From the idea to the project
When you have the desire to make a financial investment, you must consider the whole process involved in the execution of that idea, which leads to formulate and evaluate whether the plans to follow are as indicated. The way to make decisions is not a rigid mode but on the contrary it is required constant discussions among the work teams that allow them the adequate selection among the variables that lead them to establish assumptions that contribute to the achievement of the objectives set and even more if the resources that are available are limited.
However, it is necessary to recognize that for the formulation and evaluation of projects a constant planning is required, that is, to know the plan, the programs and the projects to be executed, consulting each one of the feasibility that is had during these activities. This will always be oriented in "the should be" and "we want to do", since, when observing the feasibility, each of the processes that will be carried out through certain steps must be evaluated, such as:
• Diagnosis that includes the vision, mission, strategies, objectives and goals
• Forecast, this will continue after the execution of objectives and goals that allow observing the market in which you want to venture and thus produce a marketing plan.
• Operational technical analysis, which consists in the implementation of the strategies and thus allow a financial and administrative analysis that in turn produce a financial risk analysis on the desired project.
When discussing a financial analysis, reference is made to financial planning, since all aspects of the projects are directly reflected in the financial structure, since the financial framework of a project and its marketing are the key of success. Now, when we are in the execution of a project, we must consider the investments to be made and if these will be our own income or debt service roads, that is, we must make projections with each one of the cases.
All this allows knowing the basis on which the necessary feasibility and feasibility decisions of a project will be taken. That is, it is a planning program that covers everything related to economic, administrative, accounting and financial areas; which will result in cash flow preparations that will allow us to know the indicators such as, for example, the rate of return on capital, benefit-cost, among others.