Operating Intern

@GreatLakesWife_ We have a new Nuna stroller but a second hand snoo. A slightly different archetype.

I’m in whatever social class it is where all my friends and I have the UPPAbaby Vista stroller but we all got it secondhand

Martin couldn't let St. Patrick's day ☘️☘️ go by without a little song...

@OperatorDen1 @TheSalonDon Yeah, it’s dog shit

@OperatingIntern @TheSalonDon tough one to double dip on

If the credit is actually in trouble That means the equity is 0

@OperatorDen1 @TheSalonDon That’s what thoma bravo does anyway. Medallia had an equity investment from their flagship fund and debt from their credit fund (along with debt from others)

@TheSalonDon do they double dip? does a PE firm use equity from one fund, paired with PC from another?

@NICKWATTS__ The whippet x Guinness partnership

Hard to believe Guinness refuses to sell the nitrosurge cans in the US

@BoringBiz_ We’re in the early stars of totally changing our team structure. Less consultants more data / AI engineers

Management consultants realizing that their entire job is now going to be done by Claude

@parentingboyz The joke is done. Please chill

Please make this go viral for Mike’s sake

@tdgraff Yeah, you’re right. I guess I was just thinking about it from the point of how much leverage is on assets end to end. In the CDO example the houses themselves were obviously leveraged via mortgages.

@OperatingIntern The underlying companies are leveraged *at the equity level*. That's not what the BDC owns. If a company has $1 million of EV and the BDC owns a first lien loan for $500k, that's not adding leverage to the BDC. That's opposite of what happened with CDO^2.

C'mon. Gundlach knows this isn't true. A CDO^2 took an already leveraged CDO and releveraged it 10x. They were also built with *highly* correlated assets. This is why these went bust so suddenly. BDCs run something like 1.5x levered. What are we even talking about here?

@johnvvariety I did not know that! In that case I agree. Christ.

@OperatingIntern It's closing this year man. Let them have it. Christ

If you're in NYC you should drink at Jimmy's Corner this year. It's the one place in Manhattan where beer is $3 and cocktails are $5 and the jukebox is full of Prince and Marvin Gaye and the decor doesn't make any sense and everyone is sad and quiet. It's the last crumbling hold

Imagine telling someone from Belfast that the British military defends his free speech when Soldier F is still free

@moneyfetishist This is the sort of post I’m on Twitter for. Looking forward to the series! Thanks

