Course Highlights
  • Discover the core concepts in Private Equity, a core Investment Banking skill required by any Wall Street analyst
  • Understand How Private Equity Funds work
  • Discover and understand the Key Terminology in our Glossary and Definitions
  • Gain an Investment Banking perspective on the Key Characteristics of Private Equity Firms
  • Discover how to identify the right Private Equity firm for your business
  • Understand how Private Equity Firms identify and source their deals
  • Discover how to Structure a Private Equity Finance transaction
  • Understand Deal Value Creation and Key Private Equity Metrics
  • Understand the Private Equity Deal Process, step by step
  • Discover the importance of Deal Due Diligence
  • Understand Private Equity Deal Valuation and Pricing
  • Work through the comprehensive LBO Modelling structure and framework
  • Discover how to evaluate Risks and Returns in Private Equity Deals
  • Understand Exit Scenarios, Trade Sales, M&A, IPOs, Liquidations and Recapitalisations
  • Discover why some Startups fail
  • Understand how to measure Private Equity Fund returns
Curriculum

3 Topics
Introduction and Welcome to this Course
An Overview of Private Equity
Advantages and Disadvantages of VC and PE Funding

4 Topics
How To Set Up a Private Equity Fund
The Structure of a Private Equity Fund
Limited Partnerships within a Private Equity Fund
Roles within a Private Equity Funds

8 Topics
Private Equity Glossary - Introduction
What is a Management Buyout?
What is a Leveraged Buyout
Dispelling MBO Myths
Glossary of Investors
Glossary of Buyout Terms
Glossary of Investment Terms
What are Fund of Funds?

5 Topics
Categorising Private Equity Firms
Deal Stages - The Difference between Private Equity and Venture Capital
Lifecycle of a Private Equity Firm
How do Private Equity Firms Create Value?
Private Equity Measurement and Compensation

3 Topics
How to Find The Right Investor
Is Private Equity the Right Option for your Business?
Private Equity Selection Checklist

4 Topics
Types of Funding Transactions in Venture Capital and Private Equity
What Makes a Good Buyout Target Firm?
Private Equity Deal Screening
Private Equity Deal Funnel

7 Topics
Capital Structure of a Private Equity Buyout
Key Deal Structuring Terms
What is Equity and Common Stock?
Preferred Stock in Private Equity Deals
Preferred Stockholders Liquidation Preferences
More Rights in Private Equity Deals
Assessing Capital Structures in Private Equity Deals

2 Topics
How Do Private Equity Firms Make Their Money?
How do PE Firms Create Value for a Portfolio Company

5 Topics
Private Equity Deal Process Part 1
Private Equity Deal Process Part 2
Private Equity Deal Process Part 3
Private Equity Deal Process Part 4
Private Equity Deal Process Part 5

8 Topics
Areas of Due Diligence in Private Equity Deals
Commercial Due Diligence - Competition and Markets
Commercial Due Diligence - Sector Growth
Commercial Due Diligence - Customers and Suppliers
Commercial Due Diligence - Capital Requirements
Commercial Due Diligence - Financial Performance
Financial Due Diligence
Legal Due Diligence

2 Topics
How to Value Private Companies in Private Equity Transactions
What is EBITDA?

26 Topics
Introduction to LBO Modelling
Navigation: Overview of an LBO Model
Inputs: Document Sources
Inputs: LBO Model Global Assumptions
Inputs: LBO Model Key Assumptions
Inputs: LBO Model Operational Assumptions
Inputs: The Sources and Uses of Funds
Financial Statements: LBO Model Financial Projections
Financial Statements: Linkages and Balance Sheet Adjustments
Financial Statements: Circularity in LBO Models
Schedules: Working Capital Schedule
Schedules: Revolver and Cash Sweep
Schedules: Goodwill in LBOs
Schedules: Tax Schedules
Schedules: Depreciation and Amortisation Schedules
Schedules: Debt Schedule
Schedules: Debt Ratio Calculations
Schedules: Distribution Waterfall
Outputs: Valuation: WACC and DCF
Outputs: Returns and Leverage
Outputs: LBO Model Returns to Private Equity
Reports: General Report
Reports: Financial Report
Reports: Ability to Pay
Reports: LBO Value Creation Analysis
Reports: LBO Deal Presentation

2 Topics
Assessing Risk in Private Equity Investments
Management Equity in Leveraged Buyouts

3 Topics
What Drives an LBO?
Exit Options for LBOs
What is a Recapitalisation?

3 Topics
LBO Exits - Company Sales
M&A Transaction Structures
More M&A Issues You Need to Know

3 Topics
LBO Exits: Initial Public Offerings
LBO Exits: IPO Process
LBO Exits: IPO Pros and Cons

7 Topics
Why Do Startups Fail?
Why Do Startups Fail? Strategic Pre-Investment Issues
Why Do Startups Fail? Post Investment External Issues
Why Do Startups Fail? Internal Operational Issues
Why Do Startups Fail? Key Management Issues
Why Do Startups Fail? Financial Issues
Why Do Startups Fail - Summary

4 Topics
Understanding Private Equity Fund Returns
Defining Private Equity Fund Returns
Private Equity Return Ratios
Evaluating Private Equity Fund Performance

1 Topic
Course Summary and Wrap Up

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Investment Banking and Finance: Private Equity Finance

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