Global cash flow is critical to analyzing and underwriting commercial borrowers, especially smaller, privately held firms where the owners and the company are so closely bound together that their assets, liabilities, and income are commingled.
This lending webinar shows you how to identify and measure cash flows generated by the borrowing entity and its guarantors to see if the global cash flow is enough to repay their debts.
Description
Global cash flow is critical to analyzing and underwriting commercial borrowers, especially smaller, privately held firms where the owners and the company are so closely bound together that their assets, liabilities, and income are comingled.
The credit training will explain how to calculate the company’s free cash flow and the guarantors’ personal cash flows and how to compare it to their existing and proposed debts by means of global debt service coverage. In addition, collateral evaluation will be explained and undertaken as a secondary repayment source.
A case study illustrates the total process.
Specific Topics Covered
- Definition of global cash flow
- Identifying cash flow of borrowing entity and of guarantors
- Calculating global cash flow available to pay existing and proposed debt
- Evaluating collateral as secondary repayment source
- Measuring repayment ability with global debt service coverage ratio
Potential Participants
- Credit Analysts
- Credit Managers
- Loan review officers
- Work-out officers
- Commercial lenders
- Credit Risk Managers
- Chief Credit Officers