A Daily Letter About Businesses That Pay You Forever
One business every morning. I explain the model. Then explain why it keeps working.
A Daily Letter About Businesses That Pay You Forever
One business every morning. I explain the model. Then explain why it keeps working.
Compounders • Recurring Revenue • Royalties • REITs • Toll-Booths • Monthly Income
This isn't a newsletter about markets. It's a newsletter about businesses.
Specifically, businesses that generate recurring income — month after month, decade after decade. Toll-booths. Royalty streams. Subscription software that nobody wants to rip out and replace. Triple-net leases on land a company has held since before you were born.
These aren't exciting businesses. That's the point.
I write about one of them every morning. The origin story. The math. The one number that explains why it keeps working. By the end of your first week, you'll understand five of them. By the end of a month, twenty. You'll start noticing them everywhere — inside the apps on your phone, in the building you work in, underneath the roads you drive on.
Theodore Crane
For a long time, I tried to understand markets the way most people do. Macro reports. Rate decisions. Geopolitical shifts and their second-order effects.
I got reasonably good at it. And then I noticed something.
The businesses that kept growing — quietly, year after year, without needing anyone to pay attention — weren't the ones with the best macro tailwinds. They were the ones with the best contracts. A company that processes payroll for 750,000 small businesses doesn't need a view on the Fed. A company that owns the land under a mine just waits.
My neighbor growing up ran a small linen route. Same twelve restaurants for nine years. He raised prices once. Nobody switched. He didn't read the financial press.
I started to think he understood something that most investors never figure out.
This letter is what I've been building ever since. Every morning, one business like his — except bigger, older, and harder to leave. I explain the model. You decide what to do with it.
I pick one business
One company with a clear, durable cash flow model. The kind that does not need a view on the Fed. A different one every single day.
I go to the source
10-K filings, earnings transcripts, investor presentations. If a number cannot be verified, it does not make the letter.
I write the letter
The model. The numbers. The story behind the moat. Plain English. No jargon, no buy or sell.
You decide what to do with it
Five minutes. One business better understood than before. That is the whole thing.
"My neighbor growing up ran a small linen route. Same twelve restaurants for nine years. He raised prices once. Nobody switched. He did not read the financial press."
