Practical Loan Covenant Analysis with Excel

Struggling to make sense of complex debt agreements? Loan covenants are a critical part of any financing deal, and understanding them is essential for financial professionals who need to manage risk and ensure compliance. This course provides a clear, step-by-step guide to analyzing and modeling loan covenants. You will move from fundamental concepts to building practical covenant monitoring tools in Excel, gaining the confidence to assess credit agreements and track financial performance effectively. What you'll learn: - Understand the purpose and structure of financial, non-financial, and affirmative covenants. - Learn to calculate and interpret common covenant ratios like Debt-to-EBITDA and Interest Coverage. - Build a dynamic covenant monitoring model in Excel to track compliance over time. - Analyze the consequences of a covenant breach and the typical remedies available to lenders. - Practice structuring covenant compliance certificates and reports from written templates. - Explore how different covenant packages are applied in various lending scenarios. The course begins with core definitions and the role of covenants in credit agreements, then progresses to hands-on exercises for calculating key metrics and building monitoring spreadsheets. This course is designed for aspiring financial analysts, junior bankers, accounting students, and anyone new to corporate finance or credit analysis. No prior experience with loan covenants is required. Start learning today to build a foundational skill in financial analysis.