OPERATIONAL RISK:
Detecting and Preventing Fraud in Commercial Lending (1 day)
This program (formerly Fraud 101: Preventing Fraud in Lending) is mainly for regional and community bankers (though bankers from larger institutions and regulators are welcome too). This course introduces bankers to ways that reduce the chances of fraud in a new or continuing borrowing relationship. It is one day of traditional classroom instruction, including several case-study exercises. (RMA-CRC: 8 CEUs)
Operational Risk for Large Banks * (2 days)
This course introduces participants with a minimum of three to five years of banking experience to operational risk management in large institutions: the basic concepts; approaches to organization; data and risk measurement issues; the tools and techniques for risk management; capital estimation; and regulation. Classroom case-study exercises give course participants a chance to practice what they learn. Participants should have some experience in a related discipline, such as credit or market risk management, audit, general management, operations management, or, from the public sector, supervision or examination.
Operational Risk for Regional and Community Bankers (1 day)
This introductory program is tailored to those who manage operational risks in regional and community banks. It focuses on basic concepts and approaches; risk identification and assessment; and practical tools and techniques for reducing risk and loss. Classroom case-study exercises give course participants a chance to practice what they learn. Participants should have some experience in a related discipline, such as credit or market risk management, audit, general management, operations management, or, from the public sector, supervision or examination.
CREDIT RISK
Advanced Lending Academy: Corporate Finance Concepts (3 days) *New*
The Advanced Lending Academy: Corporate Finance Concepts teaches participants to apply and interpret the basic principles of corporate finance and valuation, transaction structuring, and interest rate risk management all of which can be part of a sound and profitable relationship. It focuses on understanding the role of risk analysis and transaction structuring in the context of shareholder value, relationship planning, and financial advisory skills. It is for financial professionals who call on commercial companies. Those who have studied corporate finance at the college level will learn to view corporate valuation from the perspective of both the financial advisor and the client. This course is also appropriate for those who need to understand how corporate finance transactions affect traditional lending relationships. (RMA-CRC: 24 CEUs)
Analyzing Business Tax Returns (1 day)
Analyzing Business Tax Returns teaches participants how to estimate and analyze cash flow from business tax returns. In addition, participants will acquire a better understanding of tax fundamentals, including how taxes influence cash flow and how taxes influence the customer's operations. The course addresses all types of entities: C-corp, S-corp, LLP, and LLC. It is for commercial loan officers who lend to individuals and small businesses. Available on its own or back-to-back with Analyzing Personal Financial Statements and Tax Returns. (RMA-CRC: 8 CEUs)
Analyzing Construction Contractors (1 day)
Analyzing Construction Contractors offers participants a clearer understanding of how to analyze the creditworthiness of their construction contractor customers. It includes degrees of profitability, liquidity, leverage, and solvency that can exist among various types of contractors. Participants will understand how to effectively determine a customer's ability to repay the loan and they will be able to structure a loan that minimizes risk. For bankers or credit analysts responsible for examining the financial statements and borrowing requests of contractors. (RMA-CRC: 8 CEUs)
Analyzing Personal Financial Statements and Tax Returns (1 day)
Analyzing Personal Financial Statements and Tax Returns helps you sift through the information reported on personal financial statements as opposed to individual, corporate, and partnership tax forms. What the IRS looks for on a tax return is not what a banker needs. The government is looking for income. The banker is looking for cash flow to repay the loan. Learn the difference by following RMA through several case studies and using RMA-designed cash flow worksheets. Learn what's really important to repaying a loan by digging deeper into the numbers. Available on its own or back-to-back after Analyzing Business Tax Returns.
