The Clarets boss has had to turn to free agents and bargain buys in a bid to build a squad capable of securing Premier League survival.
The Lancashire outfit's biggest outlay this summer was the £1.5million that was shelled out on Lucas Jutkiewicz from Middlesbrough, and Dyche admits that with limited resources, another signing is looking less and less likely.
"It’s a tough challenge still," Dyche told the Burnley Express.
"The club have made it clear there are certain guidelines I have to work within, and that’s part of my role.
"We have to flex our improved financial muscle accordingly but of course, in the Premier League, there is a reality to things.
“We have to build a club and a team."
Henri Lansbury became the latest target to rule himself out of a move by penning a new contract at Nottingham Forest, but despite another setback, Dyche insisted there is no problem between himself and the Clarets' hierarchy.
"We are aligned," Dyche added.
"There’s no point me saying ‘why haven’t I got £25m to spend?’ Because that would be counter-productive.
“I have to believe in the club, and there’s a collective one-club mentality."