Newcastle-based furniture manufacturer, operating from sites in Langley Moor and Belmont, Godfrey Syrett, has gone into administration with the loss of almost 200 jobs.
The company designed, manufactures and installed furniture for commercial and public sector customers.
James Lumb, Howard Smith and David Costley-Wood of KPMG were appointed as joint administrators on Tuesday 8 January.
KPMG confirmed that the company has ceased trading while the administrators review its position and pursue opportunities to sell the business.
11 employees have been kept on while administrators assess the company's position, with 193 made redundant.
James Lumb, joint administrator and director at KPMG, said: "Challenging trading conditions in the bespoke furniture sector, coupled with severe cashflow difficulties, have proved unsustainable for the business and led to the administration.
"We are supporting staff through this difficult period and will assist their claims to the Redundancy Payments Office."If you want more information on your rights as an employee then please read our page for employees