Analyzing the Commercial Borrower's Industry, Market, and Competitive Risk* (1 day)
Analyzing the Commercial Borrower's Industry, Market, and Competitive Risk (formerly Analyzing Industry, Business & Management Risks) provides a foundation on which to base sound credit decisions derived from financial statement analysis. Also included are economic and industry factors that influence a company's financial requirements; an overview of the company, its business strategy, and the adequacy of its management; and an assessment of the quality of financial statements. For credit analysts, loan review personnel, and new lending and risk management staff
Asset-Based Lending for Non-Asset-Based Lenders (1 day)
Asset-Based Lending for Non-Asset-Based Lenders provides a basic understanding of asset-based lending (ABL) concepts and techniques. Participants learn about ABL borrowers, collateral and field examinations, and loan structures, including reporting and monitoring techniques. Participants read and discuss a case study that illustrates many of these issues involved in ABL. For small business and middle market lenders who are not asset-based lenders but who are responsible for identifying ABL customers. (RMA-CRC: 8 CEUs)
Cash Flow Refresher for Experienced Bankers* (1 day)
The objective of Cash Flow Refresher for Experienced Bankers is to provide participants with the opportunity to review the fundamentals of UCA direct cash flow and enhance their overall analytical skills. Participants will focus primarily on the numbers and what they reveal about the customer's business. Participants will actively work through a case that includes financial statements, footnotes, and general background information on the company. For bankers and managers who need a refresher course. UCA I: Cash Flow Analysis and UCA II: Credit Risk Analysis for Commercial Bankers (or their equivalent) are prerequisites for this course. (RMA-CRC: 6 CEUs)
Commercial Loan Documentation (2 days)
Commercial Loan Documentation is an introduction to the following aspects of documentation: authority, the forms themselves, third parties, legal evidence of the loan, commitments, secured lending including all UCC aspects, and loan agreements. This course also encompasses lender liability and general business law. For credit trainees and junior risk management staff.
Construction Loan Management: Administering the Construction Loan Process (1 day)
Construction Loan Management: Administering the Construction Loan Process covers the key components of managing risk in construction lending—from individual loans for building commercial and residential buildings, to lines of credit for residential home builders. Unlike RMA's Analyzing Construction Contractors and Real Estate Fundamentals in Commercial Lending, this course will not focus on credit risk assessment of contractors; it will only briefly review elements of the decision to extend credit on a construction project or to a residential builder. For bankers, including intermediate-level to experienced commercial lenders, real estate lenders, credit officers, and credit analysts. (RMA-CRC: 8 CEUs)
Detecting Problem Loans (1 day)
Detecting Problem Loans teaches participants how to systematically analyze the financial institution's options with problem borrowers and how to identify the early-warning signs of problem loans. Case studies allow an opportunity to apply the information learned. The course is for credit and risk management professionals who are responsible for managing or monitoring commercial account relationships. This course (or its equivalent) is a prerequisite for Problem Loan Workouts. It can be taken on its own or back-to-back with Problem Loan Workouts. (RMA-CRC: 8 CEUs)
Financial Statement Analysis* (2 days)
The objective of Financial Statement Analysis (formerly Fundamentals of Financial Statement Analysis and Intermediate Financial Statement Analysis) is for participants new to financial statement analysis to apply their skills in financial accounting and some of their familiarity with financial statements to the next step in the banker's lending career: analyzing financial statements to make good loan decisions. Participants learn and use the fundamental process and decision-making techniques for making sound credit decisions through the application of financial accounting, financial statement analysis, cash flow analysis, and some basic loan structuring. (RMA-CRC: 15 CEUs)
Intermediate Real Estate Lending (1 day)
Intermediate Real Estate Lending explains the more complex issues encountered in real estate lending, including the lease review process, extraordinary rental arrangements, ground leases, advance documentation issues, valuations using discounted cash flow models, and more complex projects. The course is for real estate lenders who need reinforcement in the principles of underwriting or who are relatively new to commercial real estate lending, as well as commercial and private bankers, loan administrators, and credit personnel who have taken the Real Estate Fundamentals course or want to learn more about real estate lending issues. (RMA-CRC: 8 CEUs)
Lending to Medical Practices (1 day)
After completing the Lending to Medical Practices course, participants will be able to understand health care trends that affect medical practices, identify different forms of medical practice organizations, analyze group medical practices, and structure loans for group medical practices. For commercial and private bankers, credit officers, or loan review officers with little or no experience in lending to medical practices. (RMA-CRC: 6 CEUs)
Lending to Nonprofit Organizations (1 day)
