Yerra&Co.
Yerra&Co. is a family holding company that focuses on simple, asset-light, free cash flow generating businesses.
Insights
Playbook
Our repeatable playbook for building businesses.
Businesses
| Business | Description |
|---|---|
| Treasury | Cash and Debt management. |
| Taxes | Tax Minimization |
| Technology | Software, AI and SaaS. |
| Healthcare | Healthcare and Health. |
| Education | Education and History. |
| Financial Services | Providing credit. |
| Investments | Public and Private Equity. |
| Real Estate | Properties, Land, and Farms |
| Society | Politics and Non-profits. |
Metrics
| Metric | Goal | Formula |
|---|---|---|
| Revenue Growth | 30% per year | |
| Asset Growth | 30% per year | |
| Free Cash Flow Growth | 100% per year | Free Cash Flow = Net Income + Depreciation and Amortization – Changes in Working Capital – Capital Expenditures |
| ROIC | 30% | ROIC = (Net income – Dividends) / (Debt + Equity) |
| Debt-to-Free Cash Flow | 400% | |
| Debt-to-Asset | 50% | |
| Effective Tax Rate | 12% | |
| Negative Cash Conversion Cycle | -30 days | Cash Conversion Cycle = Days Inventory Outstanding + Days Sales Outstanding - Days Payable Outstanding |