Erik Moeller wrote:
Jimmy-
  
In my opinion, we are going to need another $100,000 of equipment by
the end of the year, *and* we can *easily* raise that from donations
from the general public.
    
Yes. A $100K fundraising drive makes sense, but at least *some* content  
should be up - at least the squids serving pages in offline mode. That's  
because many of our visitors come from Google, and if fundraising is the  
first thing they see - and no content - they will be turned away.

We should also have realtime updates of funds coming in, this can  
dramatically increase participation. This isn't that hard to do as PayPal  
provides an interface for it:
https://www.paypal.com/en/cgi-bin/webscr?cmd=p/xcl/rec/ipn-intro

Lastly, I think hardware alone is not enough. We need a fulltime  
professional systems administrator with direct access to the machines.  
Within a $100K budget that is certainly viable. If Brion wants a new job,  
I'd say he should be immediately offered this opportunity.
Since we haven't decided yet what hardware we need, or studied how much it will cost, we don't know how accurate the $100,000 figure is. However, I'm inclined to take Jimbo's estimate as applying to hardware costs alone, not possible employee salaries. Given the growth in our traffic, and the fact that our equipment is not yet adequate to handle crisis situations, I think we have a lot to do just on the hardware front.

I don't mean to dispute that we are close to the point where paid employees are necessary, and I agree that Brion is one of the first people we should consider in that regard, if he's interested. (By the way, Brion, I'm sorry I don't know how to say this in Esperanto, but thanks for your efforts in getting the site back up, and you've certainly earned having a day in your honor.)

However, in terms of financial planning, employee salaries are a separate consideration from hardware, and not something we can address through periodic fundraising drives. Salaries are an ongoing cost, and in order to have employees we need to develop a revenue stream that can support these costs. The revenue can be from general public donations or some other source (grants?), but it must be reasonably reliable. Right now, regular donation levels (outside of specific fundraising efforts) are not even enough to support the cost of having one employee, even a part-time one. People will be a lot more critical of our financial management skills if we're asking for money "so we can make payroll".

In many businesses and organizations, employee salaries and benefits are the single biggest expense, sometimes more than all other costs put together. That may not ever be the case here, since we have the efforts of so many fine volunteers. But if we are going to start hiring employees, we need to have a good idea that we can pay them on a continuing basis. Ideally, Larry Sanger should be the last person this project has to lay off for financial reasons.

--Michael Snow