Investment projects are among the most important economic activities that contribute to sustainable growth and economic expansion across various sectors. For investors and project managers to make successful investment decisions, it is crucial to understand the principles of financing, project evaluation, and analysis. The course on The Principles of Finance for Investment Projects, Its Evaluation and Analysis, offered by the British Academy for Training and Development, provides participants the opportunity to learn the financial foundations that ensure the success of any investment project.

Throughout this course, participants will explore tools and techniques for evaluating investment projects by studying financial feasibility, estimating returns, and analyzing project risks. Additionally, they will learn how to use advanced financial tools such as Net Present Value (NPV), Return on Investment (ROI), and Sensitivity Analysis to accurately evaluate investment projects.

Who Should Attend?

• Project managers and those responsible for evaluating investment projects.
• Financial analysts and financial consultants.
• Individuals interested in developing financial skills for project evaluation.
• Entrepreneurs and investors looking to understand the fundamentals of project financing.
• Employees in financial departments involved in investment management.

Knowledge and Benefits:

After completing the program, participants will be able to master the following:

• Understand the basic principles of financing for investment projects.
• Use appropriate financial tools to evaluate investment projects.
• Conduct financial feasibility analysis and risk assessments for investment projects.
• Estimate capital costs and return on investment (ROI).
• Make investment decisions based on accurate and reliable evaluations.

Introduction to Investment Project Financing

• Basic Concepts in Investment Project Financing
  • Definition of investment projects and their objectives.
  • The role of financing in investment projects.
  • Sources of financing for investment projects (self-financing, loans, equity).
• Basic Financial Concepts in Projects
  • Definition of working capital, cash flow, and profitability.
  • Difference between internal and external financing.
  • Importance of setting clear financial goals for projects.
• Basic Principles of Project Evaluation
  • Definition of financial feasibility of projects.
  • Basic tools for evaluating investment projects.
  • Difference between short-term and long-term projects.

Financial Feasibility Analysis of Investment Projects

• Preparing the Financial Feasibility Study
  • Identifying costs and returns in investment projects.
  • Methods for estimating expected revenues and expenses.
  • Economic and commercial feasibility analysis for projects.
• Methods for Evaluating Financial Feasibility
  • Using differential analysis for financial feasibility evaluation.
  • Return on Investment (ROI) and economic return analysis.
  • Analyzing costs and returns in investment projects.
• Evaluation Using Net Present Value (NPV)
  • How to calculate Net Present Value (NPV).
  • Interpreting results and making decisions based on them.
  • Using NPV to compare investment projects.

Financial Risk Analysis in Projects

• Identifying Financial Risks in Investment Projects
  • Identifying potential financial risks (market risks, liquidity risks, interest rate risks).
  • The impact of risks on expected returns.
  • Assessing risks using financial analysis tools.
• Risk Management Techniques
  • Strategies for reducing financial risks.
  • Diversification in investments and how to reduce risks.
  • Hedging tools and financial derivatives.
• Sensitivity Analysis in Investment Projects
  • Using sensitivity analysis to measure the impact of financial variables.
  • Analyzing possible scenarios and assessing the impact of economic changes.
  • Applying sensitivity analysis to key financial values (cash flows, returns).

Estimating Capital Costs

• Concept of Capital Costs
  • Definition of capital cost and its impact on investment projects.
  • How to calculate total capital cost.
  • The relationship between risk and return in determining capital costs.
• Calculating Capital Cost Using Different Models
  • Cost of debt vs. cost of equity.
  • Using the Weighted Average Cost of Capital (WACC) model.
  • How to use WACC to evaluate investment projects.
• Estimating Returns on Capital
  • How to determine returns on invested capital.
  • Measuring expected returns against associated risks.
  • The importance of estimating returns on capital for making investment decisions.

Evaluating Returns and Analyzing Investment Projects

• Evaluating Returns Using Return on Investment (ROI)
  • Methods for calculating ROI in investment projects.
  • Analyzing returns in the short-term and long-term.
  • Comparing returns with costs for accurate results.
• Analyzing Projects Using Discounted Cash Flow (DCF)
  • How to use DCF analysis to evaluate projects.
  • Calculating the value of future cash flows.
  • Applying DCF to determine whether the project is profitable.
• Making Investment Decisions Based on Financial Analysis
  • Using financial analysis for making investment decisions.
  • Estimating risks and returns to determine investment feasibility.
  • The importance of continuous analysis and adjusting decisions based on financial developments.