Shoppers at the website of online retailer are being greeted by an ‘out of business’ sign.

In an announcement posted on the site of New York-based BabyGear, visitors are being advised that the company has closed and filed for Chapter 7 bankruptcy liquidation.

"They are unable to take orders, ship orders or issue credits," according to the message. "Any further matters will be handled by the court."

Calls to the company's offices seeking comment weren't answered.

In July, bought the assets of iBaby from women's network iVillage, which had tried to diversify its core business by running on online retail operation. As part of the deal, iVillage took an equity stake in and signed a five-year sponsorship deal with the company.

Analyst Barrett Ladd at Gomez Advisors said faced the same problem many recently failed Web businesses faced - trying to survive after funding dried up without any traditional retail stores to fall back on.

"What we're seeing is that most pure play e-commerce dotcom companies are having a challenge, whether it is sports, pets, babies, what have you," she said.