Scarborough Football Club, which went bust last week, is to be reborn under the name Scarborough Athletic.
The failed club's McCain stadium is to be sold for development
The Seadog Trust, a supporters' group which will run the club, was meeting Northern Counties East League officials to finalise the arrangement on Monday.
They were meeting at Bridlington Town's Queensgate ground, which the new club hopes to share in the 2007/2008 season.
Trust chairman Simon Cope said: "This is the start of the next chapter in the history of football in Scarborough."
The former Football League club was wound up at Leeds High Court last Wednesday in the face of mounting debts which included £820,000 owed to the Inland Revenue.
'Heart of community'
Mr Cope said: "It is time now to put the past behind us.
"All of us at Seadog Trust would like to express their thanks to Ian Scobbie [club chairman] for his efforts to save Scarborough FC...but we feel that a new club owned by fans is the best, if not only way forward.
"Now more than ever we would urge football supporters in Scarborough to join the trust and have their say in the development of Scarborough Athletic.
"We, the football fans of Scarborough, are in a position to create a football club which stands at the heart of the town's community."
He said the trust was now focusing on creating a team for the 2007/2008 season and had drawn up a shortlist of managerial candidates who would be contacted "over the coming days".
Mr Cope said: "Although nothing concrete has yet been confirmed we hope to be holding trials at some stage to give the football players of the community every chance to be part of a true community club."
The trust is to host an open forum for fans at the St Nicholas Hotel in Scarborough at 2000 BST on Thursday.