Where the Money Comes From
How does Free Geek pay for itself? Where's the money go?
The Big Income Streams
In 2004 Free Geek brought in about $355,348 after directly related expenses. That is we brought in more money than that, but bringing in that money cost us something. For instance monitor fees brought in over $81,000 but after deducting monitor processing costs, the adjusted number is more like $66,000. This page uses the adjusted number throughout.
We also spent $411,111 in more generalized expenses. These are expenses unrelated to specific income streams but
This means there was a net loss of $55,762 in 2004.
Most of the ongoing income at Free Geek comes from four income streams:
- Sales in the Thrift Store,
- E-Waste Recovery,
- Monitor Fees, and
- Solicited Donations.
There are several other income streams -- some of which have a lot of potential for growth, and some that are more sporadic. Here's the rundown:
At the Front Desk
When people give us money at the front desk it usually falls into one of two categories.
Monitor Fees
We charge $10 for every monitor donated to us. In 2004, monitor fees account for $81,725, though a fairly large chunk of that needs to be deducted, since failed monitors cost us $15,728 in processing fees, leaving a better income estimate at $65,997. From that income we need to pay rent for monitor storage, part of the salaries for the folks who work in the store or train monitor testers, electricity to test the monitors and more.
This income represents 18.5% of the (adjusted) total.
Solicited Donations
In 2004, people giving us suggested donations accounted for $68,015. These are tax deductible donations that usually accompany gizmo donations.
This income represents 19% of the (adjusted) total.
Retail Sales
Most retail sales take place in our thrift store, but we're beginning to sell some items on eBay where there's a ready made market.
The Thrift Store
The thrift store accounted for $96,726 in 2004, but that cost us a small amount of overhead money (t-shirts, supplies, printer parts, etc.) leaving us $94,394. From that money we need to pay part of the salaries of the sales, printer and build coordinators, as well as an intern salary. The rest goes into the general fund for rent, utilities, and general staffing costs.
This income represents 27% of the (adjusted) total.
Online Sales (eBay)
Online sales is small but beginning to grow. In 2004, we raised about $2,497 this way.
This income only represents 0.7% of the (adjusted) total.
In the Warehouse
Money coming in through work in the warehouse is in one of two forms. Refurbishers buy parts (intended for reuse) wholesale. The materials that volunteers pull out of computers as they're are demanufactured are sold to E-Waste Recovery organizations.
Refurbishers
People buying stuff we expected to recycle in a last ditch effort to get it working account for $1,086 in 2004.
This income represents 0.3% of the (adjusted) total.
E-Waste Recovery
Some of these materials cost us money. Most make us at least something. Selling recoverable materials (like circuit board for gold, etc.) brought in $36,422 in 2004, but associated costs (mostly transportation) bring that number down to $31,998. From this we need to pay Recycling and Operations Coordinators, rental for the warehouse, and contribute to the overall cost of staffing and operations.
This income represents 9% of the (adjusted) total.
Grants
$92,420 came in as a result of grantwriting to various foundations. This is money that should not be counted on in the future, though grantwriting efforts will continue, of course.
This represents about 26% of all our (adjusted) income.
Other Sources of Income
$16,775 total (after expenses are deducted). This is only about 5% of our total income, but some of these income streams can grow.
Consulting / Collaborative Technologies
Consulting income, formalized in the program of Collaborative Technologies, has been a negative income stream -- that means we lost money in 2004 in that area -- about $17,835 in all.
Education
Educational events brought in $458 in 2004.
Fundraisers
Fundraising events brought in $4,000 in 2004.
Rental Income
We rent out the area above the Meeting Room and Monkey House to some artistic types. They paid us $12,151 in 2004.
Online Donations
We received $165 in donations through our web site in 2004.