Denver Bouldering Club Files for Bankruptcy After Closing Thornton Gym
Denver Bouldering Club has filed for Chapter 11 bankruptcy protection in an effort to continue operations at its Englewood and Valverde locations, following the closure of its Thornton gym.
The move, initiated in early July, comes after financial strain caused by the underperformance of the Thornton facility, which shut down at the end of June. While the company cited "unforeseen circumstances" in a public statement about the closure, court filings reveal deeper issues, including an unprofitable lease and declining membership numbers that contributed to mounting cash flow problems.
In its bankruptcy petition, the gym stated it was “forced to file bankruptcy due to an underperforming location, unfavorable lease, and a dip in memberships.” The company has requested court approval to terminate its Thornton lease, calling the location a financial burden. The lease still has five years remaining, whereas the leases for the Englewood and Valverde locations are each set to expire within a year. A judge has not yet ruled on the lease termination request.
Founded in 2009, Denver Bouldering Club operates climbing gyms that specialize in bouldering—a climbing discipline involving short walls climbed without ropes or harnesses. The business saw annual revenue of approximately $1.3 million in both 2023 and 2024. As of July 3, 2025, the company had earned $288,000 in revenue for the year and projected a total of $833,000 for 2025.
According to court documents, the company holds $89,000 in assets and $526,000 in liabilities. Its largest creditor is the U.S. Small Business Administration, which is owed $492,000. Payroll expenses total $40,000 per month for 16 employees—10 hourly and six salaried. The court has approved continued payment of employee wages during the Chapter 11 process.
Despite the financial setbacks, the company maintains that its business model remains viable. “While [DBC’s] business model has the potential to be profitable, [it] could not maintain its prepetition obligations,” one court filing stated. “Faced with mounting debt and limited liquidity, [DBC] had no viable option but to seek bankruptcy protection.”
Denver Bouldering Club currently charges $72 per month for standard memberships, with 24/7 access available for $82. The gym also offers a range of flexible packages, according to its website.
Ownership of the company is split among four individuals: Thomas Betterton holds a 64% stake, while Ben Bryant, Matt Bucaric, and John Gass share the remaining ownership. Betterton previously indicated that bouldering was a rapidly growing sport within the climbing industry and said the buildout of the Thornton location, which opened under a lease signed in 2019, cost between $500,000 and $1 million.