Insolvency of an après-ski bar in Sölden: liabilities of more than 1.6 million euros

In Austria's tourism sector, economic fluctuations are particularly pronounced on a seasonal basis. Sölden, one of Tyrol's most important winter sports resorts, depends to a large extent on the winter season, in which après-ski offerings play a central role. Missing or weaker winter seasons have a direct impact on the occupancy of the relevant businesses.

Insolvency proceedings: possible scenarios

The debtor's self-reported figure provides insight into the extent of the liabilities. Liabilities on this scale are significant for a medium-sized gastronomy and entertainment company and significantly limit the room for maneuver for a restructuring.

What will happen concretely with the business at the location is currently open. If insolvency proceedings are opened, it is up to the competent court to decide on the next steps. A restructuring with creditor participation, a transfer restructuring, or the closure of the business are conceivable options.

Outlook on the tourism industry

For creditors, an insolvency application means that they must register their claims with the responsible administrator within the statutory deadlines. The AKV and KSV1870 offer standardized procedures and guidance for this purpose.

Cosmo Entertainment GmbH thus joins a longer list of insolvencies of small and medium-sized businesses in Austrian tourism. Industry observers have for years pointed to cost increases, rising energy prices, and changed consumer behavior as burdening factors.

In Sölden itself, the bar was for years a fixture of the nightlife. During winter, the resort attracts both winter sports guests and party tourists who expect après-ski offerings. Local employees, suppliers, and landlords are now directly affected by the insolvency.