Sprinkles Cupcakes Founder Confirms Permanent Closure of All Locations
Baked by Melissa CEO Melissa Ben-Ishay joins ‘Mornings with Maria’ to share how getting fired inspired her to build a multimillion-dollar cupcake empire through grit, passion, and love.
In a surprising turn of events, Sprinkles Cupcakes, the renowned bakery chain famous for its innovative cupcake ATMs, has announced the permanent closure of all its stores. This news was confirmed by Candace Nelson, the founder and former owner, in an emotional Instagram video.
Nelson revealed that December 31 marked Sprinkles’ “final day” of operations. “A few days ago, I learned that Sprinkles Cupcakes, the company I started in 2005 and then sold to private equity in 2012, will be closing its bakery doors today,” she stated. “Just to say that out loud is completely surreal.”
Despite having no operational involvement since the sale, Nelson expressed disbelief at the brand’s unexpected demise. “I thought Sprinkles would keep growing and be around forever,” she lamented. “I thought it was going to be my legacy.”
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A closed Sprinkles Cupcakes bakery in Highland Village, Houston, Texas, Dec. 31, 2025. (Reginald Mathalone/NurPhoto via Getty Images / Getty Images)
Expressing her gratitude, Nelson thanked the loyal customers and employees who supported Sprinkles throughout its journey. “I’m deeply grateful to the fans, customers and community who showed up, celebrated with us, and made Sprinkles part of their traditions — and to the team who made it all happen,” she wrote. “I’ll always be proud of what we built.”
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A box of Sprinkles Cupcakes in the Georgetown neighborhood of Washington, D.C., Aug. 2, 2012. (Saul Loeb/AFP/GettyImages / Getty Images)
Founded in Beverly Hills in 2005, Sprinkles quickly expanded into a national brand, boasting over 20 locations across six states and Washington, D.C., along with approximately two dozen cupcake ATMs, as reported by SFGATE.
In 2012, the company was sold to private equity firm KarpReilly Capital Partners for an undisclosed amount. A spokesperson for Sprinkles Cupcakes stated, “After thoughtful consideration, we’ve made the very difficult decision to transition away from operating company-owned Sprinkles bakeries,” as reported by KTLA.
Candace Nelson in the “Next Level Baker” season finale episode that aired Dec. 18, 2025. (FOX via Getty Images / Getty Images)
The future of the company’s cupcake ATMs remains uncertain, as reported by KTLA. The announcement of the shutdown has led to immediate backlash from Sprinkles’ employees, many of whom expressed their frustration on the company’s Instagram page.
One user commented, “Cupcakes are sweet. One-day layoff notices are not. Yikes, what a bold way to celebrate 20 years and ring in the new year.” Another added, “Thanks for the one-day notice of unemployment and no severance!”
Another user remarked, “GAVE ALL EMPLOYEES COMPANY WIDE 1 DAY NOTICE THAT THEY NO LONGER HAVE JOBS! Sprinkles is closing all locations 12/31. HAPPY NEW YEAR!!”
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Sprinkles has yet to respond to FOX Business’ request for comment.
Baked by Melissa CEO Melissa Ben-Ishay joins ‘Mornings with Maria’ to share how getting fired inspired her to build a multimillion-dollar cupcake empire through grit, passion, and love.
In a surprising turn of events, Sprinkles Cupcakes, the renowned bakery chain famous for its innovative cupcake ATMs, has announced the permanent closure of all its stores. This news was confirmed by Candace Nelson, the founder and former owner, in an emotional Instagram video.
Nelson revealed that December 31 marked Sprinkles’ “final day” of operations. “A few days ago, I learned that Sprinkles Cupcakes, the company I started in 2005 and then sold to private equity in 2012, will be closing its bakery doors today,” she stated. “Just to say that out loud is completely surreal.”
Despite having no operational involvement since the sale, Nelson expressed disbelief at the brand’s unexpected demise. “I thought Sprinkles would keep growing and be around forever,” she lamented. “I thought it was going to be my legacy.”
STEAK ’N SHAKE TOUTS $2.50 ‘PATRIOT MILKSHAKE’ TO HONOR AMERICA’S SEMIQUINCENTENNIAL
A closed Sprinkles Cupcakes bakery in Highland Village, Houston, Texas, Dec. 31, 2025. (Reginald Mathalone/NurPhoto via Getty Images / Getty Images)
Expressing her gratitude, Nelson thanked the loyal customers and employees who supported Sprinkles throughout its journey. “I’m deeply grateful to the fans, customers and community who showed up, celebrated with us, and made Sprinkles part of their traditions — and to the team who made it all happen,” she wrote. “I’ll always be proud of what we built.”
STARBUCKS CEO CALLS AI ‘CO-PILOT,’ NOT REPLACEMENT FOR WORKERS AMID COMPANY TURNAROUND EFFORTS
A box of Sprinkles Cupcakes in the Georgetown neighborhood of Washington, D.C., Aug. 2, 2012. (Saul Loeb/AFP/GettyImages / Getty Images)
Founded in Beverly Hills in 2005, Sprinkles quickly expanded into a national brand, boasting over 20 locations across six states and Washington, D.C., along with approximately two dozen cupcake ATMs, as reported by SFGATE.
In 2012, the company was sold to private equity firm KarpReilly Capital Partners for an undisclosed amount. A spokesperson for Sprinkles Cupcakes stated, “After thoughtful consideration, we’ve made the very difficult decision to transition away from operating company-owned Sprinkles bakeries,” as reported by KTLA.
Candace Nelson in the “Next Level Baker” season finale episode that aired Dec. 18, 2025. (FOX via Getty Images / Getty Images)
The future of the company’s cupcake ATMs remains uncertain, as reported by KTLA. The announcement of the shutdown has led to immediate backlash from Sprinkles’ employees, many of whom expressed their frustration on the company’s Instagram page.
One user commented, “Cupcakes are sweet. One-day layoff notices are not. Yikes, what a bold way to celebrate 20 years and ring in the new year.” Another added, “Thanks for the one-day notice of unemployment and no severance!”
Another user remarked, “GAVE ALL EMPLOYEES COMPANY WIDE 1 DAY NOTICE THAT THEY NO LONGER HAVE JOBS! Sprinkles is closing all locations 12/31. HAPPY NEW YEAR!!”
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Sprinkles has yet to respond to FOX Business’ request for comment.
