Tents had already been erected in preparation for the festival
A music festival in East Sussex which was due to take place this bank holiday weekend has been cancelled.
The four-day Beachdown Festival, near Devils Dyke on the South Downs, was due to feature The Zutons and Grace Jones.
A statement on its website blamed the economic climate, slow ticket sales and a "lack of support at a critical time from our bank".
Fans are being told to contact the agencies from where they bought tickets for information about refunds.
Festival organisers said they were "desperately sorry" to all those who had been planning to attend the event.
'Every avenue explored'
"We are personally shattered, especially after 11 months of battling against the recession to try and put this event on and coming so close," the statement said.
"We also wish to advise everyone that we explored every possible avenue to finance the event including re-mortgaging our houses to combat the unwillingness of banks to support us.
"We will do everything in our power to give the best information that we can via the website and via email but we ask that people understand that we will also be inundated with inquiries but we will endeavour to communicate to everyone as best we can."
Sussex Police said the site had been de-rigged and closed and urged anyone with tickets - which cost almost £100 - to stay away.
Ch Insp Chris Ball, from Sussex Police, added: "We cannot stress more vigorously that there is nothing at the site either to see or to meet the needs of visitors.
"Anyone who does come along will be turned away by police, so we urge you not to travel."
Last year, 10,000 people attended the first Beachdown Festival on private farmland near Devil's Dyke.
This year it had promised three stages, nine bars, a theatre and dance tent, films and plays.