Loan Structure Applications

This three-day workshop examines the distinction between short-term and long-term working capital needs, funding growth in fixed assets and structuring loans for a client with multiple borrowing needs. The course emphasizes the importance of understanding the relationship between a company's ability to generate funds internally and its reliance on bank financing. Using a case study format, learners apply loan structuring principles to propose and evaluate loan structures that are appropriate for various client situations.

Course Objectives
After completing this workshop, learners will be able to:
Identify and explain key loan structuring considerations
Evaluate loan requests to support short and long-term working capital needs and growth in fixed assets
Use a thorough understanding of a company's cash flow in conjunction with multiple loan structuring techniques to propose a transaction that mitigates risk while meeting customer needs
Structure a loan package for a client with multiple borrowing needs

Course Content
How to match facilities to borrowing needs
Matching repayment schedules to repayment sources
The distinction between short-term and long-term working capital needs
The impact of term debt on working capital borrowings
Using covenants to mitigate risk and monitor performance
Mitigating risk through collateral and guarantees
Subordination issues

Target Audience
Loan Structure Applications is designed for experienced bankers who want to enhance their knowledge of loan structure options to benefit both the bank and their customers. It is also appropriate for credit analysts and entry-level bankers who have completed Edge's self-directed curriculum.

Delivery Options

Edge workshops are designed to present bankers with a review of basic concepts, then take their knowledge to a higher level. The workshops capitalize on a variety of learning methods to achieve the learning objectives including large group discussion, case studies, small group exercises and group presentations.

This workshop is typically three days in length, however, if appropriate for the workshop participants, it can be delivered in two days by reducing the time spent on the discussion of basic loan structure elements. The workshop can be delivered by either an Edge instructor or an internal facilitator using the comprehensive facilitator's guide. Edge is also available to conduct "train the trainer" sessions for internal instructors. Workshop materials include:

Comprehensive participant materials
A variety of case studies
Complete facilitator guide
Pre- and post-tests with answer keys

See a Sample Printer-Friendly Course Description

 

 

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