A top investor in Glosslab says he is “no longer associated” with the embattled nail salon — even as it continues to shutter stores across the Big Apple, The Post has learned.
The New York-based company — which is imploding following a bout of wild overexpansion backed by celebrity investors including Olivia Culpo, ex-Tinder CEO Sean Rad and The Chainsmokers — is now operating just two salons in Manhattan, down from six earlier this month, according to its website.
One crucial investor who was burned is Joshua Coba, co-founder of European Wax Center — a nearly $1 billion publicly held company with 1,000 locations. Coba secured the franchise rights for Glosslab in south Florida where there are five salons.
Coba — who was supposed to oversee the company’s franchise development nationwide, according to press releases — also lent the company $5 million, but Glosslab has recently defaulted on the loan, sources told The Post.
“I’m no longer associated with them as a franchisee or in any respect,” Coba told The Post. “I own and operate the Florida locations and the Closter, NJ store.”
Coba added that he plans to hold onto those businesses, but he also said he doesn’t have “a specific plan at this time regarding [his investment]. I don’t have much to say at this time. I’m still working through that.”
Glosslab did not respond for comment about Coba.
Coba’s Glosslab salon in Closter, NJ is actively hiring, according to posts on Indeed.com.
In Manhattan, two locations in the trendy Flatiron and Tribeca neighborhoods remain open. That’s down from a half dozen salons earlier this month, including locations at 860 Seventh Ave. and at 1206 Third Ave.
The company allegedly stiffed its landlords at a number of locations, as The Post previously reported.
Chief Executive Rachel Glass, a former hedge fund executive who founded the membership-based chain in 2018, told The Post last month the company is “currently moving to a franchise model and working with landlords to that effect.”
One of the company’s challenges, say multiple former employees, was hiring experienced and licensed nail technicians as it scrambled to staff the rapidly expanding chain. Some customers posted negative reviews on social media, complaining about botched manicures.
“When I was hired they never asked to see my license,” said Katherine Tenesaca, who worked as a nail technician at Glosslab’s Seventh Avenue salon until April 11 and said she has a license.
“I never saw anyone’s license hung up on the walls where it should be. And our manager did ask us after the New York Post article whether we have our license. But were never asked to show an actual photo. They took our word for it.”
Employing unlicensed nail techs can lead to the New York’s Department of State, which regulates the industry, “to issue a $500 per violation and/or suspend/revoke the license,” according to the regulation. “The penalties may vary,” a spokeswoman for the agency told The Post.
The Post has a pending public record request regarding potential fines assessed against Glosslab.
The company vigorously denied allegations that it hired unlicensed nail technicians.
“All Glosslab nail technicians, including Katherine Tenesaca, were asked for their licenses and these were kept at the locations, Katherine Snyder told The Post.
The company “has never failed an inspection or had to pay a fine by the state of New York for doing otherwise.”
The company vigorously denied allegations that it hired unlicensed nail technicians.
Another Glosslab spokesperson, Stu Loeser, told The Post that state inspectors visited all six New York locations on March 29, “at which time they checked that all technicians on premises have licenses on display in the locations.”
“The fact that Glosslab locations have never been shut down for unlicensed technicians or any other regulatory reason proves that at this unannounced visit – and all previous State Board visits – all technicians were licensed. These facts about State oversight and visits alone disprove the former nail tech’s allegation,” Loeser said.
Recently, some Glosslab members who pay $140 per month for unlimited manicures and pedicures said they have showed up to appointments at salons that closed suddenly or described their difficulty canceling their accounts.
“I have been trying to cancel mine for over two weeks and they are ignoring my emails, calls, and Instagram DMs,” Emma, a customer for the past 18 months, told The Post. “I was charged $141.08 on April 15 despite emailing to cancel my subscription on April 2.”
During the preceding weeks and months, signs of trouble had been multiplying, according to Tenesaca.
“We stopped getting supplies like gloves and files,” she said. “I had to buy my own gloves one time and eventually there were no more masks and the towel laundry service stopped recently.”
The college student, who worked part-time at the Glosslab on Seventh Avenue for the past year, said she and her colleagues received an email after 9 p.m. on April 11 telling them not to come to work the next day.
“We’ve made the extremely difficult decision to close select locations in our NY market,” according to the email obtained by The Post. “As a result, we will be parting ways with the GLOSSLAB employees of these locations. We are so grateful for all of your contributions to GLOSSLAB, and we would love to be a resource and a reference to you for future employment opportunities.”
