Finance Committee
Background
Given recent conversation surrounding revenue flow and referrals, there seems to be significant work done to create a formalized-in-writing framework the DAO can use for managing month-to-month revenue inflow and referral payouts.
While exact numbers will take some time, the ballpark of what feels right seems to be widely understood. Rather than trying to find those perfect numbers, we seek to institute a lightweight finance committee to help carry out what feels right.
Responsibilities
The finance committee has three main responsibilities:, outlined as follows.
Compile monthly treasury reporting
The finance committee will compile a monthly report on inflow (revenue generated, grants, etc.) and outflow (team payments, gas costs, expenses, etc.) and month-over-month changes to treasury balance, governance vault payouts, referrals, etc.
Create a monthly policy for the utilization of revenue
The Finance Committee to build a plan around the utilization of the previous month’s inflow and treasury reserves. Funds are broken down as follows:
Monthly payments and expenses
Governance vault buybacks
Referral payments
Excess to (or deficit from) treasury
Authorize Governor DAO Referrers
Referrers are individuals eligible to earn a commission for bringing in revenue to Governor DAO. By default, all team members and GAMBs are eligible to earn a commission. The Finance Committee holds the responsibility to grant access to community members to play referrer.
This permission should include some cursory education on the service costs and some standard messaging/target audience. Referrers should maintain some base communication with the Finance Committee.
The Finance Committee is also expected to maintain correspondence with all eligible recipients of commissions to maintain a level of fairness and transparency in their operations.
Governance
In addition to the three main responsibilities, the Finance Committee is also responsible for building out a better battle-tested framework that can replace some of the initial qualitative reporting done by the committee.
In other words, the Finance Committee should create the documentation that outlines, e.g., how revenue flow is handled, rather than determining what makes the most sense each month.
Membership
The Finance Committee will be headed by the BizDev Ambassador.
At least one member of the core team (at the discretion of the team and Head of Finance Committee) is required.
One member of the community (not GAMB or core) is preferred but not required.
Expectations
Each month, the Finance Committee is expected to report on the project’s financials, including month-over-month inflows/outflows and policy surrounding governance vault buybacks and total commissions.
The Committee is expected to engage with recipients of commission on a rolling basis, as well as confirm members of the community as eligible for commission as “Referrers.”
Compensation
As this is designed to be a lightweight committee by existing enrolled ambassadors/team members, no additional compensation is budgeted.
As the finance community better formalizes, this is subject to change.
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