Is Barnsley going to be able to come out of administration? Will they be around next year? 5 million pounds isn't a lot of debt for a club like Everton or Sunderland. But the Tykes are now in the 2nd division. Will they recover from this?
Without a doubt. Quite apart from the fact that thus far, the percentage of clubs who've recently gone into administration subsequently going bust is around zero, you have to understand the nature of "administration" in UK bankruptcy law. It's more or less the US equivalent to chapter 11 in the US code, which is really a time the court grants to re-organise your business with protection from creditors while so doing, rather than the start of winding it up altogether. As I understand it Barnsley do have their problems but they are far from terminal and, simply, the administrative period will give them a chance to sort things out and get a fresh start. There are many clubs not presently in administration (who probably soon will be) who are in much worse shape than Barnsley. Lastly, "administration" may make headlines (and bankruptcy may be headline news) but if you're the chairman or a director of a limited company (in the UK), remember that these are simply financial levers that you can pull to help get your business out of trouble. They do NOT signal the end.