Glosslab: $20M Celebrity-Backed Nail Chain Sells for $525K in Chapter 11

Glosslab LLC, the membership-based nail salon chain backed by roughly $20 million in celebrity and venture capital, filed for chapter 11 protection on December 23, 2024, in the U.S. Bankruptcy Court for the Southern District of New York. Founded in 2018 by former hedge fund executive Rachel Apfel Glass, Glosslab had scaled to approximately 21 locations across New York, New Jersey, Maryland, and Texas before a rapid contraction left only two Manhattan salons operating at the time of filing. The case moved quickly to a section 363 sale: Townhouse, a U.K.-based nail salon chain, acquired the two remaining locations for $425,000, while VD Brand Holdings Inc. purchased Glosslab's intellectual property for $100,000 — total recovery of $525,000 on $20 million in invested capital. The IP buyer has since relaunched Glosslab as a product-based lifestyle brand under new leadership.

Debtor(s)	Glosslab LLC and 9 affiliated entities
Case Number	24-12399
Court	U.S. Bankruptcy Court, Southern District of New York
Petition Date	December 23, 2024
Judge	Hon. Michael E. Wiles
Debtor's Counsel	Weinberg Zareh Malkin Price LLP
Total Funding Raised	~$20 million
363 Sale Proceeds	$525,000

From Hedge Fund to Hygiene-First Nail Salon

Rachel Apfel Glass, a Boston native with a Columbia Business School MBA and a decade of experience in hedge fund marketing and fundraising, founded Glosslab in 2018 after the birth of her second child. The concept was a waterless, membership-based nail studio with a hygiene-first model: all tools were single-use or hospital-grade sterilized, no pedicure bowls were used, and services were designed for speed — same-time manicures and pedicures in under 40 minutes.

Memberships ranged from $115 to $135 per month for unlimited services, depending on billing frequency. Glass self-funded the first two Manhattan locations — Flatiron and West Village — before raising external capital to fuel expansion.

$20 Million in Celebrity-Backed Funding

Glosslab raised approximately $3 million in seed funding in December 2020, led by a roster of celebrity and business investors including Sean Rad (co-founder of Tinder), Andy Stenzler (co-founder of Rumble Boxing), and Elliott Tebele (co-founder of FuckJerry). By May 2021, the round had expanded to over $7 million with additional participation from Olivia Culpo, The Chainsmokers, Amar'e Stoudemire (retired Knicks star), Jared Goff (Detroit Lions quarterback), Patrick Schwarzenegger, Mark Sanchez, and Michael Dubin (Dollar Shave Club founder).

By March 2023, Glass stated the company had raised roughly $20 million in total. At peak, Glosslab operated approximately 21 locations across four states with ambitions to reach 65.

Joshua Coba partnership and fallout. In March 2023, European Wax Center co-founder Joshua Coba backed Glosslab and purchased the company's existing Florida locations with plans to franchise nationally. The partnership dissolved after Glass defaulted on a loan from Coba, and the dispute moved to litigation.

Overexpansion, Unpaid Rent, and Negative Press

Rent defaults. As the salon chain expanded, cash shortfalls mounted across locations. In February 2025, Acadia Realty Trust sued Glosslab over $102,263 in unpaid rent at a NoHo storefront at 640 Broadway, covering arrears from September 2023 through November 2024 — indicating the company had been unable to cover rent at that location for more than a year.

New York Post exposé. A March 2024 New York Post article detailed Glosslab's financial problems, the Coba legal fight, and allegations that the company employed unlicensed nail technicians. Company insiders described an operation marked by undisciplined spending. The entire corporate management team was let go. Glass stated in a court filing that the article accelerated the company's decline by damaging consumer trust and investor confidence.

Location closures. By the time of the December 2024 filing, Glosslab had shuttered all but two of its approximately 21 locations — the Flatiron and Tribeca salons in Manhattan.

