Investment feasibility study of the project
Investment feasibility study of the project
A project investment feasibility study is a process aimed at developing evidence of the feasibility of an investment. Traditionally, it has economic, financial and social aspects.
The investment justification materials for the project will contain:
analysis of the situation in the industry where investments are supposed to be directed, assessment of the socio-economic situation in the area of the proposed construction;
assessment of the market capacity (internal and external) sales of products planned for release;
requirements for product quality and trends in its competitiveness;
marketing strategy suggestions;
justification of the optimal capacity of enterprises and the program of production;
volumes of required resources, sources of their receipt;
substantiation of the selected technology and equipment, construction and engineering solutions;
enterprise management structure;
staffing proposals;
justification of the selected construction site;
environmental impact assessment and a set of measures to ensure compliance with environmental restrictions;
forecast of environmental, sanitary and epidemiological, social and other consequences of the implementation of an investment construction project;
assessment of the risk of investments and measures to minimize possible losses;
assessment of commercial, budgetary (if necessary) and economic efficiency of the investment project;
financial plan;
possible funding sources and strategy.