The purpose of a financial feasibility study is to determine if a project will be viable for an organization or business. A financial forecast uses historical data to project future financial trends, enabling organizations to plan for the future. Forecasts may include revenue, expenses, net income, cash flows, and balance sheet projections.
Depending on the need, our feasibility studies may include more detailed reviews of market, organizational, technical, and financial components.
Market Analysis - key elements may include: current and projected demand for proposed products or services, target markets, customer demographics, existing supply of products in the market area, competition, and location.
Key Organizational Analysis - key elements may include: qualifications to manage the business, designating the management team, and projected staffing needs.
Technological Analysis - key elements may include: technology needs of the business, equipment required, and cost to obtain technology, training, and staffing required.
Financial Analysis - key elements may include: start-up costs, operating costs, revenue projections, sources of financing, and profitability analysis.
These studies help organizations view trends and develop future scenarios to enable better decision-making. Often the analysis is critical in allocating budgets, developing future investments decisions, developing business plans, raising capital, and obtaining bank financing.