Orb Collective Updated Q2 Budget Forecast - 5/12/23

Service Providers Orb Collective
1

As requested by the community, please find below an updated version of Orb’s forecast for Q2 2023 reflecting the May departures of 3 full-time contributors: Elissa (Ops), Meghan (Marketing), Megan (Marketing) and 1 part-time contributor: Chun-Li (Marketing).

Notes about the updated report:

  1. In this update we’ve also provided a monthly breakdown to increase visibility of how costs change from month to month with the recent terminations.

  2. In addition to removing originally expected costs for terminated team members that occurred in May, we are also voiding an April invoice for BAL 7,334 which is a retainer fee to our ecosystem legal counsel for April- July 2023 and are reissuing the April USDC invoice to include the equivant in USDC ($41,070).

  3. The above mentioned payment increased our April spending from the previously forecasted $210,718 to $251,832. That, in addition to a rise in forecasted accounting and tax needs (+$5,844/mo avg for May/June) to fulfill community requests and plan for a potential rushed exit, tamps down our overall savings from a quarterly perspective. Still, April spend came out $55,846 less than our approved budget and our forecasted spend for Q2 is $430,778 (45%) below approved budget. Our monthly breakdown shows monthly spend dropping from $250,365 in April to $119,334 in June.

  4. We are in the process of gathering all expected costs associated with the wind-down and potential dissolution of the company, some of which are currently unknown. It’s been 4 days since the possibility of Orb’s funding being cut off early came about. Furthermore, it’s not yet clear what the best decision will be for the ecosystem pertaining to the handling of the Orb Collective Inc. entity, which will have a legal and tax impact on other ecosystem entities. This continues to develop each day and remains totally unclear as long as Orb’s SP status is in the air. With all of that said, wind-down/entity transfer/dissolution costs are not included in this forecast and can be provided to the community perhaps in our July forecast or a future updated version of this forecast, after this process has been properly investigated and the ecosystem council has decided on a course of action.

  5. To bridge the gap between Orb’s policy of contributor privacy and the desire of community members to verify our reports, a more expansive and granular version of this report has also been shared with @Tristan345 from the OpCo for review.

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2

Thanks for the breakdown

Can you please give clarification on following points as I didn’t fully understand them:

  • Is the on-site budget still needed? Does this cover costs from our April on-site?
  • there is a bullet for a legal funding that has been stopped. Has this been funded before? If yes, where is that allocation now?
  • more than $30k a month for Ops is high for a headcount of 2 incl. legal. Do you still need to work full capacity on the wind-down? There is not that much to do apart from closing books as teams mostly reorganize themselves??
  • why do we still need some marketing budget? Is there some protection against dismissal in place or payment for salaries until EOM?

All in all these expenses are rather hard to follow and dissect but thanks a lot for providing a more transparent picture so we finally see the true amount of costs, especially the overhead in Ops to run this entity.

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