The football club revealed it had made a loss for the year ended 31^st May 2015 of £829,832, almost double that of 2014’s £445,465 in what director Mark Dixon described as a “challenging” year.

Mr Dixon also revealed in his annual report that Morecambe had been reliant on the support of directors in providing loans to maintain the cash flow of the business.

This came in the form of a £180,000 bridging loan and a £200,000 short-term bridging loan which is still being negotiated between the club and the directors. A decision is expected to be reached by the end of July 2016 with a positive outcome for the club.

Mr Dixon also revealed that negotiations have taken place with Barclays regarding its bank overdraft facility.

Explaining the reasons behind the increased losses at Morecambe, Mr Dixon added: “Unfortunately cup revenues from the Capital One Cup in [2014] were not repeated in the year ended 31^st May 2015.

“Additionally, there was a planned increase in players’ wages in the 2014/15 season financed by the club’s main shareholder, and the cost of terminating certain players’ contracts at the end of the 2015 season have been included in the results for the year ended 31^st May 2015.”

Mr Dixon remained positive that the club could improve its financial situation revealing that it had received a positive response from interested parties after announcing in March this year that Morecambe was up for sale.

Morecambe is also set to benefit from new income streams such as the completion of an office block and a hotel, but this was dependent on new investment in the club. Mr Dixon revealed these income streams would bring the club into profit.

“The directors have a reasonable expectation that the company will have adequate resources to continue in operational existence for the foreseeable future and will continue to adopt the going concern basis in preparing the reports and financial statements.

“The financial statements do not include any adjustments that would result from the going concern basis of preparation being inappropriate.”