Kitchens, bedrooms and bathrooms group Homeform has filed a notice to appoint an administrator.
The retailer, owned by private equity firm Sun European Partners, is under control of its directors which are close to a deal to secure the future of Sharps and Kitchen Direct.
Advisers have been appointed to sell bathroom retailers Moben and Dolphin.
Deloitte has been approached to act in the company’s interests and is expected to be confirmed as the official administrator.
In its most recent set of accounts, Homeform halved pre-tax losses to £6m, while turnover increased from £148.3m to £151.2m in the year to March 28, 2010.
In October Homeform chief executive Chris Pavlosky outlined a three-year plan to restore profits and enable an exit for Sun European Partners.