The owner of Hotter Shoes has revealed administration is a possibility if its search for finance is not successful.
Skelmersdale-headquartered Unbound Group said it is continuing to "explore options" which also include a formal restructuring and equity raise.
Shares in the group slumped by 40% after it issued a statement to the London Stock Exchange.
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The move comes after the group took itself off the market after no potential offers were received.
At the time, the group said it was "assessing the feasibility" of raising between £1.5m and £2m to support [the] implementation of a formal restructuring plan, with a view to securing a better outcome for the group".
In May , the group put itself up for sale as it warned it could struggle to pay its upcoming bills.
The group appointed Interpath Advisory to act as joint financial adviser alongside Singer Capital Markets Advisory LLP to manage a strategic review and formal sale process.
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The move came after the group missed out on a planned £10m investment earlier in the month after the offer was withdrawn because of concerns over its current trading.
It also suffered a blow when a knitwear and jersey brand backed away from a possible £7m takeover.
A statement issued to the London Stock Exchange said: "The board notes recent press speculation regarding possible administration of the group as one of a number of options that the company is considering.
"Consistent with the strategic review initiated by the board and previous announcements, the board and the company's advisers continue to explore options for the group and its shareholders, which include a formal restructuring plan and equity raise.
"In the event that such discussions prove unsuccessful, it is likely that administration would occur, in which case the company's ordinary shares would be suspended from trading on AIM.
"The board will continue to provide further updates as appropriate."