This seminar covers common versions of global cash flow (GCF) analysis being used by bankers, with a focus on GCF as part of the underwriting process in most medium- to smaller-sized businesses and self-employed lending situations. We will explore the information and resources needed, plus key issues for extracting data from tax returns. One area of concern is the income listed on page two of Schedule E compared to withdrawals or contributions shown on the related K-1s. A case study is used to illustrate key points.
Topics to be covered include:
• Versions of GCF being used by bankers
• Regulatory concept of global analysis
• Analytical and conceptual issues:
– Giving credit for business earnings or amount distributed
– What is shown on a Schedule K-1 (income/expense pass-throughs versus cash inflows/outflows)
– Some tax return basics/issues
Target Audience:
Branch managers, commercial lenders, Consumer lenders, credit analysts, lending managers and credit officers, loan review specialists, mortgage bankers, private bankers, small business lenders, special assets officers