Local businessman Paul Richardson says he and former Barcelona striker Maxi Lopez hope to complete a deal to buy Birmingham within the next three weeks.
The consortium were reportedly competing with former Watford owner Laurence Bassini to purchase the Blues from current owners Birmingham Sport Holdings (BSHL).
They have now been granted exclusivity.
An application has been submitted to the EFL for the prospective new owners to undertake the league's owners' and directors' test, while Lopez and Richardson are at St Andrew's on Tuesday to begin due diligence.
Speaking to Sky Sports, Richardson - who describes himself as a "lifelong Birmingham fan" - said: "We exchanged contracts on Saturday after many months.
''We paid our deposit on Monday and now we're in today to start our work to find out how the club works - our due diligence.
"We'll then wait for EFL approval, which could take a couple, three weeks maybe, and then we go to completion.
"We know exactly what we've got to do. It's a project that's for sure, but for us it's going to be worth it, and for the fans.
"We've got to get some solid foundations in first and then start to build on it, '' he added.
Birmingham's first match of the new season is at Luton on Saturday July 30 and Richardson said it is possible for the takeover to be completed before then - with the caveat that "it's all dependent on the EFL".
Lopez also told Sky Sports: "It's a happy day for us and all the Blues fans.
"It's our money. I was working for this for almost one year.
"I think it's a huge project. There is too much potential in this team.
''When we spoke about this project with Paul, we believed we could do big work in the city, for our fans and for the team," Lopez concluded.
Lopez enjoyed a playing career that took him to five different countries, but he has no experience in English football.
The 38-year-old started out in his native Argentina with River Plate before moving to Barcelona in 2005. He failed to find the net for the Spanish giants and was sent on loan to Real Mallorca before joining now-defunct Russian club FC Moscow.
Lopez then returned to South America with Brazilian club Gremio before settling in Italy in 2010. He spent the rest of his playing days there, turning out for the likes of AC Milan and Sampdoria, before ending his career last year with lower-league side Sambenedettese.
At international level he was capped by Argentina at U17 and U20 level but never progressed to the senior side.
Richardson was an executive at sportswear brand Gymshark and now owns fashion label Hera.
How to watch Championship live on Sky
Alongside featured games being shown live on Sky Sports Football, selected games will be available live for Sky Sports customers on the Sky Sports Football Red Button.
Sky Sports Football customers can also see each match streamed live on the Sky Sports app - simply sign in with your Sky iD to view and make sure you have the latest version of the app.
For Sky Q customers, the matches on the Red Button will be available in HD quality and the service comes at no extra cost. All games, including those on the Red Button, will also have their own commentators.
Midweek matches are also available to NOW Month members. However, they are not available with a NOW Day pass or in Sky pubs.
Please note: We can only show rescheduled, displaced midweek games or games taking place away from Saturday at 3pm that are not part of a regular midweek round on the Red Button where respective clubs stream them on their iFollow app.
Here are the fixtures currently confirmed to be shown live on Sky Sports Football, Sky Sports Football Red Button and the Sky Sports app. Red Button coverage gets under way five minutes before kick-off.
Friday July 29
Huddersfield Town vs Burnley, 8pm - Live on Sky Sports Football & Sky Sports app
Saturday July 30
Middlesbrough vs West Bromwich Albion, 5.30pm - Live on Sky Sports Football & Sky Sports app
Sunday July 31
Sunderland vs Coventry City, 12pm - Live on Sky Sports Football & Sky Sports app
Monday August 1
Watford vs Sheffield United, 8pm - Live on Sky Sports Football & Sky Sports app
Saturday August 6
Norwich City vs Wigan Athletic, 12.30pm - Live on Sky Sports Football & Sky Sports app
Monday August 8
West Bromwich Albion vs Watford, 8pm - Live on Sky Sports Football & Sky Sports app
Friday August 12
Watford vs Burnley, 8pm - Live on Sky Sports Football & Sky Sports app
Saturday August 13
Cardiff vs Birmingham, 12.30pm - Live on Sky Sports Football & Sky Sports app
Tuesday August 16
QPR vs Blackpool, 8pm - Live on Sky Sports Football & Sky Sports app
Wednesday August 17
Sheffield United vs Sunderland, 8pm - Live on Sky Sports Football & Sky Sports app
Friday August 19
Norwich vs Millwall, 8pm - Live on Sky Sports Football & Sky Sports app
Sunday August 21
Bristol City vs Cardiff, 12pm - Live on Sky Sports Football & Sky Sports app
Friday August 26
Luton vs Sheffield United, 8pm - Live on Sky Sports Football & Sky Sports app
Saturday August 27
Sunderland vs Norwich, 12.30pm - Live on Sky Sports Football & Sky Sports app
Tuesday August 30
Watford v Middlesbrough, 8pm - Live on Sky Sports Football & Sky Sports app
Wednesday August 31
Blackpool vs Blackburn, 8pm Live on Sky Sports Football & Sky Sports app