Tuesday, September 2, 2008

Steve & Barry's closes five stores

Posted By on 09.02.08 at 03:36 PM

Normally the financial trials of the sellers of Sarah Jessica Parker and Stephon Marbury-themed clothing wouldn't raise my interest, but Steve & Barry's incomparably risky business model is pretty interesting. How do you sell celebrity lines of clothing at thrift store prices? You get the landlord to pay you:

"People close to the company's finances say most of the retailer's earnings came in the form of one-time payments from landlords, often for $2 million to $3 million, each time it opened a Steve & Barry's. There are currently about 275 stores, located in 40 states. Profit from ongoing operations was scant, if any. The new stores usually opened strongly, these people said, but could not keep pace after a few quarters."

Tags: , ,

Comments

Subscribe to this thread:

Add a comment

More by Whet Moser

  • —30—

    A farewell, and some favorite pieces from the Reader.
    • Jan 14, 2011
  • The Very Political Life of Bill Daley

    Bill Daley: lifetime centrist
    • Jan 14, 2011
  • The Hidden Hands

    The Hidden Hands

    In every successful campaign—and every dud—pros are masterminding and organizing from offstage. Meet the people behind six mayoral candidates.
    • Jan 13, 2011
  • More »

Agenda Teaser

Galleries & Museums
Merce Cunningham: Common Time Museum of Contemporary Art
February 11
Performing Arts
Born Ready The Factory Theater
March 24

Tabbed Event Search

The Bleader Archive

Popular Stories