What are debt covenants? How to measure them?

Definition A debt covenant is an agreement or a ‘promise’ set by the lender to ensure that companies or borrowers  operate within certain restrictive parameters. They are also known as financial or banking covenants. The purpose of debt covenants is not to burden the borrower but rather to: Protect lenders against default eventsLimit downside by … Continue reading What are debt covenants? How to measure them?

How to build a real estate financial model from scratch

A Financial Model is a structured and dynamic tool which links inputs/assumptions with periodic cash flow to produce results used for investment decisions or recommendations. They are mathematical models designed to represent a simplified version of a financial asset’s performance. Financial models ‘model’ or replicate real life financial issues based on assumptions so outputs are … Continue reading How to build a real estate financial model from scratch

How to Add Value to a Real Estate Investment

Covid-19 is increasing the appeal of “value-add” investment strategies across the real estate sectors.  With the previous model of core or low-risk, low return properties such as those with long leases being struck during the pandemic, many investors are looking at the market for reliable and resilient returns through value add real estate investments reflected … Continue reading How to Add Value to a Real Estate Investment

VC Investment & Careers in PropTech

Whilst PropTech is still practically in its infancy, the industry has been booming and is full of infinite opportunities. And as demand for professionals within the PropTech industry continues to grow, market leading consultants in the UK like LMRE realised that even those that come from a traditional real estate space could transfer their skills … Continue reading VC Investment & Careers in PropTech

Is Financial Modelling Training Worthwhile?

Financial modelling training, leading to financial modelling jobs takes time, money and effort to complete. So is it worthwhile? I explored job search sites and discovered that there are currently (as at 15 June 2021) 4,251 jobs matching 'financial modelling' on Indeed.com, the largest job search site and 2,036 on Totaljobs. Indeed found 4,251 Financial … Continue reading Is Financial Modelling Training Worthwhile?

Financial Modelling: Free excel template

Excel template

Financial modelling is a non-negotiable must-have skill in the world of real estate finance. The information and forecasting provided drive financial decision-making. In this blog we have shared a free excel template for you to download and experiment with (at the bottom of this page). Curious to learn how to create one? Then sign up … Continue reading Financial Modelling: Free excel template

Financial Modelling – What Is Its Purpose?

Financial Modelling

Financial modelling is used to estimate the valuation of a business, portfolio or property. We use spreadsheets to inform and make financial decisions. Spreadsheet users will have different perceptions of financial models depending upon need and experience. Financial models relate to mathematical models which represent a simplified version of a financial asset's performance. Financial modelling … Continue reading Financial Modelling – What Is Its Purpose?

Property Development: is this the right time to invest?

Making predictions Predicting the property market, when it is at its peak or its lowest is difficult. However, for a property developer, the time is right if they can mitigate risk. In order to make informed and effective decisions, developers need to have a deep understanding of their market. It is the length of the … Continue reading Property Development: is this the right time to invest?

Tax Day Update

23 March 2021 was dubbed 'tax day' when the government announced more than 30 tax updates separate from the budget. Cambridge Finance offers a summary of these updates that may affect its delegates. Taxation is part of life, none of us like it but it necessary, hopefully, this update and the ten-year plan that had … Continue reading Tax Day Update