Tattered Cover Book Store, one of the countrys largest and best-known independent bookstores, filed for reorganization under Chapter 11 Subchapter V in the U.S. Bankruptcy Court for the District of Colorado yesterday. According to the Denver Post, documents filed in the bankruptcy court show Tattered Cover was more than $660,000 in the red between January and September. The business owes more than $1 million to publishers, as well as more than $375,000 to Colorado’s Office of the State Auditor for abandoned gift cards.
The Subchapter V portion of Chapter 11 was enacted by Congress in 2020 to provide a streamlined process for small companies to reorganize. If the financing is approved, Tattered Cover will have access of up to $1 million …
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