The economic headwinds affecting the bike industry show no sign of relenting and they have today taken another high-profile victim, as Parlee Cycles has reportedly filed for bankruptcy.
According to public court documents uncovered by Cycling Weekly, the American brand voluntarily filed for Chapter 11 bankruptcy in the state of Massachusetts on February 6. This is defined as a 'reorganisation' bankruptcy, which means the business is in debt and must propose a plan of reorganisation, likely involving a partnership, sole proprietorship or corporation in order to pay off creditors over time and stay afloat. However, it can continue operating and even borrow money subject to court approval.
Boston-based Parlee Cycles has been in business since the year 2000, founded by husband and wife duo Bob and Isabel Parlee.
It started when Bob, a keen cyclist, turned his hand to his passion following a two-decade career in boat building. "I was never satisfied with the performance I was getting from the bike," Bob told Cyclist in an interview in 2012. "I felt that with what I knew about carbon fibre from the boat industry there could be some crossover. I started my own business and took approximately two years to develop the first tubes in around 2000."
In the 23 years since, Parlee has been at the forefront of carbon fibre bike design. It was the first brand to produce fully custom carbon fibre road frames, and the first to break the 900-gram barrier for a road frame. It was an early adopter of disc brakes for road use, and one of the first to launch an aero bike. Thanks to its position at the cutting edge, Parlee has grown a venerable reputation.
It even counts numerous pro cyclists as customers, including fellow Bay Stater, Tyler Hamilton. "Tyler lived not too far from me so I’d go riding with him on occasion, and one day I asked him if he’d like to try a bike," he explained in a separate exchange. "At first he trained on one, but he loved it so much we had one painted up in Team CSC colours and badged up as a Look, the team’s bike sponsor."
Nowadays, the brand produces three gravel frames, three road frames and a time trial frame as off-the-peg options, with a further three frames available with custom geometry. It also offers custom paint to go alongside the custom carbon in a project it calls 'one of one', and a selection of components to complete builds.
The news of the company's struggles comes in the wake of a turbulent year in the cycling industry. The post-pandemic downturn has led to numerous high-profile layoffs across all sectors. Just last month, Specialized laid off 8% of its workforce in a restructure of its own, and Zwift, Wahoo, Strava and Pearl Izumi were all forced to lay off staff in 2022 in just a few of the highest profile cuts.
