Carlo Ancelotti wants assurances about the investment available at Everton before agreeing to become the club's next manager, sources have told ESPN.
Ancelotti has arrived in London to hold talks with Everton, and sources close to the former Milan and Chelsea boss have told ESPN that the first conversations between the two parties have been positive.
Ancelotti planned to take a break until the summer before deciding his next step after Napoli decided to sack him last week -- three hours after he guided them into the Champions League knockout stages with a 4-0 victory over Genk.
The former Chelsea and Napoli boss has been in Rome over the last few days and was expected to travel to Canada in the coming days for the Christmas holidays.
However, Everton have asked him to change his plans and travel to the UK to listen to their proposal with hopes they can convince him to take over after being identified as the No. 1 target to replace Marco Silva.
Everton are ready to offer Ancelotti a lucrative and long-term deal but sources have told ESPN that the Italian wants promises that he will be working with a winning project, and wants to know the plans of the club ahead of the upcoming transfer windows before making a decision.
The former Napoli boss believes that Everton need to invest money in the squad to build a winning project, and sources have told ESPN negotiations are not expected to drag on for much longer.
Ancelotti has won three Champions League titles in a glittering career which has seen him manage AC Milan, Chelsea, Paris Saint-Germain, Real Madrid and Bayern Munich.
Everton confirmed caretaker boss Duncan Ferguson will lead the team in their Carabao Cup quarterfinal at Goodison Park on Wednesday.
Ferguson has secured a 3-1 win over Chelsea and a 1-1 draw against Manchester United in his two games in charge.