Suppliers to Monsoon Accessorize have reportedly had their credit insurance cut as the retailer struggles.
Insurer Euler Hermes has reduced cover by up to 50%, The Sunday Times reported.
It comes as Monsoon Accessorize closes stores in an effort to return to profit after three years of losses.
The company reported a loss of £12.6m last year.
Suppliers to Debenhams, Arcadia and New Look have all recently had credit insurance cut as uncertainty increases over the future of the high street.
In June, Drapers reported that Monsoon Accessorize was making up to 14 staff redundant as part of a restructure. It blamed the difficult trading environment.
Monsoon Accessorize declined to comment on the credit insurance reduction but said it has ”strong cash reserves and is debt free”.