Lending to Nonprofit Organizations covers the appropriate methods for analyzing and lending to entities such as churches, charities, colleges and universities, and hospitals. It has been revised to include an overview and history of nonprofits; changes in financial statement analysis and presentation; a review of tax returns (990); underwriting policies and standards; a list of resources; a nonprofits glossary; and case studies to help reinforce concepts learned. For commercial and business bankers, credit officers, or loan review officers with little or no experience in lending to nonprofit organizations. (RMA-CRC: 8 CEUs)
Lending to Single Family Home Developers (1 day)
The goal of Lending to Single Family Home Developers is to give participants the confidence and information needed to lend to residential land developers and home builders. Participants focus on how to evaluate a loan request for a developer/builder or company seeking a loan for a single-home development of up to 25 homes. For commercial and business bankers, credit officers, or loan review officers with little or no experience lending to single family home developers. (RMA-CRC: 8 CEUs)
Lending to Wealthy Individuals (1 day)
Learn how to lend to wealthy individuals in this single-day course. Financial institutions that identify and meet the needs of wealthy individuals, and that can analyze the risks involved, have the opportunity to build profitable long-term relationships with these clients and their referrals. Lending to the wealthy is somewhere in the middle of the commercial side and the retail side of banking. Wealthy clients aren't looking for the restrictions of consumer lending or commercial lending based on corporate loan policy. They often look for a banker who can provide sizable, flexible credit facilities on a timely basis and who can understand and execute their requests for credit and noncredit services. However, bankers servicing these individuals must be alert to the potential pitfalls. Rarely does the banker have access to audited financial statements and so must become more astute about obtaining, verifying, and analyzing financial information when making a credit decision. For commercial and private bankers, credit officers, credit analysts, and loan review officers who want to gain more knowledge about lending to wealthy individuals. (RMA-CRC: 6 CEUs)
Management Analysis: Due Diligence of the Commercial Borrower (1 day)
Management Analysis: Due Diligence of the Commercial Borrower allows participants to work through a comprehensive management evaluation, one step at a time. Participants will identify the elements required to conduct an effective interview with a business owner/manager. By effectively implementing interview preparation, planning, and questioning/listening techniques, participants will gain the skills and knowledge required to conduct effective interviews that capture valuable management assessment information. Participants assess and reassess the information they discover during a series of management meetings-just as in real life. The course provides essential knowledge needed to assess the business owner's/manager's knowledge of the market and competition, experience, succession, and strategic planning abilities, and business control systems. Participants will learn that what they uncover about a company is a function of how they ask questions. (RMA-CRC: 8 CEUs)
Problem Loan Workouts (1 day)
Problem Loan Workouts teaches participants how to systematically analyze the financial institution's options with problem borrowers. The course discusses workout tactics, judicial remedies, bankruptcy, and problems involving real estate. For credit and risk management professionals who have responsibility for managing or monitoring commercial account relationships. Problem Loan Workouts can be offered as the second day of Detecting Problem Loans or as a stand-alone course. Detecting Problem Loans (or its equivalent) is a prerequisite. (RMA-CRC: 8 CEUs)
Problem Real Estate Loans (1 Day)
Problem Real Estate Loans is aimed specifically at commercial real estate lenders who may encounter problem real estate loans in their portfolios. Participants learn the key indicators of troubled real estate loans; approaches to handling the loan, such as workouts, foreclosure considerations, or deed-in-lieu; plans for dealing with the problem loan and the developer; and special real estate issues such as tax consequences and outside partner influences, rights, and obligations. For real estate lenders, including commercial lenders, private bankers, loan administrators, and credit personnel who want a deeper understanding of real estate loans and options for dealing with them. (RMA-CRC: 8 CEUs)
Real Estate Developer Financial Statement Analysis: Analyzing Developers Utilizing GAAP Statements (1 day)
Real Estate Developer Financial Statement Analysis: Analyzing Developers Utilizing GAAP Statements is designed to assist bankers who receive generally good quality financial statements and who wish to understand the more complex accounting treatments used by real estate developers and the impact on financial analysis. This course emphasizes financial statement analysis and presumes a competent level of project analysis skills. It includes both home builders' and commercial developers' financial statements. Specific content: constructing and evaluating a complete cash flow statement that analyzes the entire business, not just the income statement components; key accounting issues for real estate developers, such as FASB No. 121 (asset value impairment accounting); capitalization policies (i.e., interest); and deferred income tax accounting (assets and liabilities). Comfort with accounting concepts and GAAP financial statements (reviewed and/or audited) is essential. (RMA-CRC: 8 CEUs)
