“We are the first to come back,” said Andreas Mall confidently. Mall and Paul Pizzinini are the managing directors of the Fürstenfeldbruck company “Camperboys” and are currently on hold. As for many others in the travel industry, the standstill in social life and the restrictions on freedom mean financial losses every day.
As a startup that rents out motorhomes at Munich Airport, they have not yet been able to build up the reserves they could easily get away with, in their first two years. To remain liquid, to pay the salaries of six employees and to cover running costs, money is needed. Either through the corona loans currently being extended by the development banks or through crowdfunding.
Be the first to read the most important financial news from around the world with the Born2Invest mobile app.
Like the Camperboys, many companies are currently in the same situation, not only those in the travel industry
Arno Slawinski, company advisor at the Commerzbank branch on Augsburger Strasse in Fürstenfeldbruck, is now receiving more and more enquiries and applications. Also, at Volksbank Raiffeisenbank, Chairman of the Board Robert Fedinger reported an increase in applications.
The weeks in which the usual debits from the company accounts continued, but there was no income, are getting longer and the losses in turnover are becoming more noticeable. The situation is getting worse for those who want to invest this year.
The Camperboys have also launched a crowdfunding campaign
Their business model is to be able to offer new motorhomes for rent at the beginning of each holiday season. When the season is over, the vehicles – with comparatively few kilometers and well maintained – come onto the used car market. This worked out well last year, as the two young entrepreneurs said, and 33 new vehicles have already been ordered for this year: 25 VW buses with camping equipment and eight motorhomes for up to five travellers.
The season should have started on April 1st, but already from the second week of March the Camperboys received the first cancellations. At a stroke, the travel industry came to a standstill, the prospects of being able to take the planned holiday were gone.
The company’s biggest concern was now the financing of the motorhome fleet. After talks with the supplier, with whom advance payments had already been made, delivery had been stopped, and the company was also able to do without the premises within Munich Airport, which it had rented for the first time this year. “We have shown our customers goodwill, and that has been well received,” said Pizzinini. Cancellations could be converted into vouchers that can be redeemed when it will be possible to travel again.
In order to reduce costs, they first cut their own salaries, and short-time work has been applied for the employees. The Camperboys also applied for emergency aid from the state for their six-member team. “€5,000 have been paid out – for six people,” said Mall.
To keep the company running, they calculated about €40,000, a sum they said was the target of a crowdfunding campaign. As of Monday, April 20th, €6,175 euros have been received, with 21 days left to reach the target. The money is not simply donated, but investors can expect something in return. The offers range from stainless steel camping mugs and T-shirts with the company logo to lectures by the founders.
Companies like the Camperboys also have other possibilities of financing
Robert Fedinger, Chairman of the Board of Volksbank Raiffeisenbank Fürstenfeldbruck, has held many talks with corporate customers in recent weeks. He has gained the impression that most of them are still liquid and are coming through the crisis well.
Emergency aid has been called upon, and its reserves are being used up. However, as the general standstill continues, an increase in loan applications can be observed. Since the development banks, KfW and LfA have issued Corona loans at special conditions, interest is growing and the number of consultations has increased.
At the end of last week, there were “an estimated 20 applications,” said Fedinger. At the same time, talks were being held to interrupt the installment payments of existing loans and to make back payments.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in Suddeutsche Zeitung, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Many community colleges forge ahead with major expansions
COVID-19 has impacted community colleges. It is puzzling and sad to see that some community colleges have extremely dire financial...
Apart from the rise of the Ibex35, pharma stocks fell by 2.7% in the second quarter
All listed pharmaceutical companies have advanced on the stock market, but Grifols, whose shares have fallen by more than 12%,...
Why using ESG research in COVID-19 times is important
The Corona crisis presents companies with a variety of challenges. Investors who incorporate environmental, social and corporate governance (ESG) factors...
Bitcoin course rally by 4,500%? BTC signal as before the 2017 Bullrun is back
According to Glassnode, 61.33% of the BTC offer has not moved for 1 year or more, which is a new...
The coronavirus favored the fintech sector and the digitization of Italian banks
The coronavirus crisis has affected all economic sectors. However, the fintech sector managed to thrive, thanks to the confinement measures...
Business7 days ago
How to create a video marketing strategy that gets results
Crypto7 days ago
ECTM Group launches blockchain certified sanctioning
Crowdfunding6 days ago
Two innovative SMEs raised more than €500,000 each with equity crowdfunding in June
Business6 days ago
In the year 2025 if fiat currency can survive