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To understand the club’s financial depth, you need to calculate its yearly running costs and revenue, which will reveal a shocking deficit. It’s said that this decline cannot be halted without selling more players soon to avoid going into administration. The club needs to raise money to pay bills and manage salaries. Football Insider editor Wayne Veysey believes this situation is getting worse. If it ends in administration, Leicester will immediately be deducted -12 points. In the same article Veysey also comments on, King Powers’ businesses in Malaysia and Thailand, they are in increasing trouble and the knock-on effect is that the former Premier League champions are facing a financial black hole. The fact that the club is set up for sale makes a point, but it also shows that a new owner will not possibly be paying much for this football club, but instead cover the depth. Then it will be very important to understand the burden of having a running cost at this football club that in no way are in balance with the income. As we reported earlier this week, in our thorough article, on the financial situation, not surprised to see that Wayne Veysey exclusively can report that administration is a possibility, saying the same and not underestimating the fact that is not a far away thought, but currently right at the door step. 🚨Leicester City are currently playing in the 3rd tier of English football The club have one of the best training facilities in the world and have been listed for sale with an asking price of $200m pic.twitter.com/NuTqqN5PPM For fans who went through this 24 years ago, after relegation from the Premier League, Micky Adams’ team faced a similar situation. Back then, there were no points deductions, allowing Leicester to continue and achieve direct promotion. We do hope that selling or at least loaning out players on high wage bills will be a potential possibility until the end of this transfer window. A problem is, If you go for terminating contracts or selling for an amount under the current value in the balance sheet, you have to register a loss, as the asset will be written out of your books, and that will again see your result even more negative. That makes it very difficult to agree to a cut price far below the asset value, so any fan talking about getting rid of certain players, do not have the insight on how this works and then the reasoning behind their talking becomes irrelevant. The fact that the club in no way has informed anyone than potential buyers about this, is not a proper way to communicate, and shows lack of understanding how you should deal with fans of a football club. We know that certain areas of the fanbase would like to see the Thai family gone, but strange to see them vanish and disappear without saying anything about why and giving a reason for the club starting to look for a buyer of this football club. The danger of saying something wrong might be bigger than going out in media and talking about the plans to sell, so for the time being, we just have to wait for the news coming through for a potential take over when it appears. The previous administration 24 years ago was chaotic, with Gary Lineker and Emile Heskey helping to raise the £5 million needed. Now, the club is losing money every month like a Niagara waterfall. Sad to see this again, having people in charge of this football club that has not understood the difference between minus and plus, not being able to count from 1 to 10, and ending up in a silly mess, that could have been avoided with a proper financial plan in place. Sheffield Wednesday was saved by a new owner, the situation at Leicester is a different ball game and fewer people could be able to get this club out of trouble, also having to battle with EFL and PSR rules on top, so to anyone sniffing around for a football club, do not forget that it’s more than just carrying the depht, you also need to be in line with everything decided by the associations of football. So could this be the end of Leicester City FC? Many football clubs have struggled and disappeared. In the US, the NASL era shows examples of clubs that failed while trying to compete beyond their means. Anzhi Makhachkala, with players like Samuel Eto’o and Roberto Carlos, is no longer active. Recently, Boavista from Porto also left Portuguese professional football, similar to Leicester’s decline. In Scotland, Third Lanark is a notable historical example, while Bury dropped to lower amateur leagues recently. Rangers started over at the bottom a few years ago and managed to rise again, which could be a possible outcome for any club facing a similar fate. For the players, staff, and fans, we hope a solution is near. However, this seems like a serious issue, and we wish for a quick resolution.