Real Estate Developer Financial Statement Analysis: Evaluating Varied Financial Reporting (1 day)
Real Estate Developer Financial Statement Analysis: Evaluating Varied Financial Reporting will show the various ways to analyze the developer's business. The course includes a survey and review of types of data available, such as cost versus market statements, personal statements, and individual, partnership, and corporate income tax returns. It includes vignette exercises to illustrate various analytical approaches, as well as what to look for in project schedules, such as cash flow/NOI, value assumptions, and status of project. For commercial real estate bankers who need additional exposure to analyzing their real estate client's business, or commercial lenders, private bankers, loan administrators, and credit personnel who want an improved look at the credit/financial picture of their real estate client. (RMA-CRC: 8 CEUs)
Real Estate Developer Multiple Entity: Fundamentals of Equity Method and Consolidation (1 day)
Real Estate Developer Multiple Entity: Fundamentals of Equity Method and Consolidation promotes a deeper understanding of the various forms and types of reporting used by real estate developer enterprises. It creates a functional understanding of the concepts of consolidating and combining related entities into a single financial report. The concepts are fundamental, and regardless of the type of reporting received (cost, market, GAAP, or company prepared), participants will receive a full and useful introduction to this complex topic. The course includes the fundamentals of equity method and consolidation accounting, including the often-seen joint venture liability. Skills learned will include preparation of analyst created consolidated reports using tax returns and partnership statements; and understanding of accounting for joint ventures where property is the contributed capital as opposed to cash. Proportional consolidation techniques will also be discussed and practiced. Comfort with accounting concepts and GAAP financial statements (reviewed and/or audited) is essential. Completion of RMA's Financial Accounting course (or equivalent) is strongly recommended. (RMA-CRC: 8 CEUs)
Real Estate Fundamentals in Commercial Lending (1 day)
Real Estate Fundamentals in Commercial Lending provides non-specialists with a comprehensive overview of fundamental commercial real estate concepts and techniques. Participants gain a working knowledge of the risks inherent in real estate lending, the quantitative aspects of underwriting real estate, and due diligence requirements. Participants should understand the fundamentals of credit and lending. For commercial and private bankers, loan administrators, and credit personnel who are involved in real-estate-secured transactions. (RMA-CRC: 8 CEUs)
Real Estate Lending Academy (3 days)
The Real Estate Lending Academy helps participants understand the key elements of credit decisions involving real estate by describing the characteristics of income-property real estate loans and identifying the key loan underwriting differences between investor loans, owner-occupied real estate loans, and commercial loans secured by real estate. It explores qualitative issues, including industry, business, and management strategy, and couples these issues with the traditional credit quantitative analysis, including income statement, balance sheet, and cash flow analysis. The course is for commercial lenders and credit analysts who are not real estate specialists but who need to know more about assessing real estate risk. (RMA-CRC: 23 CEUs)
Relationship Management Skills for Commercial Lenders: Identifying Risks and Selling Opportunities (1 day)
Relationship Management Skills for Commercial Lenders: Identifying Risks and Selling Opportunities (formerly Managing the Commercial Relationship) provides participants with tools to effectively monitor existing clients through external calling efforts and internal reviews while at the same time staying alert for cross-sell opportunities. Designed for loan officers, credit analysts, and anyone with commercial lending authority. (RMA-CRC: 7 CEUs)
RMA Lending Academy I (5 Days)
The RMA Lending Academy I provides training in basic core skills for commercial lending and credit. It should be used as a springboard to RMA's Mentor® basic skills courses. This introduction to commercial lending and credit will help participants better understand what their customers need to run a strong business and what the bank needs to make sound lending decisions. For new hires, branch managers, those new to commercial lending, business development officers, and relationship officers who are required to read financial statements or tax returns.
RMA Lending Academy II (3 days)
The RMA Lending Academy II teaches the analytical process and decision-making techniques participants will need to make sound credit decisions through the application of financial accounting, financial statement analysis, cash flow analysis, and transaction structuring. It is designed to be the cornerstone of a strong core credit curriculum. Participants should have a basic knowledge of financial accounting and some familiarity with financial statements. RMA Lending Academy II is intended to enhance the analytical process and decision-making techniques of participants who have mastered the skills taught in RMA Lending Academy I. These skills include an understanding of basic accounting principles, including GAAP, the accounting cycle, and the basics of business cash flow.
