CHAIRMAN Eddie Mitchell insists Cherries are closing in on a debt free existence after moving to complete the club’s liquidation payments.

Mitchell confirmed that a cheque was sent to Gerald Krasner on Friday for the last of Cherries’ instalments to creditors of the old company, as part of a liquidation agreement that is often incorrectly referred to as a CVA.

He said the club had the necessary funds in place to cover the payment and that it was a “done deal”.

Mitchell revealed he was now working towards mopping up other outstanding liabilities, including backdated rent to landlords Structadene.

The Dean Court chief insisted the liquidation payment was a “big milestone” for Cherries and told the Echo: “It was a long way off getting cleared (when we took over) so we’re very pleased we’ve been able to do it in just over a year.

“It’s something I wasn’t personally connected with at all and it’s just nice to be able to get nearer to the club trading on a fair wicket without anything dragging it backwards.

“There’s still a few other things to overcome but it’s just one of them – and it’s quite a major one.

“I think it’s good news for the club and it will be nice for supporters to know we’re still making progress in the right direction.

“We’re longing for the day that we can actually say we’re debt free and I don’t think it’s that far away.

“I think the board’s dedication to go in one direction together, not split and arguing, is a key factor, along with the success we’ve had with the promotion and the fans’ loyalty.

“It’s all starting to trickle in the right direction.”

Asked what issues were next on the agenda, he added: “We want to address the backdated rent we owe – that’s the next major one to address.

“It’s fantastic that we’ve had a landlord that’s been patient with us for this length of time.

“That is the next goal, along with keeping ourselves ahead of the tax and VAT and everything else which comes with running the club.”

Once the final liquidation payment clears, Cherries will have paid the £500,000 they were instructed to give to unsecured creditors as one of the conditions for the club coming out of administration in August 2008.

It was one of the principle terms outlined in a formal agreement offering the club the return of its right to retain membership to the Football League.

Krasner, who oversaw the club’s administration between February 2008 and August 2008, is supervisor of the liquidation in his capacity as administrator.

He confirmed he had received a cheque for the final balance and added: “It’s the final instalment due to the liquidators under the arrangement when the football share was transferred.”