In 2008, the founders of Chicken Soup for the Soul, Jack Canfield and Mark Victor Hansen, sold the company to a new ownership group led by William J. Rouhana and Robert D.

[5] In November 2017, it acquired Screen Media Ventures, LLC, an independent television and film distribution company, which included Popcornflix, an ad-based online video service.

[10] On December 15, 2020, Sony traded its remaining shares in Crackle for a yet to be disclosed preferential stake in Chicken Soup for the Soul Entertainment, giving them full control of the ad-supported streaming service.

[17] On April 23, 2024, Chicken Soup for the Soul Entertainment announced a $636.6 million loss in 2023, and warned that without any options to generate additional financing, the company may be forced to liquidate or pause operations, and seek a potential Chapter 11 bankruptcy protection filing.

[19] On June 29, the company filed for Chapter 11 bankruptcy protection after cutting benefits in May, missing a week of paying its employees, and failing to secure financing.

With the Chapter 7 conversion, the company's assets will be liquidated, resulting in the cessation of its subsidiaries, including Crackle, Popcornflix, Redbox and Screen Media.