One of the sure -fire measures of a manager’s competence is the ability to allocate resources to create the most value for the enterprise. However, to effectively allocate resources to competing needs and projects, a manager must have the requisite tools to measure and evaluate the benefits, costs and resource – requirements for each project. The process of finding and effectively allocating the resources or funding for a project is at the heart of project modeling and finance.
In this course, we will take a fun and participant- driven approach to get an understanding of the basic building blocks of project finance and financial modeling. Specifically, the course takes a high-level approach to explaining the major concepts in finance such as corporate finance, capital markets and investments, financial statement analysis and capital budgeting, among others.
Further, we will take a deep dive into the unique areas of project financing, its setup and risk mitigation arrangements. We will then conclude with a conceptual review and practical exercise in generic project modeling as well as a discussion of the tools needed to critique project finance.
Learning Objectives
At the end of the training, participants should be able to;
- Use research tools to obtain information about project management and finance.
- Have a better understanding of project modeling and its variants.
- Gain an understanding of financial statements and accounting.
- Know the comparison to conventional financing and traditional lending.
- Develop typical projects in project finance.
- To know basic calculations and the common pitfalls in project modeling
Training Outline
- Trivia – Common Terms and Definitions
- Finance Taxonomy
- Financial Statements and Analysis
- Management Accounting
- Capital Budgeting
- Investments Analysis
- Comparison to Conventional Financing/Traditional Lending
- Typical Projects in Project Finance
- Project Finance Setup: Equity and Debt Financing
- Project Modelling – Components
- Structuring Considerations
- Project Milestones
- Cashflows
- Returns Analysis
- Basic Calculations
- Spreadsheet