Please & Thank You, a well-known name in Louisville’s coffee community, has filed for Chapter 11 bankruptcy. The business, founded by Brook Vaughn, operates six stores from Louisville to Indianapolis and has been a part of the local scene since 2010, famous for its award-winning cookies and inviting atmosphere.

Financial Challenges and Controversy

The filing reveals that the company has not been profitable since 2019, attributing its financial difficulties to rising post-pandemic costs, labor expenses, tariffs, and inaccurate accounting reports. Additionally, a significant factor in the company’s struggles was a “viral misinformation campaign” that occurred earlier in 2026. This campaign began with a Reddit post alleging that an ICE agent was not treated respectfully at one of the stores. The post included Vaughn’s response, which advised employees to “leave their politics at the door,” a statement that led to community backlash. Vaughn expressed regret over her response, but the incident resulted in threats and a 31% drop in sales that month, affecting investor and franchise relations.

Efforts to Reorganize

Despite some improvement in revenue outlooks for April and May, the company faces an unsustainable debt load, estimated at $4.01 million. Vaughn’s filing requests the court’s immediate relief to keep the business operational, including permission to use cash collateral and continue paying its approximately 50 employees. Vaughn is also considering a potential sale to a long-term vendor while attempting to reorganize the business.

Original reporting: WLKY Louisville — read the source article.