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Factory bankruptcy causes trouble for business

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Factory bankruptcy causes trouble for business

LONDON, Ky. (WYMT) – Just weeks before Christmas, a southern Kentucky ice cream shop owner didn’t know how she was going to pay her bills.

That’s because the owner of The Moody Cow in London said one of their biggest invoices from a catering event at a major local factory was still unpaid.

Local officials say the company, Hearthside Food Solutions, didn’t pay their bill because they are going through Chapter 11 bankruptcy. Hand rolled ice cream was served at Hearthside Food Solutions as part of an employee recognition event in October.

The Moody Cow owner Kristen Strawser billed Hearthside more than $3,000 from the October event and never got paid.

”I didn’t know how I was going to cover anything. My monthly bills or payroll or anything,” Strawser said.

She said she was told the invoice was approved multiple times but still no money came.

 “It’s a week before Christmas. It has made it hard.”

London’s mayor says Hearthside Food Solutions recently filed for Chapter 11 Bankruptcy.

”It’s more of a financial reconstruction within the company. We’ve been told there will be no layoffs,” Weddle said.”But I never would have dreamed they weren’t going to pay at all.”

Strawser said Hearthside has hired them for events in the past and always paid on time.

But the story has a happy ending.

Strawser says since word got out of what happened to them, an anonymous person in the community has agreed to pay the invoice.

”It is very humbling and heartwarming that someone is willing to do that.”

London’s mayor says Hearthside has worked with other smaller businesses that he’s heard were also impacted.

WYMT tried reaching out to Hearthside Food Solutions for comment but they have not responded.

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