Feasibility studies are useful when starting a new business or identifying a new opportunity for an existing business.

Feasibility Studies:

In order to make wise investments in a marketplace experiencing increasing levels of risk, companies are turning to feasibility studies to determine.

The purpose of a feasibility study is to determine if a business opportunity is possible, practical and viable.

Characteristic of feasibility Studies

Definition and nature of the project;

Current market segmentation;

Projected growth in each market segment;

Current market offerings;

Customer profile(s);

Estimation of customers/revenues;

Determination of competitive differentiation and advantage(s);

Vision/mission statement;

Definition of proposed operations/management structure and management methods; and Financing and projected cash flows.

Pre Feasibility Studies:

In large projects, a preliminary study undertaken to determine if it would be worthwhile to proceed to the feasibility study stage.

Business Plan:

It is a document that summarizes the operational and financial objectives of a business and contains the detailed plans and budgets showing how the objectives are to be realized.

Because the business plan contains detailed financial projections, forecasts about your business's performance, and a marketing plan, it's an incredibly useful tool for business planning.