More than 50 people are out of work, and the sudden closure on Monday morning has stunned the industry in Canberra, which two decades ago was a major employer.

Paragon Printers Australasia owner Mel Dalgleish appointed Henry Kazar and Philip Campbell-Wilson of Ernst & Young Australia voluntary liquidators on Monday.

The company's 51 employees – 46 in Canberra and five in Sydney – were notified of their termination of employment on Monday morning.

Mr Kazar said: "Obviously it is very distressing for all involved. There were many long-serving employees of the company.

"We are still assessing the business to determine the exact reasons for the failure of the company; however the sector has been going through significant rationalisation for a number of years.

"We are exploring all available options to achieve the highest return to creditors as a whole, including selling some or all of the business and its assets."

Mr Kazar said all employee entitlements, with the exception of outstanding superannuation employer contributions, would be covered by the Federal Government's Fair Entitlement Guarantee Scheme.

Unsecured creditors are owed about $3.3 million, with paper supply companies accounting for more than half.

A small Fyshwick printery spokesman said the closure was surprising.

"It has left a lot of people hanging dry," he said.

Industry magazine ProPrint says the closure shocked the Canberra print community.

"Administrators closed the building at 10am [on Monday], with rumours in the ACT print world that the customer list has already been bought," the magazine said.

"The 65 staff face a testing Christmas, a few of them have been able to secure casual work at local printers but for the majority it will be a bleak season.

"Local printers told ProPrint they 'are shaking' especially as some of them are owed money by Paragon which outsourced work. One ACT print owner says, 'It was completely unexpected, we were doing work for them just last week. They had been suffering from the decline in government offset work, and weren't really geared up for digital, but even so, this is a top notch well run business'."

ProPrint says Paragon Printers Australasia was one of the largest independently owned commercial printers in the country and had substantial print and finishing capabilities.

"The company has faced declining print orders from government in recent times, and has opened a Sydney office to generate commercial work."

Robert Andrews, once in a printing business with his family, said 20 years ago Canberra had 150 print businesses, employing thousands of printers, including the Government Printers at Kingston. Many had closed, or were merged or bought out and closed.

The industry had developed a strong apprenticeship program, but an apprenticeship these days was pointless, Mr Andrews said. Work was being sent overseas, and government departments no longer had big budgets for printing and were instead relying on information on-line.

Mr Andrews said Paragon's closure was swift.

"Everyone turned up to work and got told to hand back keys and passes and to go home," he said.

"I just feel very sorry for all those people who have lost their jobs before Christmas. It is quite tough as it is without that happening."