Feasibility Vs. Business Plan
The difference between feasibility study and business plan are a thin line. Though there are many similarities, the differences are as detailed below:
- First step before anything is invested. Research oriented analysis of business opportunity prior to business plan.
- Talks all about initial business idea and its viability.
- Look objectively at the strengths, weaknesses, opportunities and threats of your proposed business venture.
- Answering the question if the business venture is worth the time, effort and resources.
- Feasibility focuses more on a business venture’s objective,opportunity analysis, workability, financial aspects, expected revenues, profitability and returns.
- Study of the idea with potential market, calculations, analysis and estimated projections.
- Helps to reveal the profit potential of a business idea or opportunity to the entrepreneur.
- Studies determine the risks associated with the idea.
- May have to hire outside professionals with relevant proposed business skills and expertise who will conduct thorough studies.