In a statement issued by Birchwood, the company blamed an "extremely short term cash flow problem, in addition the lack of confidence in the Euro and the terrorist attacks in the US have all taken their toll".

The statement went on to say: "We feel confident that after more than five years of massive investments and constant developments of a now fantastic product, that the Birchwood brand is certainly strong enough to ride out this minor storm."

Managing director Richard Oddie was unavailable for comment as we went to press.

The company recently rebranded in readiness for its move into international markets. It also launched two new 46ft boats targeted at the US market.

Neither Birchwood Marine (International), nor Birchwood Commercial Craft is affected by the administration order.