Who Should Attend
This cash flow modelling course is designed for corporate credit bankers who are at a more advanced stage of their corporate credit careers, usually with over five years’ experience, who are beginning to structure corporate deals and need to understand the principal credit terms and conditions that can be used to mitigate credit risk through the loan structure.
It is therefore especially useful for corporate credit banking executives who have already developed a good working knowledge of holistic corporate credit risk analysis but who want to enhance their knowledge with applied techniques in cash flow analysis, creation, forecasting and debt and loan structuring.
As part of the case study work incorporated in this course, delegates will devise financial projections and forecast cash flows using excel cash flow models provided by the trainer. A working knowledge of Microsoft Excel will, therefore, be a strong advantage for the completion of the course.
Course Overview and Content
Fundamental to the course content is to empower the delegates with the knowledge of how to assess the client’s ability to make a success of their businesses over time and therefore how to generate sufficient levels of free cash flow to repay their loans. Through the use and application of financial modelling and sensitivity analysis using Microsoft excel, this programme allows the delegate to measure anticipated risk impact on the client’s corporate cash flows and client debt repayment through the Debt Service Coverage Ratio.
We will use applied real world debt structuring in banking case studies and their financial models to understand the impact of credit risk on cash flow generation. We will therefore structure and sensitise base case and downside case lending scenarios as part of our debt structuring to ensure the creation of loan repayment schedules that can be realistically repaid from anticipated cash flow while protecting the bank’s debt exposure.
In addition, the programme will focus of structuring the loan agreement to include secondary sources of debt repayment including guarantees, asset pledges and other covenants that should be included in the term loan document to protect the bank’s exposure.
This online training programme will be delivered through a highly interactive online platform. The course will be separated into eight, 90-minute sessions which will be delivered over three consecutive days. Delegates will work through case study exercises and questions in project groups and with the course trainer.
The learning techniques will be a mixture of formal presentations, written materials, assignments and case studies with a heavy emphasis on learning through analysing practical examples of corporate loan candidates. All the case studies will be used from real-life working examples and can include client companies of the bank, particularly non-performing loans. Sharing already developed knowledge and learning to work closely in solving practical issues, is a core to the learning methodology of this programme.
The workshop is designed with active delegate participation as a core theme of the workshop. Delegates will be required to present their findings and solutions to their colleagues in class via the screen sharing option available through the online platform.
Additional reading and preparation
In order to maximise the training time available to delegates during the daily online sessions, we will be asking delegates to prepare work between the sessions. This will include reading case studies in advance and preparing some discussion topics for the following sessions.