LK Bennett has filed notice to appoint administrators, putting 500 jobs at the premium fashion retailer at risk.
EY has been lined up to act as administrator for the womenswear retailer if no new investment can be found for the business.
A source close to LK Bennett confirmed that 500 jobs were potentially at risk at the 130-store retailer.
Retail Week understands that LK Bennett founder Linda Bennett has been seeking new investment but that has failed to materialise.
Bennett opened the first LK Bennett store in 1990, before selling up in 2008 to Phoenix Equity Partners and Sirius Equity for £100m. She re-acquired the business in September 2017.
In its most recent set of financial accounts, it made an operating loss of £5.9m in the year to the end of July 2017. Bennett had hired Alix Partners to advise on potential restructuring last month.