Thousands of customers could lose their deposits on new kitchens after high street firm Moben, who own the Tecnik appliance brand, collapsed yesterday with the closing of 60 stores and staff at the Manchester HQ were sent home yesterday it is reported.
Nearly 3,000 jobs were at risk as parent company Homeform - which also owns Dolphin, Kitchens Direct and Sharps announced it was entering into administration.
Customers were still placing orders on the phone and at the group's 160 showrooms yesterday morning.
Many experts said only those who have paid by credit card are certain of getting their money back.
Homeform - owned by US private equity firm Sun Capital - has 1,300 showroom and call centre staff, and 1,500 self-employed designers and fitters.
Yesterday's announcement came hours before the firm was due to pay its quarterly rent. Managing director Richard Lee refused to comment last night.
A statement read: "The Board of Homeform Group Limited have today filed with the Court a Notice Of Intention to Appoint an Administrator.
"This process can take up to ten working days."
"At present, the Homeform Group remains under the control of its Directors."
"The directors are close to securing a deal that will safeguard the future of the Sharps (Bedrooms) and Kitchen Direct businesses and have mandated advisers to seek a sale of the Moben and Dolphin brands."