InkStop

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InkStop
Private
IndustryRetail
FoundedMayfield, Ohio (2005)
Defunct2009
HeadquartersWarrensville Heights, Ohio, U.S.
ProductsOffice supplies
Number of employees
456 (in 2009 at time of closure)

InkStop, Inc. was an office supply retailer founded in 2005 and most recently headquartered in Warrensville Heights, Ohio. On October 1, 2009, operations were stopped until further notice by the Board of Directors.[1] On November 5, 2009, InkStop filed for Chapter 7 bankruptcy.[2]

History[edit]

Beginnings[edit]

InkStop store, Livonia, Michigan

In 2004, InkStop founder and CEO, Dirk Kettlewell, was Vice President of Technology at OfficeMax, but decided to leave based on the impending move of the company headquarters to Chicago by Boise Cascade, which acquired OfficeMax in 2003.[3] He took with him his eventual wife, Dawn (Callahan) Kettlewell, who was Vice President of Merchandising at OfficeMax, and several others to create InkStop, which was to be focused on profiting from mainly ink and toner sales in smaller stores giving convenience and better customer service than the competition.

Fast growth[edit]

After its first location opened up in Independence, Ohio in 2006, InkStop grew to operate as many as 162 stores in 14 states. In April 2009, RBC Global Capital Markets ranked the company one of the 30 fastest-growing retailers nationwide.[3]

Abrupt end[edit]

On October 1, 2009, after calls were made and a memo was sent out at the end of the day of business, all operations were ceased immediately by the Board of Directors,[4] which includes former NFL quarterback Boomer Esiason.[5] The employees were not given their last two paychecks following this action.

On November 5, 2009, InkStop filed for Chapter 7 bankruptcy. The filing states the company owes $48.3 million to more than a 1,000 creditors. The company also owes $1.1 million to its former employees for wages not paid for the last 3 weeks worked as well as vacation pay and unpaid expenses.[2]

At the December 5, 2009 bankruptcy hearing, it was learned that several investors were paid nearly $5.3 million to its directors and senior managers, including "$109,268 to Norman "Boomer" Esiason."[6]

Legal actions[edit]

Warren et al. v. Inkstop, Inc. et al.[edit]

On October 4, 2009, a class action suit was filed in Ohio Northern District Court against InkStop as well as Dirk and Dawn Kettlewell for unpaid wages and benefits.[7]

See also[edit]

References[edit]

  1. ^ Cho, Janet (October 2, 2009). "InkStop abruptly closes all 152 retail stores and lays off all workers". The Plain Dealer. Retrieved 2009-11-08.
  2. ^ a b Cho, Janet (November 10, 2009). "InkStop files for Chapter 7 bankruptcy". The Plain Dealer. Retrieved 2009-11-10.
  3. ^ a b "InkStop an Upstart". Crain's Cleveland Business. April 27, 2009. Retrieved November 8, 2009.
  4. ^ "InkStop Closes All Stores, Workers Stunned". WXYZ-TV. October 2, 2009. Retrieved 2009-11-08.
  5. ^ Hawley, Amy (October 8, 2009). KSHB-TV http://www.nbcactionnews.com/mostpopular/story/Employees-Sue-InkStop-Over-No-Pay/tPk4kUmGvkuJuSSxoZda-w.cspx. Retrieved 2009-11-08. Missing or empty |title= (help)
  6. ^ http://www.cleveland.com/business/index.ssf/2009/12/inkstop_started_with_a_bang_an.html
  7. ^ Cho, Janet (October 5, 2009). "InkStop employees file suit against company for unpaid wages and benefits". The Plain Dealer. Retrieved 2009-11-08.

External links[edit]