The club is likely to be given a winding-up petition in the High Court in London on Wednesday over an unpaid tax bill of £600,000.
Wednesday is understood to be talks with three potential buyers, and a takeover would stave off administration, however the club's main creditor, the Co-operative Bank, may now decide to place the club into administration in order to secure the £23 million it is owed.
"We have a number of people who want to invest in the club, but the problem is that chairman Howard Wilkinson and chief executive Nick Parker and not in control of its destiny and are relying on the Co-op bank to do the right thing," a club source told the BBC.
According to the BBC, Leicester City chairman Milan Mandaric is involved with one of the three potential bids.
