The subscription management specialist is owned by Dennis Publishing and Immediate Media.

The publishing companies will not renew their join venture when the agreement comes to an end in April 2017.

They revealed that Dovetail has been consuming cash for some time, and the investment required to run the business is no longer worth it.

Shareholders have agreed to extend the joint venture to 31st January 2018, so that Dovetail can continue to trade throughout 2017.

During the year, Dovetail will focus on ensuring a smooth transition of services for all clients.

Dovetail Services managing director, Rupert Miles, said: “I believe that Dovetail staff have achieved much over the time that I have been with the company. I’m very proud of them and would like to thank them for their energy, enthusiasm and professionalism. Now, mindful of the wishes of the shareholders, I and the Dovetail team will focus our attention on ensuring all our clients are transitioned out of Dovetail as smoothly as possible.”