A favorite spot for bargain shoppers across the Magnolia state for more than three decades is closing its doors, bringing and end to an essential resource for affordable goods in Mississippi.

Hattiesburg-based Channel Control Merchants, the parent company of Dirt Cheap, Treasure Hunt, and Dirt Cheap Building Supplies, has filed for Chapter 11 bankruptcy, signaling the end of a Mississippi-grown business that became a regional staple.

Founded over 30 years ago in Hattiesburg, Dirt Cheap quickly expanded across the Southeast, becoming a local favorite for discounted goods and growing into the largest buyer of insurance claims in the U.S. The company’s growth was fueled by purchasing and selling merchandise from a wide range of sources, including manufacturer and retailer buybacks, bankruptcies, overstocks, liquidations, and customer returns.

Over the years, Dirt Cheap’s footprint grew, not just in Mississippi but throughout the Southeast, including Louisiana, Alabama, Arkansas, Florida, Texas, Georgia, and Tennessee. In 2006, the company launched a Wholesale Division to manage excess inventory, particularly in clothing, footwear, and accessories. These goods were shipped to more than a dozen countries, including regions like Africa, Latin America, Eastern Europe, and the Caribbean.

Despite this impressive growth, the company now faces its biggest challenge yet. Channel Control Merchants, operating under HDC Holdings II LLC, filed for bankruptcy on October 10, with a final court hearing scheduled for November 7, 2024. All stores are expected to close by the end of the year, marking a significant loss for communities that relied on its affordable retail options.

In Natchez, signs appeared last weekend announcing “Store Closing” sales, offering 40 to 90 percent off merchandise. Though the store remains open and bustling with customers eager for discounts, no final closing date has been confirmed. The closure of Dirt Cheap is expected to leave a gap in local economies, especially in rural areas where affordable retail options are already scarce.