Bankruptcy filings in Colorado saw a significant rise of 21% in October compared to the same month last year, with a cumulative year-to-date increase of 29%. The state experienced 717 new bankruptcy filings during October, up from 594 in the same period of 2023, as per an analysis of U.S. Bankruptcy Court data.
Throughout the year, Colorado has recorded a total of 6,527 bankruptcy filings, an increase from 5,058 in the previous year. October statistics included 703 individual bankruptcy cases and 14 business filings, whereas the prior year had 577 individual and 17 business filings. In September 2024, a total of 670 bankruptcy filings were recorded.
County-specific data reveals mixed trends: Broomfield County saw a 50% increase, recording nine filings in October against six from the previous year, while Larimer County’s filings rose by 7% to 45. Weld County also experienced a 6% increase in filings, totaling 57 for October. Interestingly, Boulder County reported a significant decrease, with 13 filings, a drop of 43% from 23 in October last year.
Significant bankruptcy activity was also noted with Broomfield County’s year-to-date filings rising 71%, while Larimer County’s increased by 19%, and Weld County’s grew by 24%.
One notable business filing was South Lincoln Storage LLC from Loveland, which entered Chapter 11 bankruptcy on October 15, reporting assets of $4.7 million against liabilities of $3.4 million.
While the increase in bankruptcy filings can be a cause for concern, it may also reflect a broader economic adjustment as individuals and businesses re-evaluate their financial situations in a changing economic landscape. Moving forward, it will be crucial for support systems and financial advisers to guide those impacted through recovery and rehabilitation processes, fostering hope for those seeking a fresh start.
In summary, while bankruptcy filings are on the rise in Colorado, the differentiated responses across counties suggest a variety of local economic conditions. The downturn in Boulder County compared to the upward trends in others could indicate localized economic challenges and opportunities for growth.