Business Feasibility Study is written to determine if the business is viable. It is also used to support decision making process based on the costs and benefits associated with different options for solving a problem. It is usually conducted during the deliberation phase of the business development cycle prior to commencement of a formal business plan. If the business is feasible based on the result of the study, a full business plan will be created.
The following are suggested outline for the successful business feasibility study.
Cover Sheet
Product / Services
Technology
Market Environment
Competition
Industry
Business Model
Marketing and Sales Strategy
Production/Operating Requirements
Management and Personnel Requirements
Intellectual Property
Regulation/Environmental Issues
Critical Risk Factors
Financial Projections
Balance Sheet Projections
Income Statement Projections
Cash Flow Projections
Break-even Analysis
Capital Requirements and Strategy
Recommendations and Findings
Conclusions
The above business feasibility study outline is based on Entrepreneurship and Business Innovation by Allan Thompson 2005.