LavaTech Blog

financialreport

This is our second financial report to date. We've provided comparisons in this document, but if you'd like to review the 2019 one yourself regardless, you can access it here.

We also released the 2020 transparency report, you can read it here.

This document was mostly written by Ave, but it was reviewed and approved by both LavaTech members.

Income: Patreon

Patreon is our main source of donations for LavaTech.

Patreon graph

  • In 2020, we made $1028 (minus fees) through Patreon (2019: $563).
  • We had no refunds (2019: same).

Before fees, we made $1028.

Expenses: Fees

  • $53.00 went to Patreon processing fees (2019: $35.93).
  • $51.40 went to Patreon platform fees (2019: $28.15).
  • $36.00 went to Payoneer maintenance fees (2019: $11.62).
  • $21.62 went to Payoneer (outbound) transaction fees (2019: $9.32).
  • $12.00 went to Payoneer (inbound) transaction fees (2019: $6.00).

In total, $172.02 (16.73% of the income) went to taxes and fees in 2020 (2019: $139.78, 29.12%).

Here's a lazy pie chart for your enjoyment:

Pie chart showing distribution of fees in 2020

Expense: Backblaze B2

Backblaze B2 is our preferred data storage service of choice for backups.

  • We paid $98.25 to B2 in 2020 (2019: $35.07).
  • Our bill fluctuated over the months. We started the year with a $5.89 bill, went up to $13.83 on February, went down to $3.55 on April after we moved lots of old data to cold storage (relevant blog post). We finished the year with a $10.77 bill on December.

Expense: Cloudflare

We started using Cloudflare Load Balancing for Switchroot in July 2019 and stopped in July 2020.

  • $12 went to Cloudflare Load Balancing.
  • Domain fees from Cloudflare are not included here. You can find them in the domain expenses section of this post.

Expense: Servers

2020 was an interesting year as we've moved from a dedicated server in Hetzner to a colocated server in August.

The new server belongs to Ave, the network and rack belongs to Lasagna Ltd (a company owned by Ave, unrelated to LavaTech). As such, server, network and colocation costs are NOT reflected here.

  • We paid €470.70 ($532.58) to Hetzner. (2019: €534.94)
  • Most expensive month on Hetzner was July with €49.98 and cheapest months were September, October and November with €20.60. The infrastructure review we did in Q1 2020 also helped with reducing expenses.
  • We paid €143.88 (~$171.98) to Online.net (Scaleway Dedibox). All months were €11.99. (2019: €143.88)
  • We paid €67.90 (~$81.16) to Scaleway Elements (2019: €55.99).

Note: All of Scaleway was paid directly by Ave. All but 3 months (€35.97) of Online.net were paid by Ave.

In total, we paid €682.48 (~$785.72) for servers in 2020 (2019: €734.81).

Expense: Domains

We bought many cute domains this year.

While we do our best to reflect the correct numbers here, they're not perfect. Stuff like elixi.re domains we pay for renewal of (but don't own yet) aren't included, and we may have forgotten to include some registrars.

Do note that 2019 numbers do not exclude personal purchases while 2020 numbers do.

  • We paid $86.85 to Porkbun. (2019: $146.21)
  • We paid $27.96 to Dynadot. (2019: $27.46)
  • We paid $41.96 to Namecheap (2019: $22.53).
  • We paid $16.21 to Cloudflare (2019: $8.03).

In total, we paid $172.98 for domains in 2020 (2019: $228.19).

Expense: KernelCare

We have KernelCare on our main hypervisor, laserjet.

We have a 2 server license, one in use for LavaTech and other in use by our friends at General Programming (which is excluded from the number below). This arrangement allows us to get a slightly favorable per server cost.

During certain parts of the year we bought more licenses temporarily to test other servers and move between servers.

  • We paid $46.01 for KernelCare in 2020 (2019: $35.40)

Note: Only one month ($6.90) was paid by LavaTech funds. Rest was paid directly by Ave.

Personal Expenses through LavaTech funds

I (Ave) owe a personal apology here for using the wrong card for one payment. Considering I also paid for a large number of expenses with my own funds, I hope this can be excused.

  • $53.53 was paid to General Programming, LLC for helping install servers. (without fees: $53)

In total, we paid $53.53 for personal expenses through LavaTech funds in 2020 (2019: $26.29).

In conclusion

  • We made $1028. (2019: $563)
  • We got to keep $855.98 of it after fees. (2019: $340.22)
  • We spent $1114.96 (doesn't include personal expenses) (2019: $1140.22).
  • After fees, %76.77 of our expenses were paid by donations (2019: %29.83).
  • Exactly $258.98 was paid out of pocket (2019: $800).

Pie chart showing distribution of expenses in 2020

We'd like to thank all of you for supporting us, by using our services, by recommending our services, and by donating domains and funds to our services.

We're closer than ever to being self sustaining, and that makes us unbelievably happy. Thank you so much to everyone who used our services, who recommended our services and those who supported us in any way.

Shameless plug: If you'd like to help make that percentage be higher for 2021, here's our patreon. Anything helps.

(Tags to jump to other related posts: #financialreport #report)

What's happening forum?

