Mac reseller Mad Macs faces being wound up after failing to meet its creditors' demands.

Having incurred debts of over £100,000, Mad Macs came to a voluntary arrangement to pay its creditors – numbering more than 100 – a proportion of its debt from future profits.

But the assistant of Mad Mac's receiver, Derek Simpson, from Ensores, said: "It became clear that the company couldn't meet those commitments. Mad Macs failed the arrangement.

"We will be writing to the company in the next few days. It will be down to either the creditor or the director to petition for the company's winding up."

The downfall of Bury St Edmunds-based Mad Macs follows that of two other Mac resellers in recent months – Mygate and MacLine.

A host of problems have overwhelmed Mad Macs this year, the most serious of which was triggered when a bankrupted client lumbered the company with over £150,000 of debt.

Following this, Mad Macs had its credit line withdrawn by trade-insurance underwriters Euler Trade Indemnity , after a late payment to technology wholesaler Ingram Micro.

Jim Mangle, Mad Mac's former managing director, added that low profit-margins on Macs made them hard to sell, something that exacerbated Mad Mac's financial woes.

He said: "We had a hard 12 months but felt that we could overcome this, anticipating an increase in sales for the final quarter of the year. This quarter is traditionally the busiest time of the year. However, after September 11, we saw sales plummet, and they failed to pick up."

A number of Mad Macs engineers have already formed a new a Mac-fixing service, called Doctor Mac, and plan to buy Mad Macs' assets, including its customer base.