Stockport County FC getting closer to sale goal

Administrators from Leonartd Curtis have confirmed they are in talks with a potential buyer for Stockport County Football Club, the 126-year old side which entered administration earlier this year.

John Titley and Paul Reeves, directors at Leonard Curtis, were named as joint administrators of Stockport County Association Football Club Limited on 30 April 2009, but have not claimed any fees so they could keep paying out players' wages.

"Despite incurring substantial time costs to keep the club operating and to secure a purchaser the administration team have not received a fee to date because any fee depends on the outcome of the sale process," the insolvency experts said in a statement today.

"We have not used available funds to cover our fees so that essential trading costs – mainly salaries – can continue to be paid,”

“Further to our previous statement on 12 November, we can confirm that talks regarding the possible sale of the Club and its exit from Administration are proceeding with a potential purchaser.

Despite the club being marketed extensively for sale, the number of interested parties has been disappointing, the adminstrators said.

"We have entered into protracted negotiations with many parties which have largely proved to be unable or unwilling to proceed.

"Our priority is and always has been to establish which parties are credible and which are timewasters so we can achieve a sale of the Club as quickly as possible."

The administrators had reached a conditional agreement with a consortium in the summer but several key issues prevented a speedy sale.

These issues involved funding to comply with The Football League’s minimum requirement; complying with the landlord’s expectations of a credible tenant; and primacy of fixtures by balancing the demands of The Football League with those of Premier Rugby.

“We continue to try and balance the interests of many parties including the landlord of [club ground] Edgeley Park and The Football League but this is proving to be very difficult," the administrators said.

"A modest payment is being sought to allow repayment of monies owed to secured creditors and the completion of a Company Voluntary Agreement which is a requirement of the Football League."

The prospective purchaser has not yet satisfied the requirements of the landlord and The Football League, Titley and Reeves said but they understand the purchaser had a credible business plan in place.

“The financial position of the club remains tight and the decision of The Football League to retain media income due to the club has made matters more difficult," the administrators said.

"We have however, introduced robust systems for cost control to ensure that finance is available to cover trading costs and in particular, the salaries of players and staff. We have had to sell some players and it may be necessary to release others," the administrators added.