Overview What You'll Learn Path to Certification What Students Say FAQ

Building a 3 Statement Financial Model

Subscribe

Level 5

Approx 5.50h to complete

100% online and self-paced

Subscribe to get access to FMVA® and other programs

From $497/year

Learn More

Overview

Recommended Prep Courses

These preparatory courses are optional, but we recommend you to complete the stated prep course(s) or possess the equivalent knowledge prior to enrolling in this course:

  1. Accounting Fundamentals
  2. Financial Analysis Fundamentals
  3. Excel Crash Course

Financial modeling course description

This step-by-step financial modeling course has been taught to thousands of finance professionals at top financial institutions around the world by Scott Powell. In this course, you will learn to build a financial model from scratch by working in Excel and following along with the video. Upon successfully completing the course and all quizzes, you will obtain your Financial Modeling Certificate from the Corporate Finance Institute and be on your way to breaking into wall street.


Financial modeling course introduction

A structured approach to financial modeling

In this section of the course, we cover the importance of designing a well-structured model and incorporating financial modeling best practices.  Specifically, you will learn to:
  • Apply a structured approach to financial modeling in Excel
  • Outline the hallmarks of good financial models
  • Explain the importance of planning as well as prep your model structure
  • Build from operating revenues down to operating profit


Step 1 in financial modeling course


Forecasting the income statement and balance sheet

In this section of the financial modeling course, you will learn to start building the model in Excel by completing the following steps:

  • Forecast property, plant and equipment and other operating assets
  • Forecast the various components of working capital:
    • Accounts receivable
    • Inventories
    • Accounts payable


financial modeling training class 3


Debt and financing schedules

In this section, the tutorials focus on how to build the debt and financing sections including interest calculations and the capital structure of the business. Specific learning objectives include:
  • Forecast debt financing and related interest costs
  • Forecast equity financing and dividends
  • Use an iterative analytical approach to managing circular references


tutorial how to build a financial model in excel


Building a free cash flow statement

Once all of the above steps are complete we can move to link the cash flow statement and complete the three statement model.  This section of the course will teach you to:
  • Understand the importance of error checking
  • Derive a forecast cash flow statement based on a forecast income statement and balance sheet
  • Derive a free cash flow statement that can be used for equity valuation


free cash flow and valuation modeling


DCF Modeling

This course includes a pre-populated DCF model, as the focus of the course is on linking a three statement model.  CFI's Business Valuation Course focuses on DCF Modeling in Excel in detail. 


Who should take this financial modeling course?

The course provides essential prep for wall street careers in investment banking, FP&A, corporate development, and other areas of corporate finance. Earn our certification and set yourself apart.

For further CPE information, please read before purchasing:

https://corporatefinanceinstitute.com/about/cpe-information/


Financial modeling & financial analyst training

From beginner to advanced, this Excel modeling course is designed to teach you how to be a complete financial analyst. 

This class is one of the 9 required "Core" courses for CFI's financial analyst training program, which grants the Financial Modeling & Valuation Analyst (FMVA) accreditation.

