Introduction

In the NDC, constellations play a crucial role in facilitating specific focus areas, whether technology, community building, education, or other aspects vital to the ecosystem's growth. Each constellation, therefore, needs to operate with a clear set of goals, a comprehensive plan for achieving those goals, and a detailed budget for funding its operations.

This document provides a detailed guide on how constellations can develop budgets and craft proposals to submit to the House of Merit for funding approval. It ensures that all constellations align their initiatives with the broader objectives of the NEAR Ecosystem and that the allocation of funds is done effectively, transparently, and accountably. By adhering to this process, constellations can effectively articulate their value proposition and justify their funding requirements.

Read on to understand each step of this process, from identifying costs and allocating the budget to developing the proposal, finding sponsors in the House of Merit, and finally, packaging and submitting the proposal. Following this structured approach will help constellations to successfully secure funding and contribute to the success and growth of the NEAR Ecosystem.

Process

Step 1: Identifying and Estimating Costs

• Identify all potential costs associated with the constellation's operations. This includes:
  • Salaries or stipends for core contributors
  • Costs for necessary technology or tools
  • Marketing and community engagement expenses
  • Funds required for funding the ecosystem (grants, events, incubation, support, etc)
  • Any funds required for potential partnerships or collaborations
• Make realistic estimates based on market rates, guidance from the compensation work group or quotations for each cost.

Step 2: Allocating Budget

• Allocate budget for each cost based on its importance and priority in achieving the constellation's goals.

Step 3: Justification of Costs

• Provide clear justifications for each cost. This should explain:
  • Why the cost is necessary
  • How it contributes to the constellation's goals
  • Why the allocated budget is sufficient

Step 4: Compiling the Budget

• Compile the budget in a structured manner. It should include:
  • A detailed breakdown of costs
  • The amount allocated to each cost
  • The justification for each cost