The 42 year old has previously held the top job at Mansfield Town and Ilkeston but has been a free agent since his Stags contract was terminated last year.
Holdsworth says he is determined to change the Imps' fortunes and bring some happiness back to Sincil Bank, "It's a big task and obviously we want to quickly arrest the results and certainly change the mindset of the players. I want to give the people of the club and the city something to cheer about and get a few smiles back on their faces."
The new man replaces Steve Tilson who was sacked by the club recently after a terrible run of form leaving them in the relegation zone.
Holdsworth has been given until the end of the season to improve the club's standing. He discussed his plans in an interview with Lincoln's official website, "Confidence is key and I hope the players can gain that by working hard on the training ground. Plus a change of standards and improvement in certain areas because we've had too many losses and we can't afford to continue in that vein."
"We must make sure the method, aggression and application is taken from the training ground, because the boys will be working very, very hard, to the pitch."
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