usually it is used to describle nouns
like [tomodachi no uchi]
means friend's house
the word b4 and after [no] must be nouns(place/person)
some other examples:
[tomodachi no imouto]
friend's younger sister
[kuruma no kaisha]
car company
[nihon no kaisha]
japan company
basically this is what I know so far from my learning.....