Shutters have been down at the Birmingham branch of wedding gift firm Wrapit as the company confirmed it was in talks to avoid going bust.
Wrapit, which has a branch in City Plaza, said it was discussing a rescue deal with banks and advisers after coming up against difficulties refinancing and trouble in the wider retail environment.
The company said it had fallen into financial difficulty at the end of last year, blaming the credit crunch and problems in the retail market for its woes.
It also said its problems were compounded when a couple of refinancing deals fell through at the last minute
The firm, which handles around 2,500 to 3,500 wedding lists a year, sought to reassure worried couples that it was doing all it could to avoid going into administration.
Wrapit head of marketing Sarah Fawkner said: “We are doing our utmost. We do not want to go into administration and want to come to a solution to secure the business and then we can fulfil our customers with their gifts.”
Wrapit claimed in a message on its website that the group’s bankers, HSBC, were withholding £1 million of its money, “which would otherwise have been devoted to fulfilling our orders”.
It added: “We are working with our advisers, KPMG, to resolve this situation over the next few days and will make further announcements in due course.
“In the meantime, our showrooms will open by appointment only until further notice.”
It advised concerned couples that they can stop guests from making further purchases from the gift lists, by altering their gift list messages.
Wrapit employs around 100 full-time and part-time staff, with 15 showrooms across the UK and a central warehouse in Acton, west London.
The firm was co-founded by former fashion journalist Pepita Diamand in 2000 to allow couples to compile their lists, with guests able to buy items online.
Wrapit buys and delivers the items, with an aim to deliver them within eight to 12 weeks.