Crumbl CEO Jason McGowan has taken the blame for the chain’s slide, saying, “It’s my fault where we are today,” as stores close, sales sink and a franchisee files for bankruptcy.
The numbers behind that admission are brutal. At least 57 Crumbl stores closed in 2026 against 20 openings, and traffic across more than 1,000 stores fell 32% year over year.

An internal document put August sales 70% below where they stood two years earlier, a month several franchisees called the worst in company history.
McGowan had bet on “dirty sodas” to lift sales 20%. Instead, a 32-ounce drink carrying 186 grams of sugar drew a backlash, and August’s Soda Week turned into the worst week the company had ever posted.

On Oct. 1, the franchisee behind the St. Matthews store in Louisville filed Chapter 7, reporting roughly $10,000 in assets against $352,780 in liabilities, though the chain itself hasn’t filed for bankruptcy.
The cookies have taken hits for years. Bon Appétit wrote in 2023 that “good is generous, and okay is a stretch.”
McGowan once read a Reddit comment calling the cookies “suck” and shot back: “Why are you on Reddit commenting on our cookies? You know you’ve been eating those cookies every single week.”
