The US premium motorcycle brand files for Chapter 11 bankruptcy

While the Americans have pulled back some discretionary spending, that hasn’t affected the motorcycle market.

“The global motorcycle market size was $71.92 billion in 2024. The market is expected to grow from $75.82 billion in 2025 to $119.09 billion by 2032, exhibiting a CAGR of 6.7% during the forecast period,” according to data from Fortune Business Insights.

Sales will also increase in the US

“The U.S. motorcycle market is expected to grow significantly, reaching an estimated $8.76 billion by 2032, driven by year-over-year sales volume growth and consumer inclination toward recreational and power sports activities post-pandemic,” the data shows.

Despite the overall market growth, Motos America, a leading dealer of brands including BMW and Triumph, struggled and filed for Chapter 11 bankruptcy protection.

Rising interest rates have greatly increased inventory financing costs for motorcycle dealers, putting pressure on cash flow and making it more difficult to carry expensive, slow-moving premium models.

Most dealer plan loans are variable rate, meaning financing costs rise quickly when interest rates rise, even if unit sales remain flat.

Motos America, Inc., a group of motorcycle dealers based in Salt Lake City, Utah, filed for Chapter 11 protection on December 31, 2025, in the District of Utah. The company operates a network of 13 premium motorcycle dealerships in various states, including California, Florida and Oregon.

Its portfolio includes luxury European brands such as BMW Motorrad, Triumph, Ducati, Royal Enfield and Vespa. Motos America was formed through a reverse merger in late 2021 and expanded its vertical footprint in early 2024 with the acquisition of New Start Financial, LLC, a subsidiary that provides in-house financing for its retail customers.

“The filing follows a period of severe liquidity crunch after the company lost a $3 million deposit to Prime Capital Ventures in an alleged fraud scheme that halted a planned $15 million credit facility,” RK Consulting reported on X, formerly Twitter.

Operational challenges were compounded by the SEC revoking the company’s securities registration at the end of 2024 due to delinquent financial records.

“Motos America also cited high inventory financing costs and failure to secure a $12 million financing round as factors leading to the restructuring,” RK Consulting added.

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Sales of high-end motorcycles are expected to increase.Shutterstock

When the SEC revokes a company’s securities registration, it stops trading in the brand’s stock.

“Usually, the agency sends notices of default before taking action; if they are ignored, trading in the company’s stock may be suspended without notice. At the same time, the SEC will initiate an administrative proceeding to revoke the registration. The company will receive a letter informing it that it has ten days to file some kind of cause for failure to file. 101.

More bankruptcy:

At the time of the exclusion, Motos America tried to frame the move as positive.

“This step allows us to focus more intensely on building a thriving and passionate community of motorcyclists while continuing to expand our dealership footprint,” Motos America CEO Vance Harrison said in a press release.

“By reallocating resources previously directed to regulatory compliance, we can invest more in dealers, customer programs and long-term growth opportunities.”

  • Motos America filed for Chapter 11 bankruptcy in U.S. Bankruptcy Court for the District of Utah on Dec. 31, 2025, according to Bondoro.

  • In the bankruptcy petition, the company was listed estimated assets between $500,000 and $1 millionreported RK Consultants.

  • The file was also reported liabilities (liabilities) in the range of USD 10 million to USD 50 millionindicating that debt far exceeds assets in the case, RK Consultants said.

  • Majority controlled by CEO Vance Harrison with about 69% voting power in early 2023, according to the SEC.

  • The SEC revoked the securities registration on November 18, 2024, for failure to submit periodic reports.

  • The portfolio includes six premium brands including BMW, Triumph and Ducati.

  • Chapter 11 is designed to allow a company to reorganize its debts while continuing operationsrather than liquidating assets under Chapter 7, according to the Justice Department.
    Additional source: PacerMonitor

“The high-end motorcycle market has seen significant growth in recent years, driven by rising disposable incomes and a growing passion for luxury and performance among consumers. Defined by motorcycles that offer superior craftsmanship, advanced technology and high-performance capabilities, this segment includes brands known for their exclusivity, such as Harley-Davidson,” reports Ducati and BMW.

  • Regional market contribution (2023): North America leads with 35%, followed by Europe with 30%. Asia Pacific accounts for 25%, while Latin America and the Middle East and Africa contribute 5% and 5% respectively. Asia Pacific is the fastest growing region.

  • Market Breakdown by Type (2023): Among the sub-segments, two-cylinder motorcycles have the largest share at 45%, followed by four-cylinder models at 25%. A single metal cylinder contributes 15% and three cylinders account for 10%. The fastest growing sub-segment is Metal Single Cylinder.

  • Motorcycle Size Distribution: The largest market share is in the over 500 cc category, which holds 50% of total revenue. The fastest growing sub-segment is the 250-500 cc category, estimated to grow at a CAGR of 6% during the forecast period.

  • Growth trends: The overall high-end motorcycle market is experiencing a steady growth trajectory, particularly in Asia Pacific, driven by increasing consumer demand for premium models.
    Source: Verified Market Reports

American consumers have become more careful when it comes to luxury spending.

“It takes place between April 24-28, 2025 Saks Global Luxury Pulse found that the general decline in sentiment is driven by increased uncertainty surrounding the macroeconomic environment. Luxury consumers indicated that the top five factors of their concern are the general social and political climate, a potential impending recession, personal financial security, stock market volatility and ongoing global conflict,” according to the report.

The Saks Global Luxury Pulse shared some other key insights:

  • As macroeconomic uncertainty has increased, luxury consumers are feeling the pinch much less calm about the economy: 32% feel calm, down 13 percentage points from the previous survey and down 22 percentage points from the same period last year.

  • Similarly, luxury consumers are also feeling less prepared when thinking about the economy, 36% indicated they feel prepared, which is down 13 percentage points from the previous survey and down 20 percentage points from the same time last year.

  • It should be noted that the respondents with an income of $200,000 or more reported feeling more prepared (41%) compared to all income groups.

  • Despite declining optimism about the economy, most luxury consumers remain optimistic about their personal finances; 67% of those with an income of $200,000 or more said they feel prepared when it comes to their personal finances.

Related: Upscale steakhouse chain is shutting down dozens of locations

This story was originally published by TheStreet on January 2, 2026, where it first appeared in the Retail section. Add TheStreet as a favorite source by clicking here.

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