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Project Finance Debt Ratios & Sculpting (DSCR LLCR PLCR)
Rating: 4.8 out of 5(7 ratings)
28 students

Project Finance Debt Ratios & Sculpting (DSCR LLCR PLCR)

Say "Goodbye!" to spreadsheet errors and confusion with the help of this special laser-focused course!
Last updated 7/2024
English

What you'll learn

  • You will understand high-level objectives of using project finance debt ratios
  • Understand difference between 'descriptive' and 'prescriptive' ratio use
  • Understand the different risk information communicated by ratios
  • You will master the hardest ratio of them all - the LLCR!

Course content

3 sections22 lectures1h 53m total length
  • Introduction6:34
  • The 'Golden Rule' of Project Finance!3:17

    Follow the golden rule: read and model exactly what's in the legal documents, because terms binding debtors and creditors dictate DSCR, LLCR, PLCR, and debt sculpting.

  • The big picture: what is it all about?3:17

Requirements

  • Some familiarity with project finance / non-recourse debt

Description

Project Finance models are among the most complicated spreadsheet models in the whole of finance.

You have to deal with complexity on several fronts, and your prior experience outside of the field may have done little to prepare you for it.

Most project finance courses will serve you the entire skillset and theory you need as a modeler, all at once. But for many analysts I have spoken to, that is simply too much information at once. And in a well-intentioned effort not to overload students, course-makers end up leaving out many significant details.

This course takes a different approach.

It gives you a narrow, laser-focused examination of issues that are central to any project finance deal:

  • How much debt is going loaned to the company?

  • How is it going to be paid back?

Project finance models answer critical questions with mathematical procedures centred on project finance debt ratios.

This course will look at all the project finance ratios, along with mathematical explanations about how, and why they work… (instead of asking you to just copy them and trust that they do.)

You will finally gain clear-minded understanding, and be able to spot and avoid errors that trip other analysts up... and which may even be lurking in the model you have inherited.

All this will help you work, faster, more confidently, with lower risk of error - a great reward for your investment.

Who this course is for:

  • Junior analysts, associates, (and any seniors getting back into modelling work!)