Shock in Schwäbisch Gmünd: Subway in the city center suddenly closes!

Shock in Schwäbisch Gmünd: Subway in the city center suddenly closes!

The Subway branch in the Gmünder City Center was surprisingly closed. The reason for the closure is an bankruptcy application that the operating company "Simply & Fresh" GmbH made on June 2, 2025. A notice on site confirms the permanent closure of the restaurant and thanks the customers for their loyalty.

The restaurant was only opened on February 23 of the previous year and offered space for around 40 guests. Despite the hopes that the city of Schwäbisch Gmünd had put into the opening to increase the attractiveness of the city center, this unfortunate turn now occurred. Alexander Groll, business promoter of the city, was surprised by the quick closure of the branch.

background to bankruptcy

Insolvency is regarded in Germany as the procedure in which a debtor can no longer fulfill his payment obligations. The aim of the procedure is to create a fair compensation between over -indebted debtors and their creditors. As reported in 2023, as reported in 2023, as reported in Germany, as reported in 2023, as reported in Germany, which was a decline compared to 2013. In 2023, around 17,814 corporate insolvencies were registered, which means an increase compared to the previous year.

The bankruptcy proceedings for companies are regulated by the bankruptcy regulations and is a central topic in business. Companies such as the "Simply & Fresh" GmbH, under which the Subway branch was operated, can also file for bankruptcy if financial difficulties occur. The reasons for bankruptcy are diverse and can range from market changes to failed business investments.

franchise model from Subway

Subway is a best-known US fast food chain that was founded in 1965 and is known for its sandwiches, wraps and salads. An important aspect of Subway's business model is that the restaurants are often operated by independent licenses who acquire a franchise license. The franchise fees are 8% of the net turnover, and another set of 4.5% is collected for marketing. The term of the franchise contract is usually 20 years.

The sudden closure of the branch in the Gmünder City Center raises questions about the stability of the franchise business. In today's economic situation, which is characterized by uncertainties, many entrepreneurs are faced with challenges that can endanger the survival of their business. The present bankruptcy of the "Simply & Fresh" GmbH is an example of the difficulties that increase in particular in the service sector. This is also shown in the data that has published Justice BW , according to which the number of bankruptcies in Germany is still in focus.

The closure of the Subway in the Gmünder City Center could not only influence the economic climate on site, but also serve as a warning signal for other franchise companies, to adapt to the current challenges of the market.