Finance for Non Financial Managers

Course Overview: This course has been designed to demystify finance, explaining simply and clearly what the key financial statements mean, how they work and how they relate to each other.
The course will give participants a sound understanding of the financial tools and techniques that they need to radically improve their planning and budgeting skills and become a more effective manager.
By the end of this course participants will have increased their contribution to their organisation and boosted their career development.
At Course Completion: Explain financial jargon and techniques in layman’s terms Improve participants’ confidence when dealing with financial matters Break down the barriers between participants and their finance and accounting colleagues Enable participants to make better decisions based on a clearer understanding of financial data.
Pre-requirements: Managers at all levels who have to be able to read and understand accounts and who should know how accounts are created, and how to interpret them.
Participants Study:Finance terminologyThe Income StatementAssets and LiabilitiesThe Balance SheetProfit and Loss AccountsAnalysing and InterpretingLiquidity and Cash FlowCostingsBudgeting
Course Contents: Financial Terms and Concepts, Understanding the structure of financial statements, Relating the income statement to the balance sheet and cash flow statement, Demystifying financial jargon, Budgeting process: translating the business plan into figures The Profit and Loss Account, Revenue/Sales Income Cost of Goods Sold Gross Profit Profit before Interest and Tax/Operating Profit Profit Before Tax – Taxation – Profit After Tax Typical Layout of a Profit and Loss Account The Balance Sheet Subcomponents of assets, liabilities and equity Distinguishing between fixed and current assets Depreciating and/or revaluing fixed assets Accounting for provisions, accruals and prepayments Deferring income and expenses Analysing and interpreting statements Utilizing appropriate ratios to ascertain financial strength and viability Deriving meaning from company financial statements Determining return on capital employed Setting budgets Forecasting sales and revenue Calculating cost of sales and overhead Limiting factors Analysing break-even points Calculating a project’s break-even point Return on Investment Assessing the financial viability of capital projects utilizing the return on investments (ROI) and payback methods