Financials are strange businesses. On a sale, money goes out from the pocket rather than coming in.

Growth comes first. NPA comes later.

Aavas Financiers says: “What Kills Others Makes Me Strong”

Buckle yourself up as we’ll take you through the 19-20 AR

1/

Challenges for Aavas:

~People, Process & Branch intensive
~Caters to Tier2 to Tier 6 towns
~Underwriting difficult
-Lack of docs
-No CIBIL records
-Mostly catering to EWS and LIG category

Now let’s run past the AR to find the cues to their success
2/

Aavas Financiers

A Fast-growing Small Housing Finance Company in a Large Growing Housing Finance Market in India

A Fast-growing Small Fish in a Large Growing Pond
3/

~The Chairman
~The CEO
~The CFO

See what they say
4/

~Strategic Objectives
~Credit Risk Appraisal Framework
~How Aavas is Being Different
5/

How Aavas’ customer accretion helps build a lower-cost company
6/

How Aavas is Making a Difference

Part 1
7/

How Aavas is Making a Difference

Part 2
8/

How Aavas has built its business over the years
9/

2019-20 Performance Review
10/

~Sectoral Review

~Government Initiatives
11/

~SCOT Analysis

~Risk Mitigation Strategies
12/

Aavas is at that end of the market where big guys like HDFC, LIC HF, PNB HF, Repco etc will not bother to enter.

~Avg Ticket Size < 10 lacs
~Mostly in towns < 10 L pop
13/

Are you excited?

Wish to indulge more on Aavas?

Watch this video to know more about the CEO Mr. Sushil Agarwal and the business Model https://t.co/WNK1SWhOEJ

If you enjoyed this ride on the AR of Aavas, L&R for wider reach🙂

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The Mother of All Squeezes

How Volkswagen went from being on the brink of bankruptcy to the most valuable company in the world in two days

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1/ At the peak of the 2008 financial crisis, Volkswagen was considered a very likely candidate for bankruptcy.

Heavily indebted and already financially struggling before 2008, with car sales expected to plummet due to the ongoing global crisis.


2/ With GM and Chrysler filing for bankruptcy in 2009, shorting the VW stock would seem a safe bet.

If you are not familiar with stock shorts and short squeezes check my thread


3/ On October 26, 2008, Porsche announced it had increased its stake at VW from 30% to 74%.

This was a surprise to many who were led to believe that Porsche wasn't planning a takeover of VW, based on the company's announcements.


4/ Before the announcement, the short interest was approximately 13% of the outstanding shares, a number considered relatively low.

Porsche had a 30% stake, the Lower Saxony government fund held 20% of the shares, and another 5% was held by index funds.
I love Twitter.

It’s truly the Town Square of the Internet.

But finding the diamond in the rough voices can be tough.

Here are 20 of my favorite people to follow:

1. Alex Lieberman - @businessbarista

Alex writes extensively about the Founder journey.

The cool part is he’s lived everything he talks about - starting from $0 and selling for $75M with hardly any outside capital raised.

My favorite piece:


2. Ryan Breslow - @ryantakesoff

Ryan is a Top 1% founder.

This guy is a machine - he’s built 2 unicorns before the age of 27.

Ryan spells out lessons on fundraising, operating and scaling.

My favorite piece:


3. Jesse Pujji - @jspujji

Jesse is who I think of when I think “bootstrapping.”

He bootstrapped his company to an 8-figure exit and now shares stories about other awesome bootstrappers.

He’s also got great insight into all things growth marketing:


4. Post Market - @Post_Market

Post puts out some of the most thoughtful investment insights on this platform.

It’s refreshing because Post cuts through the hype and goes deep into the business model.

Idk who he/she/it is, but the insights are 💣.

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