I'm worried. Over the coming months, that is, in 2021 and 2022, many companies in our country will go bankrupt. The media keeps raising the topic of "buying bankrupt companies".

The federal government in Germany has ultimately approved a state-sanctioned suspension of the obligation to file for insolvency until spring 2021. In the fall, the insolvency law will be revised again. We should be careful in Germany, because the Chinese are positioned to buy bankrupt companies.

German companies could quickly be bought up by foreign investors. On the one hand there will be layoffs, and on the other it will become difficult to get German collective bargaining agreements recognized.

Buying bankrupt companies - a solution to the problem?

The topic of "buying bankrupt companies" is discussed critically among my friends. Some see it as an opportunity; others see it as very dangerous. Especially if foreign investors buy up the market. Would it be a solution if the federal government stepped in, as it did with Lufthansa and other companies? Many Germans view nationalization just as critically. At this moment, politics has a hand in the game. Ultimately, it also decides on the companies' investments and so on.

An extremely difficult situation. That's why it's important that there's no second shutdown. It would spell the end of the economy across the board. Many industries are struggling, such as:

  • restaurants and catering
  • hotels and hospitality
  • the event and entertainment industry
  • nightclubs

And other industries are still at risk and haven't fully recovered yet. Distancing rules push business owners to their limits. Working from home was and often still is the only alternative. How the situation will be resolved, hardly anyone can predict today. It seems that politicians are feeling their way forward week by week and don't dare make any forecasts themselves. This pandemic may well leave no other way.

Yet it seems that the industries doing very badly have no lobby. Just think of the many solo self-employed people in the cultural sector. An actress described impressively on a talk show that she soon won't know how to pay her bills.

A solution if German companies get priority?

Why doesn't politics step in and allow German companies to buy German firms first? Politicians should keep, or rather gain, a long-term view here. Germany has many financially strong corporations that should be encouraged to help out the German Mittelstand (small and mid-sized businesses). Perhaps it would also be an option for them to buy stakes.

I think about this a lot, since I'm dealing with the topic intensively. We all should. It's easy to get informed online and form your own opinion.