Accounting firm goes bankrupt after $4.7M acquisition

Apex Littleton Office Google

Apex Accounting and Tax’s offices at 7800 S. Elati St. in Littleton (Google)

One year after it acquired a competitor for $4.7 million, a local accounting firm is bankrupt.

Apex Accounting and Tax in Littleton filed for Chapter 11 bankruptcy May 3. The firm has $4.3 million in debt and only $180,000 in assets, according to its bankruptcy filing.

Apex was incorporated in 2021, according to state records. Last year, it announced it was acquiring Phases Accounting & Tax, a 25-year-old firm in Colorado Springs.

“We are excited to welcome Phases to the Apex family,” Nancy Spelgatti of Apex said in a press release in March 2023. “… With this partnership, we will be able to offer a wider range of services to our clients and help them achieve their unique financial goals.”

That press release and Apex’s website identify Spelgatti as the owner of Apex. The company’s bankruptcy paperwork lists Hong and Lew Spelgatti as the firm’s owners. Nancy Spelgatti and Apex did not respond to requests to discuss the bankruptcy this week.

Debby Miller, who was the founder and owner of Phases Accounting, is still owed $104,000 by Apex, according to the latter firm’s bankruptcy paperwork. The transfer of Phases’ assets to Apex was completed in February and valued at $4.7 million, Apex said.

Apex’s $4.3 million in debt is more than its revenue in 2022 ($435,000), 2023 ($2.2 million) and so far in 2024 ($600,000) combined. Nearly all of that debt, $3.8 million, is held by Live Oak Bank, a small lender in North Carolina that has a lien on all of Apex’s assets.

Apex is represented by attorney Keri Riley with Kutner Brinen Dickey Riley in Denver.

Apex Littleton Office Google

Apex Accounting and Tax’s offices at 7800 S. Elati St. in Littleton (Google)

One year after it acquired a competitor for $4.7 million, a local accounting firm is bankrupt.

Apex Accounting and Tax in Littleton filed for Chapter 11 bankruptcy May 3. The firm has $4.3 million in debt and only $180,000 in assets, according to its bankruptcy filing.

Apex was incorporated in 2021, according to state records. Last year, it announced it was acquiring Phases Accounting & Tax, a 25-year-old firm in Colorado Springs.

“We are excited to welcome Phases to the Apex family,” Nancy Spelgatti of Apex said in a press release in March 2023. “… With this partnership, we will be able to offer a wider range of services to our clients and help them achieve their unique financial goals.”

That press release and Apex’s website identify Spelgatti as the owner of Apex. The company’s bankruptcy paperwork lists Hong and Lew Spelgatti as the firm’s owners. Nancy Spelgatti and Apex did not respond to requests to discuss the bankruptcy this week.

Debby Miller, who was the founder and owner of Phases Accounting, is still owed $104,000 by Apex, according to the latter firm’s bankruptcy paperwork. The transfer of Phases’ assets to Apex was completed in February and valued at $4.7 million, Apex said.

Apex’s $4.3 million in debt is more than its revenue in 2022 ($435,000), 2023 ($2.2 million) and so far in 2024 ($600,000) combined. Nearly all of that debt, $3.8 million, is held by Live Oak Bank, a small lender in North Carolina that has a lien on all of Apex’s assets.

Apex is represented by attorney Keri Riley with Kutner Brinen Dickey Riley in Denver.

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