Portsmouth are facing a ten-point deduction after the club's advisors confirmed they are seeking to go into administration.
It will be the second time in as many years that the club has gone into administration.
Pompey face a winding-up hearing next week over an unpaid tax bill and have not been able to pay their players and staff for January.
Peter Kubik, of the club's financial advisors UHY Hacker Young, told Press Association Sport: "They are in the process of seeking an administration order - an application to court seeking administration is due to go in any day.
"The club's bank accounts have been frozen due to the winding up hearing and they are finding it very difficult to trade.
"Once the administration order is in place the bank accounts will be made accessible again.
"We are aware that administration carries an automatic 10-point deduction by the Football League."