This document outlines the steps for conducting a feasibility analysis and developing an effective business model. It defines key terms like entrepreneur, feasibility analysis, and business model. The feasibility analysis process involves assessing the business idea, conducting market and industry analysis, developing products/services, and analyzing financials. It also lists the basic 10 steps to take, including describing the project, setting goals/timelines, assessing costs/budgets, resources, management, and determining feasibility. Conducting a thorough feasibility analysis is essential before initiating a new project or business to assess risks, alternatives, and likelihood of success.

1. FEASIBILITY ANALYSIS
AND
DECISION BUSINESS MODEL
A BRIEFING H20 THE SOURCE OF LIFE
CHAPTER 4

2. INTRODUCTION
An Entrepreneur Cantillion (Cira 1700), descripted an entrepreneur as rational decision maker who assumes the
risk and provide management for the firm. The inherit risk in many occasions stops ideas to see the light, the true
fine line that contributes to a successful business plan is its feasibility analysis
Idea assessment Is the process of examining a need in the market , developing a solution for that need , and
determine the ability to turn the idea into a business hence the need for feasibility study
Feasibility Analysis Is the process of determining whether entrepreneur's idea is viable foundation for creating a
successful business and what business model fits it best
Business Model Is plan for the successful operation of a business , keeping in mind the resources and the intended
customer and products or services and best model to apply such.

3. IDEA ASSESSMENT AND BUSINESS PLAN STEPS
 Business idea
 Conducting idea assessment
 Conducting feasibility analysis (as coming steps
stated)
 Developing the business model
 Crafting the business plan , business model canvas
 Test the value proposition (of product service )
 Creating the strategic plan (for the full model )
 Refining the organogram ( tasks and duties)
 Launching the business
 Soft opening
 Full operation

4. ELEMENTS OF FEASIBILITY ANALYSIS
Feasibility Analysis consists of four interrelated elements:
1. Industry and market feasibility analysis (the industry details and its market concentration )
2. Product or service feasibility analysis ( the product or service and its specs and details )
3. Financial feasibility analysis (the budget and cash flow )

5. FEASIBILITY ANALYSIS STEP
BASIC STEPS TO CONSIDER ARE
1. Project Description – Identify the project name and purpose. Include details including stakeholders, and end
result expected.
2. Goals – List long and short-term goals and what processes will be needed to achieve those goals.
3. Timeline – What will be the estimated time until project completion?
4. Costs and Budgeting – Include all costs incurred for the project including the cost of the feasibility study itself.
5. Purpose – What purpose does the project have and whom will it benefit?
6. Market Analysis – If applicable, will the market or market environment benefit from the project. If so, list why.

6. FEASIBILITY ANALYSIS STEP
7. Resources – Identify all the resources both IT, technical, inventory, and human that will be needed to complete
the project.
8. Project Process – How will the project flow? Include flow charts showing project stages.
9. Management and Teams – Who will manage and who will work on scheduled tasks? Will project management
outsourcing be needed?
10. Observations– Statements that do or don’t support the project should be included here. If for a client, does the
client have the finances to complete the project or are there alternatives? If for a project or process, will it work
and will it be beneficial

8. FINANCIAL ANALYSIS
IS THERE ENOUGH MARGIN???
• Capital requirements (needs capital estimate to start the business)
• Estimated earnings (forecast earnings potential )
• Time out of cash (running out of cash before the break even)
• Return on investment (estimated earnings vs. the capital requirements)

9. BUSINESS MODEL CANVAS

10. FEASIBILITY ANALYSIS OUTCOME
IS THE PROJECT FEASIBLE?
As soon as completing feasibility analysis a determination to proceed with the project or not. A good feasibility study
should include:
1. Project Problems – Does the study include risk or problematic areas that need to be addressed and are they
clearly identified?
2. The Outcome – Ever study should identify the process, product, client request, and goal and how they will affect
the outcome; positively or negatively. Will outcomes be beneficial or deterrent?
A. Alternatives – Are possible alternatives available or suggested and researched?
B. Assessment – The assessment part of your feasibility study should include risk management and controls, solutions, if the
project is feasible, and how the project should be implemented.

11. CONCLUSION
• Projects to be considered, especially if they are to undertake many resources including real money , real time, and
real effort then:
• A feasibility study is essential prior to project initiation, project scope, and initiation.
• If a project appears overwhelming or requires much detail and analysis to get to break even to begin the project,
consider completing a feasibility study prior to the project.
• There are no guarantees for success it is only dependent on entrepreneurs vision and capability to apply the plan
of the project and lead it to its aim and success