Introduction

This course offers insights into the world of corporate finance. The focus is on every responsibility area of the firm & how finance impacts what they do. To that end, this course offers an overview of the interaction between finance, management, and all other stakeholders. Because stakeholders’ demands are best met by an efficient allocation of resources, this course looks at that purpose.

Corporate Finance not only presents the key financial terms & tools as they are used in the real world but also explains the broader context of how and where they are applied to every area of the firm. Delegates attending this program will gain an understanding of the inter-relationship of financial decisions to the firm’s strategy. Additionally, an understanding of how decisions are made using the firm’s financial statements will tremendously help everyone manage the organization better

Key points include:

• Accounting vs. finance: the fundamentals

• How the 3 financial statements are inter-related & why we care

• The need to manage Working Capital

• Why Capital Structure can make or break a firm

• Capital budgeting that makes a difference

Objectives

This course will help you learn how to::

• Relate accounting & finance

• Analyze financial statements

• Make better capital budgeting decisions

• Use working capital more wisely

• Structure of the firm’s leverage to optimize the shareholder return

Target Audience

• Finance professionals, financial analysts, and corporate finance staff involved in decision-making and reporting
• Accountants and management accountants seeking to strengthen their understanding of financial analysis and corporate finance
• Business managers and department heads responsible for budgeting, investment decisions, and resource allocation
• Professionals working in planning, forecasting, and performance management roles across organizations
• Investment and project managers involved in evaluating capital projects and financial feasibility
• Banking, credit, and treasury professionals interested in corporate financial structure and working capital management
• Junior finance staff and graduates aiming to build a strong foundation in corporate finance concepts
• Anyone involved in analyzing financial statements or supporting strategic financial decisions within an organization

Course Outline 

Day 1: Introduction to Accounting & Finance

• What is Accounting vs. What is Finance
• Differences between financial accounting and management accounting
• The role of finance in organizational decision-making
• Impact of financial decisions on business performance
• Planning, forecasting, and budgeting overview
• Overview of financial statements (Balance Sheet, Income Statement, Cash Flow Statement)
• Understanding non-cash items (Depreciation, Amortization, Depletion)
• Book value vs. market value

Day 2: Financial Statements & Business Analysis

• Structure and interpretation of financial statements
• Interrelationship between the 3 financial statements
• Financial performance analysis basics
• Understanding profitability and efficiency indicators
• Introduction to ratio analysis
• Financial decision-making using accounting data
• Case examples of financial statement interpretation

Day 3: Working Capital Management

• Concept of working capital and its importance
• Components of working capital (cash, receivables, inventory, payables)
• Liquidity vs. profitability trade-off
• Managing accounts receivable and credit policies
• Inventory management principles
• Accounts payable and cash cycle optimization
• Working capital efficiency ratios

Day 4: Capital Structure & Risk

• Concept of capital structure and its importance
• Equity vs. debt financing
• Cost of capital and Weighted Average Cost of Capital (WACC)
• Types of leverage (operating, financial, combined)
• Risk and return relationship in finance
• Impact of financing decisions on shareholder value
• Financial risk considerations in decision-making

Day 5: Capital Budgeting & Investment Decisions

• Introduction to capital budgeting process
• Estimating project cash flows
• Time value of money concept
• NPV (Net Present Value) and IRR (Internal Rate of Return)
• Profitability Index (PI) and MIRR
• Project evaluation criteria and decision-making
• Capital investment approval process
• Case-based application of investment decisions