The high street stationery retailer could go into administration as early as Tuesday.
The parent firm of the chain may be appointing insolvency practitioners from Begbies Traynor.
Paperchase has shops in Telford and the Merry Hill shopping centre. It also has concessions in major Next stores including at Wolverhampton and Wednesbury.
The Telford Centre store opened in October last year
Discussions between Paperchase’s owner and potential buyers are ongoing, but a pre-pack administration is the most likely outcome
That involves a company's assets being sold immediately after it has fallen into administration.
There have been weeks of talks with prospective buyers, after PricewaterhouseCoopers was appointed to find new backers.
The chain was taken over in August by Steve Curtis, an experienced retail investor who has been involved with Tie Rack and Jigsaw.
Retail Realisation, an industry advisory firm, was also involved in last year's deal.
Paperchase, which trades from about 100 stores, previously underwent a pre-pack administration in January 2021.
Permira Credit, the previous owner, had invested in Paperchase's digital offering as well as new shop openings and executive recruitment since its last brush with insolvency.
It is not clear how many stores and jobs might be put at risk by another administration.
Paperchase has declined to comment.