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Coventry's board have announced that they are planning to go into administration in a bid to speed up the club's proposed takeover.
The cash-strapped Championship side have been locked in negotiations with Sisu Capital, a consortium headed by Ray Ranson, in a bid to secure their long-term future.
The decision from the Sky Blues' current hierarchy will now give Ranson's group a 10-day window to complete their buy-out of the Ricoh Arena outfit.
Any club that enters administration is automatically docked 10 points by the Football League as a punishment, meaning Coventry can expect to fall from 14th into the relegation zone.
A statement on the club's official website said: "The board of Coventry City Football Club can confirm that it has today filed in court notices of intent to go into administration.
"This is merely a legal process protecting the bank and its creditors and should speed up the potential takeover of the club and therefore take Coventry City into a solvent financial situation.
"This legal notice gives Coventry City a 10-day window to complete the takeover talks with Ray Ranson and Sisu Capital, along with all other parties.
"Following recent speculation, the club can confirm that staff and player wages have now been paid and we look forward to a successful conclusion of the takeover in the near future."
And Sky Blues boss Iain Dowie is hopeful that the new owners will be in place in time for him to be able to strengthen his squad in the January transfer window.
He told Sky Sports News: "It looks like there is a lot of light at the end of the tunnel, we look like we are in the end-game now.
"From what I'm being told, and I don't know everything by a long chalk, we are very close to being taken over.
"We will wait and see whether that happens, but from my point of view it needs to happen sooner rather than later, because we are getting very, very close to January."
The former Charlton, Crystal Palace and QPR manager insists that he and his players are attempting to remain focused on events on the field.
He added: "At the moment we're suffering from a lack of concentration in both boxes, both offensively and defensively. We've got to keep working hard at it.
"I don't think it's affected us. If it has, it shouldn't do. We've got to remain very positive, and the way to get out of this situation is to put a few results on the table, and that makes everyone feel good around the place.
"What I am absolutely committed to is working hard to make sure we can be as positive around the place, and competitive on the field, as we can be."
|Monday 27th May|
|15:00||Crystal Palace vs Watford|
|Monday 13th May|
|Brighton 0 - 2 Crystal Palace|
|Sunday 12th May|
|Watford 3 - 1 Leicester|
|Friday 10th May|
|Crystal Palace 0 - 0 Brighton|
|Thursday 9th May|
|Leicester 1 - 0 Watford|
|Saturday 4th May|
|Watford 1 - 2 Leeds|
|Huddersfield 2 - 2 Barnsley|
|Derby 1 - 0 Millwall|
|Burnley 2 - 0 Ipswich|
|Charlton 4 - 1 Bristol City|
|Crystal Palace 3 - 2 Peterborough|
|Sheff Wed 2 - 0 Middlesbrough|
|Brighton 2 - 0 Wolverhampton|
|Nottm Forest 2 - 3 Leicester|
|Hull 2 - 2 Cardiff|
|Birmingham 1 - 1 Blackburn|
|Bolton 2 - 2 Blackpool|
|Tuesday 30th April|
|Millwall 0 - 0 Crystal Palace|
|Saturday 27th April|
|Bristol City 1 - 3 Huddersfield|
|Barnsley 2 - 0 Hull|
|Ipswich 3 - 1 Birmingham|
|4||Brighton and Hove Albion||46||75|
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