Up to 100 jobs in the local area will be lost after Bath-based audiobook producer AudioGo filed for administration.
The company suspended trading last week after announcing ‘recently discovered significant financial challenges’.
Redundancies are expected to be announced on Thursday this week. The number of job losses at the business have not yet been detailed.
In a statement, the company said they had been unable to conclude negotiations with a potential buyer.
The Bath company also announced the sale of its US arm of Blackstone Audio, another audiobook producer back to their founders. Blackstone was bought by AudioGO just ten months ago.
AudioGo was launched back in July 2010 when private investors bought out BBC Audiobooks, which was also based in Bath. BBC Worldwide owns a minority stake in the company.
Recent accounts show that AudioGo had increased their profits to £2.4million up to 31st March 2012, but their cash flow had dropped significantly from nearly £2million to just £350,000.
It was believed that there was significant interest in the future of the company, with a number of publishers interested in taking on the struggling business.
