An appeal has been launched to raise �500,000 to prevent a football league club sliding into bankruptcy.

Northampton Town Football Club, hit by the collapse of ITV Digital - which owed the club �500,000 - is appealing to its fans and local businesses to help fend off a budget shortfall.

Gareth Willsher, a spokesman for the club, said if the money is not raised by 31 January 2003 the club could go into administration or even eventual bankruptcy.

He said the appeal, which started on Thursday, has already managed to raise �100,000 from donations from the board of directors.

'Stay afloat'

Barry Stonhill, chairman of the 105-year-old Division 2 team, says on the club website that the club needs the money to "stay afloat".

"We will appeal to all companies, both big and small for their assistance," he says.

"We will appeal to individuals to galvanise support.

"A united effort could see the Cobblers not only survive this difficult period, but prosper in the future."

The club will also undertake a �50,000 cost cutting exercise.