Dee Ross, proprietor of Freebird florist and pet shop in Alford's Main Street, has been leasing the property from the Aberdeenshire Council for the past six years. She received notification in October that her rent for the shop premises would be increased by whopping 66% - to £9,799 - until 2010.
She said she could not afford to remain in the property.
"I really want to apologise to customers because we are being forced to close as of the end of January 2007," she said. "The premises belong to Aberdeenshire Council and we are coming to the end of our present lease. They have given me a 66% increase in shop rent which, they claim, is in line with raises in the rest of Alford, Aboyne and Huntly.
"We've had to cancel flowers for 184 weddings. We specialise in different weddings, such as Hallowe'en and gothic-themed weddings and we've customers who come from as far afield as Braemar, Stonehaven and Turriff. Our brides come from even further afield and we have testimonies from abroad."
But according to Alford Councillor Richard Stroud, if Ms Ross could demonstrate the rent the council was charging was not comparable with other rents being charged locally, they would be willing to negotiate.
"I'm obviously concerned to hear of the possible loss of another shop in Alford," he said. "The council sets its rents according to the way it is required to do so.
"The council is open to negotiation on this, on the basis that there can be information about the level of other rents in Alford provided. I'd be sorry to see the loss of any other retail units in the village."
But Ms Ross said other tenants won't tell her what they pay.
"Nobody will give their details," she said. "People don't want their private business aired like that."
Mr Ross sells pets and pet products as well as working as a florist.
Ms Ross's son Colin, 20, and girlfriend Holly will be left without a home as a result of her leaving the shop, as they live in the flat above the shop. Colin works full time in the shop and Holly also helps out. The council has not increased the rent on the flat.
Ms Ross' solicitor wrote to the council and received a reply indicating it was prepared to forego a rent increase on the flat if she renewed the lease on the property.
The council's estates department is under "a legal and professional obligation to provide an honest and objective valuation" which reflects market value.
Ms Ross, of Mossat, said: "I do feel as if we're being forced to leave. We certainly had no plans to leave Alford, as we wouldn't have taken on wedding flowers for the next couple of years if we had.
"We want to remain in the village, as a lot of our old dears are burying their friends and can't drive to order funeral flowers.
"This news means I am out of a job and my son is jobless and homeless. I just want to say to people there is nothing wrong, we are not in financial difficulties and have not gone bust.
"We've built this shop up from nothing and are devastated to lose it all."
A spokesman for Aberdeenshire Council said: "The increase is in line with market rental values, however, options have been given to resolve the issue and the council will be willing to discuss any possible resolutions."
Ms Ross is keen to hear from anyone who knows of any other suitable premises for Freebird. They can contact her on (019755) 62851.