M&Co has entered administration, while attempts are made to find a buyer.
Teneo Financial Advisory has been appointed as joint administrators following a period of difficult trading and a "decline in consumer confidence".
The company has insisted no jobs will be lost immediately, with its 45 Scottish stores and website continuing to trade as normal.
The retail chain, which began life in Paisley as Mackays, has 1,910 staff working in 170 shops across the UK.
News of the situation - the second time it has been put up for sale in three years - was first reported by fashion magazine Drapers.
A spokesman for Teneo told Drapers: "Like many retailers, the company has experienced a sharp rise in its input costs, which has coincided with a decline in consumer confidence leading to increased pressure on cash flows and trading losses.
"No immediate redundancies have been made and the joint administrators are exploring a potential sale of the business in an accelerated timeframe, during which time the company will continue to trade from its stores and website."
Reports in local media across the country suggest a number of stores have already closed their doors for good, including the chain's store in Inverurie. It is unclear whether the jobs have been transferred to other stores during the administration process.
M&Co fell into administration in August 2020, when it was bought back by its Scottish owners the McGeoch family in a pre-pack deal that saw it close 47 stores and cut more than 300 jobs.
The company was first established in 1834 by the McGeochs as a pawnbrokers, before switching to selling clothes in the 1950s.
Its stores were rebranded as M&Co in 2003 in a bid to attract a younger clientele. The company remains locally headquartered, in Inchinnan near Renfrew.
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