Less than a year later, the newly incorporated studio was already in a bunch of financial upheaval. Just a few months into their deal, Newman Theaters declared bankruptcy (via D23). Disney wouldn’t see another penny from the deal. In fact, according to Thank You, Walt Disney Inc., he couldn’t even afford his apartment any longer, letting his lease expire and moving directly into the Laugh-O-gram Films studio. A few short months later, Disney would have to declare bankruptcy, but not before completing the short “Alice in Cartoonland.” Dejected, he took the next train out of Kansas City and headed for Hollywood, California (via Britannica).

It surely wasn’t the end for Walt or Ub, though. While on his journey to California, “Alice in Cartoonland” became a smash hit in Kansas City. Disney hit the Hollywood streets running, with the distributors of “Alice in Cartoonland” clamoring for more animated shorts. And he had just the thing. During his time at Laugh-O-gram Films studio, Disney took to feeding a small mouse he called Mortimer (via Visit KC). As legend has it, it was this very mouse that inspired a despondent Walt Disney during the train ride to California to begin a new chapter of his life.