Abbott Fielding, the Sidcup-based insolvency practitioner, has been instructed to the business and is likely to be appointed liquidator following a meeting of creditors on 12 October.

The company will shed its print operations and start afresh as Prolitho London offering print management services.

Paul Clark, managing director of Prolitho, said he had "no choice" but to make the decision after the company fell prey to "bad debts, rising paper prices and economic pressures".

"It is not something I wanted to do but by moving into print management I hopefully will not be put in this situation again.

According to Clark, the company's equipment, which includes a five-colour B1 Heidelberg Speedmaster press, will be sold following the liquidation to raise money to pay off its debts.

"I have loyal blue chip clients that know what has happened is no fault of our own so we will do our best to pay off the debts and make a new start as Prolitho London," he added.