Looking back at the 1896–97 season, the Sports Argus' editorial expressed disappointment with the team's performance and dissatisfaction with the running of the club.

At the start of the season, they had "confidently looked forward" to Small Heath reaching the test match positions, even if they proved unsuccessful therein.

[1] The club made a loss of £369 on the year, which the Dart suggested was due less to the effects of bad weather, as claimed in the annual report, than to a "penny wise and pound foolish" approach to the signing of players which they hoped would not be repeated in the season to come.

[4] The Dart's initial opinion was that the standard of replacement for Hodgetts, Jones and Farnall – "two or three players who have done well with local clubs have been signed up, and a smart left-wing forward in Kirton, of Lincoln City, has also been secured" – but as the directors preferred to spend their money on ground improvements, in the shape of the purchase of Aston Villa's old stands from the Perry Barr ground, rather than on "stars", these would be inadequate to return the club to the First Division.

[6] Furthermore, "the Small Heath ground presents quite an imposing appearance now that it is adorned with the old Perry Barr grand stand, and as there is now plenty of covered accommodation for spectators the 'gates' should materially increase",[6] and, as was pointed out later in the season, facilities for representatives of the press had also been improved.

[8] Small Heath prepared for the new season with a friendly match at Coventry Road against a Burton Wanderers team made up largely of local youngsters.

In front of only a couple of hundred spectators in "pelting" rain, Walter Abbott, Charlie Hare, and Wilson Lewis scored in a 3–1 win.

[12] The Leicester Chronicle felt that the Heathens' first goal "ought never to have been allowed in consequence of unfair charging", that there was nothing wrong with Smith's disallowed header, and that "Small Heath got the better of each decision".

[19] Walton's second-half equaliser from a corner earned Small Heath a draw at Darwen, where the Owl suggested they needed "a little more dash and go in front of goal".

"[22] The visit to Blackpool, who before the game had won only once this season, produced a first defeat,[23] and an unexpectedly heavy one, for Small Heath, who showed "neither dash nor combination" as Hare scored their only goal in reply to the home side's four.

[24] Without both Hare and Inglis for the opening round of the Staffordshire Senior Cup, Small Heath nevertheless beat a full Wolverhampton Wanderers first team by three goals to two, Wilson Lewis scoring twice.

Soon after the interval, Lewis "whizzed" a second goal into the net, and Abbott hit the post, before Bob Donaldson's apparent equaliser was disallowed, again for offside.

[29] Off the field, the club announced that the local schools league were to be allowed to play matches at the Coventry Road ground before their own fixtures.

[30] As expected, Small Heath beat Loughborough, but "a much more decisive defeat was anticipated" by the Leicester Chronicle than Abbott's single first-half goal.

Loughborough's goalkeeper, Albert Mumford, produced a "grand exhibition",[31] In the second half, Small Heath "did the bulk of the pressing", but their shooting was "of indifferent character".

[32] Away to Grimsby Town, Small Heath's passing style was hindered by the greasy surface, and the home team took a three-goal lead before losing a player to injury.

[40] The Manchester Guardian suggested that in the second half of a game "brimful of excitement", Small Heath "played in a manner richly deserving success", but lost by a single goal.

[44] Although Small Heath led twice, first through Alec Leake and early in the second half via a Walter Abbott goal,[45] the Owl thought them fortunate to secure a draw against a "smart, but rather rough" Burnley side "altogether superior in both attack and defence" who "fairly revelled in the mud".

[59] "Not much interest was manifest" in a 3–0 friendly defeat at home to Aston Villa,[60] and the Owl suggested that both clubs having nothing left to play for, their respective committees "would, doubtless, be glad to put the shutters up at once, for ... their supporters are more likely to seek excitement at a fishing match than on the football field.

They soon opened the scoring, James Higgins reacting to a shot parried by the goalkeeper, but by half time the home team had regained the lead.

Clutterbuck, back in goal after two games out, got a hand to Billy Meredith's shot but failed to stop it, Abbott equalised, then Stockport Smith converted a penalty awarded for handball.

[73] Apart from Jack Kirton, who also joined Swindon,[74] and Charlie Hare, who left the club for Watford of the Southern League, having "secured a business engagement" in that town,[75] the remaining players signed on again for the new season.

Great things were expected of Bob McRoberts, the pacy and skilful Gainsborough Trinity centre forward for whom Small Heath paid a £150 transfer fee.