Sixty35 Media LLC has recently undergone a significant restructuring in response to financial challenges, including a reduction in staff positions by nearly half due to a $300,000 financial deficit.
The company attributes its current predicament primarily to the impact of the COVID-19 pandemic. With a significant loss of advertisers during lockdowns and business closures, Sixty35 Media faced a substantial decline in revenue. Despite these challenges, the company continued to operate at full capacity, with support from the owner of the Colorado Springs Independent, John Weiss, and a reduction in employee salaries across the board.
As the economy began to recover, Sixty35 Media made efforts to support local businesses by offering reduced advertising rates and extending payment deadlines. However, rising printing and paper costs further strained the company’s finances. In response, the company consolidated its publications into a single news magazine after John Weiss retired, transitioning to a nonprofit model under the Colorado Publishing House umbrella. This transition, however, led to market confusion and the departure of key sales personnel.
A volunteer board of directors was formed to oversee the nonprofit’s operations, but the complexity of the transition, combined with inadequate reporting systems, resulted in financial mismanagement. It wasn’t until February 2023, when the board assumed direct control following the resignation of the publisher, that the full extent of the financial crisis became apparent.
In an effort to address the situation, the board has undertaken a thorough review and restructuring of the organization’s financial records. Despite significant outstanding debts and challenges in revenue collection, the board remains optimistic about the company’s future. Plans include increasing advertising sales, expanding grant funding, enhancing marketing efforts, and building a membership base.
To support Sixty35 Media’s recovery, the company encourages community members to become members, share its donation page, engage with its content, attend events, and remain patient during this challenging period. The company aims to emerge from this crisis stronger and more sustainable, continuing its mission of serving the Colorado Springs community.