The maker of Sprinkles Cakes is announcing the permanent closure of all stores
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Sprinkles Cupcakes, the bakery chain best known for its cupcake ATMs, is permanently closing all of its stores.
Candace Nelson, the company’s founder and former owner, confirmed the closure in an Instagram video, saying Wednesday, December 31, marked Srinkles’ “last day” of employment.
“A few days ago, I learned that Sprinkles Cupcakes, the company I started in 2005 and sold privately in 2012, will be closing its doors today,” Nelson said. “Just saying that out loud is completely surreal.”
Although he has not been involved in the business since he sold it in 2012, Nelson said he never thought the brand would end up like this.
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Sprinkles Cupcakes closed bakery in Highland Village, Houston, Texas, Dec. 31, 2025. (Reginald Mathalone/NurPhoto via Getty Images/Getty Images)
“I thought Sprinkles would just keep growing and be around forever,” Nelson said. “I thought it would be my legacy.”
Nelson also expressed gratitude to the company’s customers and employees.
“Thank you so much to the fans, customers and community that came out, celebrated with us, and made Sprinkles a part of their culture – and the team that made it all possible,” he wrote in the post’s caption. “I will always be proud of what we have built.”
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A box of Sprinkles Cupcakes in the Georgetown neighborhood of Washington, DC, Aug. 2, 2012. (Photos by Saul Loeb/AFP/GettyImages)
Founded in Beverly Hills in 2005, Sprinkles has grown into a national brand with more than 20 stores in six states and Washington, DC, and nearly two dozen cupcake ATMs, SFGATE reports.
The company was sold in 2012 to private equity firm KarpReilly Capital Partners for an undisclosed amount.
“After much consideration, we have made the very difficult decision to leave the Sprinkles Cupcakes company,” a Sprinkles Cupcakes spokesperson told KTLA.
Candace Nelson in the season finale of “Next Level Baker” aired on December 18, 2025. (FOX via Getty Images/Getty Images)
It’s unclear what will happen to the company’s cake ATMs, according to KTLA.
The shutdown sparked a swift backlash from Sprinkles employees, with many employees expressing their frustration in posts on the company’s Instagram page.
“Delicious cupcakes. No one-day layoff notices. Yep, what a bold way to celebrate 20 years and ring in the new year,” one user wrote.
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The closing of the cupcake ATM at Sprinkles Cupcakes in San Ramon, Calif., in June 2022. (Collection of Smith/Gado/Getty Images / Getty Images)
“Thanks for the one-day notice to be inactive and quit!” another said.
“GIVE EVERY STAFFING COMPANY 1 DAY NOTICE THAT THERE ARE NO JOBS! Sprinkles is closing all locations on 12/31. HAPPY NEW YEAR!!” another user wrote.
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Sprinkles did not immediately respond to FOX Business’ request for comment.
