Project and Asset Finance with Limited Recourses
Name: Project and Asset Finance
Components: 3 Seminar Presentations
Duration: 21 hours
One of the issues that the crisis has introduced to today’s industries is the need to persevere and expand with limited recourses compared to a few years back. Today’s economy calls for specific and fine-tuned project development, skills that today’s decision makers in all industries and every business from every size needs to hone and refine.
Today’s business executives, in any field and any industry, need to understand the basics of project and asset finance and acquire the knowledge that is needed to be applied to keep the company afloat and expanding.
Goals:
During this course participants will obtain a thorough grounding in limited-recourse financing applied to a range of capital-intensive industries, like the Financial Services Sector, Maritime, Construction Sector, Small to Medium Size Businesses etc.
Project finance is the long-term finance of infrastructure and industrial projects based upon the projected cash flows of the project rather than the balance sheets of its sponsors. Project finance is often more complicated than alternative financing methods. It takes a variety of skills including financial, management, legal and business savviness to master this area of structured finance, skills that will be provided by this course.
By attending this three day course participants will:
- Master the financing, legal documentation and structuring of Project Financing
- How to best manage the risk in Project Financing
- Understand the most profitable strategies in Equipment Financing
- Understand how to work with Business Partners from the Arab Countries
- Learn the safest ways to engage in any form of Constuction/Maritime/Derivative/Energy/Oil&Gas Finance
Engage in 10 separate case study workshops to reinforce newly learnt knowledge to improve your acumen
Certification:
The candidates who will complete the program successfully will be awarded a ‘Certificate of Training’, stating that the Cyprus Human Resource development Authority approves the program.
OUTLINE:
Section 1:
Introduction to Project Finance and Project Preparation
The project financing process is examined in detail, focusing on financing term sheets and documentation. Study of the project financing challenges of today.
Section 2:
Project Preparation
- Understanding the challenges of each industry branch
- Using the qualitative risk ‘template’ and economic modelling to address those challenges
- Developing a feel for what is and is not achievable from a financing perspective – and why
- Recognizing how structures have changed over time
Section 3:
Project Structuring
- Contractual Structuring
- Property Structuring
- Financial Structuring
- Advice on Regulations
Section 4:
Project Finance Structures
- Feasibility studies and economic and financial viability of projects (balance sheets, income statements, cash flow)
- Economic and financial models (funding schemes, sensitivity tests)
- Evaluation of a projects’ economic and financial viability given the constraints of public and private funding
- Principles of remuneration for contractors
- Valuation of risk-sharing schemes
Definition of terms of participation in public funding
Section 5:
The Project Documents
- Agreements
- Audit and Performance Evaluation Reports
- Audited Project Financial Statements
- Cancellation Notices
- Change in Scope, Amount, and implementation Arrangements
- Completion Reports
- Concept Papers
- Consultants’ Reports
- Design and Monitoring Frameworks
- Compliance Audit Reports
- Facility Administration Manual
- Project Administration Manual
Section 6:
DCF, Financial Modelling and Real Option Analysis
- The Forecast Period and Forecasting Revenue Growth
- Forecasting Free Cash Flows
- Calculating Discount
- Constructing a financial representation of some, or all, aspects of the firm
- Opportunities to expand and cease projects if certain conditions arise
Section 7:
Sharia Compliant Project Financing
- Ijara leasing agreements
- Murabaha resale agreements
- Musharaka joint ventures
Wakala agency agreements
Section 8:
Equipment Financing and Leasing
- Cash Maintenance
- Risk Management
- Inflation Hedging
Leveraging Equipment Expertise
Section 9:
Dispute Resolution
- Judicial Dispute Resolution
- Extrajudicial Dispute Resolution
Online Dispute Resolution
Section 10:
Workshop 1 – The Eurotunnel Project
How a project of two different countries with various different entities came to fruition and what lessons we can learn
Section 11:
Workshop 2 – Cogeneration Project
An interesting example in project Management is the Cogeneration Project, an energy optimization initiative administered by COGEN Europe, the European Association for the Promotion of Cogeneration
