Course curriculum

  • 1

    Introduction

    • Introduction

    • What Is Debt Modeling and Why Use It

    • Download Course Materials

    • Operating Finance

    • Assessing The Quality of Accounts Receivable

    • Assessing The Quality of Inventory

    • Interactive Exercise 1

    • Operating Finance vs. Term Lending

    • Term Loan

    • Seniority

    • Interactive Exercise 2

  • 2

    Constructing the Debt Model

    • Key Structure and Steps for Model Building

    • Debt Model Components

    • Preview of Completed Debt Model

  • 3

    Yearly Debt Schedules

    • Building The Yearly Debt Schedules

    • Existing Debt - Opening and Closing Balances

    • Existing Debt - Interest and Principal Repayment

    • Term Loan A - Lending Value and Base Rate

    • Term Loan A - Interest, Principal Repayment, and Balance

    • Other Debt 1 (Equal Amortization) - Interest and Balance

    • Other Debt 1 - Principal Repayment

    • Other Debt 2

    • Operating Line of Credit - Borrowing Base and Working Capital Funding Gap Days

    • Debt Forecast

    • Operating Line of Credit - Funding Gap

    • Operating Line of Credit - Utilization and Interest Expense

    • Change in Line of Credit

    • Linking to Items in The Three Statements

    • Cash Sweep

    • Reviewing The Debt Schedules

  • 4

    Covenant Analysis

    • Covenant Analysis

    • Covenant Ratios

    • Working Capital Ratio

    • Total Debt to Tangible Net Worth

    • Funded Debt to EBITDA

    • Debt Service Coverage and Interest Coverage Ratio

  • 5

    Monthly Operating Line Analysis

    • Monthly Operating Line Analysis

    • Linking to The Yearly Model

    • Calculating Monthly Figures

    • Operating Line Analysis and Margining

  • 6

    Risk Rating Model

    • Risk Rating Model

    • Reviewing the Risk Rating Model

    • Download Completed Model

    • Conclusion

  • 7

    Qualified Assessment

    • Qualified Assessment

    • Share Your Feedback

    • Course Completion