NBFC Financial Modelling from First Principles

 Most NBFC financial models look correct on Excel and collapse in real life.

They grow AUM smoothly, assume steady yields, plug credit cost, force-balance cash, and call it a forecast. That’s not how lending businesses behave.

This course is about modelling how an NBFC actually works.

We start from borrower behaviour, delinquency movement, amortisation, and prepayment. Everything else, income, provisions, balance sheet, capital, ratios, is built on top of that. No shortcuts. No plugs.

If you have ever wondered why two NBFCs with similar AUM show very different ROA, ROE, or capital stress, this course will make it obvious.

What “First Principles” Means Here

This is not an Excel course.
This is not an accounting refresher.

First principles here means:

  • AUM is built bucket by bucket, not assumed

  • Delinquency is modelled as movement, not percentages

  • Income is earned, reversed, and deferred correctly

  • Credit cost emerges from behaviour, not from GNPA targets

  • Cash and capital are outcomes, not balancing items

You will see how decisions flow through the system, not just what the final numbers look like.

What You Will Build

Over the course, we build a fully linked, end-to-end NBFC financial model covering:

  • Bucket-wise AUM using roll rates, disbursements, amortisation, and prepayments

  • Interest income on performing assets and reversals on NPAs

  • Processing fee booking with deferred income logic

  • ECL-based provisioning and write-off adjusted credit cost

  • End-to-end P&L for 5 years

  • Balance Sheet with loans, provisions, equity, and cash

  • Cash / bank movement without artificial plugs

  • ROA and ROE decomposition tree

  • CRAR and key portfolio quality ratios

This is the same structure used internally by NBFCs, funds, and credit teams to understand portfolio behaviour and capital efficiency.

Course Format

  • Cohort-based live classes

  • 4 sessions

  • 3 hours per session

  • Across 2 weekends

The sessions are long by design. This is modelling work that requires thinking, not rushing through slides.

What You Get

  • Live instructor-led sessions

  • A fully functional Excel NBFC financial model (not a demo file)

  • A detailed eBook explaining the logic, assumptions, and thinking behind the model

  • Q&A during sessions with real-world context

You don’t just leave with a file. You leave knowing how to rebuild or modify it yourself.

Who This Course Is For

This course is designed for:

  • Credit, Risk, and Finance professionals working in NBFCs or fintechs

  • Founders and senior managers of lending businesses

  • Investment and portfolio teams at funds, DFIs, or guarantee providers

  • Consultants and analysts who build or review NBFC models

This course is not meant for:

  • Beginners in accounting or Excel

  • Retail investors or stock-market focused learners

  • People looking for shortcuts or “ready numbers”

Course Fee

  • ₹14,999 + GST

  • Cohort-based live delivery

  • Includes eBook and Excel model

One-on-One Coaching

If you want to work directly on your own business model, assumptions, or portfolio:

  • 1-on-1 coaching available

  • ₹18,000 + GST

  • Highly customised, hands-on sessions

This is suitable for founders, CXO-level roles, or professionals preparing internal or investor models.

Enquiries

For registrations or queries, contact:
hello@the-playbook.in

Is this an Excel course?

No. Excel is the tool, not the subject. The focus is on understanding how an NBFC behaves and how that behaviour is translated into numbers.

Do I need prior NBFC experience?

Some familiarity with lending concepts helps, but you don’t need to be an expert. If you understand basic lending terms and financial statements, you’ll be fine.

Will this cover RBI regulations in detail?

Regulatory concepts like CRAR are covered conceptually and analytically. This is not a regulatory compliance course.

Is opex modelling included?

Opex is discussed conceptually and can be added, but the core focus is on portfolio behaviour, income, credit cost, capital, and returns. This is intentional.

Will I get a recording?

Details on recordings will be shared with the cohort. The course is designed to be attended live for maximum value.

Can I use this model for my organisation?

Yes. The model is built for learning and internal analysis. It is not a resale template.

Is this useful for interviews or role transitions?

Very much so. This course helps you speak clearly and confidently about how NBFCs actually make money, lose money, and manage capital.

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