Manipulating historical financial information and plans for financial institutions

We will familiarise you with the most frequent types of manipulation/misrepresentation of historical and future financial information. We will show you how to effectively analyse financial plans and quickly identify their key deficiencies and main risks. We will share with you examples from our experience.

Who are the intended participants?

Credit analysts providing loans to commercial companies.
Lease analysts providing leases to companies.
Investors looking to purchase a company or seeking a business partner to understand a company’s financial performance, etc.

Programme

What information do various financial indicators (fail to) provide and what are the risks inherent in their analysis?
What are the pitfalls of EBITDA and its normalisation?
What if a loan is not the only debt? What (off) balance sheet items increase a company’s indebtedness and how can they be identified?
Content and quality of working capital.
Analysis of the main assumptions and links underlying financial plans.
Identification of the weaknesses of complex and simple models.
Examples from financial due diligence experience.

Benefits

You will:

Learn the basic techniques used in corporate due diligence.
Gain an understanding of the issue through real-life examples of financial data manipulation.
Be able to quickly assess financial plans and their key assumptions.