The parent company of Value City Furniture announced it would be closing all of its stores after nearly 80 years in business.
American Signature Inc.’s decision comes after it filed for Chapter 11 bankruptcy in November 2025, according to The Street.
A press release from the company stated that liquidation sales started on Jan. 10, 2026, at the company’s 79 Value City Furniture stores and 10 American Signature Furniture locations.
SB360 Capital Partners, Hilco Global and Gordon Brothers are in charge of the liquidation sales.
Here’s what caused the company to collapse and what people are saying about the closings.
What caused Value City Furniture to go out of business?
Co-Chief Restructuring Officer Rudolph Morando said the company’s demise was caused by “one of the most severe housing market declines in recent history,” according to bankruptcy filings.
Other factors leading to the company’s downfall include low demand for furniture and rising costs, all taking place after the pandemic and as tariffs, interest rates and inflation soar.
According to the bankruptcy filings, American Signature Inc.’s net sales nosedived by about $150 million between 2024 and 2025.
What are people saying about the Value City Furniture closings?
Reactions to Value City Furniture going out of business were mixed, with some saying their business will be missed while others questioned whether their warranties on furniture will be valid.
“Sorry to see them go,” one person commented on Facebook.
“So what if you bought furniture from them last year and bought a warranty?” asked another person. “Will you lose out on the warranty?”
Others had a more lighthearted reaction.
“Time to get a great deal on a recliner,” a third person commented.
