The Rossoneri legend believes Silvio Berlusconi must be prepared to loosen the purse strings if the club are to keep pace with Juventus, Napoli and Roma at the top of Serie A
Gennaro Gattuso has urged AC Milan to invest heavily in the squad in order to establish themselves among Serie A's elite once more.
Massimiliano Allegri's side have won just three league games this season and sit 11th in Serie A following a 2-0 defeat to Fiorentina on Saturday.
Gattuso, who spent 13 years at San Siro, claims the club have been held back by president Silvio Berlusconi's recent reticence to sanction heavy spending and insists this must change if the club is to catch up with Juventus, Napoli and Roma.
"You have to spend a lot of money to build strong sides," he told Che Tempo Che Fa.
"This is a moment in time where little investment is being made, the opposite from what president Silvio Berlusconi has done throughout his reign.
"Today, Roma, Napoli and Juventus have something more than Milan because they have spent a lot on new players."
Milan's next match sees them face Spanish champions Barcelona at Camp Nou in Group H of the Champions League on Wednesday.