Knotel has filed for Chapter 11 bankruptcy in the court of Delaware after the WeWork rival was pressured by the coronavirus.
The company that manages and rents out at short notice office space, should have been struggling over the past year with companies and governments requiring employees to stay at home.
It listed estimated liabilities as well as assets from $ 1 billion to $ 10 billion. The company has obtained approximately $ 20 million in cash from a Newmark affiliate.
In March last year, New York-based Knotel said it was downsizing or extending half its workforce, or about 200 employees, in response to the coronavirus.
Covid-19 casts doubt on the business model of Knotel and other flexible office space and co-working companies that depend on people working close to others.