Editor’s note: The Daily Texan removed claims by a former Cheer Up Charlies employee stating that missed paychecks from the bar contributed to the employee experiencing homelessness. According to documents provided by Cheer Up Charlies, the employee worked a total of 4 shifts at the bar. The Texan was unable to verify other contributing factors to the employee’s housing situation.
Cheer Up Charlies posted to Instagram on Aug. 21 that if they were unable to raise the $58,000 needed to cover back rent, their doors would close by the end of the month. The venue turned to the community for donations.
“We didn’t want to be one of those places whose legacy was that they just let the landlords lock them out without trying to save the place or give the public any notice,” the post read.
Surpassing this goal in 22 hours, the historic LGBTQ+ venue will remain open.
“It just goes to show the impact that they have on the community and the space that they hold for all sorts of people,” said Oscar Garza Topete, a frequent customer and recent UT graduate. “It is very surprising, but it also isn’t at the same time.”
Maggie Lea, Cheer Up Charlies’ co-owner and UT alumna, said they first knew the venue was in trouble in June. Lea said she tried not to worry about rent until Aug. 1, after she would receive her refund from the Texas Music Incubator Rebate Program, a government refund program providing venues with tax refunds on drink sales. Lea said the refund could be valued up to $100,000.
After finding out the refund was insufficient, Lea said her landlord said Cheer Up Charlies had ten days to pay the difference or else the property would be listed on the market. Lea said she called a staff meeting to discuss the venue’s future.
“I don’t feel comfortable as a for-profit business going out and asking for fundraising help,” Lea said. “People look down on that, and (the staff) told me, ‘Well, it’s our last shot.’”
This is not the first time Cheer Up Charlies has crowdfunded. In 2024, Cheer Up Charlies hosted an event to help keep doors open before receiving a grant.
Social media commenters raised concerns about the business’s treatment of employees and performers. Lea said about 30 or 40 employee checks bounced throughout the past year, but they said the paychecks were remedied within minutes on electronic pay.
The Texan reached out to others associated with Cheer Up Charlies, who declined to comment.
Lea said she is happy to be open about the financial situation and said the donation surplus has been allocated to payroll and other initiatives, ensuring the venue will remain open.
Lea said she and co-owner Tamara Hoover are talking with investors with the hope of having Cheer Up Charlies become a more public company through shareholding options. This will ensure that a bigger team can address future emergencies.
“Cheer Up Charlies started as a small local DIY place, but it has grown into a much larger operation,” Lea said. “The responsibility of it falling on our shoulders, if it ever was to close, is such a huge responsibility.”
