Course Description

Financing of an infrastructure project must start with one premise in mind- is the project opportunity “bankable” given a set of financial assumptions and agreed-to risk allocations amongst the stakeholders?

To successfully create a financial picture of the project opportunity, an array of actions must be put into motion- input variables must be identified, numbers crunched and forecasts created to determine financial viability. Without this systematic and comprehensive financial planning, review, and analysis, PPP projects will almost inevitably stall and likely fail to materialize.

In this IP3 course titled, Building Financial Models in MS Excel® to Analyze the Viability and Financing of Infrastructure Projects we focus exclusively on the techniques of building, interpreting, and analyzing a financial model using MS Excel®.

The class structure is unlike any other that IP3 offers, as the focus each day is on learning certain financing/accounting techniques, practicing those techniques in an on-going project case study, and finally, applying the techniques to your own or simulated PPP project opportunity. Each day the IP3 financial modeling facilitator will build further elements of the financial model so that by the end of the course, you will not only understand all key accounting/financial terms and how to use them, but will have applied them to your own or simulated PPP project model.

By the end of the course participants will have achieved the learning outcomes provided below.

Learning Outcomes:

• Identifying the key accounting and finance terms and concepts for a financial modeling
• Developing best practices for spreadsheet modeling
• Analyzing the key input variables to an infrastructure financing spreadsheet
• Modeling financial reports
• Generating and analyzing forecast scenarios
• Integrating special risk factors into financial modeling
• Using your own data (or, if not available, data provided by IP3), build, step-by-step a financial model, conduct what if scenarios, and present/defend the financing viability to experts and your peers

Outline

Below we highlight the daily training structure:

This course will teach you how to utilize MS Excel® to create a financial model from start to finish, conduct sensitivity and scenario analyses, and interpret results. Various scenarios will be provided, allowing the participant to input changes, discuss the impact, and understand the fluidity of the model.

The financial model that is created will be a take away model that can be used as a template for projects under the auspices of the participant.

For the PPP Project Financial Model Presentation, Feedback, and Critique session, each participant will be required to bring relevant financial data of a PPP opportunity to the course.¹ Participants will learn to build an appropriate financial model for their specific infrastructure investment opportunity. Each day during the course, participants will be provided an opportunity to utilize their financial model to input their data and run sensitivity scenario analyses. On the last day of the course, each participant will present his/her model to the class and discuss the overall financial viability of the project.

¹ For those participants who do not have complete information, IP3 will provide representative data you can use.

Requirements for Completing the Course

Requirements for Completing the Course

To achieve the course Learning Outcomes and earn the maximum available CEUs, you must:

• Attend all training sessions during the duration of the program
• Complete course assignments as assigned by IP3 instructors
• Attend site visits to engage with U.S. counterpart officials
• Complete a Strategic Action Plan that will be reviewed and graded by an IP3 facilitator