The owners of Schoolcardshop announced on Wednesday that they had ceased trading, putting thousands of orders under threat.
But Devon-based Harrier LLC, which owns the Truprint brand, has promised to deliver all the cards before Christmas.
Harrier said the move was "a goodwill gesture".
Edinburgh-based Schoolcardshop converted schoolchildren's artwork into Christmas cards, with schools retaining a proportion of the money spent by families on the products.
On news of the company's demise, many parents took to social media expressing concern that their children's artwork had been lost.
Others were also worried that they would not receive their money back for orders placed.
But Schoolcardshop told BBC Scotland on Thursday that Harrier would pick up all the outstanding orders, with "the majority of deliveries" expected by the end of next week.
In a statement, Schoolcardshop owner Dynamic Colour said Harrier had stepped in after it explored "all options to preserve Schoolcardshop long enough for parents to receive their products".
Dynamic Colour added: "We appreciate the high level of anxiety this has understandably caused parents, children and schools who we worked with on this project.
"We would have liked nothing more than to have been able to complete this project successfully, but sadly we have been unable to do so.
"We have lost a company we love, our livelihoods and over a decade of hard work. But we are extremely happy and relieved to be able to give this positive news at the end of it all."
Harrier commercial director Darryll Allen said: "This is a goodwill gesture and there will be no charge. We are absolutely sure we can get all these cards out before Christmas."
A photo-gift supplier has stepped in to take over Christmas card orders for schoolchildren, following the collapse of a printing firm.