Understanding Cash Flows, Building & Analyzing

Past Event

UNDERSTANDING CASH FLOWS BUILDING & ANALYZING

Recommended for Credit Analysts, Underwriters & Commercial Bankers of all levels.

This course will focus on the analysis of the borrower’s cash flow by comparing the core cash flow analysis tools. The goal is to understand the mechanics as well as the key analysis required to make the most of the information the financial statements provide.

The course starts with understanding what is causing a borrower’s cash shortfall.  By understanding why the borrower is short of funds, the banker is directed to the correct analysis for meeting the borrower’s need.

Understanding Cash Flows provides a global cash flow model encompassing the personal financial statement, taxes as well as the income statement and balance sheet to fully assess all the cash flow sources that are available. Traditional cash flow options are presented as ways to do a quick analysis, however their shortfalls are clearly presented. Most importantly, the UCA or “Bankers Cash Flow” is detailed through the relationships it presents as well as building a UCA Cash Statement from given information.

Building upon the analysis the banker will be able to develop the right questions for the borrower as to the “Why” behind the numbers that the borrower has presented to the banker for the credit request. By using the analysis tools presented correctly a determination can be made about the creditworthiness of the borrower and the pitfalls that may exist that will jeopardize the repayment. The goal is preparing the attendee to accurately assess the borrower to provide an increased probability of successful repayment as well as a satisfied client.

UNDERSTANDING CASH FLOWS WILL COVER:

• Introduction to the Core Cash Drivers, applying them to the borrower to determine where the cash shortfall is arising
• Understanding the linkage between the income statement and balance sheet and how it impacts the cash level of the borrower
• Assessment of various traditional cash flow models, including EBITA, True Traditional, FASB 95
• Building a UCA Cash Flow and understanding what the analysis is telling you

LOCATION: Sunrise Banks Headquarters - 2525 Wabash Avenue / St. Paul, MN 55114

ITEMS TO BRING: Pencils and Calculator. Fully charged laptop.

IMPORTANT NOTE ABOUT COVID-19: Please be assured that seating will be placed at the recommended distance in the meeting room. Masks are strongly encouraged for all attendees.

PRESENTER: Brad Stevens is the founder of Stevens Risk Management, LLC which specializes in credit training and consulting for both the finance and manufacturing industry. He has over 30 years of experience in banking that included leading two banks out of troubled credit positions, identifying the deteriorating credits, working directly or with lenders in rehab and exit strategies as well as rebuilding the credit cultures to avoid future credit problems.

As a banker, Brad built strong credit portfolios based on the core approaches that he now shares in his training programs. He brings a unique hands on experience to his training sharing real world examples that resonate with those in attendance at presentations. Brad believes strongly in the philosophy of Making Banking Better through Bankers Training Bankers.

REGISTRATION FEE (Includes boxed lunch and bottled water):

• $300 - Minnesota Chapter Affiliate Rate
• $375 - Non Affiliate Rate

An Affiliate of the Minnesota Chapter is an individual who has paid the 2021/2022 local chapter fee for the Risk Management Association. National Membership does not qualify for affiliate benefits at MN Chapter events.

A minimum of 10 participants is required in order hold this course.

QUESTIONS? Contact Brenda Ryan, Chapter Administrator at info@rma-mn.org.

CERTIFICATE OF ACHIEVEMENT: Survey participation is required to receive a certificate of completion for this course. Please take the time to complete two short surveys; one will be sent immediately after and a 2nd survey will be sent 30 days post-event.

 

NOT AN AFFILIATE? Sign up HERE today, or contact the Chapter Administrator

 

Cancelation Policy

Cancellations (and no-shows) will be not be refunded unless the instructor cancels the course. If participant is unable to attend, the registration fee can be applied to a future RMA-MN local course. Substitutions are allowed as long as the chapter administrator is notified 24 hours business prior to the course, however any difference in the applicable registration fee will be requested.