Financial Modelling for Corporate Finance

Master proven techniques for best practice modelling resulting in better models built faster

• Learn to work with the powerful and easy to follow Forvis Mazars Financial Modelling methodology
• Discuss and identify good vs. bad modelling techniques using real-life examples
• Greatly increase consistency amongst your team in calculation technique and presentation

Design a model structure

• Investigate the key modules of a model: Understand the building block components
• Understand the design flow of the model builder
• Build fluid timing architecture with binary flags suitable for all modules of the model
• Develop a layout hierarchy: Focus on custom styles to ensure a transparent, well presented model

Build a model engine of the target company

• Use best practice to build operations for a company, from revenue to results
• Calculate revenue from multiple units and time variable pricing
• Model operational costs, both fixed variable

Improve your modelling with realistic cashflow impact of working capital and related matters

• Learn how to build working capital into existing models without changing the structure
• Understand the impact of working capital on the cashflow
• Discuss common errors in modelling working capital and ways to model around them

Finalise financial statements to make a fully integrated three-way model

• Add capital programme and construct best practice depreciation calculations
• Complete P&L statement and build balance sheet and cashflow waterfall
• Explore the company’s net asset position and understand its role in valuation assessment

Calculate the weighted average cost of capital (WACC) using capital asset pricing model (CAPM) for robust valuations

• Discuss the theoretical underpinnings of CAPM and why it is used
• Derive the WACC formula and model it in Excel
• Learn how to estimate betas from actual public market data

Learn key techniques for terminal value analysis

• Understand why terminal value isn’t appropriate in some valuation models
• Learn how different factors affect the impact of terminal value on a valuation
• Calculate terminal value using the perpetual growth model and other methods

Complete a best practice discounted cashflow (DCF) valuation

• Discuss NPV from first principles and apply XNPV functionality
• Integrate a dividend policy and restrictions into model and understand its impact

Benchmark your discounted cashflow (DCF) analysis

• Learn the pros and cons of using any single valuation technique
• Compare DCF valuation outputs with EBITDA and transaction multiples

Integrate a powerful scenario manager and enable informed decision making

• Save critical time and deliver rapid analysis using our approach to scenario management
• Transform scenarios into yet another way to test the model in all scenarios
• Build confidence in your analysis through pre-programmed combinations of model inputs