Vulpine Performance, which makes urban cycling clothes, is set to appoint administrators RSM as early as tomorrow.
The company, which previously launched a clothing line in collaboration with Olympian Chris Hoy, announced last week that it was insolvent.
Vulpine raised over £1m in an equity crowdfunding campaign at the end of 2015. The company recently launched another Crowdcube campaign with the aim of raising another £750,000, but pulled it before completion.
Now concerns are growing that about 600 shareholders could lose their investment.
In a statement to shareholders, founder Nick Hussey said that the latest crowdfunding round had been halted to seek buyers for the company.
He said: "Whilst there was strong recognition of the brand, and initial verbal interest, none have produced offers or ongoing due diligence, and communication has stopped. It is highly possible that, having seen our precarious financial position and the complications of doing a fast enough deal, they are waiting to pick the business up in administration instead, if any deal is to be done."