Middlesbrough-based Riverside Bakery has gone into administration, with 35 jobs in the balance.
National accountant Baker Tilly has been appointed administrator and hopes to sell the business as a going concern. The firm has traded as a wholesale baker of bread buns for 25 years, supplying schools, colleges, sandwich shops and other food retailers.
Joint administrator Mark Ran-son said the bakery had found the current economic conditions very difficult. "However, we are optimistic about selling the business as a going concern and safeguarding jobs. The bakery has a strong reputation across the north east and has invested in modern production facilities."