Ten Affiliated Entities in chapter 11

Glosslab filed as a group of ten affiliated debtor entities, each corresponding to a location-level LLC or functional entity:

The location-level LLCs represent Glosslab's geographic footprint at its peak: Manhattan (Flatiron, Tribeca, NoHo, Broadway), Bethesda Row (Maryland), Closter Market Place (New Jersey), Lovers Lane (Dallas, Texas), and Union Market (Washington, D.C.).

363 Sale: $525,000 on $20 Million Invested

The chapter 11 case moved rapidly to asset sales. On approximately March 10, 2025, the court approved two purchase agreements:

Townhouse acquires physical operations. Townhouse, a U.K.-based nail salon chain, purchased inventory, equipment, and leases for the Flatiron and Tribeca locations for $425,000. The acquisition marked Townhouse's entry into the New York market — the company had previously operated one Los Angeles salon with a second in progress. Townhouse co-founder Jonathan Millet stated the company aimed to reach 12 to 15 U.S. locations within 12 to 18 months. The two locations were temporarily rebranded as "Glosslab by Townhouse" before closing for renovations and reopening under the Townhouse brand.

VD Brand Holdings acquires intellectual property. VD Brand Holdings Inc., owned by entrepreneur Adam Weitsman, purchased Glosslab's intellectual property for $100,000 — the brand name, trademarks, and associated IP. This transaction separated the Glosslab brand from its physical salon operations.

Combined proceeds totaled $525,000 on roughly $20 million in invested capital.

From Salon Chain to Product Brand

VD Brand Holdings relaunched Glosslab as a product-based lifestyle brand in early 2026, appointing Elizabeth Woods as President and her daughter Jordyn Woods as Chief Creative Director. Former Revlon executive Martine Williamson joined as Chief Marketing Officer.

The new entity plans to launch a line of multiuse beauty products in spring 2026 under a direct-to-consumer model with no physical retail footprint.

Key Timeline

Frequently Asked Questions

When did Glosslab file for bankruptcy?

Glosslab LLC and nine affiliated entities filed voluntary chapter 11 petitions on December 23, 2024, in the U.S. Bankruptcy Court for the Southern District of New York under lead case number 24-12399.

Why did Glosslab file for chapter 11?

Glosslab's filing followed overexpansion from two self-funded Manhattan locations to approximately 21 locations across four states, funded by roughly $20 million in investor capital. Cash shortfalls led to rent defaults at multiple locations, and the company faced a legal dispute with European Wax Center co-founder Joshua Coba over a defaulted loan. Glass stated in a court filing that a March 2024 New York Post article detailing financial problems and allegations of unlicensed technicians accelerated the company's decline.

How much did Glosslab's assets sell for?

The court approved two 363 sale transactions totaling $525,000: Townhouse acquired the two remaining Manhattan salon locations (Flatiron and Tribeca) for $425,000, and VD Brand Holdings Inc. acquired Glosslab's intellectual property for $100,000. This represented a 97% loss on the approximately $20 million raised from investors.

Who were Glosslab's celebrity investors?

Glosslab's investor roster included Olivia Culpo, The Chainsmokers, Amar'e Stoudemire (retired NBA star), Jared Goff (Detroit Lions quarterback), Sean Rad (co-founder of Tinder), Patrick Schwarzenegger, Mark Sanchez, and Michael Dubin (founder of Dollar Shave Club).

Is Glosslab still in business?

The Glosslab brand was acquired out of bankruptcy by VD Brand Holdings Inc. and relaunched in early 2026 as a product-based lifestyle brand, with Elizabeth Woods as President and Jordyn Woods as Chief Creative Director. The physical salon locations were acquired by U.K.-based Townhouse and now operate under the Townhouse brand. Glosslab no longer operates nail salons.

Who is the judge in the Glosslab bankruptcy case?

Hon. Michael E. Wiles of the U.S. Bankruptcy Court for the Southern District of New York is presiding over the Glosslab chapter 11 case.

For more bankruptcy case coverage, visit the ElevenFlo bankruptcy blog.