Financial Modelling Workshop

This is an introductory financial modelling workshop covering the modules listed below.  It is designed to help participants construct a model that accommodates both historical and forecast data, generates a set of integrated financial statements, follows leading modelling practices and operates in a transparent, flexible, robust and user-friendly manner.

The course is designed such that:

• You can work at your own pace and start and stop whenever you need;
• It takes less than a day to complete and hence can easily fit around your existing schedule;
• It serves as a useful introduction to modelling but can also be used as a refresher for those with some prior experience;
• Participants take away a simple yet sufficiently flexible financial model that can be used as a starting template going forward; and
• You can contact the instructor anytime via email should you need additional support when completing the course.

What is included

• A short video for each module listed below, covering the key concepts and supported by demonstrations in Excel;
• Excel files containing practice exercises, together with the full solutions; and
• A fully integrated financial model (with income statement, cash flow statement and balance sheet) that incorporates both historic and forecast data and which is built according tried and tested best practice modelling techniques.

At the end of the course

An additional practice exercise is provided at the end of the course which consolidates all the key lessons learned.

Course modules and objectives covered

The course consists of the following modules to be completed in this order.  Participants are expected to watch the video content for each module first and then complete the set exercises in Excel, for which solutions are provided.

Module 1: Leading practices

• Understand what they are and the benefits they can bring
• Use some leading practices

Module 2: Formatting

• Learn some formatting techniques that improve the readability of a financial model

Module 3: Financial statements (a recap)

• Understand what they are and how they relate to each other
• See how some example transactions impact each of the primary statements

Module 4: Model structure & flow

• View the different sections that make up a financial model and how they link together
• Learn how to structure a model in a logical and user-friendly manner

Module 5: Model timeline

• Understand how to choose the most appropriate timeline to use in a model
• Use some leading modelling practices to construct a model timeline

Module 6: Data validation

• See how data validation can be applied to a model’s inputs and make the model more sophisticated and robust
• Put data validation into practice

Module 7: Timing flags

• Understand what they are, where they can be applied and the benefits they can bring
• Use some leading modelling practices to calculate timing flags

Module 8: Integrated financial statements

• Set up a model’s financial statements in an integrated manner, ready to be populated with calculated forecasts

Module 9: Control accounts

• Gain a thorough understanding of the control account methodology
• Appreciate why they are the core building blocks of any financial model
• Build some control accounts using forecast drivers and according to leading practices

Module 10: Working with historical data

• Understand how to adjust a financial model in a robust and manageable way when new historical data needs to be incorporated on a regular basis

Module 11: Checks

• See the different types of automated checks that may be built into a model
• Use some leading modelling practices to construct an automated model check

Module 12: Post course exercise

• Consolidate all the key lessons learned in the previous modules