How to write a feasibility study step by step

How to write a feasibility study step by step

Additionally, you can create an Appendix page that provides detailed discussions of all criteria used in analyzing feasibility and examples of each criterion. Meanwhile, there are common suggestions, which are listed below. It aims to analyze and justify the project in terms of technical feasibility, business viability and cost-effectiveness. Instead, there are components to it, and each component concerns itself with one thing at a time. Discuss the costs of introducing the product to the market as well as the expected revenues. You want to have a realistic understanding of the kind of sale numbers you can expect and the scope of the promotional activities you are required to undertake. What are the buying patterns of these potential customers? Feasibility study for setting up a water refilling station. Give the intended benefits for the customer. Devise some marketing strategies. What are the sensitivity points for your business in terms of sales? That something could be a project, a new business, or even something as simple as an idea. You don't want to introduce statements here that have not been supported by the data and other information you've already presented.

Why would people buy the product or service? Including past, current and future competitors. Make sure your projected capital is adequate to cover the technical and logistical factors you've already outlined.

feasibility study template excel

Feasibility Study Goals A feasibility study will test whether something is viable o r not. A typical feasibility study covers six areas, starting with a description of your business, the market, technology you'll need to use, financial and organizational details, and a conclusion of how you'll move forward.

contents of feasibility report

Discuss, in detail, existing competition in the marketplace. Overall, a feasibility study is the perfect tool for situations where the impact is likely to be big in terms of operational or economic significance.

For example, if you are adding a new product line to your business, you should use the above questions as a guide to understanding the implications to your other operations and the financial viability of the new product.

sample of a feasibility study of a business

You also need to calculate the financial cost of the worst-case scenario.

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How to Do a Feasibility Study (with Pictures)