Leeds United have been relegated to League One after being deducted 10 points for going into administration.
Dennis Wise (left) and Leeds must look forward to life in League One
The 10-point deduction - in accordance with Football League rules - means Leeds will finish the season at the bottom of the Championship.
However, they will not lose any points for the start of their first season in League One in August.
Administrator KPMG has already agreed to sell the club to a newly-formed company led by chairman Ken Bates.
A KPMG statement said: "Shortly after their appointment the joint administrators agreed to sell the business and its assets to a newly formed company.
"This company is called Leeds United Football Club Limited, the directors of which are Ken Bates, Shaun Harvey and Mark Taylor.
A cash injection of approximately £10m is required to continue trading
"The sale of the club is subject to approval by its creditors, via a Company Voluntary Arrangement (CVA).
"The creditors' meeting, to consider the CVA, will be held before the end of May. The Football League will also need to approve the sale."
Former Chelsea chairman Bates hailed a new era for the club - but also criticised the old regime for incurring huge debts.
"The action taken brings to an end the financial legacy left by others that we have spent millions of pounds trying to settle," said Bates.
"But the important thing now is not to view this as the end, but the beginning of a new era.
"The financial burden of the past finally pushed the club into administration following the issuing of a winding up petition by HM Revenue & Customs, who will be one of the company's major creditors.
"The other parties who will suffer the biggest financial loss are institutions from which the board arranged funding: Astor Investment Holdings, Krato Trust and Forward Sports Fund who collectively will lose in excess of £22m."
The Football League has confirmed Leeds' 10-point deduction and expressed its disappointment.
"Following confirmation that Leeds United have obtained an administration order, the Football League can confirm that the club has been deducted 10 points from its 2006/07 tally," said head of communications John Nagle.
"Given the recent reduction in the numbers of clubs resorting to formal insolvency proceedings, it is disappointing that Leeds United have had to seek the protection of an administration order.
"Discussions have already begun aimed at establishing how Leeds United intend exiting administration.
"This will have to include complying with the League's insolvency policy under which all 'football debts' must be settled in full."
KPMG revealed Leeds had debts "totalling approximately £35m, with a cash injection of approximately £10m required to continue trading".