An offer from football agent Paul Davies has been made for the club, which is currently under consideration, but should the club be saved it will have to start next season in the lowest tier of league football again.
It represents a massive drop for the crisis club, which went into administration in March, and offers promotion lifelines to Airdrie United - who will step up to Division One - and Stranraer, who move up to Division Two.
SFL chief executive David Longmuir said Gretna's administrators had not been able to guarantee the club would be able to fulfil its fixtures.
"We and the SFL had to make sure we protected the integrity of our league,"
"There was no commitment from the administrator that Gretna could fulfil the fixtures at all in the coming season, which means we had to do what we thought was right for our league."
If they don't clean their act soon, they will either be expelled from the football (soccer) league or go out of business.
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