Watford have been lent another £1m by chairman Jimmy Russo but only have enough cash to last until Christmas without more funding.
Watford look set to be unchanged at Crystal Palace with Ross Jenkins and Jay DeMerit still out through injury.
Adrian Mariappa is enjoying his extended role as stand-in Watford skipper ahead of another match as captain at Crystal Palace.
Colchester manager Aidy Boothroyd hopes John-Joe O'Toole will stay at the club permanently rather than return to Watford.
Striker Danny Graham is looking for Watford to 'creep up' on the Championship's bigger clubs and snatch a play-off place this season.
Watford keeper Richard Lee continues to be sidelined with a knee problem ahead of the clash with Scunthorpe.
Watford have extended the loan of Manchester United midfielder Tom Cleverley until the end of the season.
Tottenham are reportedly eyeing a January move to sign Watford goalkeeper Scott Loach as a replacement for Carlo Cudicini.
On-loan Arsenal midfielder Henri Lansbury has revealed he would be happy to extend his Watford career beyond the New Year.
Barnet winger Albert Adomah claims he is not letting speculation linking him to the likes of Watford affect his performances.
Chairman Jimmy Russo says Watford boss Malky Mackay will not have to sell his best players to help ease their financial problems.
Manchester United winger Tom Cleverley has revealed he wants to extend his loan spell at Championship side Watford.
Watford could step up their interest in Barnet winger Albert Adomah after he rejected a new three-year deal.
Watford's highly rated full-back Lee Hodson has put pen to paper on a new three-year contract after breaking into the first team.
Watford chairman Jimmy Russo has admitted the Hornets must sell players regularly to stay afloat but praised manager Malky Mackay.
Malky Mackay hailed his Watford side for they way they bounced back from a five-goal mauling at West Brom to defeat Preston 2-0.
Heidar Helguson is in contention to make his first start since rejoining Watford against Preston but Ross Jenkins is out.
Watford have confirmed Porstmouth have paid the first instalment of Tommy Smith's transfer fee but they are keeping tabs on Pompey.
Malky Mackay believes its only a matter of time before Danny Graham is back amongst the goals and has backed the striker's work rate.
Ross Wallace is confident Preston North End can end a run of home draws by picking up maximum points at Watford on Saturday.
Malky Mackay is backing his Watford team to bounce back from their 5-0 drubbing to West Brom - the club's biggest for almost 9 years.
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