How to Build a Financial Model | What's New at CFI

In this episode of FinPod by Corporate Finance Institute, we discuss how to build a financial model. We address common issues beginners face, like too quickly relying on Excel, and provide tips to streamline the model-building process. Emphasizing the importance of design, we cover the tangible benefits of reverse-engineering financial modeling problems and working backward from the outputs. Get advice on creating efficient, effective models, and tune in to get inspired when starting a financial model!

Chapters:
00:00 - Introduction
00:21 - The importance of financial models in decision-making
02:41 - Why designing on paper before Excel is crucial
04:05 - How to start with the outputs and work backward
06:50 - Balancing simplicity and complexity in your model
08:34 - Ratio of time spent on designing vs. building
11:07 - Real-world examples and common mistakes
13:27 - Key takeaways

#CorporateFinance #FinancialAnalysis #FinanceEducation #FinancialPlanning #FinancialModeling