I work for a VR startup that is currently feeling out possibilities for directions in apps. As part of that, we're making a lot of proof-of-concept apps for the Quest. These apps will never be a finished program and are simply there to try out ideas and share them around to the team and get their feedback on what works, what might be made better, etc. It's a team of about 18 people and thanks the the lockdown everyone is working from home.
We'd love to be able to distribute these builds via the infrastructure of creating an organization, creating apps and then using the Alpha channel and adding users. But it seems like this is completely not what Oculus wants this stuff to be used for. Which is incredibly frustrating, as it means all the testers need to be comfortable side loading applications. I have found that even with SideQuest, this is too much for some of our internal users.
Your observations are correct regarding build distribution via Oculus Release Channels - without Quest approval your organization does not have the ability to distribute Quest builds (even prototypes, demos, etc). You're limited to SideQuest or some other distribution method that is rooted in adb for side loading builds.