Receivers have been called in to Derbyshire-based Morgan Machine Knife Ltd, after the company hit a cash flow crisis.
Forty three staff have been made redundant at the plant which makes industrial cutting machinery for the timber industry.
KPMG joint administrative receiver Allan Graham said a buyer was now being sought for the £5m turnover business which was the subject of a management buy out in the mid-1990s.
He added: ‘We are trading the business in a limited capacity and are hopeful of achieving a quick sale.’
