Insolvency shock for Menrad: Lost over 100 jobs in Schwäbisch Gmünd!

Insolvency shock for Menrad: Lost over 100 jobs in Schwäbisch Gmünd!

shock for the workforce of the glasses manufacturer Menrad: The traditional company from Schwäbisch Gmünd has filed for bankruptcy. According to Image is no longer possible. Over 100 employees from the areas of production, marketing and sales had to pack their papers. Only ten sales representatives have the opportunity to continue working in the company as part of a takeover.

The bankruptcy was registered with the Aalen District Court at the end of March, which resulted in a preliminary insolvency administration on March 31. The reason for this sad step is an expected liquidity bottleneck due to a declining order and sales development. This also has an impact on the payment of salaries: these could be secured by bankruptcy money by May, after which this is no longer possible, as insolvency administrator Florian Zistler explains. The financing gap is simply too great to continue the company.

The search for solutions

Menrad, founded in 1896, is not only active in Germany, but also internationally and has a wide brand portfolio that includes Joop, Bogner and Ted Baker. Despite the difficult location, according to Doz Verlag there is hope for a restart. Talks with the management and the first customers were constructive, and there are positive developments regarding a possible takeover of the Menrad brand.

A structured M&A process to search for investors or strategic partners should now create the basis for future stabilization of the company. The Munich location, which is responsible for product design and marketing, remains unaffected by bankruptcy.

The overall economic context

The situation at Menrad is not unique. In 2024, a total of 21,812 corporate insolvencies were recorded in Germany, which represents an increase of 22.4% compared to the previous year, reports ifm bonn . Companies that have existed for more than three years are particularly affected. Although bankruptcy is one of the more common forms of corporate closures, it is relatively rare compared to other types of closure.

The current situation is a major challenge for the employees concerned and their families. According to the information, many livelihoods have suffered from economic uncertainty. It is to be hoped that the talks to take over the Menrad brand will be successful and the company will soon get back on its feet.