In the FA Cup, the Heathens were knocked out by Lincoln City, losing 2–1 in the Intermediate Round.

The club also entered teams in the Lancashire and Manchester Senior Cups in 1901–02.

They only managed to reach the second round of the Lancashire Cup, before losing 5–0 to Southport Central, but the real success came in the Manchester Cup, in which they beat Bolton Wanderers after a replay in the semi-final, before beating Manchester City 2–1 in the final.

Unable to pay, as they were £2,600 in debt, the club was declared bankrupt.

Two months later, club captain Harry Stafford managed to enlist the help of Manchester brewer John Henry Davies, who, in conjunction with three other local businessmen, invested a total of £2,000 in the club.