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Description

Legal Professionals and Accounting: Reading a Balance Sheet, Income Statement and Notes

Build the ability to read a company's financial statements independently before negotiating or signing

  • 2 days — 14 h
  • In-person or virtual
  • Foundation
  • Up to 6 participants

A legal professional receives a full set of financial statements ahead of a negotiation and does not know where to start. They are asked to assess the financial soundness of a counterparty or to prepare an acquisition, yet they read little beyond the revenue line. The vocabulary used by finance teams remains opaque, and they refrain from asking the questions that would make the difference.

These two days build an independent reading of annual financial statements. Participants work through a balance sheet and an income statement, understand what the notes add to those two statements, calculate a few simple indicators and identify the points that deserve a question before signature.

Learning objectives

  • Identify the purpose of each document making up the annual financial statements
  • Read a balance sheet by distinguishing assets from sources of funding
  • Interpret the main aggregates of an income statement
  • Extract from the notes the information relevant to legal analysis
  • Calculate simple profitability and financial structure indicators
  • Formulate the questions to put to management or to the finance team

What makes this programme different

The reading is based on a complete set of financial statements rather than a simplified balance sheet
Every financial term is translated into a concrete legal consequence
Participants leave with a checklist of questions to ask before signing

Programme

1Financial statements and their underlying logic

Knowing what each statement tells you

  • Respective role of the balance sheet, the income statement and the notes
  • Concepts of expense, income, asset and liability
  • Accounting principles governing the preparation of financial statements under IFRS
  • Preparation and approval timetable
  • Difference between standalone and consolidated financial statements

2Reading the balance sheet

Understanding what the company owns and what it owes

  • Fixed assets, depreciation and impairment
  • Inventories and trade receivables
  • Cash position and financial debt
  • Equity and provisions for risks
  • Spotting abnormally high line items

3Income statement and notes

Following how the result is built

  • Revenue and margin levels
  • Operating expenses and payroll costs
  • Finance result and non-recurring items
  • Information in the notes that is useful to legal professionals
  • Off-balance-sheet commitments and security granted

4Indicators and legal applications

Using financial statements in your role

  • Calculating a few profitability and structure ratios
  • Trends over several financial years and how to read them
  • What the management report and the external auditor's report add
  • Using financial statements in negotiation and acquisition due diligence
  • Warning signs of financial fragility

Who is it for

In-house counsel, law firm associates and legal assistants with no prior background in accounting.

Prerequisites

No prerequisites

Dates & locations

24 scheduled dates between November 2026 and December 2027. Seats are confirmed in the order enquiries are received.

November 2026

December 2026

January 2027

February 2027

March 2027

April 2027

May 2027

June 2027

September 2027

October 2027

November 2027

December 2027

None of these dates suit you? We open additional sessions on request, and any programme can be run privately for your team.

Practical details

Before the programme
Online positioning questionnaire. Your development objectives are shared with the trainer, who tailors the practical case studies to your context.
Teaching methods
Theoretical input, workshops and practical case studies. Digital course materials and method sheets provided.
Assessment
Multiple-choice tests and role-play exercises. Assessment of learning at the start and end of the programme, with immediate and 60-day follow-up evaluations.
After the programme
One year of access to the e-learning platform. Self-assessment of the skills acquired and a 30-day follow-up session with your trainer.
How to register
Registration online or on the basis of a quotation.
Lead time
11 working days after confirmation of registration.
Accessibility
Accessible to people of determination. Contact our accessibility coordinator to design a suitable solution: contact@mpf-academy.ae
Start dates
Rolling intake: in addition to the scheduled sessions, this programme can start on request.