RadioShack Corp. is preparing to file for bankruptcy protection as early as next month, people familiar with the matter said, following a sputtering turnaround effort that left the electronics chain short on cash.

A filing could come in the first week of February, one of the people said. The Fort Worth, Texas, company has reached out to potential lenders who could help fund its operations during the process, another person said.

Meanwhile, RadioShack is in talks with a private-equity firm that could buy its assets out of bankruptcy, the people said. They cautioned that the talks with the private-equity firm may not produce a deal and that the company may try instead for a more typical reduction of debt and restructuring of its operations in bankruptcy court.

Situations when companies are close to a bankruptcy filing can be fluid and even contentious, and plans can change at the last minute.

The retailer, which employed 24,000 people late last year, has made clear it is running dangerously low on cash after posting losses in each of the last 11 quarters. Its stock-market value has shriveled to less than $50 million. On Wednesday, its shares fell 13% to 41 cents apiece.