SPECIALTY SCHOOL

Business Credit Analysis School

CFT Credits: 3.00

TWO LOCATIONS!

The goal of this School is to develop analytical skills.  At the conclusion of the program, you will thoroughly understand and discuss subjects that need to be addressed as part of a comprehensive credit analysis report.

Click Here for School Curriculum and Schedule

Business lending can both diversify a financial institution’s loan portfolio and increase its return on assets.  In order to be successful in business lending, financial institutions need to have highly qualified personnel skilled in analyzing the creditworthiness of business requests.

The goal of this School is to develop analytical skills.  At the conclusion of the program, you will thoroughly understand and discuss subjects that need to be addressed as part of a comprehensive credit analysis report.

 Benefits of Attending:

  • Our nationally recognized facilitator is top-notch in his field and you will have plenty of opportunity to share your questions during the School.
  • This School is interactive, which creates an environment that empowers you to learn.
  • You will receive a CERTIFICATE OF ACHIEVEMENT to document your ongoing commitment to your banking education.
  • You will return to your bank a better asset and have new and valuable tools and skills to perform in-depth credit analysis.

Daily Program Descriptions:

Day One

INTRODUCTIONS AND OVERVIEW

Types of business organizations – The differences between sole proprietorships, partnerships, Limited Liability Companies, S-Corporations and C Corporations.

THE BUSINESS CREDIT ANALYSIS PROCESS

A brief summary of basic topics and concepts that are part of the credit analysis process, including a review of the five C’s of credit and an explanation of significant balance sheet and profit and loss statement accounts.

THE BALANCE SHEET/CURRENT ASSETS

  • The importance of cash
  • Accounts Receivable: How to evaluate their quality
  • Inventory: How to value it and determine its worth
  • Short Term Notes Payable: Lines of Credit and when to use (and not use) them
  • Trade Payables: A key indicator of a business’ credit history
  • Current Portion of Long-Term Debt (CPLTD)

OPERATING CYCLES FOR MANUFACTURING, RETAIL, SERVICE, AND OTHER TYPES OF BUSINESSES

Distinguishing between the operating cycles of different types of businesses and demonstrating how the length of operating cycles impacts cash flow.

IDENTIFYING AND ANALYZING BALANCE SHEET TRENDS/USING RATIOS AND OTHER ANALYSIS TECHNIQUES

Discussion will focus on the use of a wide variety of ratios and predictive tools to assist in the analysis process.

THE BALANCE SHEET/LONG-TERM ASSETS AND

LONG-TERM LIABILITIES

  • Fixed assets and the role of depreciation
  • Intangible assets: When are they worth something to a lender?
  • Long-term debt
  • Officer debt

NET WORTH: STOCK, RETAINED EARNINGS AND PAID-IN CAPITAL (AN OWNER’S INVESTMENT IN HIS/HER BUSINESS)

Q & A PERIOD AND SESSION SUMMARY

 

Day Two

HOW THE PROFIT AND LOSS STATEMENT CAN ANSWER THE FOLLOWING QUESTIONS ABOUT A BUSINESS:

  • Is the business growing?
  • Are gross profit margins stable?
  • Are overhead expenses under control?
  • What kind of cash flow does the business have?
  • How aggressively is the business using depreciation to reduce taxable income?

PROFIT AND LOSS STATEMENT CASE STUDY

ANALYZING BUSINESS TAX RETURNS

Identifying the differences between tax returns for various types of business organizations. Learn where you need to focus and what can be ignored in tax returns. The hazards of using interim financial information and the need to reconcile that information with end-of-the-year tax returns will also be addressed.

CASE STUDY AND DISCUSSION/BUSINESS

TAX RETURNS

 CASHFLOW STATEMENTS

Become acquainted with information contained in cash flow statements and how to utilize that information to better understand how a business is generating and using cash.

CASE STUDY/CASHFLOW STATEMENTS

REPAYING LOANS FROM CASHFLOW, PERSONAL GUARANTEES OR COLLATERAL

Explore the advantages and disadvantages of these three methods of loan repayment. Personal Financial Statements will also be discussed.

