Timber frame supplier Chandos Timber Engineering has fallen foul of the collapse of failed building firm Rok.
The Rochdale firm has gone into administration with the loss of 170 jobs and is blaming both the Rok bad debts and the downturn in construction.
Administrators from accounts Cowgill Holloway are trying to sell the assets of the business, which include a £4m purpose built factory on the outskirts of the town.
Administrator Jason Elliott told Construction Enquirier said: “We had some potential buyers but they were more interested in buying the assets and not taking on the liabilities.
“Due to there being no working capital we had no choice but to let go of 170 staff.”