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In 1993, Shoshanna Lowenstein Gross, then just Shoshanna Lowenstein, became a tabloid darling because she dated Jerry Seinfeld at the height of his sitcom fame.
This was before she became famous on social media, but she was essentially one of the first influencers, parlaying the fame of her four-year relationship into a successful career as a fashion designer.
Lowenstein Gross was a rare person in those days who could turn fame by association into a real career. Shoshana’s clothing brand was respectable and enduring, and was not an attempt to capitalize on her name recognition, as happened with Monica Lewinsky’s handbag line, or, in a more recent example, Mike “The Situation” Sorrentino’s “Situation Nation” clothing line.
Shoshanna runs her own store, while also selling at retailers including Saks Fifth Avenue, Neiman Marcus and Bloomingdale’s. They also have some items for sale on Amazon.
Now the retail brand has placed an order Chapter 11 Bankruptcyon the same day that Saks Global and Neiman Marcus also filed. (It’s important to note that the company behind the Shoshana brand uses a slightly different spelling – i.e. Shoshanah Fashions.)
Shoshana Fashion Company files for Chapter 11 bankruptcy
Lowenstein Gross may have started out as a tabloid personality, but she has a deep history as a respected fashion designer.
“After 27 years of dedication and innovation, the Shoshannah Collection has developed a legion of fans, including Mindy Kaling, Isla Fisher, Kelly Ripa, and the Duchess of Sussex, Meghan Markle. The collection can be found in luxury retailers such as Bergdorf Goodman, Neiman Marcus, Saks Fifth Avenue, Bloomingdale’s, Shopbop, and Anthropologie, as well as over 500 specialty stores in the U.S., Canada, Europe, and Asia,” the company shared on Twitter. Its location Website.
Shoshanah Fashions has not issued a public statement about its Chapter 11 bankruptcy filing. However, the filing came on the same day that Saks Global filed for Chapter 11 bankruptcy.
Saks Global’s Saks Fifth Avenue and Neiman Marcus are major distribution partners for Shoshanna Fashions, and the brand is almost certainly owed money by its partner, according to data shared with TheStreet by Ragini Bhalla, the brand’s president and Creditsafe spokesperson.
“Sachs had a continuing and troubling pattern of paying vendors in late 2025,
Pointing to sustainable Liquidity problems. Days Beyond Conditions (DBT) refers to
The number of days in arrears (i.e. past payment terms) that the company pays its invoices. One of
The most common indicators that a company is struggling with cash flow is when its DBT
The research showed significantly higher than other companies in the same industry.
- Saks’s DBT ranged between 30 and 41 between January and December 2025, which was three times higher than the industry average DBT of about 9.
- Between June and September 2025, the company’s DBT value rose continuously from 30 to 41 – an increase of 37% in just three months.
- Towards the end of the year (October through December 2025), the company’s DBT was around 32 to 33. This means that the company usually pays vendors more than a month late.
Sachs payments put sellers in a cash crunch
“If a seller and Saks agree to Net 90 payment terms, it means they may not be paid for a single invoice for at least 4 months after orders are fulfilled or services are completed for Saks. While some large sellers may have been able to wait that long to get paid, small and mid-sized sellers may not have had that luxury and could have had to make difficult financial decisions for their own businesses,” Bhalla said.
Seller payment timing is one of the most important and fragile parts of the retail business model.
When retailers delay payments to suppliers while continuing to demand standard delivery schedules, sellers are forced to finance production themselves. This often means borrowing at high interest rates or extending their receivables, which increases financial risks around the world. Suppliers.
In today’s high interest rate environment, these delays are particularly damaging, turning what were once manageable short-term gaps into prolonged cash flow crises.
Saks’ Chapter 11 bankruptcy had a ripple effect on its suppliers.
“Within days, the exposure profile became unavoidable. Any organization relied on it Borrowing Retail partners, providing trade credit, underwriting retail risk, or financing inventory are now within the risk perimeter.” The monthly lawyer reported.
Shoshanah Fashions, Inc. Chapter 11 Bankruptcy Facts:
- Shoshanah Fashions, Inc. applied. Filed for Chapter 11 bankruptcy protection In the US Bankruptcy Court regarding January 14, 2026.
- Condition is listed as Case No. 26-10083 (Chapter 11)Which indicates voluntary bankruptcy.
- The recording is part of a broader trend of Bankruptcy of the retail and clothing sector in 2025-2026 which includes other retailers (such as Joann and Saks Global).
- As with many early Chapter 11 cases, Detailed court documents (e.g., asset/liability schedules, creditor lists, reorganization plan) It has not yet been made public or widely disseminated.
Source: Better Monitor
Saks Global’s suppliers may not get their money
Because Saks Global intends to continue its operations, it must reach an agreement with the vendors regarding the unpaid invoices. The sellers will likely not get paid, according to Bhalla.
“Given that Saks also missed debt payments and filed for bankruptcy, this raises the possibility that some vendors will not receive money for work performed or orders fulfilled.
This data indicates that Sachs has been struggling with cash flow and liquidity for some time,
Contribute to its damaged relationships with suppliers. In the end, Sachs failed
“Addressing these challenges likely played a role in her filing for bankruptcy,” she wrote.
Saks has struggled to muster funding for its Chapter 11 filing, according to CNBC.
“Prior to filing, Sachs secured $1.75 billion in new financing from a group of the company’s senior secured noteholders and asset-based lenders. The lion’s share, $1 billion, is debtor-in-possession financing that will be used to finance operations while the company is in Chapter 11 while an additional $500 million will be available to the company after it emerges from bankruptcy.”
Even if sellers receive partial payments, this process can take months as bankruptcy works through the court.
More bankruptcy:
- Home Auto Parts and Services Company files for Chapter 11 bankruptcy
- Major travel brands file for Chapter 11 bankruptcy
- Self-driving car company files for Chapter 11 bankruptcy protection
- A 35-year-old consumer company files for Chapter 11 bankruptcy
Saks put in place a plan last year to pay off past-due balances.
“On February 14, the newly formed Saks Global announced its plan to repay sellers’ outstanding balances in 12 monthly installments starting in July.” Jordanian dinar I mentioned above.
The bankruptcy process is not bound by any prior agreements.
About Shoshana Fashion
- Founded in 1998 By the designer Shoshanna Lowenstein Gross In New York City.
- Brand focus: Elegant and feminine women’s fashion, primarily dresses, evening wear and swimwear.
- Signature style: Known for Flattering silhouettes, bold colors and distinctive details; Emphasizes femininity and suitability.
- Retail presence: They are carried in high-end retailers such as Saks Fifth Avenue, Bloomingdale’s, Neiman MarcusAnd specialty stores in North America and internationally.
- Swimwear innovation: Early adopter l Underwear-inspired sizing in separate swimwearsetting a trend for a more customized fit in swim fashion.
- Brand growth: It has expanded from dresses and evening wear to include Resort wear, swimwear and seasonal collectionsAnd build a strong base of loyal customers.
Source: Shoshana.com
Lonstein Gruss shared some of her costume design process Fashion Weekly In July.
“The creative process for each collection begins long before we attend design meetings; it’s always in the background,” she said. “Inspiration is usually not one big moment; it’s a collection of small sparks. I might notice an ad in an old magazine with an unexpected color combination, or come across a piece of art that sticks with me. I build from there, starting with color and typography. I gravitate towards certain things over and over again. I know what I like.”
Lonstein has not commented publicly on the bankruptcy filing, nor has the brand acknowledged it on its website or on social media.
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