Amanda Staveley is closing in on a deal to buy Newcastle United from Mike Ashley for around £300million - but fears over relegation are the final sticking point.

Financier Staveley and PCP Capital Partners are hopeful of reaching an agreement with Ashley and a deal could be inked as soon as next week.

However, Sportsmail can reveal that the team's fortunes on the pitch are holding up the process and Staveley does not want to pay the full price should they drop back in to the Championship. Similarly, Ashley is reluctant to accept a package with a significant relegation clause.

Amanda Staveley's proposed takeover of Newcastle has been held up over relegation fears

Mike Ashley (right) is on the cusp of selling Newcastle to Staveley for £300million

SUPER STAT 10 - Years since Ashley took charge at Newcastle. In that time the club have been relegated from the Premier League twice and have had nine different permanent managers. Advertisement

To try to avoid that eventuality it is understood Newcastle's owner has agreed to fund manager Rafa Benitez's January transfer spending with the proviso that he is reimbursed when the takeover is completed.

While no deal has yet been struck, sources insist the two parties have a good relationship, with Staveley telling friends she respects Ashley's business nous.

Crucially, they both want to strengthen the squad in the new year to give Benitez the best chance of survival. It is thought the Spaniard will have at least £30m to spend and possibly more if a deal can be agreed in the next fortnight, although it would take another month for Premier League checks to be ratified.

Ashley returned from a holiday in the US earlier this week and Sportsmail understands that Michael Murray, his future son-in-law, led negotiations in his absence.

Staveley met Ashley for the first time last week at the sports retail tycoon's favourite curry house in Hampstead, north London.

Staveley does not want to pay the full price if they are relegated from the Premier League

The low-key Paradise restaurant was the setting for talks between the pair and was also attended by newspaper and magazine owner Richard Desmond.

Money for the deal is coming from Staveley's personal fortune, as well as her backers in the Middle East and China. The 44-year-old will be the face of the club if the takeover is successful, taking a hands-on role in day-to-day matters.

It was previously claimed a mystery rival to Staveley was preparing to make a bid of their own, but no offer is thought to have emerged.

As reported by Sportsmail last month, advertising for Ashley's Sports Direct organisation will continue around the club in the short term.

Fans will accept that if it means the club have a new owner after a tumultuous decade under Ashley.