By the end of the course, delegates will be able to:

• Interpret financial information presented by clients

• Arrive at a reasoned decision for granting (or refusing) a client’s lending proposal

• For Corporate Clients and Small Business Clients

• Define an acceptable monitoring and control process for client activity once the lending has been granted

• Understand how to structure a lending to give maximum available protection to the bank

• Explain how to spot adverse client activity – deliberate or unforeseen – which may indicate problems in repaying the lending

• Undertake the proper course to ensure that, a far as is possible, the bank’s asset – its lending – is repaid in full

Session 1:

Understanding Financial Statements

• Balance Sheets;

• How are they created?

• What do the respective sections mean?

• Where does the information come from?

• Profit and Loss Accounts;

• How do they differ from Balance Sheets?

• What information is included?

• Where does that information come from?

• Budgets and Cash-Flow Forecasts;

• Why are these so key in Lending Appraisal?

• What do they tell a lending banker?

• More-importantly what do they not tell a lending banker?

Session 2:

Analysing Financial Statements

• Analysis of the trends and ratios in the financial statements covering;

• Liquidity

• Security

• Profitability

• Financial Management and Efficiency

• What do these trends tell a lending banker and what do they not tell a lending banker?

Session 3:

Corporate and Small Business Clients

• Analysis of Corporate and Small Business Client lending propositions

• Understanding that different types of company need different ways of evaluating lending

• Managing and monitoring the lending

• Security;

• Is it necessary?

• What company security can we take and how do we take and perfect our security?

Course Close