Finance business tools
What is Finance?
Finance can be defined as the term describing two major intertwined activities:
- the management of money as an asset
- the process of finding necessary funds for projects
Funding is key for all major stakeholders in an economy: individuals, corporations and governments. This is what explains the classical division of the discipline into:
- Personal Finance
- Corporate Finance
- Public Finance
Major activities in Finance, for all of the three categories above include: investing in value-added projects, obtaining the cheapest credit possible, the allocation of funds to back up liabilities and making these operations happen (ie: banking).
More on finance on Investopedia here
Why is Finance key for organizations?
Successful Finance Management is one of the key pillars for a healthy organization. The discipline uses a number of financial instruments (eg: loans, investments, securities) to answer an organization’s financial needs. Good financial management and funding helps organizations fund the assets necessary for their growth (i.e: labor, machinery, equipment, services etc.). Keeping an eye on key financial indicators and using the right financial instruments, tools and strategies is at the heart of an organizations life, survival and expansion. Finance functions can either be in-house, outsourced, used on a temporary basis (Consulting) or, most often, a combination of the three.
How can you get a Finance job?
Landing a finance job isn’t easy, as having and using with success the right knowledge is a pre-requisite.
Possible paths to land a job in finance are:
- => Getting an MBA, Bachelors or Master Degree in Finance
- =>Statutory Courses validated by official authorities
- o Chartered Accountants
- o Cost & Management Accountants
- => Specialized Finance Courses
- o CFA (Chartered Financial Analyst)
- o CFP (Chartered Financial Planner)
- o Economics Courses
- o Statistics Courses
- o CAIA (Chartered Alternate Investment Analyst)
- o Financial Risk Manager
- o Financial Modeling and Investment Banking Programs (Offline or Online)
More on getting a Job in Finance on Quora here
How can I acquire the skills and tools used in Finance?
Most Finance professionals, on top of their knowledge, have a set of tools they use for their daily or exceptional operations. They either build them themselves from scratch based on their expertise and experience of a large or specific sector or they use ready-made tools provided by their firm, colleagues or online web-sites.
Eloquens is in this last category, as an intermediary between financial tool authors and financial tool users, with the objective of helping finance professionals building on each other’s work instead of having to reinvent the wheel every time. You will find below, for download and open discussion a number of excel financial models and methodologies by world-class academics, experts and professionals.
- Model for valuing options that result in dilution of the underlying stock.78 remove_red_eyefreeby Prof. Aswath Damodaran
Valuation of an Income Generating PropertyThis model can be used to value property124 remove_red_eye
Liquidation Model - Waterfall AnalysisEducate employees, founders, and others in how liquidation preferences affect financial distribution in exit scenarios200 remove_red_eyefreeby Michael Dempsey
movieStartup Pro-forma Profit and Loss statement (P&L) TemplateMade to help you construct a high level operation plan for your startup.339 remove_red_eyefreeby Charlie Tillet
Cash flow forecast + Supplementary Personal Survival budget Excel templateCalculates the expected amount of money going in and paying out for your business over a period of time.133 remove_red_eyefreeby Start Up Loans
Merger & LBO Model ValuationThis LBO model in excel analyzes the value of equity and the firm in a leveraged buyout operation.574 remove_red_eye
Venture Capital Method (Single Round Financing)A full model enabling an entrepreneur to understand assumptions of both sides of the table in a single round financing350 remove_red_eyefreeby Prof. Moana Vercoe
Ultimate Startup Cap Table and Return Analysis Excel TemplateSample cap table excel template with exclusive waterfall return analysis.283 remove_red_eyefreeby Alexander Jarvis
Sample Financial ModelTemplate for determining cost realities and financial projections for potential investors' demands.553 remove_red_eyefreeby Marty Zwilling
Cash Flow Return on Investment (CFROI) for a FirmThis model calculates CFROI223 remove_red_eye
SaaS Model & KPIsA simple model to define and track your key metrics as a SaaS Startup271 remove_red_eyefreeby Ryan Carson
Discounted Cash Flow (DCF) ModelA step by step discounted cash flow analysis tutorial (DCF model)2,015 remove_red_eyefreeby Business-Valuation.net
Value of Control in a FirmThis model analyzes the value of control in a firm.369 remove_red_eye
Merger Synergy ValuationThis model estimates the value of synergy in a merger.152 remove_red_eye
Free Cash Flow for the Firm (FCFF) ValuationValue firms with operating income that is either positive or can be normalized to be positive169 remove_red_eye
FCFF (Free Cash Flow for the Firm) with exposure to country riskAllows the user to enter a measure of company exposure to country risk when making a valuation for a firm93 remove_red_eye
Gordon Growth ModelValue the equity in a stable firm paying dividends, with stable growth83 remove_red_eye
Free Cash Flow for the Firm (FCFF) Stable Growth ModelValue a stable firm on the basis of free cashflows to firm.86 remove_red_eye
Cash Flow Waterfall ModelA cash flow model for Real Estate based on a waterfall structure653 remove_red_eye
Rental Property Investment ModelA model for calculating returns on rental properties390 remove_red_eye
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