California, August 22, 2025
News Summary
Bed Bath & Beyond’s Executive Chairman, Marcus Lemonis, announced that the company will refrain from opening new stores in California due to the state’s high operational costs and regulatory challenges. The decision follows a social media inquiry about potential store locations, emphasizing California’s challenging business landscape. Customers in the state can still access products online with prompt delivery options. This comes as the company seeks to revitalize its brand post-bankruptcy and focuses on launching smaller stores nationwide, excluding California.
California – In a significant development for the retail sector, Marcus Lemonis, Executive Chairman of Bed Bath & Beyond, announced that the company will not be opening any new retail stores in California due to the state’s challenging business environment. This decision comes after Lemonis solicited input on potential new store locations on social media but ultimately deemed California as too “overregulated, expensive, and risky” for new business ventures.
The announcement was made on August 20, 2025, as Lemonis highlighted various barriers that hinder business growth in the state, including high taxes, hefty fees, and elevated wages. Currently, California’s minimum wage stands at $16.50 per hour, making it one of the most expensive states to start a business in America.
Despite this setback for California residents, they will still have access to Bed Bath & Beyond products through online platforms, ensuring deliveries can be made within 24 to 48 hours. This is essential for the company, which filed for Chapter 11 bankruptcy in 2023 and subsequently closed all of its stores, which had numbered over 300 prior to the bankruptcy event. The brand is now under the ownership of Beyond Inc., which also oversees buybuy BABY and Overstock.com.
Recent Business Developments
Bed Bath & Beyond opened its first Bed Bath & Beyond Home store in Nashville, Tennessee, on August 8, 2025, marking the beginning of its strategy to revitalize the brand. Lemonis, who is well-known for turning around struggling businesses and features prominently in his television shows, recently indicated plans to launch approximately 300 smaller store locations across the United States over the next two years, though these will not include California.
Broader Context and Reactions
Lemonis’s remarks reflect an emerging pattern, as numerous companies are considering relocating their operations out of California due to perceived challenges related to the state’s business climate. This trend was echoed by Brightpoint Ventures, which announced its planned relocation from California to Florida, underscoring similar concerns about regulatory burdens.
The response from California’s Governor Gavin Newsom’s office was one of surprise, acknowledging the company’s attempts to regain relevance following its bankruptcy. The state has long been regarded as a challenging environment for new businesses, as reflected in Lemonis’s assessment of its regulatory landscape.
While the decision may disappoint some customers looking for physical Bed Bath & Beyond stores in California, the company remains committed to offering its products through online shopping avenues, ensuring continued accessibility for Californians. This strategic pivot underscores the company’s flexibility in adapting to a complex retail environment.
Key Takeaways
- Marcus Lemonis announced that Bed Bath & Beyond will not open stores in California.
- California’s regulatory environment is viewed as challenging for new businesses.
- The company plans to open around 300 smaller stores nationwide, excluding California.
- Online shopping remains an option for Californian consumers, with quick delivery times.
- Bed Bath & Beyond emerged from bankruptcy and is now operated by Beyond Inc.
Future Outlook
The strategic choices laid out by Lemonis indicate a focused effort on reconsolidating the Bed Bath & Beyond brand while navigating the complex landscape of American retail. As the company moves forward with its expansion plans outside California, it will be crucial to monitor how these developments affect both customers and the broader market.
Frequently Asked Questions
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Why won’t Bed Bath & Beyond open stores in California?
Marcus Lemonis cited the state’s overregulated, expensive, and risky business environment as primary reasons.
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How can customers in California still access Bed Bath & Beyond products?
Customers can shop online, with deliveries available within 24 to 48 hours.
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What is Bed Bath & Beyond’s recent business history?
The company filed for Chapter 11 bankruptcy in 2023 and closed all its physical stores.
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How many new stores does Bed Bath & Beyond plan to open nationwide?
The company aims to launch around 300 smaller store locations over the next two years.
Key Features of Bed Bath & Beyond’s Recent Announcements
| Feature | Details |
|---|---|
| Decision on California Stores | Will not open any new stores due to regulatory challenges |
| Store Opening in Nashville | First Bed Bath & Beyond Home store opened on August 8, 2025 |
| Online Shopping Access | Products available online with 24-48 hour delivery |
| Company Status | Now owned by Beyond Inc. after filing for Chapter 11 in 2023 |
| Future Expansion Plans | Aiming to open 300 smaller stores nationwide except California |
Deeper Dive: News & Info About This Topic
- USA Today: Bed Bath & Beyond and California’s Business Environment
- Wikipedia: California
- San Francisco Chronicle: Bed Bath & Beyond in California
- Google Search: Bed Bath & Beyond
- KTLA: Bed Bath & Beyond’s California Decision
- Encyclopedia Britannica: Retail
- Forbes: Bed Bath & Beyond’s Future Plans
- Google News: Bed Bath & Beyond California
- Newsweek: Bed Bath & Beyond’s California Backlash
- MSN: Major Retailer Rejects California
