Many people in Louisville this holiday season scoured their local mall for the best deals for holiday gift giving. For the fashion-forward, this meant purchasing items from popular clothing retailers. However, Louisville residents may be surprised to hear of one clothing retailer that may be facing the bankruptcy process.

According to one source, Limited Stores, is looking to file for bankruptcy in a matter of weeks. It is believed that the business will be liquidated. The struggling retailer has retained legal advisers. In addition, other professionals have been retained to assist the company with restructuring their liabilities and selling their assets.

Limited Stores used to be a part of L Brands, Inc. But, in 2007, the company was spun off when Sun Capital Partners, Inc. — a private equity firm — completed a leveraged buyout of the company. It is believed that Limited Stores, like other mall-based stores, has lost money, as shoppers have been more likely to spend their money online or on experiences, instead of spending their money on clothing.

Many brick-and-mortar stores in Louisville are struggling as shoppers are increasingly turning to the Internet, when it comes to spending their money. For some retailers, the most responsible option is filing for business bankruptcy.

Depending on the circumstances, a business can choose a liquidation bankruptcy, or they can file for bankruptcy in a way that restructures their debts, so they can continue operating as a business. In either case, businesses contemplating bankruptcy may benefit from speaking to a legal professional before beginning the process.

Source: Bloomberg, “Limited Stores Is Said to Plan for Bankruptcy and Possible Liquidation,” Jodi Xu Klein & Lauren Coleman-Lochner, Dec. 20, 2016