United now believe that any hopes they had of convincing Carlo Ancelotti to leave Real Madrid have gone out the window.
And with van Gaal reportedly adamant that he needed to know United's decision one way or another before next Wednesday, it seems the Red Devils have now stepped up their negotiations with the 62-year-old.
Importantly, the issue of Ryan Giggs' ongoing role under van Gaal has still not been resolved, but both parties are thought to remain confident that a solution can be found.
Ed Woodward, the United executive vice-chairman, remains keen for Giggs to be heavily involved while van Gaal is thought to be insisting on bringing in his own staff.
The Dutchman has never, however, ruled out Giggs being involved in some capacity but whether the Welshman would accept a minor role given his rise to prominence as caretaker boss remains to be seen.
Louis van Gaal wants to discuss transfer targets before the World Cup
Woodward is also believed to want to get a clear indication of van Gaal's transfer priorities before he begins a 10-day training camp with domestic-based Dutch players in Hoenderloo next Wednesday.
Van Gaal is thought to be very keen on German trio Toni Kroos, Marco Reus and Mats Hummels.
However, United have also held talks with the representatives of Southampton duo Luke Shaw and Adam Lallana, Sporting Lisbon midfielder William Carvalho and Paris St-Germain forward Edinson Cavani, while they also remain keen on Barcelona midfielder Cesc Fabregas.
It seems unlikely that United - even with a substantial transfer kitty available - will be successful in their pursuit of all those players hence the need to talk with van Gaal about his preferences for next season.
So it seems that United's search for a successor to David Moyes could come to an end in the next few days less than two weeks after the Scot was removed from his post.
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