Merfs Condiments, a local hot sauce company named after owner Kelly Schexnaildre’s dog Murphy, is sadly closing its doors early next year. Despite once being a staple in 700 restaurants and 400 stores, the business has struggled financially due to the impact of the Covid-19 pandemic. Schexnaildre stated that while there is still high demand for their product, the company is unable to turn a profit, leading to the difficult decision to shut down once their inventory runs out, expected by the end of January.
The pandemic dealt a severe blow to Merfs, causing an 80% loss in revenue and a tripling of costs. Schexnaildre explained that the majority of their customers were restaurants, accounting for 80% of sales pre-pandemic. With the closure of many eateries in 2020, the company’s restaurant wholesale revenue dropped significantly. To adapt, they focused on e-commerce and retail sales, but it was not enough to offset the losses from the restaurant sector.
Furthermore, Schexnaildre cited concerns about potential tariffs under the incoming administration as another factor in the decision to close. With all of Merfs’ products packaged in glass containers and sourced chile peppers from Mexico, increased tariffs could further strain the company’s finances.
Despite the challenges faced by Merfs, Schexnaildre remains optimistic about the future. She is launching a new business called The Juicy Lemon, aimed at helping other entrepreneurs navigate the consumer packaged goods industry. Through this venture, she hopes to provide guidance and support to aspiring business owners, drawing from her own experiences with Merfs.
As Merfs prepares to close its doors, Schexnaildre reflects on the journey of the company she founded in 2014. Despite the setbacks, she remains proud of the impact Merfs had in the local hot sauce scene. While it may be the end of an era for Merfs, Schexnaildre’s new venture signals a new beginning and an opportunity to share her knowledge and expertise with the next generation of entrepreneurs.
