When creating a production company, an entrepreneur in many cases has to draw up not only a business plan, but also a feasibility study of the project. This document is especially often required when a company seeks to introduce new technologies and obtain funding to achieve its goals.
Necessary
- - the concept of a business project;
- - calculated data for the project.
Instructions
Step 1
Understand the difference between a project feasibility study (FS) and a traditional business plan. The first document does not require high detail, its content should reflect only certain parts of the entire business. In other words, it makes sense to include in the feasibility study only those calculated data that are directly related to the proposed project and describe the proposed changes in the company's work.
Step 2
In the simplest case, take a detailed business plan as a basis for a feasibility study, excluding some details from it, for example, a marketing strategy, a description of a service or product, a detailed analysis of risk factors. Leave in the feasibility study the information that can help in assessing the results of innovations and identify possible problem points.
Step 3
Examine the factors that will directly affect the activities of the enterprise by including financial indicators in the analysis. The figures should show whether investments in the proposed development are effective, whether innovations require mergers and acquisitions of companies, how urgent the need for lending is. One of the goals of writing a feasibility study is to select the necessary equipment and appropriate technologies for the project.
Step 4
Include in the feasibility study a short summary of the proposed project, stating the main point of the innovation. Justify the choice of one or another organizational solution, type of activity, equipment and related technology. Supplement the document with a calculation of financial, labor, raw materials and other production needs. The feasibility study should contain an indication of the amount of funds required for the implementation of the project, as well as likely sources of funding.
Step 5
Complete the feasibility study with a summary and conclusions. A potential investor must understand that the proposed project is economically viable, as well as make the most complete picture of the structure of the estimated costs and the relationship of the estimated financial indicators with the planned income. For the lender, it is also essential to calculate the payback period of a business project.
