First of all I would like to define what is feasibility study? Well, a feasibility study is written to find out if the chosen project is feasible before investing money. Feasibility study will determine if the proposed venture is profitable and viable and also to study the possible risk that will encounter during the implementation.
The following are some of the components of feasibility study.
- Project Description. It contains the project name such as the name of the enterprise as well as the purpose of this business venture. You must also include the information about stakeholders and the end result expected.
- Goals. It provides the list of your goals and procedures needed to achieve these goals.
- Timetable. It should have the estimated time to complete the project.
- Cost and Budgeting. All cost must be included such as all cost incurred for the project.
- Market Analysis. It provides if the proposed project or business venture has a demand. It includes the market assessment such as the industry description and competitiveness as well as the market potential and sales projection.
- Technical Analysis. It contains the competitiveness of technology and it identifies the constraints and limitations of the technology.
- Financial and Economic Analysis. It details the capital requirement to facilities, equipment and inventories.
- Resources. It identifies all the resources needed to complete the project including the technical, inventory and human resources.
- Process. It contains the project flow such as the flow charts showing project stages.
- Teams and Management. It includes the organizational structure and team management teams. Provides the staffing structure of the proposed business.
- Conclusion. It contains other alternatives and compares these alternatives based on your goals. Outline the criteria for decision making.