Training
We offer bespoke training courses on financial modelling, company valuation and advanced data analysis in. As a visiting lecturer at City University, Simon created the highly successful Financial Modelling in Excel course and has taught Financial Modelling & Corporate Finance courses for Abu Dhabi Investment Authority, Citigroup, The Investor Relations Society, Nomura and RBS
Our training courses can be tailored to your needs but have at their core a focus on building models that are simple, robust, flexible and transparent. These courses tend to be 10-20 hours in length and can be delivered as intensive study our spread out over a number of weekly sessions. We can travel to any UK location to deliver training. We have listed below 3 course outlines below as an illustration of the training we can offer.
Illustrative outline for Financial Modelling Course
1) Using Excel efficiently and modelling best practice
- Course Structure:
- Setting Excel Defaults
- Custom Number Formats
- Using styles within Excel
- Keyboard shortcuts
- Customising the Quick Access Toolbar
- Modelling Best Practice: Design consistency,
- Modelling Best Practice keeping unique formulae to a minimum; Limiting formulae complexity;
- Separating inputs, calculations outputs;
- Using Range Names
2) Forecasting the Income Statement and Balance Sheet
- The Structure of the IS
- Revenue Patterns
- Different revenue drivers for different industries
- Cost Behaviour
- Lookups ( VLOOKUP, INDEX & MATCH)
- The structure of the balance sheet
- Forecasting PPE
- Forecasting Working capital
- Working Capital Days
3) Forecasting the cash flow and modelling complex debt structures
- The Structure of the Cashflow
- The interest calculation and the circularity issue
- Adding in forecasts for taxes, depreciation & dividends
- Recap on financial statement forecasting
- Building in error traps into the model
- Sumif Formula with an inexact condition
- Data validation
- Modelling Complex Debt Structures: The debt hierarchy.
- Modelling Complex Debt Structures: Creating debt rules
- Modelling Complex Debt Structures: An LBO model
- Modelling debt covenants and debt headroom
4) Sensitivity analysis
- Models, best estimates and the flaw of averages
- An introduction to sensitivity analysis
- Different forecast scenarios
- Using Data Tables
- Tornado diagrams
- A brief introduction to Monte Carlo Simulation
5) Advanced modelling techniques
- Introduction to macros
- Using the camera tool
- Macros: Basic Security issues
- Using Solver & Goal seek
- Using user forms
Illustrative outline for course in Data Analysis & Visualisation using Microsoft Excel
1) Thinking about data:
- Classifying data into numerical, ordinal, categorical, date and string data types
2) Sourcing & Extracting Data:
- Importing data from external databases
- Web scraping
3) Organising Data:
- Tables in Excel
- Range Names
- Dynamic Range Names
4) Cleansing & Validating Data
- Using Text Functions to extract information from data strings
- Cleansing Dates
- Data Validation
5) Manipulating Data:
- IF Statements and Boolean alternatives
- Sumif(s), Countif(s) and Averageif(s) formulae. Creating equivalent formula for
- Maxif(s)
- Pivot Tables
- Power Pivot
- Lookup Functions
- Data Sorting & Filtering
- Data Mining add in
- What if Functionality (Goal Seek & Data Tables)
- Using Solver for Optimisation problems
- Array Formulae
6) Classifying Data:
- K means clustering in excel to segment data populations
7) Predicting & Testing Data
8) Visualising Data
- From Florence Nightingale to Steven Few: A very brief history of data visualisation
- Gestalt Principles of data visualisation
- Data Visualisation in Excel: Using Excel charting functionality in Excel 2013 and
earlier versions - Using add ins and workaround to tackle visualisations not possible in Excel 2013 and
earlier versions (waterfall charts, treemaps) - New visualisations in Excel 2016
Illustrative outline for course in Valuation Modelling/Corporate Finance
1) Financial modelling best practice:
- Some basic rules for making your model transparent and user friendly
2) The model starting point: An integrated set of P&L, Balance Sheet & Cash Flow forecasts
- The Structure of the P&L
- Revenue Patterns
- Cost Behaviour
- The structure of the balance sheet
- Forecasting PPE
- Forecasting Working capital
- Working Capital Days
- The Structure of the Cashflow
- The interest calculation and the circularity issue
- Adding in forecasts for taxes, depreciation & dividends
- Recap on financial statement forecasting
- Building in error traps into the model
3) An overview of valuation methodologies: Absolute & Relative approaches to valuation
4) Absolute valuation methodologies – The discounted cash flow:
- The constituents of an enterprise discounted free cash flow: What is included what is not
- Coming up with an appropriate discount rate
- Sense checking the numbers: What does the cash flow tell us about predicted returns on capital? Is this realistic?
- Choosing a terminal growth rate
5) Relative Valuation approaches:
- An overview of possible relative valuation metrics to use (Sales based, cash flow based, profit based, asset based)
- What metric is most appropriate for your business
- What timeframe to look at
- What reference points in terms of companies and indices to use in relative valuation
- When to use asset based multiples