Course Overview:
Develop the core analytical skills required to assess credit risk effectively. This course provides a structured approach to underwriting, from understanding legal entities to interpreting financial statements.
We cover the critical components of risk assessment, teaching you to navigate the Balance Sheet, Profit & Loss, and Cash Flow. You will learn to measure liquidity and profitability using ratio analysis and understand the flow of money through a business.
We bring the theory to life through practical exercises. You will apply the CAMPARI framework to real-world scenarios, giving you the chance to act as the underwriter and make informed credit decisions.
This online training course, delivered over four mornings from the 13 – 16 October, is an essential foundation for anyone moving into a credit or risk role. You will leave with a robust toolkit for evaluating financial data and the confidence to make sound lending decisions.
The Fundamentals of Business
Defining the primary purpose of a business and identifying the characteristics of key legal entities (Sole Traders, LLPs, Ltd Companies).
Understanding the flow of money, including Capital, Liabilities, and Assets, and how they interact in the Balance Sheet Equation.
The role of information sources such as Companies House and Credit Reference Agencies (CRAs) in the underwriting process.
Financial Analysis
Interpreting the Balance Sheet, Profit & Loss, and Cash Flow to build a complete picture of performance.
Calculating and interpreting key metrics like Current Ratio, Debtor Days, and Gross Profit Margin to assess health and liquidity.
Identifying warning signs in the “Notes to the Accounts,” such as post-balance sheet events, off-balance sheet commitments, or audit qualifications.
Risk Assessment & Decision Making
Applying the CAMPARI model and the “3-Legged Stool” (Funding, Customer, Business) to structure your credit assessment.
Evaluating the investment rationale by analyzing asset quality, management capability, and market position.
A hands-on underwriting exercise where you analyze a proposal and present your credit decision with a clear rationale.
Paul Collis
Paul has a proven track record in key financial disciplines, gaining expertise through key roles in various asset finance companies, during his 36 years in the financial services sector. Paul’s first position was with Barclays Mercantile in the mid-1980s, providing him with exposure to corporate financial sales. During the recession of the early 1990s, he worked closely with SMEs to help turn their fortunes around, which required critical people management skills. Paul has also held senior risk management positions with organisations such as Tokyo Leasing UK Ltd, De Lage Landen Leasing Ltd, First National Motor Finance Ltd, and Hitachi Capital Business Finance Ltd.
In this session delegates will:
Define the primary purpose of a business and identify the characteristics of key legal entities
Understand the role of Companies House and Credit Reference Agencies in the underwriting process
Assess the flow of money through a business and how it is recorded in financial statements
Comprehend the structure of accounts including the Balance Sheet and Profit & Loss Account
Interpret financial accounts effectively to build a clear picture of business performance
Apply basic financial ratios to measure liquidity, profitability, and gearing
Appreciate key non-financial risk considerations using the CAMPARI framework
Recognise the importance of assessing the investment rationale behind a lending proposal
This course is designed principally for new entrants to corporate credit underwriting and/or the asset finance industry or for more established staff seeking a “refresher”. It is suitable for anyone who has any involvement with a corporate lending proposition, principally within banks and finance houses. In particular: sales executives, account managers, credit and risk managers, credit control staff, asset management personnel and administration staff will benefit from this comprehensive introduction.
Bespoke In-house Training
If you would like to run this course for your own organisation, the FLA can deliver Essential Underwriting Skills as a tailored in-house workshop for your team. Whether you want to build core knowledge in a specific department or support a wider training programme, the content can be shaped around your objectives and internal policies.
To make an enquiry, simply complete the in-house training form on the FLA website and the training team will contact you to discuss options and next steps.
