The Spaniard was given the boot for the second time at the club after their 2-1 defeat against Southampton on Saturday – and Watford are considering a British or Irish boss to take over his role.
A firm favourite to replace Sanchez Flores is former Brighton manager Chris Hughton while Paul Clement, who has managed Derby, Swansea and Reading, could also be offered the job.
According to the Daily Mail, Watford's players would prefer the club chiefs to pick a British boss as their next man in charge, despite the fact that nine of their last 10 appointments have been foreign coaches.
However, Watford only have a limited number of options as they would rather appoint a coach that is currently out of work to avoid paying compensations to clubs to replace Sanchez Flores.
Sanchez Flores took charge as Watford boss for the 2015/16 season before being sacked at the end of that campaign, and was reappointed as their manager in September this year, replacing Javi Garcia who was dismissed the same day.
“I am just sad because if I can't help the team. I am sad for that, I am sad for the fans, I am sad for the players, for the owner and the future of the club, of course” he said via the Guardian after his final game with the Hornets.
“This is the way I choose. I can't regret for that. When they came to my house to say 'you can help us', if I stay in my comfort zone, it's not me. The worst thing for a coach is when you can't feel that you have the full control of the situation and when the team is at the bottom you don't.”
Watford only managed to win one game under Sanchez Flores and currently sit bottom of the Premier League table, three points behind Norwich City and six points off safety.