Capital Structure Management
- Understand and manage the mix of debt and equity financing.
- Evaluate cost of capital, leverage ratios, and capital allocation strategies.
- Recommend optimal structures to balance risk, return, and flexibility.
Debt Financing & Loan Management
- Negotiate and manage:
- Bank loans, revolving credit facilities, term loans
- Trade finance (letters of credit, invoice factoring)
- Monitor loan covenants, interest rates, and amortization schedules.
- Work with banks to optimize financing terms and reduce borrowing costs.
Equity Financing
- Support fundraising efforts (if applicable) through equity or shareholder capital.
- Prepare investment decks, financial projections, and valuation models.
- Assist in private placements, IPO prep, or venture capital interactions.
Cash Flow & Liquidity Management
- Forecast short- and long-term cash flow needs.
- Optimize working capital through effective AR/AP and inventory management.
- Ensure liquidity to cover operations, debt service, and growth initiatives.
Financial Instruments & Treasury Operations
- Manage FX hedging, interest rate swaps, or other financial instruments.
- Work with treasury to manage banking relationships, cash pooling, and intercompany loans.
Credit Risk Management
- Assess and manage the company’s credit exposure.
- Evaluate customer creditworthiness, set limits, and implement collection policies.
- Balance sales growth with credit risk appetite.
Investor Relations & Stakeholder Communication
- Prepare financial reports, cash flow analyses, and financing updates for shareholders and lenders.
- Communicate clearly about the company’s financial position and capital strategy.
Financial Instruments & Treasury Operations
- Manage FX hedging, interest rate swaps, or other financial instruments.
- Work with treasury to manage banking relationships, cash pooling, and intercompany loans.
Financial Modeling for Financing Decisions
- Build models to evaluate:
- Debt repayment capacity
- Break-even points for new funding
- Debt vs. equity impact on earnings, control, and valuation
- Conduct sensitivity analysis for interest rate hikes or FX volatility.
Regulatory Compliance
- Ensure compliance with local and international financing regulations.
- Monitor financial reporting standards and disclosures (e.g., IFRS for leases and borrowings).
- Maintain transparency in all funding and capital-related transactions.
Strategic Financing Planning
- Support long-term planning by aligning funding needs with business strategy.
- Contribute to decisions on asset purchases, expansion, or M&A activity.
- Evaluate financing impact on ROIC, EPS, and shareholder value.