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Why businesses close

Demand is rarely the problem.

Main reason for closing

Rent, lease or energy costs outgrew revenue24%
Owner burnout or injury19%
Couldn't hire or keep staff16%
Priced too low to survive14%
Lost a key client or location11%
Ads cost more than customers were worth9%
Other7%

All post-mortems

By cause
By sector

5 post-mortems

Post-mortemCar washRotterdam, Netherlands5 min read

Why Rinse Bros Car Wash closed: a 60% rent rise and doubled energy bills

Rinse Bros had steady demand and good reviews, but it didn't control its biggest costs. When energy prices doubled in 2023 and the landlord raised the rent 60% at the 2025 renewal, break-even jumped from about 1,450 washes a month to 2,300. The site had never done more than 1,700.

Bram & Sem Jansen · Rinse Bros Car Wash · Oct 2025
Money lost$95,500Closed Aug 2025SumUp + Open Banking
Post-mortemBakeryBoston, MA, US3 min read

Why Dough & Co closed: the second bakery ate the first

Dough & Co's first bakery was profitable. The second, opened in 2023 on borrowed money, never covered its rent, and its losses drained the cash the first shop needed. Nina Russo closed both in March 2025.

Nina Russo · Dough & Co · May 2025
Money lost$190,000Closed Mar 2025Square
Post-mortemVending machinesMadrid, Spain3 min read

Why VendKing closed: vending machines in offices nobody went to

VendKing's machines were in offices, and the offices emptied. As Madrid companies moved to hybrid work, footfall at Diego Martín's sites fell by more than half, and machines that had earned $340 a month dropped below $115, less than the cost of restocking them.

Diego Martín · VendKing · Mar 2025
Money lost$30,500Closed Jan 2025SumUp
Post-mortemLaundromatLondon, UK4 min read

Why Fresh Fold closed: $3 left on every $32 order

Fresh Fold had happy customers and lost money on almost every order. Each $32 order cost $12 in courier fees, each new customer cost about $50 in ads, and the average customer ordered 2.1 times before stopping. Growth made the losses bigger, and growth was the plan.

Tom Okafor · Fresh Fold · Jan 2025
Money lost$80,500Closed Nov 2024Stripe
Post-mortemLandscapingNottingham, UK3 min read

Why Mow Better Lawns closed: 90 customers in June, 11 in December

Mow Better Lawns earned well from April to September and almost nothing from November to February. With no winter work and no savings plan, Jake Lowe ran out of cash every January and borrowed to restart in spring. After the third winter he stopped.

Jake Lowe · Mow Better Lawns · Dec 2024
Money lost$12,500Closed Oct 2024GoCardless

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The Sunday TillIssue #87 · Sep 2026How Brightside Window Cleaning grew to 1,900 customers on dense rounds and direct debits12-month revenue$242,160Price properly from day oneDensity is the profitGet out of the van5 min read · Verified via Stripe + GoCardless

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