Electrical giant Comet looks is on the brink of administration in a move threatening 6.500 jobs.
The company's demise will represent one of the biggest failures on the high street in recent years.
The 240-strong chain confirmed plans for it to be placed into administration next week, marking one of the UK's biggest retail failures in recent years.
Staff were informed of plans on Thursday morning and restructuring specialist Deloitte has been lined up to handle the administration.
Comet was bought for a nominal £2 by investment firm OpCapita earlier this year but has been unable to secure the trade credit insurance needed to safeguard suppliers.
Restructuring specialist Deloitte has reportedly been lined up for the administration and will begin by attempting to secure buyers for the company's 240 stores.
The move raises the prospect of a pre-Christmas rush for discounted stock as the administrator looks to wind down supplies and raise cash for creditors.
Comet's reported collapse is one of the biggest since the demise of Woolworths in 2008 and comes a month after the failure of JJB Sports. Other recent casualties have included Clinton Cards, Blacks Leisure, Game and Peacocks.
The high street electrical retail market in the UK has come under huge pressure as cash-strapped shoppers put off purchases of big-ticket items such as TVs and large appliances and online rivals take a bigger slice of the sector.
America's Best Buy recently pulled the plug on 11 giant electrical goods stores after failing to make inroads into the UK market.
Comet was founded in 1933 by George Hollingbery in Hull as Comet Battery Stores Limited - a two-man business charging batteries and accumulators for customer wireless sets. The company moved into the radio rental business and by 1939 had 2,500 accounts.
The first Comet superstore opened in Hull in 1968 and the company was listed two years later, before being acquired by Kingfisher for £129 million in 1984.
Comet then acquired Norweb Retail and increased its store portfolio to more than 250 nationwide in 1996. It demerged from Kingfisher in 2003, with Comet and its sister electrical companies throughout Europe forming a new group known as Kesa Electricals.