Factory in bankruptcy after 96 years – was the last in the Nordics

Factory in bankruptcy after 96 years was the last

In the aftermath of the pandemic and high inflation, many companies are struggling. One of them is the family business “Dalarnas Paraplyfabrik” in Malung, Dalarna.

The factory had only four years left until its 100th anniversary but is now forced into bankruptcy, which The Falu Courier was the first to report on.

It all started in 1928

The umbrella factory opened its doors in 1928 by the current owner’s grandfather. Since then, the company has gone berserk.

Their heyday was in the 70s. At the time, the company had 49 employees and produced 1,500 umbrellas daily. At the same time, there were 12 other umbrella factories in Sweden.

Then came the big turn in the 80s.

– Somewhere in the 80s, all products would instead be imported from Asia. All the factories, except us, then shut down. We even bought some of them up. In retrospect, maybe we should have done like everyone else and struck again, says the owner of the newspaper.

And now that the “Dalarnas Paraplyfabrik” is going bankrupt, there are no umbrella factories left in Sweden and the entire Nordic region.

Much of the umbrella-making takes place in Asia. Photo: Claudio Bresciani/TT

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Didn’t take a salary to keep the company alive

Running a business after the corona pandemic and with high inflation is not easy, to say the least. In order to keep the company afloat during the pandemic, the owner therefore chose not to take any salary for a month.

As he did not draw any salary, he was also not allowed to take part in the “corona support” that was paid out by the state.

– I appealed it, which led to the company being locked out of continued support, due to the fact that we were in litigation.

But the appeal did not go through and the factory lost half a million kroner in support, the newspaper writes.

– It is a great sadness that the umbrella factory is going to the grave. But in a way I actually feel relieved too. I have tried and tried for as long as possible to get it back on its feet. But now it simply didn’t work anymore.

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