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Explained: The reasons behind Aston Villa's financial crisis

Yahoo Sport UK
Aston Villa have avoided the imminent threat of administration under Dr Tony Xia but their future is uncertain
Aston Villa have avoided the imminent threat of administration under Dr Tony Xia but their future is uncertain

Aston Villa’s future has been plunged into doubt after they missed a tax payment with the club needing to find £40million to comply with Financial Fair Play rules.

Here, Yahoo Sport looks at the questions surrounding the club’s problems.

Why are Villa in trouble?

The club need to find £40million to comply with Financial Fair Play rules after failing to return to the Premier League.

A missed tax payment, of around £4million, was a flashpoint which has opened the floodgates to lay bare the problems at the club.

Bottom line, the club have lived beyond the means of a Sky Bet Championship club for the last two seasons and, now they have one last parachute payment of £15million coming up, they need to cut costs.

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What can they do about it?

Cut costs and sell assets. The club are looking into ways to raise money with reports they are prepared to sell land close to Villa Park which acts as a matchday car park.

The immediate issue with HMRC has been resolved and the £4million will be paid but they still need cash long term.

Players on big money are likely to leave with John Terry already confirming he will not renew his contract while they may cash in on James Chester and Jonathan Kodjia.

Is administration possible?

It remains a possibility as the club needs to find long-term funding.

But the club are confident they can avoid administration and move forward after the scare of the missed tax payment.

It is not an immediate concern for Villa but it cannot be ruled out in the future.

Will Tony Xia sell the club?

The owner, who bought Villa for £76million two years ago, wants to keep the club but it may become too difficult.

There are at least three parties interested in buying Villa but Xia’s preferred option is to stay.

Question marks remain over how much cash Xia has to finance the club though.

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Will star player Jack Grealish be sold?

Villa need cash, that much is obvious, and Grealish represents the best chance to raise money quickly via player sales.

He is valued at over £30million and the club are determined not to be taken advantage of and sell on the cheap with West Ham, Manchester United and Leicester linked.

There is a small possibility the 22-year-old, who wants one more season at Villa, could stay but the likely scenario is that he will leave for big money.

What has happened to Keith Wyness?

The club have suspended the chief executive amid reports he has fallen out with Xia.

It has nothing to do with Viila’s missed tax payment but is likely to revolve around the direction and finances of the club.

Wyness joined the club when Xia bought Villa and has been running the club on a day-to-day basis but Xia is now acting chief executive as well as chairman.