Another North Americans organization appears to have run into financial problems
After a decent performance at the Global Challenge and at the NSG Eastern Conference Championship, Vireo.pro appears to be on the verge of collapse following a Twitlonger released yesterday by Colin Chan, the team's CEO.
In it, Chan stated that late in December, their main source of investment pulled out of the project leaving the organization scrambling to cover expenses as the money dried up. Additionally, it was revealed that he is only 16 years old, which means that any contracts signed between him and his players are likely illegitimate due to Chan being a minor.
Shortly afterwards, the team's COO Myra "pharos" Davis released her own Twitlonger along with a series of tweets that illustrated the dire straits Vireo.pro are in.
To give a bit more insight into Vireo as well. We ran on an $8000 budget. $2700 went to players, $1575 went to staff, and the rest was event funding. I never saw a cent of any of that money as me and the other owners agreed to not take salary.— ExG | Myra (@Myrapie_) January 4, 2019
Her first tweet laid bare the financial situation the organization was in, with the organization surviving from what Chan described as its "shady investor" on around $8,000 per month, with pharos herself contributing $1,500 to cover the organization's shortfalls.
I also spent over $1500 of my own money on the org including $1000 at Dreamhack. Ubers, food, covering travel for an analyst, and baggage costs. This put me at -$300 in my bank account for almost a month. I never did this for the money and I still don't.— ExG | Myra (@Myrapie_) January 4, 2019
Additionally, pharos revealed once again that due to Chanbeing 16 years old and due to the company being unincorporated, none of the contracts that the organization signed with their Battalion 1944, Rivals of Aether, League of Legends, or Counter-Strike: Global Offensive teams are legally valid.
If you want your funding, your pay, and your future to rest in the hands of a 16 year old and a non-registered company be my guest. I was lead to believe the company was legit, then I found out it wasn't, then I continued hiding it in hopes me and carter could fix it. We couldn't— ExG | Myra (@Myrapie_) January 4, 2019
pharos continued on to say that all attempts by her and Carter Robertson, the team's CFO to incorporate the company and resolve the financial issues were unsuccessful, with both of them deciding to step down from the organization today.
According to Carter's blog post, Vireo.pro has officially disbanded and "ceased operations entirely", however all three parties from the now shattered board claim that efforts are being made to compensate the players and coaching staff affected by the organization's disbandment.
When Dust2.us reached out to the staff of Vireo.pro and their players for comment, the team's players and staff declined to comment.
For the moment at least, the current roster of Vireo.pro is:
- Josh "PwnAlone" Pigue
- Brenden "stellar" McGrath
- Robert "robby" Brown
- Ricky "floppy" Kemery
- Ben "ben1337" Smith
- Rustun "Rustun" Lusk (Coach)
The news leaves the team with precious little time to scramble for a new sponsor before the start of MDL Season 30.
Update: Vireo.pro have responded to our requests for comment, and a follow-up article can be found below.