Created by fashion influencer Arielle Charnas in 2020, Something Navy initially experienced great commercial success during the pandemic. However, the brand has recently faced a dip in sales and a significant number of employees have left the company. Something Navy was launched in July 2020 by Arielle Charnas, a fashion influencer who gained popularity through her blog "Something Navy," which she started in 2009.
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Over the years, Charnas grew her blog into a media brand and eventually ventured into the fashion industry, creating her own clothing line. The brand initially planned to launch in March 2020 but was delayed due to the Covid-19 pandemic. In its first year, Something Navy earned $32 million in revenue and was valued at $100 million, according to Insider in 2021. The company also raised $17.5 million in funding from various investors, including venture firms and notable individuals in the fashion industry.
However, as time went on, Something Navy began to face financial difficulties. The brand fell behind on payments to suppliers, freelancers, and models, resulting in strained relationships and mounting debts. Insider reported that the company owed one supplier in India $364,000, which was only resolved after the story broke in the media.
The struggles at Something Navy were not limited to financial issues. The brand also experienced internal challenges, including the departure of key employees. In 2022, nearly half of Something Navy's full-time employees left the company, citing dissatisfaction with the CEO, Matt Scanlan. Former employees claimed that Scanlan failed to address the company's problems adequately and kept Charnas uninformed about the situation.
Furthermore, Scanlan himself left his role as CEO in June of that year, leaving the company in a state of disarray. The departure of Scanlan, who had played a crucial role in the brand's success, further added to the uncertainty surrounding Something Navy.
Beyond the business challenges, Arielle Charnas and her family faced personal controversies that affected the brand's reputation. Charnas came under fire in March 2020 for posting about receiving a positive Covid-19 test result and subsequently leaving New York City for her home in the Hamptons. The posts sparked backlash from followers who believed that Charnas had disregarded the seriousness of the pandemic.
Moreover, Charnas's husband, Brandon Charnas, became the subject of an investigation by the US Securities and Exchange Commission for possible insider trading violations. The SEC alleged that Brandon traded stocks ahead of Staples announcing an offer to acquire Office Depot, resulting in significant profits. This controversy further added to the turmoil surrounding Something Navy and its founders.
Charnas was reportedly less engaged and appeared unwilling to wear her own merchandise, while Matt Scanlan shielded her from the company's challenges and painted a rosier picture. After failing to pay vendors and suppliers on time, accumulating substantial debts. It was reported that the struggling brand will be sold to new owners for a mere $1, with Arielle Charnas maintaining a 14.5% stake and serving as a brand ambassador.
However, the brand's plans for expansion and new collections have been shelved, indicating an uncertain future. Something Navy's future remains uncertain with the brand's website is currently unavailable, with a note stating that it is undergoing a refresh.
