Business Activity | Introduction to Feasibility Analysis | by @weasell
This is a comprehensive research study done by an entrepreneur or sometime his/her agent to determine the profitability, practicability, and viability of the business idea. This is important before you begin your business operation or even when planning to expand an existing one, it is important to analyze the feasibility of that business.
No matter the intension, the main idea behind a feasibility analysis is to express the model of the business, its marketability and to check its prospect for financial profitability and importantly its success. So we can say feasibility analysis is an overview of the business and also a preliminary appraisal of the business idea which help consider if it worth pursuing. Feasibility analysis helps reveals without prejudice the weaknesses and strengths of the business, the possible threats and opportunities through the background and all the assets required to carry all through and also eventual diagnosis for achievement.
A feasibility analysis gives an entrepreneur the opportunity to flesh up his initial business plan, when considering the missing and available feature which are needed to be put in position which will help the business succeed. The main concern why we do a feasibility analysis is to know the necessary expenditure and also profit to be accomplished so that means it all about finance.
For a new start up business you need some financial funding and there are several categories of financing option. Most times, the reliable funding sources that are easily available to most entrepreneurs are through their savings, personal bank soft loans and financial supports from family and friends which may not or may involve interests. These are typically the first stage of financing a business whereby an entrepreneur invest his funds and seek for help from family and friends.
Feasibility Analysis is nothing more than questioning your concept which helps to ascertain if which components are in place and bring it to reality for easy execution and recognizing big obstacles you are likely to face in the business.
Feasibility Analysis appraise the business marketplace to start up the business idea, it assess if the managing team have the character the personality associated successful business persons. It advisable to assess yourself first. As a business manager, you have to have that personality suited, knowledge and skilled to run a business and get the best out of your worker/employee and lead them to success. You have to be able to identify the challenges of startup and how to overcome these challenges.
If the old business plan is not working out as expected, it left for the management team to decide if to stick to the old plan or move to a new one. If the decision is to move to a new plan, than an ingenious suitable feasibility analysis will help provide the historical data/profile, information on it operations and also management, strategy, marketing research and all legal necessities.
A feasibility analysis report can either be in a simple or complex form for startup business depending on the type of the business. The best way to approach a feasibility analysis report is to first determine what the entrepreneur need it for and what interest him/her. After doing so, then you need to set the criteria that has to be fulfilled to justify the startup business or at least convince the decision makers who will approve any aspect of the business.
The structure or contents template of a feasibility analysis report can be neither rigid nor limited, it depend on the needs, types of organization that requires it. The template below is a general model and it has been providing okay for most businesses. Some items may be required in some business so they can be added to the template.
-Proposing Entrepreneurs Profile.
-Team Members Names.
-GSM Telephone Members.
-Educational Qualifications.
-Positions of Team members in the Business.
-E-mail addresses.
-Postal and Residential Addresses.
As we have seen from above discussion that Feasibility Analysis is among the first thing an entrepreneur should carried out before setting up a business and this can also be done by hiring a professional. When writing a business feasibility report you need to be creative and keep things clear, simple, concise and straight to figures and facts.
Thank you all for reading.
| Business name: | Ai'nu Farm |
|---|---|
| Owner's name: | @weasell |
| Business address: | Zaria, Kaduna State, Nigeria. |
| About us: | Click Link. |
NOTE: 10% Author Reward goes to the community account.
My Total power up in the last month in pursue of club75.
Twitter shared link:
https://twitter.com/AbdulganiyuAh17/status/1529807503978029057
Hello, thanks for your publication, always of interest, making a vision of what any businessman and/or entrepreneur or business person in general should be aware of.
Greetings.
Your title must be in the following format:
Business Activity | Title | @user
Thank you ma'am correction made.
Hello @weasell thank you for your very interesting and useful article that can be taken as an example by every entrepreneur who is engaged in their respective sector thank you for your commitment with us.
Thank you for reading I really appreciate your time.