Gateshead FC are on the verge of a takeover by US-based investment firm Flacks Group, which has brought the club back from the brink of going out of existence. The deal is awaiting the green light from the Independent Football Regulator before it can formally complete.
The positive financial update comes after weeks of talks to resolve a dispute involving the club's former shareholders and the Shoreline Group, who had tried to complete a takeover deal at the International Stadium last year.
This formed part of an extremely concerning period at Gateshead after players and staff failed to receive their wages on time for the second consecutive month, and the club was threatened with a winding-up order by HMRC over overdue PAYE and VAT payments.
Funds in Place for Creditors
Flacks Group has ensured wages have now been brought up-to-date, and interim chairman Graham Wood has confirmed 'funds are in place to satisfy HMRC and other creditors'. Wood also stated that staff and players have now been paid.
While there is a focus on strengthening the infrastructure at the International Stadium, there is also a need to improve the on-field situation. The managerless Heed side now sits 13 points from safety in the National League table after a run of just one win in 15 league games.
New Manager Appointment Ahead
Tuesday's National League Cup win against Stoke City Under-21s brought some brief respite during a challenging time on and off the pitch. Wood has revealed the focus will now go on appointing a new manager and urged the people of Gateshead to 'embrace the opportunity' provided by the arrival of a new era at the club.
In a statement released on Friday morning, Wood said: "Tuesday's victory over Stoke City U21s - the first win since August - heralded a good news week for the club in which the conclusion of several weeks hard work came to fruition with confirmation of the new owners."
"Exciting times lie ahead as we learn of Flacks Group's plans for the club and seek to turn a disappointing start to the season around with the appointment of a new manager," he added.
"My thanks to the club's former shareholders for their part in facilitating the change of ownership and to the staff and players for their forbearance during the tough times of the past two months. Gateshead Football Club has a bright future and we now look to the townspeople of Gateshead to embrace the opportunity, get behind the club and swell the numbers of our loyal fan base."
