The board of Loanmakers announced this morning that after having carefully considered the financial position and prospects of the company, it has appointed Dermot Justin Power and Patrick Lannagan of BDO Stoy Hayward LLP to act as administrators.
Its shares were recently suspended from AIM as it tried to resolve its funding issues.
The firm was hit hard by the withdrawal of secured lender FirstPlus, which resulted in a significant downturn in business for the six months ending September 30 2008.
The firm also reported a £1.6m loss, on the back of a £6.8m loss for the year ending March 31 2008.
The final nail in the coffin came when the board proposed a £1.86m underwritten open offer which was rejected by shareholders.