Dippin Dots, which has several locations around Denver, has filed for Chapter 11 bankruptcy. Dippin' Dots is based in Kentucky and has over $11 million in debt. The "Future of Ice Cream" - according to founder and current CEO Curt Jones.
There are two important notes in this story:
- Chapter 11 bankruptcy is for "re-organization" meaning that the company won't pay every back the money that they have borrowed (a judge decides who gets how much, following complex rules in each loan the company has). But the company will continue operating.
- The company has a central arm and individual franchises. The companies in Colorado selling "Dippin' Dots" are generally licensees or franchisees and are not individually part of this bankruptcy case except that it impacts their main supplier.