Furniture Chain Bankruptcy Closes All Locations Across Iowa, Illinois, & Wisconsin

American Freight, a national furniture retailer, is shutting down all of its stores across 41 states, including key locations in Iowa, Illinois, and Wisconsin, as part of its parent company Franchise Group Inc.'s Chapter 11 bankruptcy filing.

The company announced it will close all 328 stores as Franchise Group, headquartered in Delaware, Ohio, navigates bankruptcy proceedings. The decision to shut down the American Freight chain was attributed to “sustained inflation and macroeconomic challenges” affecting the durable goods sector, as noted in a statement by Franchise Group.

In preparation for the closures, American Freight has launched going-out-of-business sales managed by liquidation firm Hilco Consumer-Retail. According to Hilco CEO Ian Fredericks, the company's goal is to deliver outstanding value to customers during this full chain closing sale. Adding that "everything is on sale and must be sold.” Discounts reportedly reach up to 30% on furniture, dining tables, appliances, and other items, with early shoppers expected to find the best selections.

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American Freight Locations in Iowa

• Davenport: 1010 E. Kimberly Road, Suite #1
• Waterloo: 2060 Sovia Drive, Suite #112

American Freight Locations in Illinois

• Peoria: 5212 N Big Hollow Road
• Decatur: 1291 E. Pershing Road
• Champaign: 2002 Glenn Park Drive, Suite B
• Loves Park: 1502 E. Riverside Boulevard
• Darien: 7415 S Cass Avenue
• McHenry: 1750 Richmond Road
• Streamwood: 1040 S. Barrington Road
• Broadview: 1000 Broadview Village Square
• Fairview Heights: 55 Ludwig Drive, Space 55
• Naperville: 540 S. Highway 59
• Tinley Park: 16040 S. Harlem Avenue

American Freight Locations in Wisconsin

• Madison: 3674 Kinsman Blvd
• Milwaukee: 3804 S 27th St
• Green Bay: 2490 Main St
• Wauwatosa: 3203 N Mayfair Rd

Franchise Group’s other businesses, including The Vitamin Shoppe and Buddy’s Home Furnishings, will remain operational. However, Franchise Group has also faced criticism for awarding $5.75 million in retention bonuses to insiders prior to the bankruptcy announcement. Additionally, non-insider employees received $2.16 million in conditional bonuses to maintain stability throughout the bankruptcy process.

American Freight customers are encouraged to shop the closing sales soon, as store inventories are expected to deplete quickly. The company has not yet announced exact closing dates for any of the stores.