Description
Introduction
Banks play a crucial role in allocating financial resources. Many companies in a country are dependent on the loans and credit facilities that banks provide. Meeting the demand of these companies for financial resources in a sustainable way will support social and economic developments. The workshop is intended to help future and current loan providers, investors and credit analysts to do their job efficiently and thoroughly.
Objectives
Analysing credit proposals is usually complex and under time pressure. The workshop is intended to help credit officers to make their life easier and more efficient by learning a ten-step approach, focussing on important issues only and having a clear view on the borrower’s future cash flows. Participants will be able to:
Judging future cash flows and assessing a credit risk rating by hand.
Helping the borrower to set reasonable financial goals.
Giving concise & clear recommendations to credit committees.
Programme
Our goal is to judge the level & stability of future cash flows of a company and to assess its creditworthiness. The following subjects are needed to make this judgment and will be covered in the workshop:
- Identifying warning signals in the cash flow statement
- Measuring the debt burden
- Judging liquidity
- Preparing a financial projection to assess future cash flow quality
- Drafting an industry analysis
- Assessing management quality and reliability of financial information
- The impact of the corporate strategy and business plans
- Assessing a risk rating by hand (= not by computer)
- Tips to write a clear and concise financial analysis
IN WHICH CASES IS THE WORKSHOP NOT USEFUL?
Cases about small, medium-sized and big companies are part of the program. The lessons learned are NOT useful to analyse every small/micro companies, financial institutions and commodity traders.
DAY 1
The Toolbox, a practical analytical framework
Calculating and analysing cash flows
Case "Warning Signals in the Cash Flow Statement"
Case "A profitable retailer going bankrupt"
DAY 2
Case "Financial projections"
The World Bank & U.N. about out-of-court debt restructuring
Case "A Wholesaler Needs to Grow"
Case "Unreliable Financials"
DAY 3
Case "A Franchise Company & Aggressive Management"
Writing tips & an efficient credit process
Case "A Possible Victim of Climate Control Measures?"
Case "Technological Disruption in the Car Industry"
DAY 4
Case "Two Clean Energy Companies"
Case "Oil & Mining"
Case "A Transport Company is Sold"
Conclusions & Evaluation
Target Audience
The workshop is created for professionals involved in extending and monitoring business loans and who are interested in tricks and tips to improve their efficiency. Both senior and junior staff will enjoy the real-life examples and the lively discussions. It is exciting and fun.
Prerequisites: knowledge about the basics of accounting.
Modalities
Course Material
Please note that for environmental reasons no paper version of the training material will be provided for your training. The course material can be downloaded free of charge via your portal before the start of the course (download the Client Portal User’s Guide here ). You will be able to view it on the screen of your mobile device or print it if necessary. If your registration has been made by a training manager of your company please contact him/her so that he/she can give you access to it or send it to you.
Exam
No exam is available for this course.
Contact
For further questions please contact our partner in your country