Traditional business

140 creditors: Fashion house in Mürzzuschlag insolvent

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The Fuchs fashion house with branches in Mürzzuschlag, Krieglach, Kindberg, Kapfenberg and Gloggnitz is insolvent. However, the traditional business is to be continued. There are currently 41 employees working there.

"We didn't take this decision lightly, but in view of the current challenges, we have reached a point where I, as a responsible entrepreneur, have to apply for restructuring proceedings," says Ronald Fuchs. His grandfather founded the fashion store in Mürzzuschlag in 1914, and Fuchs has expanded the flagship store to include branches in Krieglach, Kindberg, Kapfenberg and Gloggnitz.

Liabilities of 3.31 million euros
However, business has slumped since Corona at the latest: Competition from online retail, increased personnel and energy costs and changes in purchasing behavior due to high inflation have taken their toll on the business. Now the insolvency: according to the Alpine Creditors' Association (AKV), there are liabilities amounting to 3.31 million euros; in addition to more than 140 creditors, 41 employees are also affected.

However, Fuchs does not want to give up the family business without a fight and has brought a recognized insolvency expert on board to restructure the company: "First and foremost, it's about securing the future and, above all, the jobs. We have a duty to our employees, customers and partners to do everything we can to restructure Modehaus Fuchs in order to put the company back on a stable footing and lead our brand successfully into the future," he says.

Continuation planned
According to AKV, the aim is to conclude a restructuring plan, with an initial offer of 20 percent within two years. Financing is to be provided from the continuation of the company and the realization of assets that are no longer required for operations.