Course Overview

If you are not confident working with financial concepts and language, you are not alone! More and more, managers are expected to make financially based decisions without the assurance of a formal financial background.

Finance for the Non Finance Professional is an in-depth and practical two-day course that demystifies financial concepts and provides tools for enhancing your effectiveness as a manager.

By the conclusion of the course you will have more clarity, be able to connect the facts with figures and communicate easily in financial terms. You will be able to comprehend the content of financial statements, analyse and interpret financial information, understand the importance of cash flow and match your budgets to realistic targets.

What You Will Learn

  • How to interpret accounts, profit and loss statements and balance sheets
  • Use of financial ratios
  • Understanding accounts, accounting standards and rules
  • Control of working capital, stock, creditors, debtors and cash
  • Management accounting
  • Decipher the information in documents, and use it to manage day-to-day business activity
  • Comprehend the project financing, budgeting concepts as well as cash flow & Cash Management.

Benefits

  • Develop the financial competency to review financial dashboards and contribute in leadership meetings
  • Improve your ability to understand and communicate financial priorities, measures and issues to benefit the business
  • Build your confidence in speaking the financial language of your busines

Course Outline

The Accounting Process - from Transactions to Financial Information

  • Understanding of the sources of financial information
  • Accounting systems, terminology and concepts
  • Examine why the timing of a transaction is so important to the finance function
  • The accounting records: general or nominal ledger & trial balance
  • Debits and credits demystified
  • Income vs. expenditure, assets vs. liabilities, capital vs. revenue expenditure
  • P&L account vs. balance sheet: categorizations and their inter-relationships
  • Accounting concepts and the accounting rule book: accruals, prudence, substance over form, true & fair, materiality

Financial Statements Fundamentals:

  • Balance Sheet – understanding the equation
  • Income Statement
  • Cash Flow Statement
  • Statement of Equity
  • Notes disclosures
  • Accrual basis versus cash basis
  • Cash and Credit Cycle
  • Different methods of invoicing

Capital Investment Analysis

  • Payback period
  • Discounted Cash Flow
  • Net Present Value
  • Internal Rate of Return
  • Profitability Index

Trend Analysis

  • Horizontal Analysis
  • Vertical Analysis
  • Ratio Analysis
  • Financial ratios
  • Operational ratios
  • Valuation ratios
  • Understand working capital management

Cash Flow & Cash Management

  • Understand why and how cash is king
  • Focus on ways a business manages this most important resource
  • Highlight the importance of cash flows in analysis and forecasting
  • Cash vs. profit: why profit does not tell the full story and the importance of cash
  • Examining how cash flow statements
  • indicate the stability, adaptability and long term potential of a company

Project Finance

  • Capital and operational expenditure;
  • Justification and prioritization – ROI, ROE and COO;
  • Accumulation of project costs;
  • Approval, control and authorization;
  • Labour and material costing.
  • Contract review of project stake holders

Budgeting Concepts

  • Introduction
  • Budget Planning Process
  • The budget and the functions of management
  • Budget as a planning tool
  • Budgets and the key financial statements
  • The Top-down versus bottom-up process
  • Budget- Definition, meaning and purpose
  • Preparation/Types of Budgets

Gallery

Course Materials

It is very important to analyze the need for Training along with the level of knowledge you require. This session give you a liberty to choose the modules you need, discuss it with the trainer how you want to be delivered, decide the place at your convenience and allocate number of hours to solve your problem. This does not include any development as a consulting but will include solution if you are facing a particular problem.