What is included in the feasibility study in UAE? Among other things, this document aims to establish the feasibility of a project. It will include various components such as Economic, Legal, and Technical feasibility. It will also include an Executive summary. This document is used to gain the confidence of potential investors and bankers. For more information on these aspects, read on. Here are some common components of a feasibility study:
Technical feasibility
A technical feasibility study will include a range of topics, from the raw materials used to the labor costs. It will also cover labor, shipping costs, and physical location. It will also detail the technologies used in the manufacturing process. The conclusion should be a summary of the various scenarios considered. The feasibility study should outline how the project will affect the company’s bottom line and the potential rewards and risks. In addition to this, it should also outline the steps of implementation and the risks involved.
Economic feasibility
An Economic Feasibility Study can help you determine the viability of a new project. This study involves looking at the cash flow in and out of business. This is a fundamental instrument used in the management of money. It is the key to understanding future investments and revenues versus expenses. It is also the basis for making general business decisions. Here are the steps and items you should consider when conducting an Economic Feasibility Study.
Legal feasibility
Before completing any other component, a legal feasibility study should be conducted. Legal compliance is a primary requirement to realize any project in all cases. It is vital to understand the permits, licenses, and approvals the project will require. This includes land use and ownership, local laws, taxes, and international regulations. Each project has different legal issues and needs its legal feasibility study.
Executive summary
The feasibility report includes several elements. The report presents the parameters of the project and the potential solutions. Its team brainstorms a range of options, expands on each, and provides high-level costing data. The project leader recommends viable solutions and lists constraints. A feasibility report may be deemed viable or not depending on several factors, including the project scope and budget limitations. The following elements should be part of the feasibility report.
