The Gulf Organization for Industrial Consulting (GOIC) will hold a training course on "credit risks in the small and medium enterprises and assess profitability" in collaboration with the Arab Academy for Banking and Financial Sciences, during the period 25-28 August 2014, at the headquarters of the Academy in Amman, Jordan.

 

The course aims at the introduction of credit risks that usually face small and medium enterprises and ways for resolution and mitigation. Analysis of credit risks and preparation of credit reports for small and medium enterprises to ensure proper credit decision-making will be tackled.

 

The course is directed towards those responsible for credit in commercial banks and specialized financial institutions in small and medium enterprises, in addition to loan officers and account administrators in commercial, Industrial and Islamic banks, as well as financial institutions dealing with small and medium enterprises. Relevant authorities for financing small and medium enterprises such as chambers of commerce and industry, and officers of specialized funds of such projects are also included.

 

Participants will be provided with adequate information on credit risks and their causes to small and medium enterprises, the role of information in the identification of such risks, in addition to the types of credit risks for small and medium enterprises and ways to reduce and detect them. They will also be addressed on the terms and conditions required by the credit officer, risk guarantees, methods and criteria for evaluating facilities, free cash flow, as well as ways of calculating cost of capital, the concept of fair value of assets and the concept of time value of money (TVM).

 

Participants will also recognize the criteria for the evaluation of facilities, including standards that ignore time value of money, and standards that take this value into account, as well as the criteria for measuring undiscounted business profitability under certainty conditions, with a review of payback period standard, the international accounting standard (IAS), discounted commercial profitability standards (economic criteria), net present value standard, the standard of income rate of return, and the criteria for measuring business profitability under conditions of uncertainty. During the training, the participants will be distributed to work teams to handle practical situations.

 

The participants will also be briefed in this workshop on ways of self and external investments, the financial, technical and economic credit risks, with access to the methods of Islamic Finance (musharakah, mudarabah, murabaha), along with the concept of asset protection and related financial risk analysis. In addition, they will learn about loans with second priority, comprehensive review of secured lending, notes receivable and how to finance them, warehouse receipts and how to fund them, and trusteeship receipts and how to finance them, with practical situations and work teams.

 

The training course will be presented by Mr. Farid Abdel Latif Harazallah, an expert in the banking sector for more than 20 years. He has been director of company credit facilities in the Jordan-Kuwait Bank since 2004. He holds a Master Degree with honors in commercial banking from the Arab Academy for Financial Sciences and banking. He also carries the Certified Lender Business Banker certificate (CLBB) in collaboration with the Federation of American Banks. As a certified instructor in various credit areas, he implemented many programs and training courses in credit banking, financing of small and medium enterprises, financial analysis for the purposes of granting credit, financial analysis and preparation of financial statements, computer-aided financial analysis, collection, non-performing loans, negotiation skills, credit classifications and concentrations, credit risk management for small and medium enterprises, and others.

 

GOIC seeks to promote individual and organizational capacities of the industrial sector in GCC countries and Yemen through its Training and Capacity Development Program (TCD). You can visit GOIC website www.goic.org.qa and register online for similar workshops or communicate with us via Facebook, Twitter and YouTube.