Warriors announced this week that defence coach Pete Murchie and back-rower Henco Venter will leave in the summer.
Also out the door will be Scotland squad members Tom Jordan and Jack Mann - with a number of other first-team regulars running down their contracts.
Smith revealed his players’ stock has risen so high since winning the URC it's impossible to keep them all. He said: “Youre going to make me tearful here!
“It’s sad to lose people but it's also a huge compliment to everyone whos worked hard to give other people an opportunity.
“Due to the budget size our squad is going to be smaller next year. It’s not about finding the right people to replace the ones leaving - it's whether we can afford them. That's the biggest problem.
“We've got the squad reasonably decided for next year. And it will be a bit smaller because the players’ values went up because of all the good stuff that's been happening.
“Some have accepted our offers and others got better offers elsewhere!’
Warriors welcome back Sione Vailanu tonight against Munster for the Tongan’s first appearance for 15 months.
Smith ad...