Commercial & Industrial (C&I) Lending and the CPA (Currently Unavailable)
Author: David Osburn
| CPE Credit: |
2 hours for CPAs |
This course will provide the CPA with a brief overview of Commercial and Industrial (C&I) loan products including working capital lines of credit, ABL facilities, and equipment financing (loans/leases) and their typical structure.
The session will also cover how banks underwrite C&I loans including accounts receivable assessment, the use of a “Borrowing Base Certificate,” the valuation and quality of inventory, and equipment issues in lending. This portion of the webinar will also cover the proper evaluation of the borrower’s financial statements.
Additionally, the session will cover documentation of C&I loans, collateral concerns, challenges with pricing, and how a bank manages the C&I loan portfolio. The course will conclude with a review of how a CPA should negotiate new C&I loans for the clients in today’s competitive market.
Publication Date: December 2019
Designed For
CPAs, CFO/controllers, financial managers, auditors, financial analysts and practitioners who provide accounting, tax or consulting services to businesses.
Topics Covered
- Brief overview of Commercial and Industrial (C&I) loan products
- Commercial & Industrial (C&I) Loan Products & Structure
- Underwriting C&I Loans
- Accounts Receivable & Inventory Assessment and the Borrowing Base Certificate (BBC)
- Accounts Receivable Issues
- Valuation and Quality of Inventory (including Inventory Costing System)
- Equipment Issues in Lending (including Depreciation)
Learning Objectives
- Describe C&I lending
- Identify C&I loan products and their typical structure
- Recognize how banks underwrite C&I loans including accounts receivable, inventory, and equipment financing
- Evaluate the borrower's financial statements
- Identify the documentation, collateral, pricing, and management of C&I loans
- Recognize how to negotiate C&I loans in today's market
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Finance (2 hours)
Program Prerequisites
None
Advance Preparation
None
