Macob Construction Guernsey is part of Kalmac, which is to close, with the loss of 78 jobs.
An application has been made by the three companies to the Viscount of Jersey, leaving 78 islanders jobless.
Management say they are 'devastated' and it is 'heartbreaking'.
It is claimed it has come after losing around 66% of work in Jersey due to the 'downturn' in the housing market.
In a statement, they say:
"The companies have tried to go down every available avenue to diversify their business, opening new sources of revenue and expanding into the Guernsey market."
The company recently worked on renovating Guernsey's Ebeneezer Church on Brock Road, in St Peter Port and a chapel in Torteval.
The statement continues:
"Despite our greatest efforts, securing substantial work going forward, we have been unable to raise the capital required to overcome the historical debt to allow the businesses to trade."
The companies say they understand the news will come as a shock and 'deeply regret' the impact on their employees, clients and supply chain.
"We assure you, we will work with the liquidators to try and protect your interests during this extremely difficult and distressing time."
MAC Group, the umbrella company, also looks after Macob Construction Guernsey, Eden Roofing and Eden Flooring.
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