Three live highly immersive sessions (8 hours each) designed to benefit beginners and experts alike. Our first goal is to create a strong foundation for building, analyzing and interpreting operating models in a variety of contexts. Secondly, we will apply these techniques in the context of Intrinsic Valuations (DCF). Thirdly, we will work in building short-form and long-form models for both financial (LBO) and strategic (M&A) acquisitions with an emphasis on developing strong modelers who understand how to build tools to interpret key outputs for concrete deal-making decisions.
Corporate & private training available
Students get a custom workbook with step-by-step instructions.
Modern computer classroom with a PC for each student to work on.
Small In-Person Classes
Get personalized attention in small groups with an expert instructor in the classroom.
Refresh the course materials within six months for free as long as there's space in the class.
What You'll Learn
- Forecasting Operating Models
- Intrinsic Valuation (DCF)
- Modeling Financial Acquisitions (LBO)
Full Course SyllabusDownload PDF Outline
Forecasting Operating Models
- Understanding the structure, components and strategies for building time-sensitive and efficient models for your specific purpose
- Fundamentals / best practices for model building
Developing Assumptions – Balance Sheet
- Key items, categories and relevancy for quick analysis
- Current Assets and Liabilities, metrics for analysis
- Non-current Assets, key components
- Operating long term liabilities
- Funding via Debt
- Funding via Equity
Developing Assumptions – Income Statement
- Components and structure
- Understanding Revenue (recognition and cash implications)
- Analysis and metrics
- Income Statement and Balance Sheet
- Cash Flow Statement
Ratios, Analysis and Interpretation of Outputs
- Profitability (Margins and returns)
- Asset efficiency and reinvestment analysis
- As-is and normalized metrics
Intrinsic Valuation (DCF)
- Quick overview of valuation techniques
- Intrinsic vs Relative Valuation
- Minority and Controlling Stakes
- Strategic vs Financial approaches to valuation
- Enterprise Value
Steps to Intrinsic Valuation
- Determining forecasting period/s
- Calculating free cash flows
- Calculating discount rate
- Calculating the terminal value (TV Multiple vs Perpetual Growth)
- Discounting and calculation of Enterprise Value
Refining Your Intrinsic Valuation
- Sensitizing and cross-checking your outputs
- Perpetual growth assumptions, sanity checks vs reinvestment and asset efficiency
- Enterprise Value calculation refinements
Modeling Financial Acquisitions (LBO)
- Overview of key structuring, funding and value generating strategies in the context of financial acquisitions
- KEY financial metrics, strengths and pitfalls (IRR, XIRR, MIRR, MOIC / COC)
- Overview of key entry / exit dynamics / metrics
- Emphasize critical thinking and current market status / trends
- Modeling entry / acquisition assumptions
- Build the sources & uses tab
- Funding – deal set up and modeling
- Modeling the shell / holdco and the operating company
- Modeling exit assumptions
- Calculating and sensitizing deal metrics for all stake holders (sponsors, management, combo)
- Critical analysis of outputs and focus on understanding, not just modeling
Modeling Strategic Acquisitions (M&A)
- Overview of structuring, funding, forecasting, and calculation of KEY financial metrics
- Emphasize critical thinking about earnings and return impacts, credit consequences, and market perception
- Modeling acquisition assumptions
- Modeling the Balance Sheet
- Modeling the Income Sheet
- Modeling the Cash Flow Statement
- Transforming the deal into a multiple / relative valuation for analysis (implications)
- Analysis of key non-EPS metrics (fundamental)
Frequently Asked Questions
Do I need to bring a computer?
No. We provide a computer with the necessary software for each attendee. This course is available on Windows PC only.
Are discounts available for this course?
No. This course is not eligible for any discounts.
We offer discounts for packages of classes, including our Excel Bootcamp, SQL Bootcamp, Data Analytics, and PowerPoint Bootcamp.
We also provide discounts for ten or more classes purchased together. Please reach out for more information on our voucher programs.
Does this course come with a book?
Yes. This course includes a complimentary book or manual at no additional cost.
What if I need to retake this course? May I retake it for free?
Yes. You may retake this course for free once within six months, provided that the class is running with an available seat. For more information, visit our policies page.
HANDS ON - Concepts are applied to templates specifically designed to foster rapid skill integration and to translate into immediate real-world performance improvement.
BEYOND BUILDING A MODEL - You will develop the foundation to efficiently plan and execute a modeling assignment while understanding at every step how this tool/s will concretely aid in decision making in the context of an acquisition. You will also develop techniques to check in house and third party models for collaboration across teams / firms in co-leading assignments.
TASK ORIENTED - Above all, your understanding of outputs and critical thinking together with self-auditing mechanisms will allow you to always have a “flight plan”. You will master the skills necessary to approach future assignments that require modeling expertise with a plan: learn how to search, extract, and analyze the right information for your purposes.