As a director how comfortable are you with company finance?
Are you confident in your ability to understand the three core elements of Management Accounts:
Profit and Loss (or Income and Expenditure)?
Do you understand Forecast/Budget, Actuals and Variance reports?
Do you know how to use Key Ratios to evaluate your company’s performance?
Do you know if you are trading whilst insolvent?
This half-day course will provide the essential knowledge of those key financial issues and concepts that are needed by successful Executive and Non-Executive Directors in order to discharge their duties and responsibilities as a company director. The completion of this course will provide a good grasp of the key elements of Management Accounts and Statutory Financial Accounts. It will also provide a sound theoretical financial knowledge base upon which to build and acquire new and more advanced financial skills.
Who should attend?
Executive and Non-Executive Directors, senior executives or aspiring directors looking to understand more about company finance.
The Three Key Financial Statements
Cash Flow Statements: Importance of cash flow and Impact of credit and credit control, Problems affecting cash flow, Dealing with Debtors and Creditors
Profit & Loss Account, Types of profit, and Layout & use of the profit & loss account
Balance Sheets: Assets; Liabilities; Net current assets, capital employed and how to interpret the information;
Revenue and Capital Expenditure
What are Capital and Revenue Expenditure
Phasing of capital spend and its Implications for budget holders
Depreciation; Assets and liabilities
What is Depreciation?
The Different types and uses
Forecasts and Budgets
The purpose of forecasts for the business
Budgetary Control as a management tool
Using Ratios to Support Investment Decisions
Return on Capital Employed (ROCE); Payback; Internal Rate of Return (IRR); Net Present Value of assets (NPV)
Investment decisions and Return on Investment (ROI); Cost of capital
Gearing, is the level of borrowing too risky?
Liquidity, could the company hit cash flow problems?
Profitability, how well is the company doing?
This half-day course enables participants to understand better, the key attributes and approaches that underpin a strategic and tactical financial approach to management and help to develop the key skills and styles that will allow participants to be more effective when adopting and applying a decision making approach to management.
By the end of this training course participants will be better able to:
Read, analyse and interpret any set of Financial Statements, including the Balance Sheet, the Profit & Loss Account and the Cash Flow statements
Understand and quantify the impact of the fundamental accounting concepts and the chosen policies upon any set of accounts
Recognise and understand the underlying impact of the generally accepted accounting principles and policies on any Balance Sheet and Profit & Loss Account
Understand the key differences between statutory published accounts and the internal monthly management accounts
Identify and discuss the key financial issues facing an organisation
Understand the wider commercial impact of any business decision and its interaction with non-financial aspects of the organisation, enabling you to make a better contribution to key discussions and decision making amongst managers and within the organisation
Understand the basics of budgets and the implementation of budgeting processes
Value any business using commonly used and widely accepted valuation techniques such as Net Asset Value, Enterprise Value and EBITDA
Communicate more effectively and easily with Finance Directors, and other Finance professionals; through an in depth understanding of financial terminology, management and evaluation techniques.
Course Leader: David Doughty CDir FIoD
The course is delivered by David Doughty, a Chartered Director and highly experienced Non-Executive, Chief Executive, Chair, Entrepreneur and Business Mentor. David has extensive executive and non-executive experience in small and medium enterprises in private and public sectors. He is also a board level consultant to multi-national organisations and a Chartered Director Ambassador for the Institute of Directors. See his LinkedIn profile here:
Duration: 1/2 day
10:00 – 15:00 Location:
Zoom Video Conference
Price £250.00 (ex VAT) Payment with Booking Price £220.00 (ex VAT) Partner Discount Price £195.00 (ex VAT)*
The fee includes refreshments and a copy of the course handbook
Attendance counts as 3 verifiable CPD hours of structured learning which count towards the requirements of most business focussed institutes, including the Institute of Directors, the Institute of Consulting, the Chartered Management Institute, the Institute of Chartered Accountants of England and Wales, the Chartered Institute of Personnel and Development and many others. After successful completion of the course, you will receive an electronic Certificate confirming that you have successfully completed the course, detailing the outcomes and results.
*Discounts on Excellencia course fees are available for: