AIK entered in the preliminary round and won, 7–1, against IFK Västerås at home in Stockholm on 13 August 1916.[1] On 3 September 1916, AIK played the quarter-final against Helsingborgs IF at home and won, 7–3.[1] In the semi-final on 24 September 1916, AIK won against IFK Göteborg at home, 2–1.[1]
AIK made their sixth appearance in a Svenska Mästerskapet final, having won four and lost one.[2]
Djurgårdens IF entered in the preliminary round, where the team beat Hammarby IF, 7–1, at home in Stockholm on 10 August 1916.[1] In the quarter-final, Djurgården won against IFK Norrköping, 2–1, at home on 3 September 1916.[1] On 24 September 1916, Djurgården reached the final by winning an away-game semi-final against Örgryte IS with 2–0.[1]
Djurgårdens IF were reigning champions by winning the previous final against Örgryte IS and made their eight appearance in a Svenska Mästerskapet final, having won two and lost five.[2]