This is our first financial report to date, due to this, there won't be any data to compare to, but we hope that the data is useful regardless.

We also released a transparency report earlier this week, you can read it here.

This is released on 2020-02-27, with numbers as of this very date.

This document was mostly written by Ave, but it was reviewed and approved by both LavaTech members.

  • This document was edited on 2020-03-12 to add KernelCare fees. Similarly, title was changed from 2020 to 2019, because calling it 2020 was a bad idea.

Income: Patreon

Patreon is our main source of donations for LavaTech.

Graph of Patreon income

  • In 2019, we made $563 (minus taxes and fees) through Patreon.
  • We had no refunds.
  • $83.00 went to supporting other creators (I sadly cannot find a way to pull up a list of who they were, however as of November 2019, we aren't paying for our Patreon patronage through LavaTech).
  • Starting in June, we started using Payoneer for server payments to be able to use a debit card.
  • Before June, we were using Luna's Paypal, but we had to switch away due to Brazilian Paypal banning the use of balance internationally.
  • Move to Payoneer introduced further fees.

After support for other creators, we were left with $480.

Expenses: Taxes and fees

  • $36.76 went to VAT.
  • $35.93 went to Patreon processing fees.
  • $28.15 went to Patreon platform fees.
  • $12.00 went to activating out Payoneer debit card.
  • $11.62 went to Payoneer maintenance fees.
  • $9.32 went to Payoneer (outbound) transaction fees.
  • $6.00 went to Payoneer (inbound) transaction fees.

In total, $139.78 (29.12% of the amount that was left after support for other creators) went to taxes and fees in 2019.

Here's a fancy pie chart, because pie charts are good:

Pie chart showing distribution of taxes and fees

Expense: Backblaze B2

Backblaze B2 is our preferred data storage service of choice for backups. As our services and the data we store continue to grow, so does our backup bill. For 2020, I am considering moving old backups to cold storage to accommodate for this.

  • $35.07 went to B2.
  • While we paid $0.78 on January, we paid $5.17 on December.
  • (Informational) We paid $6.43 on February 2020.

Expense: Cloudflare

Starting in July, we started hosting switchroot files.

I (ave) made an optimistic move and didn't set up proper RAM caching. Less than 10 seconds after we launched the image files, the server's drives were overloaded, and no one managed to download anything.

As a result, we distributed files to multiple servers and set up Cloudflare Load Balancing (which costs $5/mo), which solved the issue.

  • $27.26 went to Cloudflare Load Balancing.
  • Domain fees from Cloudflare is not included here.

Expense: Servers

Obviously, our services require servers. A lot of them, in fact. We have a lot of them for that very reason.

Hetzner is used for most of our server needs and hosts most of our services. Online.net hosts the mirrors, Scaleway hosts (European) 90dns.

All of our server payments are in Euros.

  • €534.94 (~$585.15) went to Hetzner.
  • Cheapest months on Hetzner were April to July, with each month costing €40.85.
  • Most expensive months on Hetzner was December, costing €49.57.
  • €143.88 (~$157.45) went to Online.net. All months were €11.99.
  • €55.99 (~$61.26) went to Scaleway.

In total, we paid €734.81 (~$803.80) for servers in 2019.

Expense: Domains

And obviously, what good is an image host without domains?

Do note that these numbers aren't perfect, as lines somewhat blur between LavaTech domain costs (like elixi.re) and non-LavaTech domain costs (like ave.zone). I've however left out registrars that I only have non-LavaTech domains from, such as nictr (now metunic).

In total, we paid $228.19 for domains in 2019.

Expense: HIBP

We had a HIBP API subscription for 3 months to be used with our bitwarden server, so we paid $10.5 (+$0.18 payoneer fees) to that.

Expense: KernelCare

We have KernelCare on our main hypervisor, edgebleed. We try to keep downtime to a minimum, and kcare helps with that.

We get a 2 server license, so we pay $2.95/mo per server, but as one of them is used by our friends at General Programming, it's not included in this specific report.

  • $35.40 was spent for KernelCare in 2019 ($2.95/mo).

Personal Expenses through LavaTech funds: G Suite, Steam

These were expenses we made for ourselves, and were rare. We are trying to keep these to a minimum. Considering we pay a significant chunk of the LavaTech expenses from pocket, we hope that they'll be excused.

These numbers include payoneer fees.

  • $5.97 was spent on Steam
  • $20.32 was spent on G Suite

In total, we paid $26.29 for personal expenses through LavaTech funds in 2019.

In conclusion

  • We made $563.
  • We got to keep $340.22 of it after fees, taxes and support towards other creators.
  • We spent $1140.22 (doesn't include personal expenses).
  • After fees, taxes and support towards other creators, 29.83% of our expenses were paid by donations. Exactly $800 was paid out of pocket.

Also, another pie chart, this time showing expenses (somewhat outdated, doesn't include kernelcare):

Pie chart showing distribution of expenses

We'd like to thank all of you for supporting us, by using our services, by recommending our services, and by donating domains and funds to our services.

Shameless plug: If you'd like to help make that percentage be higher for 2020, here's our patreon. Anything helps.

(Tags to jump to other related posts: #financialreport #report)