Neil Bennett and Michael Healy of Leonard Curtis were appointed administrators on March 28 to the company, which has 17 stores throughout England, Scotland and Wales, and around 235 employees.
The stores sell a range of goods including toys, garden equipment and pick‘n’mix sweets, and they will continue to trade under the control of the administrators.
The administrators said the business had recently been acquired by investors from its previous owners.
Bennett said: “This is a business that operates in a very competitive market that has been badly affected by the recent downturn in consumer confidence experienced on the UK high street.
“We are currently continuing to trade whilst we look for a suitable buyer in an effort to secure the business and safeguard job security for its current employees.”
Audit and property advisory specialist Capa has been instructed by the administrators to market and dispose of all 16 shop leases formerly traded by Alworths.