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Course Schedule
Classroom Sessions:
Date Venue Fees
08 - 12 Jul 2024 London - UK $5,950
09 - 13 Dec 2024 London - UK $5,950
Course Description

INTRODUCTION

Investing in hotel business is a complicated and rewarding effort. To be successful, hotel investors must be able to understand and apply several analytical tools used to evaluate the hotel investments. This Hotel Investments Analysis and Financing training course provides delegates with knowledge of how to assess hotel business performance, evaluate investments and estimate the optimal mix of debt-to-equity financing.

Delegates will learn how to estimate the return on investment and return on equity for a hotel investment. Debt and equity financing are critical to every business and delegates will learn how to compute the cost of financing for hotel investment using real data. With real-world examples, practical tools and opportunities to practice, the delegates will develop the skills necessary to assess the investment performance and financing strategy. They will also learn forecasting technique to develop a plan and analysis areas in which performance may be improved.

This GLOMACS Hotel Investments Analysis and Financing training course will highlight:

  • To estimate the return on investment and the return on equity for a prospective hotel investment.
  • Analyse and evaluate investment projects from the perspective of owners, operators, and lenders.
  • Make informed decisions about the relative attractiveness of hotel investments.
  • Estimate the value of a proposed hotel investment using a variety of methods.
  • The projection of financial requirements and analysis of financial information for planning and control.

Objectives

By the end of this Hotel Investments Analysis and Financing training course participants will learn how to:

  • Assess the performance of hotel investments using various methods
  • Analyse the capital investment and financing decisions using the latest and traditional techniques
  • Identify the key success factors/critical factors, investment opportunities and threats within the hotel sector thereby preparing for future challenges
  • Use forecasting techniques most appropriate to their organisation’s planning
  • Appreciate the behaviour of costs and identify the costing methods that may best be used in financial planning

Training Methodology

This GLOMACS Hotel Investments Analysis and Financing training course is presented in a very user-friendly training course to suit individuals with varying levels of financial knowledge and experience. The training course will be conducted along workshop principles with formal presentations, case studies and interactive worked examples. Numerous relevant examples and participative case studies are provided to illustrate the application of each of the topics covered. Each learning point is reinforced with practical examples and participative exercises. Difficult mathematical concepts are minimised wherever possible and handled in a visual way that is easy to understand with numerous illustrative examples

Organisational Impact

This Hotel Investments Analysis and Financing training course will provide participating delegates:

  • An understanding of performance analysis and relevant tools and techniques of financial analysis to assist managers in support of more informed and therefore better decision-making
  • An understanding of the links between long and short-term investment strategy and financing implications
  • Being able to assess the performance, investment and financing strategy effectively using relevant tools
  • The use of case studies and illustrations of real companies will help delegates understand how to apply different financial skills and techniques in hotel business
  • The knowledge gained can be shared amongst other departments of the company

Personal Impact

Delegates will develop an understanding of:

  • How to analyse and interpret the financial statements to make more informed and better performance assessments
  • Appreciate how investment and financing decisions are important for their own department and the organisation
  • How to enhance their self-confidence in dealing with finance and financial professionals
  • Evaluation of alternative financing, optimisation of capital structure
  • How to liaise effectively with other professionals on financial issues

WHO SHOULD ATTEND?

This Hotel Investments Analysis and Financing training course is designed to be suitable for anyone involved in assessing investment performance and evaluating financing strategy. It is equally valuable for those working in finance and accounting, costing, and treasury departments, and all other financial and non-financial professionals who are involved in investment and planning, for example:

  • Line Managers
  • Project Managers
  • Treasurers, corporate planning, and business development professionals
  • Professional Advisers and consultants who would like to further develop their strategic thinking and decision-making, and refresh and update their skill sets
  • Sales and marketing professionals
  • Middle and junior management as a useful element in their career advancement
Course Outline

DAY 1

Assessment of Business Performance

  • What information and data to use for financial statement
  • The nature of financial statements.
  • The context of financial analysis and decision-making.
  • Ratio analysis and business performance
  • Management’s point of view
  • Owners’ point of view
  • Lenders’ point of view
  • Ratios as a system – pyramids of ratios
  • Integration of financial performance analysis
  • Predicting financial distress

DAY 2

Analysis of Investment Decisions

  • Applying time-adjusted measures.
  • Net present value (NPV) and internal rate of return (IRR).
  • Strategic perspective.
  • EVA and NPV.
  • Refinements of investment analysis.
  • Equivalent annual cost (EAC).
  • Modified internal rate of return (MIRR).
  • Sensitivity analysis, scenario analysis, simulation,
  • Dealing with risk and changing circumstances.

DAY 3

Financing decision

  • Long-term sources of finance
  • Types of equity capital
  • Types of debt
    • The optimum capital structure/leverage – equity or debt?
    • Weighted Cost of Capital (WACC) and The Capital Asset Pricing Model (CAPM)
  • Calculating your WACC and CAPM
  • When & how to use WACC and CAPM
  • The dividend decision
  • Short-term sources of finance

DAY 4

Cost Analysis Techniques

  • Cost behaviour and activities
  • Fixed and variable costs, direct and indirect costs
  • Product costs and period costs
  • Cost allocation and absorption of overheads
  • Absorption or full costing
  • Marginal costing
  • Cost-Volume-Profit (CVP) and ‘what-if’ analysis using Excel
  • Activity Based Costing (ABC) and Activity Based Management (ABM)

DAY 5

Budgeting, Budgetary Control and Performance Improvement

  • To budget or not – purposes and reasons for budgets
  • Stages in the budget preparation process
  • Preparation of the master budget
  • Responsibility accounting and variance analysis
    • Standard costing; flexed budgets; budgetary control to measure organisational and management performance
  • Advantages, disadvantages, and behavioural aspects of budgeting
Certificates
  • On successful completion of this training course, GLOMACS Certificate will be awarded to the delegates
  • Continuing Professional Education credits (CPE) : In accordance with the standards of the National Registry of CPE Sponsor, one CPE credit is granted per 50 minutes of attendance
Providers and Associations

Endorsed Education Provider

  • Quality Logo

GLOMACS is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.NASBARegistry.org

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