June 2025 – Rome, Italy – Fashion entrepreneur and influencer Chiara Ferragni has been dealt another major blow as her retail venture, Fenice Retail, has entered voluntary liquidation after racking up €1.2 million in losses over the last two years.
The decision follows a series of financial and legal troubles surrounding the brand, culminating in the closure of Ferragni’s flagship store in Rome.
Two Years of Decline
Fenice Retail, which operated as the retail branch of Ferragni’s holding company Fenice Srl, posted just €644,000 in total revenue between 2023 and 2024, while operational costs soared to nearly €2 million.
- In 2023, the company recorded a loss of €530,000
- In 2024, the deficit widened to €684,000
As a result, the company’s equity dropped below the legal threshold required for continued operation in Italy, triggering formal liquidation proceedings in May 2025. Calabi has been appointed to oversee the wind-down process, according to Italian business outlet Radiocor.
Legal Woes Add to Financial Pressure
The financial collapse comes as Ferragni faces ongoing legal proceedings linked to allegedly misleading charity campaigns, including promotions involving Christmas cakes and Easter eggs. Public backlash and reputational damage have likely worsened the retail subsidiary’s already fragile standing.
Emergency Recapitalization of Parent Company
In a desperate bid to stabilize her broader business operations, Ferragni injected €6.4 million into Fenice Srl, the parent company, earlier this year. The company had reported cumulative losses nearing €10.2 million, prompting the influencer to fully recapitalize and gain 99% control of the entity.
Ferragni’s Response and Future Plans
Despite the fallout, Ferragni remains determined to restructure and revive her brand. In a statement, she promised a renewed commitment to “maximum transparency and reliability”, stating that changes would become visible in the second half of 2025.
“This moment marks not the end, but a strategic turning point for the brand,” Ferragni said, alluding to upcoming innovations in the brand’s commercial direction.
What Comes Next?
With the retail arm shuttered and legal uncertainties still unfolding, the spotlight is now firmly on Ferragni’s next move. As she consolidates full control of her business empire, industry watchers will be tracking how — and if — the brand can rebuild its public trust and financial footing.
