Adult Day Care Center in Savage Declares Bankruptcy

This week bankruptcy claimed Sarah Adult Day Services, a company founded by Deborah Delaney, a woman honored twice by the National Republican Congressional Committee as its "Business Woman of the Year."

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Adult Day Care Center in Savage Declares Bankruptcy

Sarah Adult Day Services, a company located at 4833 W. 123rd Street in Savage, has gone into bankruptcy with over $1.5 million in liabilities and less than $200,000 in assets. The day care is one of a franchise owned by Flagship Franchises of Minnesota LLC, which filed for a Chapter 11 bankruptcy on Dec. 12,  with $162,229 in assets and $1,552,906 in liabilities, according to a brief by the Star Tribune.

Flagship also declared a second concern bankrupt: An entity known as Touching Lives Communities, which claims no assets and $575,000 in liabilities.

Deborah Delaney is listed as the founder and manager of Sarah Adult Day Services and the chief executive officer of Touching Lives. As recently as November, Delaney was recognized by the National Association of Women Business Owners as an innovator in technology. According to the biography provided, she founded Flagship in 2002 and has since recieved many accolades including membership on the National Republican Congressional Committee's Business Advisory Council in 2005, the National Republican Congressional Committee's Business Woman of the Year Award in both 2005 and 2006, the Ronald Reagan Republican Gold Medal, and the American Spirit Award. 

Burnsville Manufacturer Inks Deal with Canadian Company

One of the world's largest manufacturers of durable medical equipment has bought a large stake in Medcare Products Inc. of Burnsville, which makes and markets devices to help caregivers lift and move non-mobile patients.

Last week, Prism Medical Ltd. announced that it had invested $450,000 to acquire 49 percent of the company. Prism also bought Medcare's manufacturing assets which includes tools, dies, patents, trademarks, designs, and approximately $2 million of inventory—floor lifts, ceiling lifts, car extractors, slings and transfer aids used by staff in nursing homes and other long-term care facilities.

In exchange, Prism paid $10 million in cash, with $1.25 million more to come if Medcare meets certain conditions of the deal. The Canadian firm also entered into a 10-year agreement with Medcare to exclusively supply all products the Burnsville company sells.  

Medcare is located at 151 East Cliff Road. In 2011, it was ranked number 10 on the Minneapolis-St. Paul Business Journal's Fast 50 List. Prism has a presence in Canada, the U.S. and the U.K. and includes the brands Waverley Glen and ErgoSafe under its auspices. 

Allina's Sister Kenny to Merge with Courage Center

Sister Kenny Rehabilitation Institute the Courage Center, a Golden Valley-based cluster of non-profit rehabilitation clinics. According to a statement from both entities, boards of directors for both Courage Center and Allina Health approved the merger, though it won't be complete until the spring of 2013.

The Minneapolis-St. Paul Business Journal reports that the Courage Center has about 500 full- and part-time employees spread over the state, including locations in Burnsville, Duluth, Forest Lake, Minneapolis and Stillwater. Company representatives told the Journal that there are "no immediate plans" to close any of Courage Center's existing facilites.

Officials from both parties say that the merger will result in better care for patients.

Got a business tip? Know of an opening, closing, merger or expansion plan? Tell us about it! Contact Editor Clare Kennedy at clare.kennedy@patch.com. 

See more business news on Patch:

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  • FORCE America Employee Chosen as Chamber's 'Business Person of the Year'
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  • Coon Rapids Company to Relocate Corporate HQ to Burnsville
Deborah Delaney December 29, 2012 at 10:32 PM
Flagship Franchises of MN, LLC dba as SarahCare Adult Day Services file for Chapter 11. Flagship Franchises of MN, Inc. dba Touching Lives Communities is not affected as the liabilities listed in the INC. was financing for the LLC dba SarahCare Adult Day Services. Touching Lives is a new company and is not involved in the Chapter II. A reorganization for the LLC is necessary to continue to be profitable as the Franchise did not perform as presented by Dr. Merle Griff, founder of SarahCare out of Canton Ohio.
Deborah Delaney December 29, 2012 at 10:35 PM
As clarification, Flagship Franchises of MN, Inc. is the sole owner of the LLC dba as SarahCare Adult Day Services.
Ruth James February 07, 2014 at 11:29 AM
Thank you so much for sharing these businesses! I have been searching for some new ones! I hope that I can find some new leads from this website! Ruth James | http://www.EntiraFamilyClinics.com


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