Monifieth’s Medieval Fair will go ahead this year but organisers have admitted problems fundraising have made its long-term future unsustainable.
The show has taken place in the town since the 1990s and attempts are being made to raise £3,000 to cover costs.
However, an online Crowdfunder site has only raised £290 as of Monday.
Derek Uchman, one of the show’s organisers, said: “The fair will still go ahead, but it may be reduced in some ways in future.
“There is still some time to go for money to be raised, but at this rate we are going to have to go into the reserves.
“There is a lot to pay for, such as stalls, generators and some of the acts. It costs about £3,000 to put everything on.
“We are determined to keep it a free event, but that means the money to put it on has to come from somewhere.
“We have some cash reserves put away that it looks like we’re going to have to dip into. While that means it’s safe this year, it’s a situation which is unsustainable.
“But nevertheless, we are going to try and make up the shortfall to make it a great year.
“We are planning a few new acts to try and freshen things up so hopefully it being different from previous years will help.”
One of the new acts will be violinist and songwriter Laura McGhee.
The Monifieth-born musician made a name for herself after playing with The Pogues, Echo and the Bunnymen and Pete Seeger, among others.
After a spell in Nashville, she has moved back to her Angus homeland and is expected to play two sets of songs at the event.
The show also includes a mixture of battle reenactments, local performers, stalls and games.
The fair moved from its original home in the town centre to the waterfront four years ago, which Mr Uchman said allowed the show to expand and put on more attractions.
This year’s show will take place on Sunday August 12.
