Coventry City 'sold' - but what happens next?

The administrator for Coventry City has confirmed that the sale of the club has been completed, but its future is still uncertain.

SIsu, who have controlled it since 2007, were selected as the preferred bidder for the Sky Blues, which has got debts of around £70 million.

The Football League's role

The Football League now has to decide as to whether Sisu passes its 'fit and proper person test'.

By completing the purchase of the club, Sisu can press ahead with this process.

League bosses will ask for evidence and assurances that Coventry will not re-enter administration in the near future.

Sometimes this can happen quickly - when Port Vale went into administration the Football League were satisfied after a few meetings.

It can also drag on - in the case of Portsmouth for instance, the League demanded more information on a number of occasions.

Coming out of administration

I understand early next week, the administrator will call a creditors meeting, which will then happen around two weeks afterwards.

Those owed money by the club when it went into administration, (including ACL, the company which owns the Ricoh Arena), would then have to vote and agree on how much they will be paid by Sisu.

Those creditors would then have a further 28 days 'cooling off' period.

I am told Ricoh bosses do have enough voting 'power' to stop the club coming out of administration.

However, this would then mean they would not be paid the money they are owed.

Sorting out a stadium for next season

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**As it stands, Coventry fans still do not know where the club is going to be playing next season.

The administration process has meant that the Sky Blues are no longer locked into a long-term rent deal with the Ricoh Arena.

Bosses at Sisu are insisting they cannot go back to the ground - and are planning on moving out of the city whilst they build a new stadium.

If Coventry can sort out a ground-share deal with another club by the start of the season - and show they are planning on eventually returning to the city - the Football League will not stand in their way.

The possibility remains that the club could still get back around the negotiating table and do an eleventh-hour deal to go back to the Ricoh Arena.

Whether that will happen, is still unclear.