What You'll Learn

Lesson
Multimedia
Exams
Files
Introduction
Course introduction FREE PREVIEW
Learning objectives
Model preview FREE PREVIEW
What is a financial model
Types of financial models
Downloadable files
Financial Modeling Best Practices
Key structure for model building FREE PREVIEW
Modeling best practice
Inherent tensions in model building
Interactive exercise 1 FREE PREVIEW
Model inputs
Model processing
Model outputs
Model structure and approach
Financial modeling steps
Interactive exercise 2
Model Setup and Assumptions
Case overview
Historical data
Historical data cleanup
Assumptions, drivers and forecasting methods
Forecasting methods
Interactive exercise 3
Historical income statement demonstration
Fill in assumptions demonstration
Forecast Revenues Down to EBITDA
Forecast operating revenues and profits
Forecasting revenues
Forecasting gross margin and SG&A expenses
Forecast revenue down to EBITDA demonstration
[Optional] Building forecast using Macabacus' Fast Fill Right
Interactive exercise 4
Forecast Working Capital and PP&E
Forecast working capital
Working capital equations – receivable days
Working capital equations – payable days
Working capital equations – inventory days
Forecast working capital demonstration
Forecast PP&E
Forecast PP&E demonstration
Interactive exercise 5
Forecast Capital Structure
Forecast capital structure
Approaches to modeling capital structure
Circular references
Iterative calculation demonstration
Forecast long-term debt demonstration
Forecast interests and repayments demonstration
Complete the supporting schedule demonstration
Interactive exercise 6
Complete Cash Flow Statement
Cash flow forecast
Cash flows from operating activities
Cash flows from investing activities
Cash flows from financing activities
Complete income statement and balance sheet demonstration
Cash flow from operating activities demonstration
Cash flow from investing activities and financing activities demonstration
Check balance sheet demonstration
Interactive exercise 7
Review and Audit
Auditing techniques
Change the assumptions to check the model
Model auditing tools in Excel
[Optional] Pro Precedents and AutoColor Sheet Using Macabacus
Check formula inconsistency
Interactive exercise 8
Summary
Charts and graphs
Final thoughts
A modular approach to building models
Other final models
Additional Case Study
Additional case study overview
Downloadable files
Raw data
Copy and paste raw data
Format and link historical subtotals
Build supporting schedules
Calculate historical ratios and metrics
Fill in the assumptions
Build the income statement
Build the balance sheet
Complete supporting schedules
Complete the cash flow statement
Complete the I/S and B/S
Build charts and graphs
Download the completed model
Next steps
Summary FREE PREVIEW
Qualified Assessment
Qualified assessment
Share Your Feedback
Course Completion

Become a certified Financial Modeling & Valuation Analyst (FMVA)®

Building a 3 Statement Financial Model is part of the Financial Modeling & Valuation Analyst (FMVA)® certification, which includes 30 courses.

Financial Modeling & Valuation Analyst (FMVA)® Certification
  • Skills Learned Financial Modeling and Valuation, Sensitivity Analysis, Strategy
  • Career Prep Investment Banking and Equity Research, FP&A, Corporate Development
Learn More

Path To Certification

Prerequisite Courses

7 courses from beginner to intermediate level.

01Optional

Core Courses

11 courses from beginner to intermediate level.

02Required

Elective Courses

Take 3 out of 11 courses at an advanced level.

03Required

Get Certified

Submit your FMVA® checklist and order your certificate.

04Required

Join Our Community

Get access to the Global Corporate Finance Society.

05Optional

How the Certification Works

FMVA® Financial Analyst Certification courses are offered 100% online, allowing you the flexibility to start the financial analyst program anytime and learn when it’s most convenient for you.

The program is a part of the All Access Subscription, which includes all programs and courses.

CFI courses are designed by instructors with over 21 years of financial analyst training experience.

Students must complete all core and elective courses (14 in total) and demonstrate mastery of the topics through successful completion of course materials, quizzes, and assessments.
Within 48 hours of program completion, your Blockchain Verified FMVA Certification will be emailed to you.

What Our Students Say


GREAT

DAURA ABDEL NABI MAHMOUD RADY

Detailed FM course
very detailed financial modelling course.

ASIF YAKOOB


Thanks you very much for the outstanding course

Abdellatif A. E. Ibrahim

Building Financial Statements Model
Amazing course with detailed explanation how to build a financial statements model. Easy to follow and understand.

Mohamed Eldesouky

See More

Frequently Asked Questions

How do I enroll in this course?
Are there any additional fees or costs?
What currency are your courses priced in?
Can I download the Excel files and financial modeling templates for the course?
How long do I have to complete the courses?
Are CFI courses officially accredited?
How do I earn my certificates?
Can I email the instructor if I have questions?
Will these courses help me advance my career?
What is included in the subscription?
More Questions?

Get Certified for
Financial Modeling (FMVA®)

Access With Subscription Learn More
30 Day Money Back Guarantee