Watchtower Firearms, a Texas-based firearms manufacturer, has filed for Chapter 11 bankruptcy in the Northern District of Texas as of February 27, 2025.

The company, headquartered in Frisco, has reported assets and liabilities ranging between $10 million and $50 million, citing financial struggles connected to operational challenges and tax obligations.

Texas Firearms Manufacturer Watchtower Files Chapter 11

🚨 BANKRUPTCY FILING ALERT 🚨

WATCHTOWER FIREARMS, LLC
Chapter 11 – Northern District of Texas
Filed: February 27, 2025
Case No. 25-40684

📊 Assets: $10M-$50M | Liabilities: $10M-$50M | Total Creditors: 1-49 | Industry:… pic.twitter.com/6FGMZtkSZr

— RK | Consultants (@_RKConsultants) February 27, 2025

Financial Struggles and Major Creditors

According to court filings, Watchtower Firearms has between 1 and 49 creditors, with notable debts owed to:

• DASAN USA/ALPHA FOXTROT – $686,592
• U.S. Department of Treasury (excise taxes) – $409,903
• 2020 Exhibits, Inc. – $359,781

Despite these liabilities, the company has indicated that funds will be available for distribution to unsecured creditors, offering a slight silver lining for those owed money.

Corporate Structure and Ownership

Watchtower is led by Jason Colosky, who holds 100% of common stock. Preferred stockholders include:

• WTF Resources, LLC – 37.8%
• Function 1 Consulting Group – 9.5%
• Other minority stakeholders

The company’s legal representation in the bankruptcy proceedings will be handled by Joseph Acosta of Condon Tobin.

What’s Next for Watchtower Firearms?

The filing suggests Watchtower is aiming to restructure rather than liquidate, meaning the company could continue operations under a reorganized financial plan.

However, with significant debts—including federal excise tax obligations—its future remains uncertain.

Stay tuned for updates as this story develops.

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Larry Z

is a seasoned outdoorsman, lifelong hunter, and the kind of guy who’d rather track whitetails than scroll social media. As an editor for GunsAmerica, he’s got a sharp eye for spotting both solid gear and bad gun laws. Whether he’s deep in the woods or deep in editorial deadlines, Larry brings a no-nonsense, tell-it-like-it-is approach to firearms, hunting, and the great American tradition of self-reliance. If there’s a hot debate on gun rights or the latest in hunting tech, you can bet Larry’s got an opinion—and it’s probably backed up with both facts and field experience.

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