Introduction

This seminar provides an understanding of the essential fundamentals of corporate finance, financial strategy and financial management. Contemporary practical examples are presented together with the theoretical principles to make the theory come to life. The overriding objective of this seminar is to present a number of integrated and powerful principles to help develop analytical skills and the decision-making capacity of the participants.

It will enable you to:

• Appreciate the importance of using the appropriate financial strategy to create shareholder value above market expectations

• Consider how corporate behaviour impacts on achievement of corporate objectives, and the importance of corporate governance

• Understand financial strategy relating to stages of corporate development and capital structure

• Use and evaluate the various techniques of capital investment appraisal

• Effectively manage cash and working capital to reduce costs and improve cash flow

Objectives

At the end of this seminar delegates will be able to:

• Use and evaluate the various techniques of capital investment appraisal

• Develop appropriate financial strategies

• Relate financial strategy to business strategy

• Effectively manage cash and working capital to reduce costs and improve cash flow

Methodology

A mixture of exercises and real life case studies, examples and videos make this a lively and interesting seminar. There is a strong emphasis on practical application of the ideas within the delegates’ organisation. Delegates are encouraged to complete a learning and action plan to focus them on and help them to apply their new knowledge and skills.

Organisational Impact

• Implement appropriate measures that can add value to the organisation

• Appreciate the importance of selecting the appropriate financial strategy to maximise shareholder value

• Consider risk and its impact on company financing

• Evaluate the cost of equity and the cost of debt capital

• Look at capital structure and financial strategy in terms of the life cycle of the business, and the weighted average cost of capital (WACC)

• Consider the appropriate financial strategies for use in mergers, acquisitions, restructuring and reorganisations, and appropriate takeover bid defences

Personal Impact

Participants will be able to further develop their personal management skills by being able to:

• Make more informed and improved management decisions
• Consider why corporate objectives may not always be achieved and what may be done to eliminate dysfunctional corporate behaviour and align corporate goals
• Understand how to measure their own contribution to the creation of value for the shareholders of the business
• Appreciate why some financial strategies are more effective than others with regard to value creation
• Use the financial tools available for effective management of working capital
• Provide knowledge that can be shared amongst other departments of the company

Outlines

Day 1 Financial Strategy and Corporate Behaviour

• Corporate Objectives and Financial Strategy

• Financial Statements – Analysis and interpretation (Part 1)

• Risk and Company Financing

• Cost of Equity and Debt Capital

• Agency Theory

• Corporate Governance

• Financial Statements regulatory

Day 2 Financial Strategy and Stages of Corporate Development

• Financial analysis – Analysis and interpretation (Part 2)

• Strategic Development – Analytical Techniques

• Du Pont Analysis

• The Business Life Cycle

• Capital Structure and Weighted Average Cost of Capital (WACC)

• Dividend Policy

• Cash & Working Capital

• Working capital ratios

• Z scores & Credit Ratings

Day 3 Costs & Value Management

• Cost and Value

• Cost Analysis and control

• Strategic approaches to cost reduction and cost management

• Cost Structure and breakeven

• New theories and practice in cost analysis. control and management

• Value management

• Value based pricing

• The Value chain

• Financial strategy and integrated cost / value analysis

Day 4 Budgeting, Planning and Business Strategy

• Strategy models

• Business Strategy related to financial strategy

• Planning and budgeting models

• Linking budgets to business and financial strategy

• Build Managing

• Delegating budgets effectively

• Beyond Budgeting

 Day 5 Investment Strategy

Capital Investment Decisions

• Discounted Cash Flow (DCF)

• Evaluating Capital Investment Projects

• Comparison of Alternative Methods of Investment Appraisal

• Capital Budgeting

Restructuring, Reorganisations, Mergers and Acquisitions

• Reasons and Justifications for Mergers and Acquisitions

• Share Valuation Models and Financing Acquisitions

• Financial Strategy in Acquisitions and Takeover Bid Defences

• Business Restructuring and Reorganisations