Debts of almost £8 million were written off after brothers Christoffer and Alexander Reedtz took over Notts County, it has emerged.
But fans have been warned the Meadow Lane club continues to be "loss making" in its latest set of financial accounts.
The documents, which were due in April, have now been released through Companies House and they detail the concerning position The Magpies found themselves in prior to the summer buy-out.
The Magpies' previous owner Alan Hardy had used his firm Paragon Leisure to buy Notts in 2017.
But the money used, more than £7 million, was still owed to his failed fit-out firm Paragon Interiors when it collapsed into administration earlier this year.
According to the accounts, Notts County had debts of more than £8.3 million as of June 30, 2018, which was up from £6.5 million fin 2017.
However, the accounts confirm that following the Reddtz's takeover in July, "£7,889,329 in other debts owed by the company were written off".
The document adds: "At the date of acquisition the new owners settled certain statutory and third party liabilities and a number of historic intercompany loans were waived."
As part of the sale of the club to Reedtz Limited, a £3.5 million loan was made to the club, although it is not made clear who this is owed to.
Despite the buyout, the accounts do suggest re-building is still needed behind the scenes at Meadow Lane.
A statement adds: "The company continues to be loss making and is reliant on the ongoing support of its ultimate parent company, Reedtz Limited.
"The directors of Reedtz Limited have confirmed that it is their intention to provide ongoing support to the company to ensure the company can meet its liabilities as they fall due for a period of at least 12 months from the date of signing the financial statements."
Reedtz Limited owners Christoffer and Alexander are the founders of Football Radar, a football data analytics company specialising in predicting the outcome of matches and compeititons.
In an exclusive interview with Nottinghamshire Live earlier this week, Alexander described the lead up to the takeover of Notts as "hectic".
He added: "There were lots of due diligence being carried out, but we knew we didn’t have much time."
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