2M users but no money in the bank. Tough times
Exercism has two million users but faces financial issues, relying on 800 monthly donors. Key member Erik will leave due to budget constraints. New revenue streams and courses are being developed.
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Exercism has recently reached a significant milestone of two million users and 45 million exercise submissions. However, the organization is facing financial difficulties, having depleted its funds after paying its final payroll. Despite the growing user base, the nonprofit has struggled to secure funding, as its broad appeal does not align with the narrow missions of potential funders. The organization has seen some success with advertising but finds it unsustainable. As a result, Erik, a key team member, will leave his position due to budget constraints but will continue to contribute as a senior maintainer. Exercism currently relies on about 800 monthly donors, which covers server costs but does not provide a financial buffer. The organization is exploring new revenue streams, including a for-profit educational product aimed at teaching coding fundamentals, set to launch in 2025. Additionally, plans for a learn-to-code course and a basic version of Exercism Teams are in the works. The leadership remains optimistic about the community's support and the potential for growth, despite the current challenges.
- Exercism has reached two million users but is facing financial difficulties.
- Erik, a key team member, is leaving due to budget constraints but will continue as a maintainer.
- The organization relies on 800 monthly donors to cover server costs.
- New revenue streams, including a for-profit educational product, are being explored.
- Plans for a learn-to-code course and a basic version of Exercism Teams are underway.
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4 commentsIf things are not niche enough perhaps split off some part that can be niche enough and improve it.
This is one case where I wonder if the founders could keep the 'core' free and open source, and have a paid model on top of it to generate enough revenue to work full-time on it.
So you have 2 options. Keep it free and open source and have the community develop it.
Keep wanting to get paid and have employees, meaning you need to either start charging money (perhaps for “pro”) features, show ads (please don’t), or do a better job with getting donations.