Financial Modeling for the Finance Department 2023 | Schwabe, Ley & Greiner | 21 November 2023 | Online Event

Not only the Covid crisis has underlined the importance of integrated corporate planning for the simulation of a wide variety of scenarios. Well-founded simulation results "at the touch of a button" are also crucial when evaluating investment projects or savings programs. We have many years of experience from customer projects in the modeling of business plans, project financing or M&A projects. On this basis, we designed a 2-day training course in which the participants set up their own financial model with our support. The financial model contains flexible input factors as well as automatic checks to check the model consistency and is created according to the internationally recognized FAST standards. The results of the financial model provide the answers to the central treasury questions: liquidity requirements.

Main topics:
Basics for practice
• Financial Modeling: Objectives, Golden Modeling Rules, International FAST Standard
• Accounting: model-relevant relationships between income statement, balance sheet and cash flow statement
• Excel: Tips on helpful settings, avoiding circular references

Construction of a financial model based on a case study
• Basic structure: structure of the input sheet and technical auxiliary calculations (timing, counters, flags, indexing, etc.)
• Operational planning: modeling of the revenue structure and cost drivers
• Financing structuring: modeling a repayment
• loan and a working capital line (utilization taking into account blocked/trapped cash)
• Working capital: modeling of trade/net working capital (based on DSO, DIO, DPO, etc)
• Taxes: Modeling of tax implications
• Dividends: Modeling of distributions, taking into account limitations (e.g. balance sheet profit)

Creation of a management cockpit and reporting
• Liquidity Needs: Derivation of liquidity peaks and funding needs, taking into account off-balance sheet positions and cash swing
• KPI analysis: Monitoring of financial covenants and common KPIs (working capital, etc.)
• Credit assessment: Rating creation based on market indicators
• Sensitivity analyzes using selected value drivers

2023 Speakers

Bernhard Kopinits
Senior consultant, Schwabe, Ley & Greiner -

Christof Kornfeld
Senior Consultant, Schwabe, Ley & Greiner