However, administrator Colin Wilson of Tenon Recovery has said that the business is still available and bids for the assets from elsewhere are welcomed.

The Dartford-based company said its administration was the result of funding pulled from the business following a major relocation. Wilson was appointed as administrator on 9 July.

The business is already trading as Crossways Envelopes – a company set up on 22 June with BED directors Nigel Harper and Gary Butters as directors.

Harper said that other members of the management team, alongside himself, were involved in putting together the finances to buy the company back.

He added: "We have just undertaken a move and all the funding was in place for that. We signed the lease and the funder withdrew its support. We have had a huge amount of support from suppliers. Going forward we had to think about the staff that remain here. Our sales are strong at the moment; that won't be an issue."

Seven of the 54 staff at the £8m-turnover company have been made redundant.

Wilson added: "We have worked closely with the management team at BED in considering the options available and analysing the business to determine the most appropriate strategy.

"But I have made it clear from the start that we are looking for the best available deal for the business and that may not be the current directors. Obviously selling to current directors is often the best solution, but we are advertising the company in places such as the Financial Times and we expect that to flush out interested parties."

For more see this week's PrintWeek.