Financial Consultant

7 مارس، 2023

0 1 6 دقائق

PROJECT BACKGROUND

The Municipal Support Program (MSP) is a five-year program supported by USAID/Jordan, awarded in August 2022, and implemented by DAI Global LLC. The overall goal of MSP is to strengthen municipal-sector service delivery and promote Local Economic Development (LED) in Jordan. The MSP team will achieve this goal through the following interventions: Outcome 1: Inclusive local administration strengthened, and Outcome 2: Capital investment for municipalities increased.

MSP utilizes approaches that address structural issues, systems, processes, interrelationships, behavior and organizational culture change. MSP aims to strengthen municipal-sector service delivery by supporting improved governance and organizational culture across three interventions: key policy and service delivery reforms, municipal sector public financial management, and community engagement.

The program will support increased capital investment in Jordan’s municipal sector with the goal of catalyzing local economic opportunities and strengthening service delivery by supporting improved development planning, facilitating investor partnerships, increasing access to finance, and supporting renovation and construction of fixed assets including the provision of material resources. Foundational to these efforts, MSP will leverage and institutionalize the participation of marginalized groups, including women, youth, and persons with disabilities, in municipal-level decision-making. Participatory planning will improve marginalized groups’ access to public services and increase their economic opportunities. MSP will work across all of Jordan’s governates.

POSITION DESCRIPTION

Outcome 2 under MSP aims to facilitate more investment in needed capital investment projects, the key two intermediate results under MSP’s Outcome 2 are: IR 2.1 Municipal Sector Development and Investment Planning Improved, and IR 2.2 Municipal Access to Finance and Private Sector Partnerships Increased, where MSP will facilitate more investment in needed capital investment projects in PPMs and select APMs by strengthening the municipal sector’s systems for identifying and planning investments. This includes procuring and implementing the investments, mobilizing domestic resources, incentivizing private sector partnerships that could be utilized to improve municipal services, reduce costs, generate revenues for the GOJ and municipalities, and create economic opportunities in communities, especially for women, youth, and people with disabilities.

This will help ensure that private sector investments and PPPs can deliver community-responsive services, mobilize revenue, and generate employment in the municipalities.

The objective of this assignment is to support up to three selected municipalities with conducting financial studies to evaluate the viability of up to three proposed investment projects considering private sector participation as one of the options for the investment, to determine needed capital investments, market share, prices, revenues, operating costs, projected financial performance and whether the projects are financially viable. The financial consultant will assess the market, financial aspects of the projects, and consider economic and social impacts, that will affect the municipalities’ and their residents.

This assignment aims to provide an unbiased and comprehensive initial assessment of the proposed projects, which will help the municipalities and stakeholders make an informed decision on whether to proceed with the project or not. The consultant shall consider any related local laws & regulations and shall consider economic and social impacts of the projects and provide recommendations for moving forward with the projects, based on the findings of the studies.

The studies will evaluate potential benefits and drawbacks, will identify potential risks and opportunities, and will provide recommendations for moving forward with the project, which will help the municipalities make a well-informed decision.

The financial consultant will work in close consultation with Outcome 2 Capital Investment Lead, MSP Chief of Party and Deputy Chief of Party. The consultant is expected to work closely with MSP and selected municipalities and any other stakeholders as may be required during the assignment. The Consultant shall be expected to carry out the services described but will not be limited to them.

KEY DUTIES AND RESPONSIBILITIES

Collect and review all available data and information, plans, and documents related to the projects to ensure that the financial studies are aligned with the projects’ overall goals and objectives.

Liaise with the relevant municipalities, carry out field visits to the municipalities as needed, and liaise with other stakeholders including the private sector as needed.

Define the projects’ locations, components, layout, rational, goals and expected outcomes.

