The buffer is what enables us to provide security to members, it is cash in the bank. It smooths out the feast-famine cycle that comes with doing contract/project based work.
A unit of buffer is the the number of members of our pod * $4,000. In general the more buffer we have the less we need to focus on making money.
Our buffer target is 4 months worth of our collective remuneration. To break this into scale we have 5 states/levels:
Level 0 = We have less than 1 month worth of the combined members buffer. Level 1 = We have 1 month worth of the combined members buffer. Level 2 = We have 2 months worth of the combined members buffer. Level 3 = We have 3 months worth of the combined members buffer. Level 4 = We have 4 months worth of the combined members buffer.
Our buffer is keapt in a seperate account in the bank.
Moving up or down the scale is seen as an event that needs to be broadcast to all stakeholders. This includes the pod members and members of other pods who have inter-dependance with Root Systems.
By coupling several factors to buffer events we can create a self regulating system. The intent is that as the buffer increases so to does the money flowing away from the pod. These are the scaling money outflows and do not include fixed costs such as space hire and saas tools.