With freight markets struggling in comparison with recent heady levels, and the World banking sector reeling under the weight of the “Credit Crunch”, Cambridge Academy of Transport's Ship Finance course looks the challenges faced in ship finance transactions in the current market.
While it may be obvious that the time to buy a vessel is when the values are low, it is also the time when banks have a reduced appetite for lending. As commercial bank debt remains the main vehicle by which shipowners finance their fleets, how will owners bridge the gap between need and availability?
Cambridge Academy of Transport MD, Dr. John Doviak, commented that "Our courses focuses on bank lending but also gives a robust understanding of alternative means to raise capital. The alumni of our Ship Finance course over the years, include some of the most prominent names in Ship Finance and leading Ship owners today."
This course takes a very practical approach towards ship finance and involves a business simulation game that is based on the relationship between a shipowner and a bank. The game deals with negotiation, credit risk, loan offers, client relationships and fleet expansion. It consists of a series of dynamic responses to market driven events which include options to finance using different strategies and to choose how to deploy the fleet using a variety of chartering and S&P alternatives. Team competitiveness and a realistic set of parameters ensures that participants receive practical benefit from their given task.
This 5 day Ship Finance course looks at various ship finance related issues including:
- Various capital sources for ship finance
- What happens when it all goes wrong?
- What protection do lenders have to avoid losses ?
- What are the early signs of default?
- What action should be taken and by whom?
- How is the value of a loan recovered?
Cambridge Academy of Transport provides maritime education through a variety of seminars aimed at the management or executive levels of companies within international shipping and trading. Programmes are practical in nature and topics focus on commercial practices within the shipping business. Cambridge Academy of Transport was established in 1985 and is an independent organisation based in Cambridge, England.