Finance for Non Financial Managers Training Course

Finance for Non Financial Managers Course

This two day Finance for Non Financial Managers training course de-mystifies financial jargon and explains in layman’s language some of the key cornerstones of accountancy practice.

What you will learn

At the conclusion of this course delegates will be able to:

• Understand basic finance & financial information/jargon
• Understand budgets and costs
• Understand and be able to analyse management accounts
• Communicate effectively with financial executives and staff

Course Content

The Finance for Non Financial Managers training course covers the following topics:-

• The rules Accountants follow. (UK GAAP)
• Accountability and responsibility for financial information
• The purpose of Accounting: Who uses accounts and why
• Where can I find out about the financial position of my organisation/my competitor’s organisation.

Profit & Loss Account

• How to differentiate between income, operating and capital expense items
• How to measure profit and business success
• The break-even point
• Sales recognition – The Rules
• Getting behind the financial jargon (PBT, EBIT, EBITDA)

Balance Sheet

• Evaluating the ‘worth’ of an established business
• Understanding the difference between fixed and current assets and liabilities
• Linking the profit and loss account to the balance sheet
• Working capital, What is it? How to monitor it?
• Getting behind the financial jargon (Fixed or current assets, net assets, equity, shareholders’ funds).

Cash Flow

• Differentiating between cash flow, profit and net worth
• Making the connection between cash management to line management
• How credit (or lack of it) affects cash flow?
• How to determine how much cash you will need?

Budgeting

• Types of Budgets and the budget process
• Budget Constraints and using the budget to manage the business
• Apportioning overheads
• Differentiating between capital and revenue expenditure and the effects of depreciation
• Forecasting sales revenues and expenses

Ratios

• Debtor/Creditor Days
• Inventory days
• Acid Test Ratio
• Cash cycle
• Return on capital employed (ROCE)
• Gross Profit Percentage and Net Profit Percentage (also EBIT)