New York (CNN) A New York-based toy company has been caught up in the collapse of Silicon Valley Bank and is pleading with customers for help to keep it afloat.
Camp, a venture-backed retailer, sent an email to customers on Friday saying it was cutting prices and would use the sales to help fund its continued operations after much of its cash was tied up in the bank failure.
“Unfortunately, we had most of our company’s cash assets in a bank that just collapsed. I’m sure you’ve heard the news,” co-founder Ben Kaufman said in an email to clients.
He encouraged customers to use the code “BANKRUN” to save 40% on all items, in an apparent nod to the run on the bank that may have helped topple the Silicon Valley lender. Camp also said customers could pay full price, which it said would be appreciated.
Kaufman said the company was “hopeful that this will be resolved soon.”
CNN has not confirmed whether Camp had funds at Silicon Valley Bank when the bank collapsed.
Silicon Valley Bank was placed under the control of the US Federal Deposit Insurance Corporation on Friday, capping a stunning 48-hour period in which fears of a liquidity crisis at the firm prompted some startups to consider withdrawing funds.
The sudden collapse of the Silicon Valley lender has pushed tech investors and startups to scramble to figure out their financial exposure to the bank, with founders worrying about getting their money out, making salaries and covering operating expenses.
The rapidly unfolding fallout at Silicon Valley Bank comes at a challenging time for the startup and tech industries. Rising interest rates have eroded the easy access to capital that helped fuel skyrocketing startup valuations and funded ambitious, money-losing projects.
Kaufman, a former BuzzFeed executive, founded Camp in 2018. It has nine stores in California, Connecticut, Massachusetts, New York, New Jersey and Texas.