This program is a part of a series of (1) day workshop styled training seminars offering comprehensive training for credit analysts/lenders. Ideal training for preparing new credit analysts for their responsibilities in today’s difficult economy. Attendees start with the basics of financial statements and complete the training by acquiring advanced credit skills. Experienced credit analysts/lenders can sharpen existing skills and obtain advanced tools by attending a specific seminar. Commercial Financial Analysis provides attendees both technical & interpretive analysis skills required in commercial lending. Additionally, attendees gain an understanding of the requirements for underwriting commercial loans in today’s business environment. Registration is per day. It is not required that you attend all 3 days of the training.
Day 1: Introduction to Financial Analysis
Day 3: Advanced Financial Analysis
June 28, 2023
8:30am-4:30pm
Member Fee: $265
Non-Member Fee: $465
Attendees analyze a loan request for an owner occupied commercial real estate loan and working capital line of credit. Within the case study, attendees learn how analysts assist lenders in obtaining and processing financial & business information. Attendees will also learn how to generate a set of key questions and determine the strengths/weaknesses of a commercial borrower.
Financial Ratios: Participants learn how to calculate and interpret the borrower’s key financial ratios covering profitability, liquidity, leverage and debt service coverage, including:
- Return on Sales
- Return on Equity
- Return on Assets
- Current Ratio
- Quick Ratio
- Debt to Worth
- Cash flow to Current Maturities
- Interest Coverage
- Dividend Payout
- Average Age of Accounts Receivable
- Average Days of Accounts Payable
- Inventory Turnover
- Total Asset Turnover
Cash Flow Analysis: Using the borrower’s S Corporation 1120S federal tax return, Schedule L, M-1, M-2 and K-1, attendees construct a cash flow statement, evaluate projections and analyze the company’s capacity to service debt. Emphasis is given to factors that could impact global cash flow and debt service capacity.
Working Capital Analysis: Attendees learn how to estimate the borrower’s working capital requirements. We review the business factors that could impact working capital.
Prior attendees to Introduction to Financial Analysis or lenders desiring to learn how to use quantitative and analytical tools in a commercial credit analysis.
Jim Shreve has 25 years in commercial lending/credit administration with Texas Commerce Bank, Houston, TX. At the time, the bank was the largest commercial lender in the state of Texas. Besides his lending/credit experience, he has over 10 years of extensive loan work-out experience during the tumultuous Texas economy of the 1980’s. He holds a Master’s in Finance and a B.S. in Accounting. Since establishing this training business in 2003, literally thousands of commercial banking credit analysts and lenders have attended his training seminars. His workshop styled approach to training is well known for providing a rewarding experience for all attendees regardless of their background, prior experience in lending or credit analysis.
Due to commitments we must make to secure a class, we need your help. If you must cancel your registration, please do so at least 3 business days prior to the seminar date to avoid a $125 cancellation fee per day per person. Any registrant who does not cancel will be billed the full registration fee and sent the manual. Substitutions are welcome at no additional charge.
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