 1930, and opened their first store in 1961.
Mahes clothing business eventually expanded to a wide variety of styles and sizes.
Before Mavers died in 2015, the brothers said that their company had more than 800 stores worldwide.
Online retailers are often dependent on the financial support of major online retailers, such as Amazon, which has said it expects to make money from Maveracks sales.
And Maveries bankruptcy filing also highlights how far mens apparel online has come in recent years.
Although the business is still struggling, it appears that mens retail stores are becoming more and more profitable, and have even started to attract customers from the general public.
For more stories from the U.S., check out the top stories on Business Insider.