Skills for building financial model
INTRODUCTION
The aim of the course is to help participants understand the underlying factors that formulate a model, and how to think about the task of developing a model in the first place. Where do I start?
Understanding financial statements and how they are integrated into a model for analysis is explained and illustrated, then followed by a gradual introduction of other elements that are useful for analysis.
What to analyse and how to analyse based on step-by-step examples and good practice is explained.
The course also infiltrates a detailed case study/example of a company that has both a construction and operations phase. It integrates many of the powerful functions and commands of Excel to create a model based on this example. This construction includes financial statement development, valuation and debt ratio analyses.
PROGRAM DESCRIPTION
- Examine relevant functions and commands of Excel for building models
- Define a financial model, its purpose, structure and common errors
- Key elements of best practice model design
- Build a case study model:
– The skeleton structure, construction and operation pages
– Creating assumptions, calculations, dates, worksheets, debt schedules, ratios etc.
– Identify scenarios and incorporate breakeven, what-if and payback analysis
- Document, summarise and present results
- Build an integrated set of financials, income statement, balance sheet and cash flow.
WHO SHOULD ATTEND
Business and finance analysts, general managers, finance managers, government analysts, investment managers, CFOs and finance directors, bankers, accountants and those in corporate/structured finance.
HOW WIL YOU BENEFIT
Construct and sensitize a highly complex leveraged model including valuation and debt capacity
- Projecting a company′s income statement from revenues and expenses down to net income
- Build an integrated set of financials, income statement, balance sheet and cash flow.
- Approaching building an integrated cash flow statement
- Building each component of the cash flow statement
- Become super-efficient in Excel through intensive use of keyboard shortcuts and best practices