Barton Products – which mainly produced chairs and seats for both office and retail markets – suffered from the "difficult economic climate of the past few years".
The family-owned business – which had a £2.5m turnover – has been forced to make 25 of its 69-strong workforce redundant.
However, joint administrators John Kelly and Andrew Cordon remain hopeful a buyer will be found for the Derbyshire-based business.
Cordon explained: "This is a firm offering high quality furniture made by committed people.
"It is a fantastic opportunity for someone to come in and purchase a company which has fallen on hard times but which was once the sort of bedrock manufacturing operation on which Britain relied - it could be again."
According to the company’s website it is a ‘wholly British business’ which prides itself in manufacturing all its products on site from the raw timber to the finished goods.
After producing ammunition boxes, the business moved on to cabinet furniture before introducing an upholstery range in the 1930s.
The company’s timber mill was originally in Nottingham but it moved to Long Eaton in the late 1960s and now boasts a 5000 square-metre factory on a freehold site.
By Andy Pearce