Introduction
Feasibility study focuses on helping answer the essential question of “should we proceed with the proposed project idea?” All activities of the study are directed toward helping answer this question
A well-designed feasibility study should provide a historical background of the business or project, a description of the product or service, accounting statements, details of the operations and management, marketing research and policies, financial data, legal requirements and tax obligations. Generally, feasibility studies precede technical development and project implementation. Determining early that a business idea will not work saves time, money and heartache later
How you will benefit
- Prepare and analyze feasibility studies
- Identify crucial arguments and effectively explore the various assumptions
- Present ideas in a simple, effective, convincing and objective manner
- Build a feasibility study financial model using Microsoft Excel
- Perform scenario and sensitivity analysis to improve plans and projections
Who should attend
The course will benefit CEO's, General Managers, Marketing team members from all industries
What you will cover
Module 1: Introduction and Definitions
- Feasibility Study Definitions
- Feasibility Study Objectives
- Feasibility Study versus Business Plan
- Feasibility Study Cycle
- Feasibility Study Preparation Steps
Module 2: Feasibility Study Elements
- Feasibility Study Report Elements
- Executive Summary
- Feasibility Study Outline
- Market Feasibility
- Technical Feasibility
- Financial Feasibility
Module 3: Feasibility Study Financial Model Using Microsoft Excel
- Building the Feasibility Study Financial Model
- Weighted Average Cost of Capital
- Cost of Equity Using the Capital Asset Pricing Model
- Unlevered Free Cash Flow
- Terminal Value of the Project
- Preparing Sensitivity Tables
- Creating Different Scenario Analysis
Module 4: Feasibility Study Appraisal and Analysis
- Financial Analysis Parameters
- Investment Appraisal Analysis
Module 5: Feasibility Study Evaluation and Implementation
- Internal Recommendations and Conclusions
- Evaluating Feasibility Studies
- Common Mistakes in Using the Feasibility Study Results
- Implementing the Proposals