LD026 - Debt & Equity Draws - Part 4

Time Interval: 00:00:01 - 00:02:39


Summary

  • :bank: Key Financial Metrics: Explains metrics like Internal Rate of Return (IRR), Equity Multiple, and Return on Equity for both pre- and post-tax evaluations.
  • :bar_chart: Decision Metric Comparisons: Guides comparing high-use scenarios using detailed finance metrics and assumptions.
  • :money_with_wings: Debt and Equity Draws: Details the timing and amounts of construction and equity draws, highlighting how they impact interest calculations.
  • :arrows_counterclockwise: Equity Returns: Tracks when equity is returned to investors and developers, showing cumulative balances clearly.
  • :memo: Understanding Financial Terms: Offers explanations for terms like DCF, PV, NPV, DSCR, and ICR, with pros, cons, and layman explanations for easy understanding.

Insights Based on Numbers

  • :moneybag: Detailed Draw Calculations: Interest is calculated only on drawdown amounts, not the full loan, aligning with real financial scenarios.
  • :balance_scale: Separate Balances: Maintains distinct balances for developers and investors, ensuring clarity in equity returns.