[Foundation-l] Fundraising and site notice

[Anthony]

On 1/9/07, Anthere <Anthere9 at yahoo.com> wrote:
> Anthony wrote:
>
> >>The problem is that the underfunding of the foundation is consistently
> >>belittled.
> >
> >
> > As of the last audited financial report, the foundation was quite
> > overfunded, not underfunded.  If it is now underfunded, that is a new
> > thing.
>
> Beg your pardon ?
>
> Financial statements go from june to june. So, "new" is at least 7
> months ago.
>
No, "new" is *at most* 7 months ago.

> 7 months ago, we had a "cash at the end of the year" of 500 000 dollars.
>
Plus $78,415 in Google stock.  Plus $50,000 in accounts receivable.
Plus $400,000 in computer equipment and software.

> Our auditors recommanded to increase cash reserve to at least 3
> ($875,000), preferrably 6 months ($1,650,000) of operating expenses for
> fiscal security.
>
> In june 2006, we were NOT overfunded, we were precisely within security
> limits, with something like 3 to 6 months of operations in reserve.
>
7.58 months of operating expenses, even if you ignore all the assets
but the bank accounts (12*500,000/791,907), which, you might note, is
not between 3 and 6.

> Right now, we are VERY underfunded.
>
> Anthere
>