Economy & Economic Development  November 30, 2015

TLC buys Longmont-based Peak Payroll from Digital Retirement Solutions

FORT COLLINS — A payroll-services company based in Fort Collins has acquired a Longmont-based competitor in a transaction that expands its relationship with the parent firm that sold it.

TLC Employer Services, which employs 12 people at 201 S. College Ave., Suite 215, in Fort Collins, announced Friday that it purchased Peak Payroll Solutions, which housed a staff of three at 2420 Trade Centre Ave., Unit B, in Longmont. Peak Payroll was a division of Digital Retirement Solutions, at the same Longmont address. DRS provides recordkeeping and administration services for companies’ 401(k) plans — services to which TLC clients now will have access.

The transaction closed in early November, but the announcement was delayed until clients could be notified, said Ashlee Faulkner, TLC sales manager and shareholder. Financial terms of the deal were not announced.

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DRS, founded in 1998, “started Peak as a payroll side,” Faulkner told BizWest on Monday. “They wanted to work with the clients they’d run 401(k)s for because payroll fits in with that since the 401(k) deductions are taken out of paychecks. They wanted to fill some gaps — but it got to be a bit much for them. They wanted to work with a company that solely focused on payroll, so they interviewed a couple companies and chose TLC.”

TLC, in a media release, said the acquisition will increase its client count to 650 businesses in more than 30 states, and that it plans in 2016 to surpass 750 clients and handle pay for more than 20,000 employees.

“We are thrilled about working with the great clients of Peak Payroll Solutions,” said Kevin Welch, TLC’s president and chief executive, in a prepared statement. “These clients have always been treated with great care at Peak. That standard of service will continue at TLC, while simultaneously bringing new technology and offerings not previously available through Peak.

“This partnership also brings us closer to Peak’s parent company,” he said. “DRS is an industry leader in 401(k) plan administration. They established Peak with the specific purpose of offering its 401(k) clients an integrated payroll and retirement plan solution. Through the acquisition of Peak Payroll, TLC is now able to offer our payroll clients an exceptional integrated 401(k) option.”

The new relationship is “a perfect fit,” said Michael Pierce, CEO of DRS. “Peak and TLC have been friendly competitors for years. The TLC acquisition of Peak was a logical step in the growth of our cooperation that will mutually benefit both organizations and our clients.”

One employee “who will help us with the transition” remains in the Peak office in Longmont, Faulkner said. The Peak brand will disappear at the end of December, she said, and the Longmont office will remain open through April.

“We are continually looking for ways to provide more value to clients and increase our service offerings,” Faulkner said. “We work with the best programmers, and because of that we’re able to stay ahead of market trends and provide solutions even the publicly traded companies don’t yet have.”

FORT COLLINS — A payroll-services company based in Fort Collins has acquired a Longmont-based competitor in a transaction that expands its relationship with the parent firm that sold it.

TLC Employer Services, which employs 12 people at 201 S. College Ave., Suite 215, in Fort Collins, announced Friday that it purchased Peak Payroll Solutions, which housed a staff of three at 2420 Trade Centre Ave., Unit B, in Longmont. Peak Payroll was a division of Digital Retirement Solutions, at the same Longmont address. DRS provides recordkeeping and administration services for companies’ 401(k) plans — services to which TLC clients now will…

Dallas Heltzell
With BizWest since 2012 and in Colorado since 1979, Dallas worked at the Longmont Times-Call, Colorado Springs Gazette, Denver Post and Public News Service. A Missouri native and Mizzou School of Journalism grad, Dallas started as a sports writer and outdoor columnist at the St. Charles (Mo.) Banner-News, then went to the St. Louis Post-Dispatch before fleeing the heat and humidity for the Rockies. He especially loves covering our mountain communities.
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