This move was forced on it following the decision of its venture capital backers not to provide further funding to cover a shortfall in revenue beneath estimates over the summer.
Although Printchannel was close to breaking even, chief executive Oliver Pflug said that backers wanted a higher return on investment than Printchannel was likely to deliver and decided not to provide further finance.
"It wouldn’t deliver the 10-times ROI for backers – maybe only two or three times," said Pflug. "From a venture capital point of view, that’s not enough. Others may find the return significant."
Customers were dismayed at the prospect that it might cease trading.
"It’s going to be a nightmare if it goes out of business," said Chris Gosler of Reading-based short-run printer Conservatree.
On Monday (16 September), UK users held a meeting to consider the future of the firm. They are talking to Printchannel, potential buyers and fellow users in France and America to ensure the survival of Printchannel Classic.
"There isn’t another system that offers the same flexibility and stability," said Graham Budinger, Big Group commercial director and UK user group spokesman. "If it was a crap system, we’d all be walking away – or if there was a better system, we’d run to that."
Pflug and Printchannel users are confident that a buyer will be found for the firm, which has already had over eight offers.
One firm is going through due diligence and two have been rejected. Pflug was confident of receiving further offers.
He said that some US users were interested in buying the firm. Budinger said UK users were not considering this, but were working with the firm that is looking to buy Printchannel.
Story by Barney Cox
