TechCrunch – Belmont Party Supply has a problem.
It can no longer get enough supplies to keep its headquarters running.
The San Francisco-based maker of party supplies has shuttered its retail stores, shuttered a warehouse and announced plans to sell its inventory online.
The company said in a statement that the shutdowns were part of a broader restructuring effort that would result in “limited operations” beginning in October.
“Belmont is facing an unprecedented set of challenges with its operations,” Belmont Party Supplies CEO and president Joe Cimolino wrote in the statement.
“We have no choice but to shut down our stores.
Belmont’s leadership team has been working tirelessly over the past several months to resolve these issues and to continue to provide customers with great products.”
Belton said the company is currently using the funds it received from the sale of its online store as it attempts to continue operations.
The Belmont group operates three Belmont-branded hardware stores in the Bay Area, one in San Francisco, and two in Sacramento.
The company is one of the largest online party supply stores in America, with more than 15 million members worldwide, according to the company’s website.
In 2015, the company raised $5.8 million in venture capital funding from venture capital firms including Sequoia Capital, Andreessen Horowitz, and Andreessen Media.
Belton said it had raised $30 million from investors including Founders Fund, First Round Capital, Kleiner Perkins, and Sequoias founder Yuri Milner.
As of Wednesday, Belmont said it was losing $20 million a month in revenue and was on track to lose $50 million in the first quarter of 2021.