The company, which trades as FlyLolo.com, had been offering flights to the Canary Islands from Gatwick but was forced to axe its programme late last month after it was unable to agree a schedule for this year with suppliers.
Loloflights told TTG although its business model did not sell via travel agents, it was aware of "a few" agents who had booked on behalf of clients.
All customers have been refunded.
Loloflights operated successful Christmas flight programmes to the Canaries during 2017 and 2018.
“The company is discussing a close relationship with a supplier airline and while we do that we have decided to suspend our trading," a statement read.
