The sustainable fashion provider Bleed Clothing GmbH has been in financial difficulties for several months and has now had to file for preliminary insolvency.
The company will work closely with the provisional insolvency administrator and her team to find solutions, Bleed announced on Thursday. The reason for this is the current market conditions – delayed supply chains, increased prices and a decline in consumption. The situation was exacerbated by developments in a sustainably-oriented fashion industry with regard to the growing price and discount war, which “no longer meets the appreciation of hand-made textiles in any way,” says founder Michael Spitzbarth.
At the beginning of October, Bleed was developed into a community-based company in order to finance significant parts of the operating costs through a community of end consumers, after the company was on the verge of going out of business in May.
Business operations will continue during the procedure and the stationary store and the online shop will remain open. The company account has changed and payment by direct debit is no longer possible.
“We don’t know at the moment what will happen next, but we can say one thing: the last 15 years haven’t always been easy, but it was still a great time,” says Spitzbarth. “We are incredibly proud of the pioneering work we have done with our team and our community over the last 15 years. It wasn’t all in vain.”