Liquidation sales stand as sort of a funeral for something that hasn't quite died.
In the early days of the liquidation process, the stores usually look as they did before the company filed for bankruptcy. There might be holes in the merchandise, sizes missing, or popular products that sell out quickly, but the store that's closing still looks like the brand it once was.
As the process continues, however, things get a little more bleak. Soma familiar employees might disappear if they find new jobs and regular inventory becomes a sad, picked-over lot being offered at ever-lower prices.
Related: Popular entertainment company faces Chapter 11 bankruptcy risk
In many cases, an outside firm runs the liquidation and, at a certain point, some of the merchandise being sold wasn't even offered by the bankrupt chain in the first place. That's something shoppers should be very wary of, especially if the company being liquidated offered higher-end merchandise.
Be careful to make sure what you think you're buying is actually what you're buying, because there are usually no refunds or returns.
In the final days of a store's liquidation, things become truly sad. In most cases, anything that's inside the walls will be sold. That can include fixtures, shelving, and even computers, employee lockers, or anything else not owned by the landlord.
Over the past few months fans of Christmas Tree Shops. Tuesday Morning, and Bed, Bath & Beyond have seen those chains go through the liquidation process.
Now, Z Gallerie, a furniture and home decor chain, will meet the same fate.
Image source: Hanna Lassen/Getty Images
Z Gallerie met a fast end
Z Gallerie did not have as high a profile as Bed Bath & Beyond, or Tuesday Morning, and it lacked the cult-like following of Christmas Tree Shops. The chain did have a strong fanbase as it was a pretty unique retailer, which you can sort of tell from how the company describes itself on its website.
"Founded in 1979, as a poster shop in California, Z Gallerie has evolved into a gallery of modern glamour. Throughout the years, we have cultivated an eye for art that has expanded our repertoire into home furnishings. Today, we remain dedicated to bringing you unparalleled style backed by our passion for the artful home," the chain shared.
That's a lot of words that don't really say that much, but it's fair to say the company sells higher-end furniture, as well as household items like rugs, pillows, art, and mirrors. Z Gallerie, which had survived two previous Chapter 11 bankruptcies, operated 21 stores in nine states as well as an online store.
The company had filed for Chapter 11 bankruptcy on Oct. 16, but that has quickly moved into a liquidation sale.
Z Gallerie begins liquidation sale
Z Gallerie liquidation sales began somewhat quietly on Oct. 25. B. Riley Retail Solutions, part of B. Riley Financial (RILY) -) will be operating the sale for the furniture and home decor chain, which has 20 locations scattered across the country.
The chain will mark down merchandise at all locations with initial deals being up to 40% off.
"This is a unique opportunity to buy high-end, quality home décor at deeply discounted prices. We encourage shoppers to visit their nearest store before merchandise sells out. This sale will be available for a limited time only," said B. Riley Retail Solutions Executive Vice President Tim Shilling.
All sales are final. Customers can still return items purchased before the liquidation sales subject to the chain's original return policy. Gift cards will be accepted until Nov. 15.
The chain has not said what day it will close its doors for good, and the actual end date may depend upon the pace of the liquidation sales.
