Sinisa Mihajlovic will need to hold talks with his former team Bologna before putting his name forward for the Rangers job, according to reports in Italy.
The Serbian was sacked by the Serie A side in September after two and a half years in charge but he is effectively on gardening leave, with Bologna having yet to pay off the remainder of his contract.
It is believed that Mihajlovic is owed around €1m (£870,000) and a settlement will have to be negotiated ahead of being appointed successor to Giovanni van Bronckhorst.
The 53-year-old is among the frontrunners for the hot seat at Ibrox, along with QPR boss Michael Beale and former Burnley head coach Sean Dyche.
A couple of leftfield candidates, both coincidentally Italian, have also been mentioned over the past day or so. Walter Zenga (who last managed Cagliari in 2020), and current Alanyaspor boss Francesco Farioli have thrown their hat into the ring, although it is questionable whether either manager will be seriously considered for the post.