The Children's Clothing Industry in Rana: Current Status and Future Prospects

The children's clothing industry in Rana is a small but active sector with two registered companies. The industry has shown variation in sales development and number of employees over time, with a short upturn in 2021 after a period of decline. There are no bankrupt companies in the industry, which suggests a certain degree of stabilization. The largest activity takes place in Mo I Rana, where the two companies operate. For entrepreneurs, the industry can offer opportunities, especially with a focus on local market share and differentiation.

Economic data shows that sales in the industry have been on a downward trend from 2016 to 2020, with a decline of 12.2% from 2019 to 2020. Then there was an increase of 15.5% in 2021, followed by a new decline of 9.0% in 2023. The number of employees has been more stable, with an average level of 7-8 employees in recent years. EBITDA margins are at 5-6%, and gross profit accounts for approximately 42% of sales. These figures show that the industry has a moderate level of profitability, but with variations between companies.

Two companies are registered in the children's clothing industry in Rana:

1. Tora Klær As (Fridtjof Nansens gate 17, Mo I Rana)

• Legal form: AS
• Number of employees: 7
• Sales: NOK 7.0M
• EBITDA: NOK 400,000
• Gross profit: NOK 3.0M
• EBITDA margin: 5%

1. Småtroll Mo As (Jernbanegata 12, Mo I Rana)

• Legal form: AS
• Number of employees: 1
• Sales: NOK 26,000
• EBITDA: NOK 89,000
• Gross profit: NOK -37,000
• EBITDA margin: 342%

Småtroll has an extremely high EBITDA margin, but very low sales volume. Tora Klær has a more balanced financial profile.

All companies in the industry are located in Mo I Rana. Here, two companies operate with the following key figures:

• Number of employees: 8
• Operating income: NOK 7.0M
• Sales: NOK 7.0M
• Wage costs: NOK 1.5M
• Operating profit: NOK 357,000
• EBITDA: NOK 489,000
• Gross profit: NOK 3.0M
• Debt: NOK 4.5M
• Equity: NOK 2.4M

Mo I Rana is therefore the only area of activity in the municipality for this industry.

The industry has been relatively stable with no bankrupt companies. However, data shows that Småtroll Mo As had a sharp decline in sales of 98% from 2024 to 2025, which may indicate specific challenges for this company. The number of employees has been unstable, with a decline of 33.3% from 2018 to 2019 and an increase of 33.3% from 2020 to 2021. This shows that the industry has been affected by external factors over time.

For entrepreneurs, the industry can offer opportunities, especially with a focus on local market share and differentiation. The two existing companies have shown that it is possible to operate in Rana, even though there have been challenges with sales and operating results. An important observation is that Tora Klær As has a stable financial profile, which can be a reference for new players. On the other hand, Småtroll Mo As shows that there may be risks associated with small companies with low sales volume. An important strategy can be to focus on localization in Mo I Rana, where there is an existing customer base and infrastructure.

The children's clothing industry in Rana shows both opportunities and challenges. With two existing companies and a stable localization in Mo I Rana, it may be possible to establish oneself in the municipality. However, it is important to be aware of the economic challenges, such as declining sales and variations in operating results. Entrepreneurs should consider focusing on differentiation, local market share, and collaboration with existing players. SmartGrunder can help find suitable addresses and develop strategies to ensure success in this industry.