Structuring Commercial Loans I* (1 day)
The objective of Structuring Commercial Loans I is to improve the probability that the financial institution will be repaid by providing participants with an understanding of the fundamental principles behind structuring seasonal, working capital, and term debt. This course is for commercial bankers or those who supervise credit and risk management staff. Available on its own or back-to-back with Structuring Commercial Loans II. This course (or its equivalent) is a prerequisite for Structuring Commercial Loans II.
Structuring Commercial Loans II (1 day)
In addition to the topics covered in Structuring Commercial Loans I, this one-day program adds a complex financing transaction in which a management group purchases a company. Issues related to capital structure, positioning of senior and subordinated debt, and bridge loans will be discussed. For commercial bankers or those who supervise staff. Available on its own or back-to-back with Structuring Commercial Loans I. Structuring Commercial Loans I (or its equivalent) is a prerequisite for this course. (RMA-CRC: 8 CEUs)
360° Negotiating Skills for Bankers (1 day)
Participants in 360° Negotiating Skills for Bankers learn through hands-on exercises what it takes at each stage of the negotiation process to be truly effective: from understanding the customers' businesses and their needs, to helping them explore not just what they want, but what will help their businesses move forward; then creatively structuring and getting approval for the proposed financing. The emphasis is on negotiating in a 360° environment, balancing multiple needs and multiple perspectives. Participants learn ways of reaching common ground, discovering where they have flexibility, and how to find creative, workable solutions. This course is for bankers with various backgrounds, experience, and areas of expertise, including community bankers, corporate bankers, credit officers, branch bankers, trust officers, and cash managers. (RMA-CRC: 8 CEUs)
UCA Cash Flow Analysis (2 days)
UCA Cash Flow Analysis provides participants with the fundamentals of UCA direct cash flow analysis to increase their understanding of how a company can repay a loan from its cash flow. UCA I: Cash Flow Analysis builds on the participant's foundation in traditional financial statement analysis. This introductory course provides additional tools for effectively evaluating the financial strengths of a company and its ability to repay a loan. This course is for credit analysts, loan review personnel, and new risk management staff. It (or its equivalent) is a prerequisite for UCA II: Credit Risk Analysis for Commercial Bankers.
UCA II: Credit Risk Analysis for Commercial Bankers (3 days)
UCA II: Credit Risk Analysis for Commercial Bankers is for those who are thoroughly familiar with traditional financial analysis and who already understand cash flow projections and sensitivity analysis. Its primary focus is to build on these traditional skills and determine how a borrower can repay today's loan with tomorrow's cash. Participants analyze several companies, focusing on both financial aspects and leadership/management styles. For experienced credit and risk management staff who are already proficient in credit analysis and lending. UCA I: Cash Flow Analysis (or its equivalent) is a prerequisite for this course. (RMA-CRC: 23 CEUs)
Understanding and Interpreting Real Estate Appraisals (1 day)
Understanding and Interpreting Real Estate Appraisals is for financial services professionals who need to understand the content of a real estate appraisal. It focuses on those aspects of the commercial appraisal that are key to making informed lending decisions and examines the three approaches to valuation: cost approach, sales comparison approach, and income capitalization. Appraisal reports are not the sole determinant of whether to make a loan, but they do help in estimating the value of the collateral that might be taken. The course also includes USPAP extracts. Designed for those who are not real estate experts but who do need to understand appraisals. Includes a brief residential case in addition to the commercial scenario. (RMA-CRC: 7 CEUs)
Understanding Your Middle Market Customer: Applications in Transaction Structuring (1 day)
Understanding Your Middle Market Customer: Applications in Transaction Structuring is for experienced loan and credit officers looking to apply the principles of loan and transaction structuring. The right structure ensures debt holders the best chance of repayment from cash flow or from the liquidation of assets while at the same time providing a sufficient return to shareholders. Participants gain an understanding of the role of debt and equity in an acquisition transaction and relationship planning. Prior to taking this course, participants should attend Understanding Your Middle Market Customer: Transaction Structuring or its equivalent. This course assumes participants have well-established skills using a Hewlett-Packard financial calculator or its equivalent. (RMA-CRC: 8 CEUs)
Understanding Your Middle Market Customer: Case Study in Corporate Finance (1 day)
