Blog 27: Top clubs which went into administration

When a club enters administration, the club's control is passed on to a specialized team of accountants from the owners so that no one can wind up the club. Hence the administration department takes care of the day-to-day operations and ensures that the club gets out of administration. Administrators will either try to sell the club or reach a Company's Voluntary Arrangement. They will look to cut costs by selling all non-football assets and sometimes sell players for a much lesser price than their market value because of the urgent need for funds.

Over the years, there have been many football clubs that went into administration. Let's have a look at some of them.

#1 Derby County

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One of the most recent clubs to go into administration announced their intention to call in administrators on Friday. Owner Mel Morris said the coronavirus pandemic had cost them about £20m in lost revenue. Morris became Derby's sole owner in 2015 but had been actively looking to sell since June 2019, following their Championship play-off final defeat by Aston Villa under Frank Lampard. Morris says the club has lost him "over £200m" to date.

#2 Leeds United

Founded in 1904 as Leeds City, this is often another club with an excellent past. They were champs for the primary division season and one among the inaugural clubs in the Premier League. The monetary bother began to brew, and therefore the club entered administration that caused its change to the third tier of English football. Doing a Leeds has become a catchphrase in football; it's often used to describe the financial direction of clubs.

#3 Chelsea F.C.

Founded in 1905, based in Fulham, London, and once the critical achievements that created it reached a celestial point of popularity, the club fell into decline and deep debt. During a surprise takeover in 2003, Russian rich person Roman Abramovich bought the club for £140m. It was calculable that he would have to be compelled to plough in regarding eighty million pounds to repay the club's debts.