Transforming a good idea into a valid business case is far from simple.
Feasibility studies are essential when planning any new project and form the basis and foundation for successful project implementation. We estimate the potential in the project or business case to make to make sure that the vision is realistic, fund-able and economically feasible. We evaluate business idea and undertake feasibility study which include industry assessment, the opportunities, risk factors, market analysis, competitive scenario analysis, financial feasibility, financial projections, location/site evaluation, business life cycle analysis, logistic support and resources etc.
Furthermore, financial institutions and investors, typically require a feasibility study of the business which an organization needs to finance the business. It doesn’t make any difference if it’s a product or service. Feasibility study will provide with the discipline and insight to reassure the investor that idea is worthwhile pursuing or not.
There are usually three main components to the feasibility study. However, depending upon the nature of business, technical analysis may not be required.
Market analysis should be conducted first to know about the adequate demand of the product or service. The components of market analysis include:
Further, the operational analysis is of paramount importance and include:
Financial analysis is a critical component of the feasibility study. With financial analysis, it cannot be determined the feasibility of the idea. Key components include: