After our 360o Financial Modelling Course, we now progress to the next stage of Project Finance Financial Modelling.
Here are 3 key differences between Project Finance (PF) and 360o Financial Modelling (360oFM):
- Time Horizon: 30+ years in PF vs (5 years in 360oFM)
- Historical Data: No Historical Data in PF vs (5 years historical data in 360oFM)
- Economic Feasibility: NPV and IRR in PF vs (DCF Valuation in 360oFM)
Learn to build client-ready deliverables from scratch (literally, we start with Ctrl N) and in every phase become better with:
- Excel Shortcuts
- Industry Best Practices
- Time-Saving Tips & Tricks
- Important Do’s & Don’ts
The Project Finance Financial Model is divided into 3 phases:
Phase 1: Overview of Project Finance
⇒ Calculation of Escalation Rate, IRR & NPV
⇒ Project Finance vs Corporate Finance
⇒ Features of a Financial Model (Financial Modelling Standards)
⇒ Concepts Hub (Excel Concepts and Financial Modelling Concepts)
Phase 2: Component Model
⇒ Creation of Flags and a Dynamic Timeline
⇒ Building schedules using the BASE method
⇒ Calculation of Escalation Rate (3 approaches)
⇒ Waterfall Structure for sequential allocation of capital
⇒ Circularity Switch (Fail-safe mechanism for iterative calculation)
⇒ Depreciation Cap (Restriction of automatic annual depreciation)
⇒ Building a Waterfall Structure for sequential allocation of capital
⇒ Loan Repayment schedule with moratorium period
⇒ IRR and NPV Calculation
Phase 3: Hydroelectric Power Plant Financial Model
⇒ Extraction of Key Variables from Project Details
⇒ Forecasting Financial Performance (Revenue Model, Capex, Depreciation, Working Capital, etc.)
⇒ Linking Financial Statements and tallying the Balance Sheet
⇒ Calculating Levered and Unlevered NPV and IRR
Check out the Course Curriculum for the complete list of videos in this course.
