Financial modelling is not an exact science . . . “Garbage in = garbage out”. Nearly all of the hundreds of models I have built can be put into one of four categories
1 Go – No Go Models
Typically very high level and designed to determine whether a project, no matter how complex is of interest or not
2 Cases & Sensitivities
The fine tuning of a “Go” result from the above but pre- detailed debt finance overlay
3 Banking Case Models
The overlay of detailed and often multi-layered finance options onto a clearly defined operational financial model. These models often use forward interest and exchange curves and are focused on covenant cover and sensitivities around operational variances and their impact on financing
4 Back-solved Models
In some cases, clients just would just like “an answer that fits”. There are many tools with which to do this – contact me for more information.
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