Authors have been left unsure whether their books will be published and when they will receive outstanding payments after crowdfunding publisher Unbound went into administration last week.

The unique selling point of the publisher, launched in 2011 by QI researchers John Mitchinson and Justin Pollard, and Crap Towns author Dan Kieran, was that it allowed writers to pitch ideas online directly to readers. If enough people pledged financial support, the author would write the book, with supporters receiving various perks, such as early access to the book or a special edition.

Unbound confirmed last week that the business had been acquired by the newly-formed Boundless Publishing Group. A statement on its website said “Boundless will be moving forward with the majority of the Unbound projects”, instructing readers who have made pledges to “check back at the end of March when our new website will be live and you will have access to your account and order status”.

Boundless will be led by Archna Sharma, who was appointed as Unbound’s new CEO in January, with Mitchinson as a director. “This is the beginning of a bold new era,” said Sharma in a statement. “Boundless looks forward to forging exciting new connections between authors and readers.”

Author Tom Cox, whose latest book Everything Will Swallow You was due to come out this Thursday, became suspicious after months of not having received payments he was owed. That combined with the publisher’s failure to confirm that his new book would definitely come out on the proposed date, after the time it was originally due to be printed, led him to ask for the reversion of the rights he had sold to the publisher. He is now trying to personally sell the 5,342 copies of his books that Unbound sent to his house after the rights were transferred back to him.

Cox, who has published seven books with Unbound and whose 2017 book 21st-Century Yokel was the publisher’s fastest-ever crowdfunded title, is not sure exactly how much he is currently owed but believes it is “a five-figure sum”. He is in a WhatsApp group with other authors waiting for payments. They have been receiving “update after update,” from the publisher, but “the update is we’ll have another update soon”.

Though Unbound has promised in a statement that “all monies owed to authors by Unbound will be honoured by Boundless IP Limited,” Cox said he and other authors have been told they will receive what they are owed via “a payment plan”.

“That immediately sort of rings the alarm bells with me,” he said. “Is it going to be like a mortgage? Perhaps the payment plan is going to be over 25 years … I’m a bit cynical about it at this stage because the earliest money that I’m owed from them dates back to May last year.”

Cox is also concerned about the readers who paid into the crowdfunder for his new book. He was initially told by Unbound that all of his supporters would be refunded, which he communicated to his readers. “And then we find out last week that they are not going to refund them. They’ve just taken all that money that I’ve worked so hard to raise, and my readers have given in trust and in support of me, and now they’re not going to give it them back. Well, I just think it is shocking behaviour.”

According to a spokesperson from Unbound, new company Boundless “has no obligation to pay any of Unbound’s creditors, but has undertaken to pay in full the money owed to Unbound’s authors and to fulfil the orders for books that have transferred from Unbound. It will not be fulfilling orders or offering refunds for books that haven’t transferred.”

Letters of Note author Shaun Usher said he is “deeply disappointed by Unbound’s collapse”.

Though none of his books are still under contract with Unbound, he and his wife invested “a substantial amount of money in the company” in 2014. “Losing that money is crushing, and frankly, it’s not something we can afford.”

“But my situation pales in comparison to the authors whose books have been derailed by this,” Usher added. “All that said, I know and admire John Mitchinson, and I trust that he’ll do his best to ensure affected authors are treated fairly.”

Cox, too, still has respect for many of Unbound’s employees: “My editor was utterly brilliant on my latest book … there are lots of really great people involved but it’s just unfortunately the money side of it, they just haven’t been able to make it work.”

Anna Ganley, chief executive of the Society of Authors, the UK’s largest writers’ body, said it is “very disappointing to hear that, after keeping authors in limbo for so long, and owing a number of authors considerable sums of money, and while promising that it was ‘business as usual’, Unbound has now gone into administration”.

“We appreciate the situation is frustrating and stressful for authors and we urge members to get in touch with the Society of Authors to seek advice and support,” Ganley added. “Authors need to carefully check their contracts as the Society of Authors does not believe, based on the paperwork we have seen so far, that any author will be compelled to sign up with Boundless unless they choose to do so.”