Introduction

This course offers profound information into the most components that are important to the successful financial management of companies. In an unclear economic environment, manager got to be mindful of the power and importance of key stakeholders – shareholders, bankers, customers and suppliers. Managers must efficiently allocate resources, whilst recognising environmental and ethical concerns, controlling risks, and effectively communicating strategy and performance.

This course will introduce learners to the terminology and techniques that are commonly used in corporate finance, and will provide deep experience in terms of content, discussion, and case study working.

Objectives

Understand and assess company financial reports.
Determine sources of capital, and capital structure.
Identify and appraise wealth-generating investments.
Recognise, quantify, and control financial risk.
Apply rules of good corporate governance.
Course Outline:

Day 1

Finance and financial information

The importance of finance in any business.
The importance of financial knowledge – internal and external.
The corporate annual report and the financial statements.
Capital employed: long – term assets and working capital.
Analysing financial statements for profitability, liquidity, efficiency & financial structure.
Investment ratios and market data sources.
Day 2

Financing the Business and Capital Structure

Kinds of long term finance.
Kinds of short term finance.
Calculating the Cost of Equity – what your shareholders expect.
Calculating the Cost of Debt – it depends on your credit rating.
The weighted average cost of capital (WACC).
Choosing the best mix of equity and debt.
Day 3

CAPEX – Analysis of Investment Decisions

improving your business with new investment projects.
Preparing spreadsheet forecasts for investment appraisal.
Basic appraisal techniques: Accounting Rate of Return (ARR) and Payback.
Discounted cash flow appraisal techniques: NPV and IRR.
Capital Rationing and the Profitability Index (PI).
Dealing with risk in investment appraisal.
Day 4

Financial Risk Management

Risk and uncertainty in business.
How to manage risk – the four Ts.
Financing risk and operating risk.
Foreign currency risk management.
Interest rate risk management.
Role of Internal Audit, Audit Committee, and Chief Risk Officer.
Day 5

Corporate Governance

Identifying the needs of stakeholders.
The essence and development of corporate governance.
Corporate governance codes and regulation.
The role of the Board of Directors.
International corporate governance and the OECD.
Growing trends in corporate governance.