Reuters reports that the retailer filed documents on Wednesday night saying it intends to appoint BDO, but at the time of writing the chain was not formally in administration.
Borders was bought in July by Valco Capital Partners, a private equity group. However the high street book market has been struggling amid the downturn and competition from online retailers.
According to reports Valco had been attempting to raise funds to keep the business running throughout Christmas, as well as find a buyer for the store.
This week . According to reports at the time, Borders claimed the site was down for "maintenance".
WH Smith was reported to have pulled out of talks with Borders owners last week. Waterstone's-owner HMV was also believed to have been approached but was only interested in taking over a limited number of sites.
The chain was sold by its US parent in 2007 for £20m to Risk Capital, a private equity firm. During this time its 79 stores were reduced to 45, with its Oxford Street flagship site sold to New Look.