Truro City have staved off the threat of closure after settling an unpaid tax bill with Her Majesty's Revenue and Customs.
The White Tigers, who play in Blue Square Bet South, were due to face a winding up order next monday over an unpaid bill, in the region of £100,000.
If the debt had not been paid it is likely that Truro would have faced liquidation.
This also leaves the club free to apply to have a transfer embargo, which was placed on the club during their financial plight, lifted to enable manager Lee Hodges to strengthen his squad.