low hanging fruit series. post 1 of 7. I am going to walk through 7 industries where the data loop from my monopoly playbook is sitting there fully assembled waiting for someone to turn it on there are over 1 million elevators in commercial buildings in the US four companies control the maintenance contracts. Otis, Schindler, ThyssenKrupp, KONE. they charge whatever they want and nobody pushes back because building managers have absolutely zero independent data on whether the maintenance they are paying for is actually being performed or whether a technician is showing up, checking a box on a clipboard, looking at the elevator for 11 minutes, and leaving a building manager pays $40-60k per year per elevator in maintenance fees and just hopes it is worth it. there is no audit. there is no benchmark. there is no way to compare whether Otis is doing better work at your building than at the building across the street paying the same rate. the information asymmetry between the OEMs and the building owners is total and it has been this way for decades. nobody has disrupted it because nobody has bothered to look you put $200-400 worth of off-the-shelf sensors on an elevator. accelerometers, temperature probes, door cycle counters. you start collecting data. vibration signatures, motor heat under load, door timing. within 6 months you know what “normal” looks like for every model and age bracket in your fleet. within 12 months you are predicting failures 3-4 weeks before they happen because a specific vibration frequency shift in the door motor always precedes the same failure. within 18 months you have cross-property intelligence showing that Otis technicians at Building A are doing full quarterly services while the identical Otis contract at Building C is getting abbreviated visits. you can show Building C’s owner they are paying the same rate for materially less service now think about what happens after 10,000 elevator-months of data. you know that a ThyssenKrupp endura installed after 2015 in a high-rise above 30 floors develops sheave wear at 4.7 years under heavy usage but lasts 7.2 years in a mid-rise with moderate traffic. no building owner has this. no independent consultant has this. only the OEMs have something comparable and they will never share it because the opacity is how they price every elevator you add to the network makes the model better for every other elevator. the data compounds. a competitor who enters two years after you has zero elevator-months of intelligence. they are selling a sensor. you are selling the accumulated knowledge of 50,000 elevators across 15 years of operating conditions. that is not a gap they can close with funding. that is a gap that widens every day I look at deals constantly and this profile makes me want to move immediately. the revenue is recurring with negative churn. the product literally gets more valuable to existing customers every month as the dataset grows. the switching costs are not contractual, they are structural. 18 months of predictive data on your elevator fleet is not something you throw away to try an unproven alternative. the margins expand with scale because sensors are a one-time cost and the analytics platform is near-zero marginal cost per additional unit and the strategic positioning is nearly impossible to displace. the 4 OEMs will not build this because independent benchmarking that exposes service quality variance across their own contracts is directly against their interests. they benefit from building owners not knowing. you are the one who breaks the asymmetry. that means the incumbents are structurally incentivized to ignore you until you are too embedded to remove at 50,000 elevators you are not a monitoring company. you are the independent intelligence layer for a $9B market. insurers buy your failure prediction data to price liability policies. CRE investors buy your benchmarks for due diligence. equipment rating platforms license your quality scores. the monitoring was the wedge. the data is the exit at $30-40M ARR with 75%+ margins and a proprietary data asset that has no comparable alternative this sells for 15-20x to a strategic in building technology or insurance data. or it keeps compounding and never sells at all because why would you?

@paulswaney3 They then follow up at 8.05 and ask are you joining.

Absolute garbage humans drop random calender invites as cold mails

@MSUKyleBrown @Jason Definitely possible! I guess the barriers are: access to the US market when not being a citizen isn’t as easy as being one and living here, getting new citizenship, visas for coming to the US as a non US citizen, their lives are here.

@OperatingIntern @Jason What’s to prevent them from renouncing their citizenship

Ro has to go

@BoringBiz_ Thanks for flagging. Just applied.

If AI was killing private equity and credit, why is Anthropic paying $300K/yr to build partnerships with them?

@MSUKyleBrown @Jason Would they? US citizens are subject to federal taxes globally

@Jason Oh great so now instead of all the wealthy taxpayers moving from CA to TX and FL they will move from the US to another country 🤦‍♂️

@ShowMeYourCIM United Site Services went into bankruptcy in December. Terrible business and terrible service. And, not an easy simplified industry as he describes. This is the vending machine course selling Twitter crew trying to diversify into more shit can (pun intended) courses.

Future waste haulers: you aren’t making shit with 20 cans. Count on 150-250 toilets keep a small truck busy. But trucks break, so you need a spare. 300 potties is a good start so you don’t have a truck wasting money in the yard all day, but you still have some capacity. This is all highly location dependent on utilization, route density, and most importantly, disposal fees. So YMMV. Maybe potties rent for $150 a week in Trenton’s area, but it’s $150-$200 per month for most of us. In waste hauling, fees charged vary wildly with disposal costs. I was renting rolloffs for $425 for a 30 yarder with tipping fees at $24/ton in Dallas. While another owner was charging $950 for the same size in the Bay Area. Was he making $525 more in margin on each haul? Of course not. His distances to the landfill and eye watering tipping costs took care of that. Mute grifters.

@paulswaney3 Was he wearing the boots though?

@blueprintsmb22 100%. This is another pretty well known story about something similar. KKR and CHI doors. podcasts.apple.com/us/podcast/pri…

To me, this is the biggest flex one can do outside of having a family and friends that love you unconditionally. x.com/Bitcoin_Teddy/…