Finance for Non-Finance Directors - In-House (2 Day)

2024 Finance for Non-Finance Directors - In House and In Person (2 Day)

Chartered Management Institute Recognised Training Centre for Director Training Courses.

This course is assessed as “Excellent” by its delegates. 

The Course Certificate Evidences 12 CPD Hours.

Company law requires all Board Directors to understand their own accounts and holds the Directors collectively responsible for the validity of the annual financial accounts. The law demands a good knowledge of finance from directors. Business success also requires strong financial capabilities, which this Finance for Non-Finance Directors course will provide.

This Finance for Non-Finance Directors course will enable you to satisfy all of your legal financial duties and, whatever your previous knowledge, to analyse and interpret any Balance Sheet, Profit & Loss Account or Cash Flow statement, using Fundamental Accounting Concepts and Generally Accepted Accounting Principles, GAAP. You will learn to use P/E Ratios, ROCE, ROI, Gearing, Current Ratio, Quick Ratio, Stock Days, Debtor Days, Creditor Days, Enterprise Values, EBITDA, Company Valuations, Acquisitions. You will become familiar with Break Even analysis, Contribution Analysis, Zero Based Budgeting, Cash Management, Cash Forecasting, Net Present Value and Discounted Cashflows.

Costing methods based upon break even analysis and contribution analysis will be contrasted with overhead cost allocation approaches to identify their relative strengths and weaknesses. It will provide a good understanding of budgeting, including zero based budgeting, cash management and forecasting.  You will be able to manage the relationship between ROCE, ROI and Gearing. 

Company law requires all Board Directors to understand their own accounts and holds the Directors collectively responsible for the validity of the annual financial accounts. The law demands a good knowledge of finance from directors. Business success also requires strong financial capabilities, which this Finance for Non-Finance Directors course will provide.

There is a formal Statement of Directors Responsibilities, which is a legally binding outline of the responsibilities of the Directors for all financial matters, including the Annual Accounts. The Director Responsibilities are applicable to all Director activities and decisions within all UK companies. These Director Responsibilities are different from the General Duties of Directors, which are seven specific statutory duties of directors contained in the Companies Acts 2006.

Statement of Directors Responsibilities

Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period In preparing these financial statements, the directors are required to:

• Select suitable accounting policies and then apply them consistently,
• Make judgments and estimates that are reasonable and prudent,
• Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006 They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Institute of Leadership and Management approved training centre

CPD – Formal Certificates of Professional Development will be issued to all delegates.These certificates will be accepted as evidence for CPD purposes by most professional institutes and associations.  Our clients regularly award our courses an “Excellent” overall rating

To ensure that the delegates attending this training course will get the most benefit possible, the delegate numbers will be limited to a maximum of 8.

This Finance course will enable you to read, analyse and interpret any set of Financial Statements, including the Balance Sheet, the Profit & Loss Account and the Cash Flow statements.  You will become familiar with techniques such as NPV, Net Present Value and DCF, Discounted Cashflow techniques, Net Asset Value, P/E Ratios, ROCE, ROI, Gearing, Current Ratio, Quick Ratio, Stock Days, Debtor Days and Creditor Days Enterprise Value and EBITDA.  You will recognise and understand the impact of the Fundamental Accounting Concepts and Generally Accepted Accounting Principles, GAAP, Generally Accepted Accounting Principles, on any Balance Sheet and Profit & Loss Account.  

This objective is easily achieved and significantly enhanced, by the detailed discussions and extensive case studies, especially on day 2 of the training course. The theoretical knowledge will be reinforced by the hands-on case studies.