Gateshead FC have avoided the threat of liquidation after prospective buyers Flacks Group reached a legal settlement to resolve an ownership dispute and cleared outstanding tax debts with HM Revenue and Customs.
The breakthrough comes after weeks of uncertainty that put the National League club at risk of going out of business. As Nutmeg Press previously reported, the takeover had stalled in late October when the US-based investment firm published an open letter warning it might walk away because of an ongoing legal claim from Shoreline Sports Limited.
Negotiations between the parties produced an agreement on Thursday afternoon. Flacks Group stepped in to pay overdue player and staff wages for September and October in full. The investment group also deposited money to cover an HMRC tax bill of more than £200,000 for unpaid PAYE and VAT, beating an enforcement deadline that threatened to put the club into compulsory liquidation.
Financial relief and regulator approval
Interim chairman Graham Wood confirmed on Friday that money is now in place to satisfy creditors. The sale of the club from current shareholder Stephen Paylor to Flacks Group is now waiting for official approval from the UK’s Independent Football Regulator before it can be completed.
According to a report by Chronicle Live, Wood said the club has come through a difficult period behind the scenes and can now look ahead to stabilizing its operations. Wood stated,
Funds are in place to satisfy HMRC and other creditors. Tuesday’s victory over Stoke City Under-21s, 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.
The Shoreline settlement and Bromley links
The dispute that held up the sale began in 2025, when Shoreline, led by former Everton and Sunderland striker Victor Anichebe, agreed a deal to buy Gateshead. Shoreline later launched legal action against the club’s shareholders to annul that agreement and seek financial compensation, creating a legal cloud that Flacks Group refused to take on without a clean release.
The resolution also coincided with developments elsewhere in English football. Anichebe is fronting an investment group in advanced talks over a Bromley FC takeover bid in League One. English football rules prevent individuals or groups from holding ownership interests in more than one club at the same time, giving Shoreline a clear reason to settle its outstanding claims at Gateshead.
Focus shifts back to the pitch
The Gateshead FC Supporters Society welcomed the announcement on Thursday evening, thanking former shareholders and prospective buyers for finding a solution that preserves the club’s future.
Attention now turns to the team’s difficult position on the pitch. Gateshead sit at the bottom of the National League table in 24th place with four points from 15 games. They are 13 points away from safety following a run of 13 league defeats.
Caretaker manager Ben Clark led the side to a 3-1 victory against Stoke City Under-21s in the National League Cup on Tuesday. Gateshead return to league action on Saturday, November 7, when they host 20th-placed Tamworth at the Gateshead International Stadium, with club leaders planning to begin the search for a permanent manager once regulatory sign-off is completed.
