Liverpool F.C. was founded after an internal dispute among the Everton F.C. committee and brewer John Houlding, the leaseholder of the Anfield ground and president of Everton F.C.The Everton committee viewed Tory councillor Houlding as having a personal financial, political agenda and a conflict on the business model of how the club was run. Relations were cold once the Everton committee saw Houldings intentions and moves.Anfield was owned by Houlding one year after Everton moved in. Houlding bought the land from landowner Orrell. Everton initially made a donation to a local hospital in lieu of rent. After one year they were paying rent to their own president. Mr Orrell owned the adjacent land. Houlding had sole lucrative selling rights on all refreshments at the ground.
The largely Methodist based politically Liberal leaning Everton F.C. committee were uneasy with this, especially the potential selling of alcohol. This would take revenue away from the club. Houlding also increased the rent from £100 to £250 per year, after Everton came 2nd in the second Football League season, 1890. Everton offered a compromise of £180. An international match was hosted, England vs. Ireland indicating the quality of Anfield at the time. The rent was not a major issue as the club's profits were substantial. However, from paying a small contribution to a local hospital, Everton five years later was paying £250, a substantial sum in those days.After all the event came when Orrell wanted to legally run a road through the new main stand to access his land. This entailed Everton buying Anfield and Orrell's land or renting both. Everton members accused Houlding of knowing of the legal right of way and allowing the new stand to be built. If renting Everton would be dealing with two different landlords. Orrell's land Everton F.C. did not need, but being forced to rent or buy it. The Everton committee was been wanting Houlding to negotiate on the combined Anfield and Orrell's land rent of £370 or the purchase of both. Houdling and Orrell said the £370 was non-negotiable. Houlding stood to make a killing on selling Anfield to Everton, if the club bought his land. Houlding did not negotiate with Everton who moved to Goodison Park on the north side of Stanley Park, after Houlding attempted to hijack the club undiplomatically serving a notice to quit to force their hand.
The original name of Liverpool F.C. was to be Everton F.C. and Athletic Grounds, Ltd., or Everton Athletic for short, adopting blue. The name was registered on 15 March 1892 while Everton was still occupying and playing at Anfield in an attempt by Houdling to hijack the club. Houlding wanted to take over Everton's fixtures and position in the Football League. However the club name was changed to Liverpool F.C., after protests from Liverpool R.F.C., when the Football Council refused to recognize the team as Everton. The company changed the name from Everton F.C. and Athletic Grounds Ltd to Liverpool F.C. and Athletic Grounds Ltd in June 1892.The root of the dispute was fundamental differences of ownership. Houlding wanted ownership to be within a small group of people, giving annual returns. The Everton Committee wanted a large spread of ownership, via shares, as it was viewed as a community club. On moving to Goodison Park Everton issued 5,000 shares for fans. The directors owned 6% of the club. Liverpool F.C. stayed largely owned by a few people in the corporate model with the directors owning 52% of the club, and has remained so throughout its history. Everton played its last home match at Anfield on 18 April 1892 vs. Bolton Wanderers F.C.
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