The Fabric Warehouse, formerly a 40-store national soft furnishings chain, has closed all its remaining shops with the company behind the brand to enter insolvency proceedings.

FabricWarehouseTimelineKerry Bailey of insolvency firm BDO has been lined up as liquidator, with the appointment set to be rubber-stamped at a creditor’s meeting next week.

The Fabric Warehouse is part of the privately owned Caldeira Holdings textiles and furnishings group based at Knowsley on Merseyside.

Through Caldeira Retail Ltd, the group rescued 14 of The Fabric Warehouse’s 40 stores from administration in 2008, but profits have been elusive and sales since 2010 have halved from £8m. Its latest store count has been reported by the Liverpool Echo as totalling seven shops.

It is not clear if the stores will reopen under new ownership or a different corporate structure. The newspaper quoted owner Tony Caldeira as saying the largest creditor would be the parent company.

Factoring company Bibby lodged details of security it holds over the company’s assets at Companies House late last year. The Fabric Warehouse is thought to employ around 50 people.