Gulf Finance House Capital were unable to complete a deal to sell the club to Massimo Cellino, who failed to pass the Football League's owners' test after being found guilty of tax evasion in Italy last week.
Bates, who sold Leeds to GFH in December 2012, believes that any solution would be better than the current situation the club is in.
"[GFH] claim to be a multi-million-pound bank, so why did my wife have to lend them £1m this time last year to pay wages? And why are they scrabbling around today to pay the wages tomorrow. It's hand-to-mouth all the time," the 82-year-old told Radio Yorkshire.
"I'd like to see GFH out the way. Somebody, anybody, who takes it over must be better than them."
Cellino has confirmed that he will appeal against the Football League's decision.