Wonderful Businesses

Wonderful Businesses - Criteria & Characteristics sought after by Warren Buffett in identifying Solid Business Models

*   Strong Franchises and thus Freedom to Price the company's Product or Services

*   Simple and Easily Understandable

*   Good Return on Investment Capital

*   Low Debt Level

*   Receive Revenue & Profits in Cash

*   Predictable and Consistent Earnings

*   Not natural targets of Regulations

*   Companies with "moats" that shield them from competition

*   Have Low Inventories and High turnover of Assets

*   Good Alignment of Management's Interests with Company's Objective

*   Looks for companies where external sources (suppliers, customers) are helping to fund the business and require little external additional capital

*   Anybody can run the business - it does not take a genius to run the Business

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