Feasibility studies aim to objectively and rationally uncover the strengths which can lead to success,

and the weaknesses which can lead to failure of an existing business or proposed venture, opportunities and threats present in the environment. 

Resources & Prospect:

And also find out the resources required to carry through, and ultimately the prospects for success.

Solutions

Provide solutions or strategies that can transform or convert the threats into positive beneficial prospects for the business.

In its simplest terms, the two criteria to judge feasibility are cost required and value to be attained.

Dealing with the location and the environment of the location, feasibility study will also include cultural feasibility and forum analysis which aims at the research of finding out of the needs of a region.

As such, a well-designed feasibility study should provide a historical background of the business or project, description of the product or service,

accounting statements, details of the operations and management, marketing research and policies, financial data, legal requirements and tax obligations.

A feasibility study evaluates the project’s potential for success; therefore, the perceived objectivity is an important factor in the credibility to be placed on the study by potential investors and lending institutions.

It must therefore be conducted with an objective, unbiased approach to provide information upon which decisions can be based.

Ask yourself?

1: What are the risks (disadvantages) that you might confront in the region where your business is going to be located?

2: Is the model of my business plan compatible with the region or if not, what are the adjustments do i need to do to make it suitable?

3: What are the advantages, benefits or opportunities?

4: What are the social challenges in the region?

5: Could those social challenges be used as your business prospect or could those social challenges be a disadvantage to your business?

6: An if these social challenges can be used as an opportunity to advance your business, in your feasibility study you must explain how that is going to be done?

7: What is the political status of the location, is it favorable towards you business or is it an opposition towards your business?

9: How can the social challenges that are plaguing the region be used as an opportunity for business prospect?

10: What type of tools are you going to need to able to effectively carry our the mission of your business plan?

11: Are the political policies of the region – for your business or are they against the progress of your business?

A well-designed feasibility study should provide a historical background of the business or project, a description of the product or service, accounting statements, details of the operations and management, marketing research and policies, financial data, legal requirements and tax obligations.

Generally, feasibility studies precede (comes before) technical development and project implementation.