Artesian Builds files for bankruptcy with an estimated $1.3M in unfulfilled orders.

[Ryz]

Quote

Last Friday, shuttered custom PC maker Artesian Builds filed for Chapter 11 bankruptcy in California with over $3 million in liabilities on its balance sheet, including an estimated $1.37 million in unfulfilled orders, according to documents included with the filing. Its appointed restructuring officer is now seeking buyers for the company's assets, which include an estimated $917,595 worth of inventory.

Artesian Builds collapsed dramatically earlier this year, suddenly shutting down its operations on March 8 and letting go of around 50 employees in California and North Carolina. Artesian's insolvency was apparently triggered by a wave of refunds following a controversial raffle livestreamed by the company's owner and CEO Noah Katz, but two ex-employees who spoke to PC Gamer under the condition of anonymity said it was Katz's long-term mismanagement that put the company in such a precarious position to begin with. 

...
According to documents filed by Artesian, the company lost over $1.6 million last year. It owes over $450,000 to two PC components distributors and holds over $200,000 in credit card debt. There's also a $1.2 million secured family loan on the books, and it owes accrued paid time off to ex-employees (although former employees did get their final paychecks, according to those spoken to by PC Gamer). An estimated $1.37 million in deferred revenue from unfulfilled orders is shown in the latest balance sheet.

Brutal way to go down, like most people I haven't heard of them before this fiasco. Hopefully the employees can find relevant work at another boutique PC company.

 

https://www.pcgamer.com/artesian-builds-bankruptcy/

[Levent]

Holy shit, how many orders were they getting to build up that much debt?

[adarw]

2 minutes ago, Levent said:

Holy shit, how many orders were they getting to build up that much debt?

1 million divided by like lets say 2k is only 500

 

[BlueChinchillaEatingDorito]

Given this whole company was just a platform for the CEO to boost his own ego, I'm surprised the company lasted as long as it did knowing the low margins in the PC integrator space. 

[leadeater]

1 hour ago, Ryz said:

including an estimated $1.37 million in unfulfilled orders

Wow so they only had 10 orders with GPUs? 

[BiotechBen]

O7's in chat bois

[darknessblade]

From the article

 

Quote

Chapter 11 bankruptcy allows a company to continue operating while paying its debts according to a plan negotiated with creditors.

Does Noah really think anyone would buy a Artesian PC ever again?

 

The Company is death.

 

From what i can see: Chapter 11 bankruptcy is only used as a shield, to give a excuse of not paying wages of employees who did not get their last paycheck.

 

And say F-U to customers, who still want their PC that they paid for, but never gotten 

 

 

Even creditors will get the short end of the stick.

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With the reputation down the gutter, there is no chance for Noah, to make a FRESH start, with Artesian Builds, since no company wants to work with him ever again. {Except Raid Shadow Legends}

 

I think that some companies might even put up sanctions against Noah, saying that if anyone provides parts to him, They themselves will not get any parts ever again.

 

[TECHNOMANCER303]

Who was ordering builds, Ill start a company and take those orders no problem! Ill also make YouTube videos 

[mon1ka]

On 6/9/2022 at 3:20 PM, TECHNOMANCER303 said:

Who was ordering builds, Ill start a company and take those orders no problem! Ill also make YouTube videos 

when's the giveaway stream?

[TECHNOMANCER303]

On 6/12/2022 at 5:45 AM, mon1ka said:

when's the giveaway stream?

For 1.3M ill giveaway just for you