Tips for Planning a Feasibility Study: What are the ingredients of feasibility studies?
Tax rate, levies and duties Currency exchange rate, etc. Once you are able to go through the process, the next thing to do is to sit back and review the document generated from your economic analysis.
As a matter of fact, you can liaise with someone or perhaps a practicing economist to help you with the review of the document; it might attract a fee though. The truth is that you would notice the professional touch once an economist helps you review your economic analysis document.
Conducting a thorough economic analysis before starting a business will enable you start and run the business with little or no pressure because you would feasibility study business plan example succeeded in taking care of all the areas that you are likely going to get pressure from.
Market Analysis The next thing you should be analyzing is the market for your proposed business idea. Carrying out a feasibility study on the market will enable you know if there is actually a need or market for your business idea.
Market analysis will also help you to determine the size of the market, demographics and psychographics of the market, level of competition and the size of the market you can compete for. Technical Analysis There are certain aspects of setting up a business that an entrepreneur need not neglect and technical analysis is one of them.
Technical analysis is all about collecting and studying all the needed techniques that will help you effectively run your business. In some quarters, especially the financial industry stock markettechnical analysis is about the collection of price trends with the aim of forecasting or predicting the future price trend of stocks, commodities, and futures et al.
Although technical analysis is majorly used in the stock market, but you can apply same principle to your startup. The essence of conducting technical analysis for your startup is to ensure that you are well equipped with the right resources to successfully launch your business.
Technical analysis is almost similar to economic analysis because it also involves the law of demand and supply — market fluctuation et al.
Now let us quickly consider some of the key steps you need to follow to be able to effectively conduct technical analysis for your startup business; Study and Research-: If you want to successfully conduct an effective technical analysis for your startup business, then you must spend time to study and research your line of business.
This part of a feasibility study deals with the technological requirements of the business. Technical analysis will enable you determine the method of production to be employed, equipments, spare parts and tools, site development, supporting facilities, the nature of the factory building, fencing and so on.
Once you are able to successfully follow all the steps discussed above, then you would have succeeded in conducting a technical analysis for your startup. So ensure that you read journals and any available material that relates to your line of business.
It will help you to stay abreast with the changing trends and technology in your industry. No doubt if you are able to conduct technical analysis before launching your business, you would have succeeded in putting in place machineries and structures that will guarantee you huge success with your startup business.
Location Analysis This is carried out with a view to determine the best location for the business in terms of nearness to high traffic roads, nearness to infrastructure, accessibility to customers, ease of transportation of raw materials and finished products, nearness to cheap labour, cost of land acquisition and so on.
Manpower Analysis This part of a feasibility study deals with the process of estimating the level of skill, professionalism and number of employees to be hired by the business. The salary scale, incentives and pay package are also estimated at this point.
In studying and researching your line of business, you are expected to get a good idea of the technical skills required to successfully run the business and how you can source for such skills.
For example; if you intend starting an automobile repair and maintenance workshop, part of the technical skills you would need to be able to run a complete auto workshop are auto mechanical skills, auto electrical skills, panel beating skills and also marketing skills amongst others.
Your business plan should be able to point your areas of strength and weakness thereby affording you the opportunity to make provision to either acquire the technical skills required or upgrade your existing technical skills.
Map out Strategy on How to Source for the Required Technique The next thing to do once you are able to list the techniques needed to run your business is to sit down and map out strategies on how to source for the required technique.
That is why it is important to conduct technical analysis before launching your business so that you will be well informed and prepared financially to shoulder the expenses that come with hiring expatriates or consultants. There are other means you can follow to source for people with the technical skills that is required in your business; you can poach from your competitors, and you can as well hire fresh graduates and train them to fit into your plans.
List the Techniques that will be needed in effectively running Your Type of Business If you successfully carry out a thorough research and feasibility studies, you will be able to pin point the required skills needed to successfully run the kind of business, and how to source for the skills.
So, what is expected of you to do is to list all the techniques that will be needed and then conduct a proper analysis to know the role and capacity each of the technique will play in your business.
So, part of what you need to do is to develop suitable training program that will help you equip your staff with the required technique needed to run your business and also to help them operate effectively.A feasibility report is a document that details the study of the profitability, feasibility, effectiveness of a proposed investment, and to evaluate the imminent business problem or opportunity.
The purpose of this report is to determine project parameters and define solutions to the problem that Further needs analysis. A feasibility study, or business opportunity analysis, is a planning tool similar to a business plan.
The feasibility study is done to flesh out the possibilities in an initial business . Feasibility Study Steps. Whether you are working for a client to see if a business, product, project, or process is feasible, follow these steps.
Feasibility Study Template torosgazete.com 2 1. EXECUTIVE SUMMARY The executive summary provides an overview of the content contained in the feasibility study document.
Many people write this section after the rest of the document is completed. Many new initiatives rely on technology to manage or monitor various business. A city studies at the feasibility of closing a section of the city to traffic in order to stimulate economic activity in the area with pedestrian zones.
They collect feedback from people who commute to the area, neighborhood residents and businesses. Sample feasibility reports can be found by searching the Brock Library Catalogue or the Internet using the phrases "feasibility report" or "feasibility study". Here are a few examples: The UBC public bicycle system feasibility study (Adam Cooper, UBC School of Community and Regional Planning); City of Thorold bicycle route feasibility study final report (City of Thorold and CIMA).