NC New Schools files for bankruptcy

N.C. New Schools filed for bankruptcy Wednesday, less than two weeks after the abrupt announcement that it was closing its doors.

N.C. New Schools/Breakthrough Learning had nearly $1.5 million in assets and nearly $3 million in liabilities, according to the bankruptcy filing. The court document lists hundreds of creditors, including its lender Wells Fargo, schools and school districts, and service providers.

N.C. New Schools championed early college high schools, which allow students to earn associates degrees or transferable college credits with their high school diplomas. The organization, funded with private grants and public money, announced with one day’s notice late last month that it was shutting down. The board of directors’ chairman said at the time that the nonprofit’s rapid expansion had outpaced its funding. The organization had expanded beyond North Carolina to other states.

In late 2014, the organization announced it had won a $20 million federal grant to expand early colleges to rural areas.