Use it to express that everything has been used up, often in a resource or supply context. After the weekend event, the cupboard is bare. We need to restock.
Pro Tip 2/3
Metaphorical Use
It can metaphorically describe any situation where there's a lack of something. When it comes to volunteers, the cupboard is bare; we need more people.
Pro Tip 3/3
Economic Context
It's often used to discuss finances or budgeting, hinting at no money left. The company can't afford raises this year—the cupboard is bare.