Financial Modeling and its Business Applications

Name: Financial Modeling and its Business Applications
Rating: 4.7 (39 reviews)

Fundamentals and concepts of building a financial model from scratch using a real-world client’s work-brief

Created byVictor ogundele

Last updated 11/2022

English

What you'll learn

Understanding how the business operates and how it flows into financial modeling concepts
Understanding business & accounting cycle in business and financial modeling.
Getting Information/data needed to build a financial model with the use of an Information Request List document (using a client-based practical case study).
Building a professional model template.
Extracting and structuring of Inputs using FAST Standard.
Building the calculations and schedules.
Creating the projected financial statement (profit or loss, balance sheet, cash flow statement).

Course content

11 sections • 89 lectures • 5h 15m total length

Welcome to the Course3:14
Meet the Facilitator2:22
Watching the Course0:47
The Financial Model Project Walk-Through3:45

Overview of the Components of a Model3:30
Understanding Components of a Model3:26
Basic Toolkits used in Financial Modeling2:19
Learn the financial modeling toolkit with basic formulas for growth and arithmetic operations, and apply boolean logic like greater-than, less-than, and equal-to to keep models simple and forward-looking.
Absolute Forecast Formula Toolkits in Financial Modeling4:30
Negative Forecast Formula Toolkits in Financial Modeling2:17
Download the Presentation Document

Understanding BASE Schedule in Financial Modeling2:40
Kindly download the presentation document attached
Understanding BCE and OWC in Financial Modeling2:35
Sample of Line Item Schedules in Financial Modeling2:39
Download the Activity File0:01
Building a BASE Schedule with an Example4:49
Kindly download the Activity File and use the video as a step by step guide.
Building the BCE Schedule with an Example4:11
Building Operating Working Capital Schedule with an Example5:15
Kindly download the Activity File attached
Kindly download the Activity File0:01

Planning the Model Template Structure with Microsoft Excel2:55
Setting the Model Template to a Printable Format3:00
Duplicating Worksheet in the Model Template1:36
Creating Model Style Guide4:08
Creating Cell Style Guide Sample3:31
Modifying & Editing Cell Style Guide3:24
Setting up the Table of Content3:14
Finalizing the Menu Information3:50
Creating the Model Template Cover Page3:06
Layout of the Worksheet Headings3:38
Yearly Worksheet Sample Layout3:46
Monthly Worksheet Sample Layout and Duplicating Worksheet3:40
Creating Hyperlinks to the Table of Content3:49
Color Coding the Worksheet2:10
Kindly download the documents attached.

Download the Activity File0:01
Reading through a Client Workbrief4:46
Extracting the General Assumptions5:11
Extracting the Inflation Factor5:01
Extracting other macroeconomic assumptions5:43
Extracting the Funding Assumptions4:17
Extracting the Cost of Funding Assumptions5:52
Extracting the Use of Funds Assumptions7:08
Structure a financial model by mapping use of funds to items like registration, professional fees, assets, inventory, and marketing, and automate the funding balance.
Extracting the Pricing & Unit Cost Assumptions3:09
Extracting the Quantity Assumptions4:01
Extracting the Personnel Assumptions4:17
Extracting the Operating Cost Assumptions4:05
Extracting the OWC Assumptions2:59
Creating Group Outline5:45
Download the Activity File0:01

Calculating Cost Incremental Factor6:13
Link inputs to calculations to keep the model navigable while applying macroeconomic assumptions. Use two inflation approaches—inflation index and growth—and enable client updates by converting inflation to an index.
Calculating Pricing Incremental Factor3:57
Building the Equity Schedule5:23
Building the Debt Schedule7:16
Use of Funds Classification3:33
Classify the use of funds by linking business registration, assets, inventory, awareness, and working cash to total funds raised, and organize pre-operational and operating expenses, capex, and cost of sale.
Starting with the Assets Schedule4:07
Building the Asset Schedule6:20
Building the Watefull Asset Depreciation5:16
Building the Revenue Calculation5:04
Building the Cost of Sales Calculation3:41
Building the Salary Schedule3:47
Build a salary schedule by linking inputs, applying the inflation index, and calculating total salaries across staff over 12 months for auditability.
Building the Opex Calculation2:36
Building the OWC Schedule4:46
Download Activity File0:01

Building the Income Statement Top Line Item4:05
Building the Income Statement Operating Profit6:19
Building the Income statement Net Profit5:58
Download the Activity File (Income Statement)0:01
Building the Balance Sheet Assets3:45
Building the Balance Sheet Liabilities and Equity4:44
Download the Activity File (Balance Sheet)0:01
Building the Cashflow4:58
Building the Cashflow Schedule4:08
Download the Activity File (Complete Model)0:01

Requirements

Knowledge of Accounting, Microsoft Excel, and Finance

Description

This course adopted a practical and hand-holding approach to understanding and applying financial modeling concepts to business. The concepts covered in this course will serve as a base for building any financial model.

This course has been developed using tested materials, and practical techniques used in real-world business applications. It will teach you a step-by-step guide to building a financial model for a business that has no historical data, or financial.

What you will learn:

Understanding how the business operates, and how it flows into financial modeling concepts.
Understanding business & accounting cycle in business and financial modeling.
Getting information/data needed to build a financial model with the use of an Information Request List document (using a client-based practical case study).
Building a professional model template.
Extracting and structuring of inputs using FAST Standard.
Building the calculations and schedules.
Creating the projected financial statement (profit or loss, balance sheet, cash flow statement).

The prerequisite skills needed for this course are:

Accounting: ability to build and interpret 3-financial statements and understand how the financial statements are linked.
Finance: understanding the fundamentals of finance, understanding investment evaluation, and application of macroeconomic factors in forecasting.
Microsoft Excel: application of formulas and functions in Microsoft Excel.
Analytical skills: ability to analyze and interpret data.

Who this course is for:

Financial Modelers, Finance Analyst, Investment Analyst, Valuation Analyst, and Financial Adviser

Financial Modeling and its Business Applications

What you'll learn

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Course content

Welcome to the course4 lectures • 10min

Concepts of Financial Modeling and Business Operations7 lectures • 20min

Component of Modeling5 lectures • 16min

Schedules In Financial Modeling8 lectures • 22min

Structure of Financial Statement5 lectures • 18min

Creating a Professional Model Template.14 lectures • 46min

Getting Assumptions in Financial Modeling6 lectures • 25min

Extracting Assumptions for the Model Build15 lectures • 1hr 2min

Calculations Schedule14 lectures • 1hr 2min

Building the Projected Financial Statement10 lectures • 34min

Requirements

Description

Who this course is for: