Dutch startup Pieter Pot has officially declared bankruptcy, following the Rotterdam court’s decision on Thursday, December 14.
The announcement came after the court declined to grant Pieter Pot an additional week for an alternative rescue and financing plan, leaving Jouri Schoemaker (founder) in the dark about the precise reasons behind the decision.
“We had to call the court this morning and were only told that the bankruptcy has been declared,” says Schoemaker to RTL nieuws.
According to bankruptcy declaration, Pieter Pot faces a debt of €1.8M, leading the judge to doubt the company’s ability to stay afloat.
The Rotterdam court also expressed doubt about starting a crowdfunding campaign aimed at raising fresh capital.
However, Schoemaker remains determined, saying “We are now focused on the restart. We have plans for that, but I cannot disclose any details at the moment.”
One significant hurdle in Pieter Pot’s battle for survival is the position of its creditors.
While most creditors expressed willingness to grant the company more time to execute its crowdfunding campaign, the Pension Fund for the Food Sector (BPFL) was not in favour of offering the company any more extensions.
With approximately €80,000 in unpaid pension premiums, the fund sought to protect its interests by pushing for bankruptcy.
However, to initiate bankruptcy proceedings, a supporting claim from a second party is required. However, the Pension Fund for the Food Sector could not find another entity willing to join their cause.
Instead, they resorted to using an invoice from the “Social Fund for the Food Sector” to fulfil this requirement.
“The aid invoice was a small invoice which has since been paid. The recent invoices of the Pension Fund have also been paid since September, so the debts are not increasing, says Schoemaker.
In a plea to the court, Pieter Pot’s defence team argued for an additional week to align with the extension granted to other creditors.
They emphasised that granting this extension would pose no risk to the Pension Fund, as their premiums were already covered by the Employee Insurance Agency (UWV).
“The case does not appear to be easy, which is why the judge needed an extra 2 days to determine his verdict,” he says in a LinkedIn post.
The verdict remained uncertain, and Pieter Pot’s fate hung in the balance until the Rotterdam court finally declared its judgment on Thursday.
Pieter Pot: What happened?
Founded in 2019 by Jouri Schoemaker and Martijn Bijmolt, Pieter Pot’s innovative concept sought to address the issue of packaging waste by offering customers the option to buy groceries without any packaging.
With limited alternatives available for purchasing packaging-free groceries, Pieter Pot filled this gap by replacing traditional single-use plastic packaging with reusable pots.
Customers could receive their orders in these pots and return them for cleaning and reuse, creating a circular system that aimed to minimise waste.
Pieter Pot experienced rapid growth, attracting over 50,000 customers who embraced the idea of packaging-free groceries.
The startup saved an estimated four million packages from entering landfills, demonstrating the positive impact of its mission.
In fact, the company has also secured €12M in three financing rounds. However, despite this early success, Pieter Pot struggled to achieve profitability on its own.
To ensure the continuation of its mission, Pieter Pot decided to sell the company to Delicatessenfabriek, a partner responsible for the washing process of reusable pots.Â
This strategic move aimed to integrate processes within the system and drive the company toward profitability.
The new shareholders, Jordan Koppelle and Dominique Rommers have expressed their commitment to further investment in Pieter Pot, subject to agreement with creditors.
Despite a majority stake acquisition by De Delicatessenfabriek in February and subsequent cost-cutting measures, Pieter Pot remained in financial jeopardy.
In the summer, customers were asked to increase their account balances significantly, and in October, a share issue was initiated to raise millions.
With €2M secured out of the targeted €3M, the company sought contributions from supportive customers and suppliers willing to convert deposits into shares.
Pieter Pot presented a rescue plan on Tuesday, including a shift towards raising part of the required funds through loans rather than shares.
All said and done, the Dutch company is looking for ways to recover despite the recent setback.
Read the orginal article: https://siliconcanals.com/news/dutch-pieter-pot-declared-bankrupt/
