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The Exalynt readme

How Exalynt works: how clients buy engineering, how engineers do the work and get paid, and where the money goes. It's public because transparency is a core part of how Exalynt works.

Not a contractual agreement

Nothing in these documents is a contractual agreement. They explain how Exalynt works and are not client terms, offers, or contracts. An engineer's written agreement governs their work and pay.

Start with your role​

How Exalynt works​

Exalynt sells Engineering Capacity in fixed-price blocks, not hours. The client buys one iteration at a time, sees real progress at the end of each iteration, and decides whether the next block is worth buying. For products Exalynt operates in production, a monthly operations plan keeps an engineering team accountable for them.

  1. Buy a blockFlex, Core, or Dedicated, paid once and up front.
  2. Agree the goalThe most valuable slice we can finish this iteration.
  3. We buildOne week. Risks are raised as soon as we see them.
  4. CheckpointWe show what changed, why it matters, and what we recommend next.
Buy the next blockSized for the work we recommended.
Or stopKeep everything built so far, including the source code.
No contract, retainer, or minimum number of blocks. Every block is the whole commitment.
DocumentWhat it covers
Mission and core valuesWhy Exalynt exists, the six values that guide our conduct, and the culture we are building.
Our philosophyCaring about the problem, excellence as a practice rather than perfection, and the habits behind every block.
AI in software engineeringExalynt's position on AI in software engineering: definitions, principles, and supporting evidence.
Code of conductHow engineers, open source contributors, and clients treat each other, and how to raise a concern.
Engineering CapacityFlex, Core, and Dedicated blocks and their prices: one price, whoever operates the software.
Engineering TeamsStable teams of engineers, how they serve clients with continuity, not exclusivity, and how engineers work across them.
Features and CapabilitiesHow Exalynt describes software: Features are the jobs it does, Capabilities are what each can do.
Operations plansSelf Operated vs. Operated by Exalynt, the Essential, Standard, and Extended plans, and what each commits to.
Sharing riskWhy blocks beat fixed-scope quotes and hourly billing, and who carries what.
Stability levelsPrototype, Alpha, Beta, and GA: how stable work is, and how it moves up quickly.
MaturityHow complete and stable a Feature or project is, as a percentage from its stability levels.
Stability checklistWhat should be in place at each stability level, area by area, for clients and engineers.

For each audience​

DocumentForWhat it covers
Working with ExalyntClientsAn engagement block by block, who operates the software, what you own, and leaving.
What we mean by valueClientsWhat counts as value, starting with one sentence, and how to recognize progress at each checkpoint.
Using AI with ExalyntClientsHow our engineers use AI on your project, and how you can use AI to make the process easier.
Project estimatesClientsHow to read a Low, Mid, and High estimate, and why it's a planning range, not a quote.
Why engineers choose ExalyntProspective engineersSustainable pace, end-to-end ownership, community, and how pay and variable work fit.
Producing value in a blockEngineersOur definition of value, how to produce it in a block, and how to show it to the client.
Using AI to amplify valueEngineersUsing AI well: turning its speed into client value, owning what you ship, and protecting client data.
Creating project estimatesEngineersWriting Focuses and notes, T-shirt sizing, and pricing the range on every block.
Stability levels in practiceEngineersUsing stability levels to move fast and set expectations with clients.
Marking stability levelsEngineersLabeling issues and pull requests, versioning after GA, and showing levels in software.
Levels and growthEngineersAssociate to Principal: the skills we value and what distinguishes each level.
Engineer compensationEngineersPayout = Capacity Payout Basis × Engineer Share, team support, location-independent pay, and examples.
Team LeadEngineersThe engineer on each team who helps it coordinate and succeed, and the Team Lead Share.
Self-funded workEngineersHow Exalynt buys its own capacity for open source, tooling, and charitable work.
How the money flowsEveryoneRevenue lines, payout allocations, what Exalynt retains, and how cash is held.
Partnership ProgramEveryoneHow clients, engineers, and partners who know Exalynt can share in the value of introducing new clients.

Unfamiliar term? Underlined terms show a definition on hover, and every term is in the Glossary.

How the money flows​

Every client payment for a block follows the same order:

  1. The client pays for the block up front, and Exalynt holds that payment until the block is fulfilled.
  2. When the block is fulfilled, its Capacity Payout Allocations are earned and paid from it: shares of the block's Capacity Payout Basis. The engineer payout (Capacity Payout Basis × Engineer Share) comes first, with team support for each of that engineer's available teammates, the Team Lead payout for the Team Lead of their team, and partnership earnings when they apply. Client prices don't affect any of them.
  3. What's left is the Contribution: client payment − Capacity Payout Allocations − other direct costs.
  4. Exalynt retains the contribution, and only then uses it to pay for everything else. Exalynt is the vehicle for providing value to engineers and clients: it aims to retain 10–20% to keep everything running, and anything beyond that is its buffer for coupons and running the company.

When Exalynt is the client, engineers are paid the same way, and there is no contribution. How the money flows shows the split for every block.

Keeping these documents current​

  • Client prices come from exalynt.com. If a document disagrees with the website, the website wins.
  • Numbers live in one place. Block sizes (capacity units), effort references, client effort ranges, prices, payout bases, the Engineering Team size, the Engineer, Team Support, Team Lead, and Partnership Shares (with the Partnership Program's window), and what Exalynt aims to retain are defined in src/data/exalynt.ts, and the tables, calculators, and inline figures across these documents are computed from it. Change a number there, not in the prose.
  • Update the date in a document's header when you change its policy.
  • Link with relative paths to the .mdx file so links work in the editor, on the Git host, and on the published site.

Frequently asked questions​

Are these documents a contract or an offer?

No. They explain how Exalynt works, and nothing in them is a contractual agreement. An engineer's written agreement governs their work and pay, and current client prices and terms are on exalynt.com.

Why does Exalynt publish how it earns revenue and pays engineers?

Transparency is a core part of how Exalynt works. Clients can see exactly how a block payment is split, and engineers can see what the company keeps and what it pays for. See How the money flows.

What if a document disagrees with exalynt.com?

The website wins, and the document should be updated.

Where should I start?

Pick the card for your role at the top of this page. If you come across a term you don't know, hover over it or look it up in the Glossary.