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sangh (Business)

At its most basic a sangh is a mission driven organization that has a grouping of businesses. Each sangh has a set of core goals and a P&L.

Structure​

  • Legal.
    • Legal Entity
    • Bank Account
    • Stripe
  • WhatsApp Community. Shared WhatsApp Community with a group for the Sangh.
  • Github Orgainization
    • main repository. Look at the sakha structure for rest of the structure.
      • ledger. hledger powererd accounting system.
    • Github Project
  • Google Workspace
    • Drive. Shared Drive for the sangh.
      • Legal.
  • Apollo.io
  • AWS. We use AWS for all cloud infrastructure.
  • Cloudflare. We use Cloudflare for all DNS and CDN.
  • sakha. Incorporate the sakha structure as well.

Limited Scope

I do not intend to cross pollinate too much between the different business units (sakhas) so all decisions for the most part will be made at the sakha level. The sevakas will work as a small team within the sakha and will be responsible for the day to day operations. Each sakha will operate independently.

So what does this mean for the Sangh level operations? The sang will largely be focused on finance, legal, and infrastucture. Everything else will be pushed down to the sakha level.

What consistitutes finance, legal, and infrastructure?

  • finance
    • bookkeeping
    • tax filings
    • financial statements
  • legal
    • contracts
    • incorporation
    • IP protection
  • infrastructure
    • cloud infrastructure
    • DNS and CDN
    • email and communication systems
    • lead scrapers
    • social media automation
    • common git templates and actions

Nearly everything else will be pushed down to the sakha level.

Fortress Balance Sheet​

We use a cash based accounting system making it easy to track cash flow. Because of this our financial statements become easier to generate and understand. But we have hyperspecific metrics that we track to ensure that we are building a strong business.

MetricGoalFormula
Revenue Growth30% per year
Asset Growth30% per year
Free Cash Flow Growth100% per yearFree Cash Flow = Net Income + Depreciation and Amortization – Changes in Working Capital – Capital Expenditures
ROIC30%ROIC = (Net income – Dividends) / (Debt + Equity)
Debt-to-Free Cash Flow400%
Debt-to-Asset25%
Effective Tax Rate12%

Bibliography:

Inspiration​

If I have seen further, it is by standing on the shoulders of giants.

Sir Isaac Newton