The loss of their main sponsor severely impacted the club's finances.
However, as the Prva HNL season progressed, their continued financial difficulties, including missing salary payments to its players, led to it being suspended by the Croatian Football Federation, in spring 2012, for their 23rd and 24th matches.
This triggered a Federation rule that led to Varaždin being suspended from the Prva HNL for the remaining matches of the 2011–12 season.
Under the rules, the club was immediately relegated to the lowest football level possible of the Croatian football league system, being the seventh-tier Third League of Varaždin County, for the 2012–13 season.
Note: Flags indicate national team as defined under FIFA eligibility rules; some limited exceptions apply.