Dundee were given a 50% chance of survival by administrator Bryan Jackson after he made nine players and management team Gordon Chisholm and Billy Dodds redundant.
Jackson warned that the club only had enough funds to operate until Christmas and would fold unless more investment was found.
He said: "This club is facing the most difficult fight of its life. The club only has sufficient funds to last until Christmas at the latest and has debts of £2million.We must get money in before Christmas. If I had to guess, I would say there's a 50-50 chance of survival."
Jackson, of PKF, revealed the club's debt was around £2million, of which £420,000 is owed to Her Majesty's Revenue and Customs.
Barry Smith will take charge of Saturday's Irn-Bru First Division clash against Stirling, assisted by goalkeeper Rab Douglas and coach Matt Lockwood.
But Smith has just 11 permanent senior players available after Jackson was forced to make major cuts to the wage bill following his appointment on Thursday night.
Paul McHale, Eric Paton, Mickael Antoine-Curier, Colin McMenamin, Scott Fox, Dominic Shimmin, Charlie Grant, Brian Kerr and Njazi Kuqi were all instantly released from the playing staff.
Coach John Holt is also out of a job along with kitman Neil Cosgrove.
Dundee went into administration in November 2003 but Jackson warned that the current predicament would be more difficult to escape from.
Copyright (c) PA Sport 2009, All Rights Reserved.