Leifert Bakery reports bankruptcy: An opportunity for realignment!

Leifert Bakery reports bankruptcy: An opportunity for realignment!

In the small town of Gifhorn, Lower Saxony, the clock of change is chiming for the traditional Leifert bakery. On September 22, 2025, the company filed for bankruptcy. Those responsible see this step as an opportunity for realignment and a way to overcome the financial difficulties. The bakery, which has been run by Georg, Annette and Nils Leifert since 1950 in the third generation, wants to set the course for a sustainable future through an independent restructuring process.

The situation is tense, but all 40 branches remain open, thus securing around 220 jobs. As already reported by IT-Boltwise, the employees' wages are secured by insolvency money, which gives those affected some security. Employees can therefore continue to rely on their usual source of income while the company sets a new course.

Background to bankruptcy

The reasons for the insolvency are diverse and reflect the challenges of the entire industry. The bakery chain is particularly affected by increased raw material prices and high energy costs. “We are trying to identify and address the structural problems in the industry,” explains managing director Nils Leifert. Three years ago the company still had 56 branches, but today it is clear that traditional bakery businesses are not spared from market developments.

As Bild reports, restructuring expert Joachim Walterscheid sees insolvency as the starting point for necessary restructuring. The branch network is put to the test together with external restructuring experts. The industry as a whole is struggling with increased prices for flour, sugar and butter. According to the Central Association of the German Bakery Trade, over 300 small and medium-sized businesses had to give up in 2024.

The future in focus

Despite the bleak outlook, the Leiferts are optimistic. “We remain true to our range and the quality of our baked goods, cakes and snacks is maintained,” emphasizes Nils Leifert. The planned restructuring could lead to long-term stabilization if the companies manage to adapt to the new market conditions. The pressure to make processes more efficient and reduce costs is great, but also necessary so that traditional companies can continue to exist.

At a time when many companies are suffering from the pressure of the weak economy, the insolvency of the Leifert bakery is a further indicator of the ongoing challenges in the industry. But with a clear plan for realignment and a committed team at the back, this traditional company could still make a turn for the better.