Cash-On-Cash Yield

We all know and love the wonderful Uber drivers who give up their Friday nights so we can chauffeur us around town. They get us home safe and sound at 3 am, and charge less than cab drivers.

To Uber, cash-on-cash yield comes from the money the driver makes using his or her car. Cash-on-cash yield is cash flow that comes from the use of an asset. In the case of our Uber driver, his car is the asset, and our cash is the return.