Conduct a preliminary market analysis, gather, and analyze data related to the proposed projects , such as data on similar projects in same area, major competitors, demand, and usage trends of the market, competitiveness’ analysis with other similar products/ services/ facilities, barriers/ease of entry to the market, the objective of such analysis is to determine on the basic assumptions such as end user requirements and service level to be provided, anticipated market size, market share, growth rates, trends, market requirements, price/willingness and ability of end users to pay, the potential to expand the market.. etc.

Identify the approvals and permits that must be obtained to develop and implement the projects, identify the specific laws and regulations that could affect the development & operation of the projects.

Develop a financial model including, Item-wise breakdown of investment needs and contingencies, revenue, O&M cost inputs, proposed capital structure, technical inputs, working capital modeling, depreciation/tax calculations, projected financial statement (Profit & Loss Statement, Balance Sheet Statement and Cash Flow Statement), financial summary sheet showing business financial indicators such as ROI, NPV, IRR, analyzing the major variables of the business through the sensitivity analysis, complete ratio Analysis, and clearly indicating assumptions used.

Provide ratio analysis, insight on their interpretation, compare them to industry standards or similar projects (if information is available).

Conduct a SWOT analysis to identify the validity of the proposed projects. Highlight the opportunities and strengths and bring out threats and weaknesses which may face the establishment / operation of the projects in their potential markets and formulate recommendations based on the municipalities’ natural and financial resources; regulation; social system and so on.

Identify the projects’ potential risks and challenges, including those related to the overall economy, market, laws, project’s technology and develop mitigation measures to reduce or avoid the potential impacts of these potential risks.

Determine and assess social impacts of the project including the project’s potential for generating employment opportunities for residents.

DELIVERABLES

No.	Deliverable	Timeline	Language
1	A financial model in excel format, must clearly set out all assumptions made, sensitivity analyses carried out, project financial return from different perspectives, alternative business scenarios and model outputs as per the above listed tasks.	Within three weeks from date of starting each project’s assignment	English
2	For each assessed project, a comprehensive financial study report including but not limited to (executive summary, project description, project rational, market analysis, legal requirements, project budget, project operating costs and revenues, projected financial statements, feasibility indicators, financial ratios, breakeven analysis, identification and description, comparison of alternative business scenarios and models and the pros, cons and financial indicators for each model, SWOT analysis, risk analysis. etc.). The financial study report, compiled in a single report in Word format (with relevant annexures), and delivered as both electronic and hard copy documents. This must be compiled in such a manner that they can be used by the municipalities for decision-making purposes. The Executive Summary of the report (in word format) must be provided in both English & Arabic languages.	Within five weeks from date of starting the project’s assignment	Arabic
3	A PowerPoint presentation that encapsulates all the key components of each Project and the key features of the study/ies. The PowerPoint presentation (in PPT format) must be provided in both English & Arabic languages.	Within five weeks from date of starting the project’s assignment	English & Arabic
4	Conduct a session per assessed project for the selected municipalities and other Government stakeholders to present and discuss the findings and recommendations of the financial study/ies.	Within five weeks from date of starting the project’s assignment

The consultant is expected to work on three proposed projects with MSP during the period of performance referred to above. The total LOEs for performing duties, responsibilities and deliverables under sections C and D for these three projects have a ceiling of 45 days (each project is expected to have a ceiling of 15 days). The ceiling is set as a guideline and any changes per assessed project are subject to agreement with the MSP.

QUALIFICATIONS

University degree in finance, accounting, or another relevant field. Master’s degree and/or professional certifications is preferred.
At least 12 years of professional experience in financial consulting, advisory services, investment, working on PPP projects would be an advantage.
Proven experience in developing financial models and conducting feasibility studies.

Thorough knowledge of the methods, techniques and practices linked to revenue and expenditure analysis, financial forecasting, and cost modeling and accounting.
Solid understanding of the relevant industry, or field of the related project and preferably previous hands-on experience in similar types of projects.
Previous experience in the governorates and municipal sector is preferred.
Excellent communication and interpersonal skills.
Strong analytical, conceptual, and writing skills, strong problem-solving skills.