Blockbuster has become the latest high street retailer to go into administration putting more than 4,000 jobs at risk.
The DVD and games rental store is the third big high street name to call in administration in the space of a week following Jessops and HMV. Blockbuster's 528 stores and nearly 4,200 employees are now at risk.
Blockbuster has appointed the same administrators as HMV, Deloitte, which is looking for a buyer while the firm continues trading. Unlike HMV Blockbuster will continue to accept gift cards and credit acquired by its trade-in scheme.
It said: "We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors."
Lee Manning, joint administrator at Deloitte, said: "The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern."
In a similar way to HMV, the rental firm has struggled to keep up with changes in technology and the buying habits of consumers. Blockbuster has suffered with the falling price of DVDs and the rise of online games and movie services such as Netflix, LoveFilm and Steam.
"In recent years Blockbuster has faced increased competition from, internet based providers along with the shift to digital streaming of movies and games." added Manning, which is a bit of an understatement.