Next Level Distribution is reportedly planning to shut down operations after it completes the liquidation of its existing inventory, according to multiple reports. The multi-location distributor/fulfillment house of major brands of automotive and residential electronics was founded in 1993, first under the name of Audio America. In 2020 it changed its name to Next Level Distribution.
See more on the closing of Next Level Distribution
Recently, multiple sources reached out to Strata-gee to report that Next Level Distribution is in the process of liquidating its inventory and then plans to shutter its operations. This was first reported last week by Amy Gilroy at CEOutlook, a mostly automotive electronics-related website.
Based in Jupiter, FL, Next Level Distribution originally was a major distributor in the 12-volt world, branching into residential products for the custom integration channel around eight years or so ago. The company grew from just one South Florida location to ultimately seven locations around the country, including Atlanta, GA; Chicago, IL; Jupiter, FL; Minneapolis, MN; Dallas, TX; Las Vegas, NV; and Milwaukee, WI.
News Caught Many Sources Off-Guard
The news seemed to catch many of our sources off-guard, with many saying they had no idea there were any difficulties there. Seemingly on a growth spurt, many told us this development seemed out of the blue.
Next Level Distribution is part of the Powerhouse Alliance, a national group of value-added custom integration-focused distribution companies. I reached out to Powerhouse’s Executive Director Dennis Holzer who told me that Next Level Distribution has been a part of the alliance for about eight years. Holzer was unable to confirm the rumors surrounding Next Level Distribution’s situation but was clearly aware of some kind of an issue with this member.
Expanded Product Lines and Markets Served
Over time, Next Level Distribution expanded its offerings from first 12-volt, then CE brands, then Home Living products, such as appliances/furniture/outdoor/games and more; and also into Personal Care products. It is a dizzying array of thousands (tens of thousands?) of SKUs.
The company had also expanded from a straight distribution business into a fulfillment house for large-scale e-commerce retailers, like Walmart.com and BestBuy.com according to CE Outlook. The company said it served “over 3,000 channel partners and retailers” according to its website. That’s a pretty full plate.
Brands offered by Next Level Distribution include [12-volt] Audiovox, Boss, JVC, Kenwood, Kicker, Metra, Pioneer, Rockford Fosgate, Viper, and many more; [CE] Alarm.com, Amazon, Arlington, Beale Street, Chief, Da-Lite, Denon, eero, Ethereal, Furman, Nest, iPort, Just Add Power, JVC, KEF, Legrand, LG, Lutron, Luxul, Middle Atlantic Products, Optoma, Ring, RTI, Russound, SI, Sonance, Sonos, TCL, Vanco, Yale, Yamaha, and many more.
An Interesting Filing with the Florida Secretary of State Identifies the ‘Surviving Entity’
In checking corporate filings with the State of Florida, I discovered that on September 8, 2023, a document was filed formally notifying the Secretary of State in Florida of a merger.
According to this filing, Next Level Fulfillment, LLC (a Florida entity) and Next Level Distribution, LLC (a Delaware entity), were being merged into Audio America, Inc., a Florida Corporation.
According to the official filing, Audio America, Inc. is the “surviving entity.”