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.