Sentinels is a legendary esports organisation that has been growing at a rapid rate in the last year or two – potentially too quickly, it seems. It was recently revealed in an ‘Offering Memorandum’ that the organisation is spending almost $700,000 on the player, content creator, and employee salaries. It’s driving Sentinels into a hole, and the memo – which is aimed at securing investment – stressed that without successful financing, Sentinels could cease operations within ‘two to three months’.

However, the bad news persisted, as Sentinels shared that even if the funding goal of $1.2 million is reached, the firm will only be able to operate for around four to five months. There’s now a crowdfunding effort being kicked off by the management of Sentinels, but it’s almost certainly a case of too little, too late, and it’s certainly a last-ditch effort to scrape together as much money as possible.

Will Sentinels be the next esports organisation to fold?

Sentinels in a Sticky Situation

In an interview, Rob Moore – the CEO of Sentinels – stressed that the organisation is here to stay. He explained that the information divulged in the memo is simply there to ensure that potential investors are as informed as possible, but funding will continue to be provided for the organisation. He stressed that capital has been raised internally, but it wasn’t enough of a strong statement to settle all the fans’ concerns. Here’s the clip:

It was also revealed in the memo that Moore currently collects a salary of $360,000 a year.

Across the industry, other organisations and personalities stepped out to offer their two cents on Sentinels’ situation. For instance, disgraced former G2 CEO, Carlos Rodriguez, spoke aggressively on Twitter about these circumstances, suggesting Sentinels is paying too much for its talent. He said quite clearly, ‘Not only have you f***ed everyone else, but also yourselves.’

It has been stressed by industry experts far and wide that a ‘financial correction’ is required within esports. This isn’t the first organisation we’ve seen buckle under the weight of financial struggles, and there’s no way that it’ll be the last – not until a cultural shift takes place.

Related: VALORANT Champions 2023 Teams Confirmed

What’s Next for Sentinels?

Image Credit: Sentinels

Sentinels currently fields players and teams in VALORANT, Halo, and Apex Legends – and has a roster of some top-tier content creation talent. However, in these categories, the organisation has struggled of late. In VALORANT, the team’s last first-place finish was the VCT 2021 NA Stage 3 Playoffs, and that was in August 2021. In Halo esports, Sentinels secured a win at the Kansas City Major in May 2022, netting a $140,000 prize.

And then in Apex Legends, the organisation hasn’t had a substantial win since December 2021.

Related: Sentinels Failed to Secure HCS Invitational Win

It has been said that tournament winnings make up such a small part of an organisation’s revenue, but it’s still something. Most recently, Sentinels failed to qualify for the VALORANT Champions 2023 tournament, which was a sizeable blow for the organisation.

We’ll need to wait and see what the results are from this round of crowdfunding before we can say for certain what’s happening next with Sentinels.

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