Understanding Your Middle Market Customer: Case Study in Corporate Finance focuses on understanding shareholder value, relationship planning, and financial advisory skills. It will also help financial advisors who call on middle market or larger companies and who want to improve their skills in evaluating and devising innovative capital structures. Prerequisities include Understanding Your Middle Market Customer: Corporate Finance & Business Valuation or its equivalent. This course assumes participants have well-established skills using a Hewlett-Packard financial calculator or its equivalent. (RMA-CRC: 8 CEUs)
Understanding Your Middle Market Customer: Corporate Finance & Business Valuation (2 days)
Understanding Your Middle Market Customer: Corporate Finance & Business Valuation introduces the basic principles of corporate finance. It focuses on the "time value of money" concepts used to solve business problems and explains how to use discounted cash flow analysis to determine the value of a business. This course is for credit analysts and relationship managers with three to five or more years of experience or a solid grounding in commercial credit financial analysis. Prior to taking this course, participants should attend RMA's Understanding Your Middle Market Customer: Credit Risk Analysis for Corporate Banking and Understanding Your Middle Market Customer: Transaction Structuring or already have a fundamental understanding of credit risk analysis and transaction structuring. Participants will also need to have well-established skills using a Hewlett-Packard financial calculator. (RMA-CRC: 15 CEUs)
Understanding Your Middle Market Customer: Credit Risk Analysis for Corporate Banking (2 days)
Understanding Your Middle Market Customer: Credit Risk Analysis for Corporate Banking covers the analytical process and decision-making techniques for making sound credit decisions through the application of financial accounting, financial statement analysis, cash flow analysis, and transaction structuring. Participants will gain a solid foundation in business and industry risk analysis, management analysis, financial statement analysis, cash flow analysis, cash flow drivers, debt capacity, forecasting, and transaction structuring. This course is for credit analysts and relationship managers with three or more years of experience or a solid grounding in commercial credit financial analysis. Participants should have basic knowledge of financial accounting and some familiarity with financial statements. (RMA-CRC: 15 CEUs)
Understanding Your Middle Market Customer: Products to Hedge Interest Rate Risk (1 day)
Understanding Your Middle Market Customer: Products to Hedge Interest Rate Risk is for experienced financial professionals who need an introduction to the financial services relevant to businesses in the middle and large corporate market. It focuses on how different types of interest rate risk management products (such as interest rate swaps, caps, and collars) work, and how these products and techniques can protect borrowers from interest rate risk. In addition, participants will examine the credit, market, and operational risk elements of such products. This course is for credit analysts and relationship managers with three to five or more years of experience or a solid grounding in commercial credit financial analysis. Participants should have a fundamental knowledge of credit risk analysis and transaction structuring. This course assumes participants have well-established skills using a Hewlett-Packard financial calculator or its equivalent. (RMA-CRC: 8 CEUs)
Understanding Your Middle Market Customer: Transaction Structuring (2 days)
Understanding Your Middle Market Customer: Transaction Structuring teaches the fundamental principles in structuring middle market transactions. The right structure ensures debt holders the best chance of repayment from cash flow or from the liquidation of assets—a secondary and alternative source of repayment—while at the same time providing a sufficient return to shareholders. This course is for credit analysts and relationship managers with three to five or more years of experience or a solid grounding in commercial credit financial analysis. Participants are expected to have a working knowledge of cash flow analysis. They should have at least fundamental knowledge of, and experience in, credit risk analysis—including financial accounting, financial statement analysis, and loan structuring. (RMA-CRC: 15 CEUs)
Understanding Your Small Business Customer* (2 days)
Understanding Your Small Business Customer develops and enhances the skills needed to work effectively with small business customers. It explains the different types of business entities, emphasizing how to probe for information to identify customer needs and then match those needs to an institution's products and services. It is for bank personnel who come in contact with small business customers but who have limited credit authority and little or no formal training in commercial credit. This group could include branch managers, assistant branch managers, personal bankers, customer service representatives, and business development officers.
*Also available in a Canadian version.