Credit analysis level one

This five day course aims to give a sound grounding in credit analysis. No prior knowledge of credit analysis is assumed.

This course  will be of benefit to those who have little experience of accounting or financial analysis, or the principles of successful lending. It is particularly appropriate for those starting or about to start in a credit analysis role in a bank, or any role requiring corporate financial analysis.

You will be able to write and support a basic corporate credit review.

After attending this  Level 1 course, we recommend that you leave an interval of at least 3 months before attending Credit Analysis Level 2. This will give you valuable time to put into practice all the skills you learned at Level 1.

Introduction to Credit Analysis

• risk assessment
• principles of good lending
• content of the annual report and accounts
• analysis of non-financial information

Basic Accounting Concepts

• fundamental accounting principles and concepts
• understanding the concept of dual effect
• construction of a balance sheet
• a review of the items on the balance sheet and their accounting treatment, e.g. tangible fixed assets and depreciation, intangible assets and amortisation, investments, provisions, finance and operating leases, ordinary and preference share capital and treasury shares

A review of the income statement

• financial analysis
• spreading the accounts
• ratio analysis - an examination of the company's profitability, liquidity, financial risk and efficiency
• the business cycle and how it is financed

Cash Flow Analysis

• sources and uses of cash for a business
• constructing a cash flow statement
• interpreting a cash flow statement
• cash flow ratios and how to interpret them
• understanding free cash flow and debt capacity
• cash budgets and their uses

The Banking Environment

• general principles of security
• review of assets commonly offered as collateral, fixed and floating charges
• guarantees, indemnities and letters of comfort
• credit products and their uses
• credit review formats

General information

CIMA members and students should log in to their MY CIMA account in order to receive the appropriate discounts.

The course starts at 9.00am on each day. Lunch and refreshments are included, but not accommodation.

30 CPD hours (where applicable)

CIMA Mastercourses held in partnership with BPP 

Find out more
If you have any queries please email or phone us on +44 (0)845 026 4722.

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