Q & A PERIOD AND SESSION SUMMARY

 

Day Three

FINANCIAL PROJECTIONS

Understanding financial projections is an important tool in the credit analysis process. Examine the ways in which analysts can test the assumptions that a business uses a basis for its financial projections. In addition, attendees will learn the mechanics of developing projections for balance sheets and profit and loss statements.

STARTUP BUSINESSES/SOURCES OF FINANCING

Explore a variety of startup issues, including typical sources of capital, the role of angel investors and venture capital, and analyzing a business with no history.

SOURCES OF TECHNICAL ASSISTANCE FOR STARTUP BUSINESSES AND OTHER BUSINESSES

Learn about Small Business Administration’s SCORE and SBDC programs and other technical assistance providers readily available to assist business owners.

DEBT FINANCING FOR NON-TRADITIONAL PUBLIC AND PRIVATE NON-PROFIT SOURCES

Become familiar with the types of loan incentives available through organizations such as the Small Business Administration, U.S. Department of Agriculture, and regional development organizations.

LOAN PORTFOLIO MANAGEMENT ISSUES/PORTFOLIO RISK ANALYSIS

  • Gain an understanding of evaluating the quality of an entire loan portfolio through the use of a variety of management tools. The ways in which credit quality can impact the financial standing of an organization will also be discussed.
  • Examine loan covenants and other portfolio management tools and learn how to properly structure different types of loans.

Q & A PERIOD AND SESSION SUMMARY

Click Here for School Location and Lodging Info

Sheraton Westport
900 Westport Plaza
St. Louis, Missouri

Room Rate: $149.00.  To make a reservation, email Jeff Bertram at jeff.bertram@swphotels with name and nights needed.  Reservations must be made by 03/01/19.

Sheraton Hartford South Hotel
100 Capital Boulevard
Rocky Hill, Connecticut

Students are responsible for their own hotel accommodations.  A conference rate of $159 per night has been arranged for CFT students.  The deadline is March 28, or when the room block is full, whichever comes first.  You can make your online reservation HERE.

Click Here for Intended Audience

This 3-day Business Credit Analysis School is designed to provide credit analysts and business lending officers with the tools necessary to perform in-depth evaluation of the credit needs of businesses.  You will become acquainted with the types of challenges that businesses face in making debt service payments and meeting other financial needs.

Click Here for Instructor Info

Vincent DiCara is currently the owner of DiCara Training and Consulting LLC which he established in January of 2013.  Formerly, he was the co-owner and founder of Development Finance Training and Consulting, Inc. (DFTC) which he established in 2003.  Mr. DiCara has been involved in evaluating the credit needs of businesses for thirty years as a business advocate, lender, credit analyst and trainer.  Since 1995, Mr. DiCara has developed and conducted a wide variety of training programs for individuals who work in the financial services industry sector.  His training clients include organizations in the credit union, banking, economic development, and community development fields.  Mr. DiCara’s training programs have become known for their ability to foster an informal and participatory environment in which students are empowered to learn.

Mr. DiCara is a graduate of Bowdoin College in Brunswick, Maine and received a Masters Degree in Public Administration from the University of Maine.  A native of Boston, Massachusetts, he has been a resident of the State of Maine for the last thirty-eight years.

Register Here!

Times shown are local time. You can choose to pay by credit card or invoice when you register.

OptionStart DateStart TimeEnd DateEnd TimeLocationTuition
Business Credit Analysis School03/26/1909:00 AM03/28/1905:00 PMSt. Louis MO$1,100.00Register
Business Credit Analysis School Day 103/26/1909:00 AM03/26/1905:00 PMSt. Louis MO$375.00Register
Business Credit Analysis School Day 203/27/1909:00 AM03/27/1905:00 PMSt. Louis MO$375.00Register
Business Credit Analysis School Day 303/28/1909:00 AM03/28/1905:00 PMSt. Louis MO$375.00Register
Business Credit Analysis School Day 104/29/1909:00 AM04/29/1905:00 PMRocky Hill CT$375.00Register
Business Credit Analysis School04/29/1909:00 AM05/01/1905:00 PMRocky Hill CT$1,100.00Register
Business Credit Analysis School Day 204/30/1909:00 AM04/30/1905:00 PMRocky Hill CT$375.00Register
Business Credit Analysis School Day 305/01/1909:00 AM05/01/1905:00 PMRocky Hill CT$375.00Register
AnyIn-HouseRequest