ClearFinancials® for the Work Out Department
ClearFinancials® provides powerful analytics, modeling and forecasting tools to create workout strategies that add value to your customer while increasing the viability of your loan portfolio.
ClearFinancials® powerful modeling functionality allows workout managers to forecast every account in the accounting structure to efficiently produce up to 120 periods of balance sheet, income statement and statement of cash flows. In addition to relational-based forecasting, the application allows users to overwrite or input known or expected values while the algorithm solves around user input values. This powerful process combines the efficiency of statistical forecasting with flexibility to accommodate unique or ‘known’ values, seasonality or one-time events.
In addition, the ClearFinancials® model enables the workout department to adjust drivers to solve for performance levels necessary to meet specific financial objectives including user loan covenants. For example, users may adjust drivers such as SG&A expense, inventory turnover, receivable age, payable age or a host of other drivers while simultaneously observing the impact on free cash flow, EBITDA, ROIC, EVA or other financial objectives throughout 120 periods. This functionality is ideal to perform shock-tests, risk analysis or model the impact on loan covenants under a variety of economic conditions.
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