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Feasibility Study Confectioneries

The document outlines the structure of a feasibility report for a proposed business, with a focus on cost-benefit analysis. It details the key components of the report, including an executive summary, business description, market analysis, operational and financial feasibility studies, risk analysis, and conclusions. A crucial part is the cost-benefit analysis section, which weighs the expected startup and operating costs against the anticipated revenues and profits to assess the viability of the venture.

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14 views

Feasibility Study Confectioneries

The document outlines the structure of a feasibility report for a proposed business, with a focus on cost-benefit analysis. It details the key components of the report, including an executive summary, business description, market analysis, operational and financial feasibility studies, risk analysis, and conclusions. A crucial part is the cost-benefit analysis section, which weighs the expected startup and operating costs against the anticipated revenues and profits to assess the viability of the venture.

Uploaded by

omoetusi.okojie
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Creating a detailed feasibility report for a proposed business enterprise involves a thorough examination

of various aspects to determine the viability and potential success of the venture. One crucial
component of this report is the cost-benefit analysis, which assesses the expected costs against the
anticipated benefits. Below is an outline of a feasibility report, focusing on the cost-benefit analysis:

Table of content

Executive summary
Introduction
Business Description

Executive Summary:

 Brief overview of the proposed business.

 Purpose and objectives of the feasibility report.

 Key findings and recommendations.

Introduction:

 Background information on the proposed business.

 Objectives of the business.

 Scope and limitations of the feasibility study.

Business Description:

 Detailed description of the proposed business, including its products/services.

 Mission and vision statements.

 Unique selling propositions (USPs) and competitive advantages.

Market Analysis:

 Target market identification.

 Industry overview and trends.

 Competitor analysis.

 SWOT analysis (Strengths, Weaknesses, Opportunities, Threats).

Technical Feasibility:

 Description of the technology required.

 Availability of necessary infrastructure.

 Evaluation of technical risks and challenges.

 Regulatory compliance and standards.


Operational Feasibility:

 Location analysis.

 Facility requirements.

 Supply chain and logistics.

 Personnel requirements and skills.

Financial Feasibility:

Cost-Benefit Analysis:

1. Start-up Costs:

 Capital expenditures (equipment, facilities, technology).

 Initial inventory costs.

 Licensing and permits.

2. Operating Costs:

 Raw materials and supplies.

 Labor costs.

 Utilities and overhead expenses.

 Marketing and advertising.

3. Revenue Projections:

 Sales forecasts based on market research.

 Pricing strategy.

 Assumptions and justifications for revenue estimates.

4. Break-Even Analysis:

 Calculation of the point at which total costs equal total revenue.

 Timeframe for reaching the break-even point.

5. Return on Investment (ROI):

 Estimation of the return on the initial investment.

 Payback period analysis.

6. Sensitivity Analysis:

 Assessment of the impact of variations in key assumptions on financial outcomes.

Risk Analysis:
 Identification and assessment of potential risks.

 Mitigation strategies for identified risks.

 Contingency plans.

Legal and Regulatory Considerations:

 Compliance with local, state, and federal regulations.

 Licensing requirements.

 Intellectual property considerations.

Conclusion:

 Summary of findings from the feasibility study.

 Recommendations regarding the viability of the proposed business.

 Next steps and actions to be taken.

Appendices:

 Supporting documents such as market research data, financial projections, and any additional
relevant information.

References:

 Citations and references for data and information used in the feasibility report.

This structure provides a comprehensive framework for assessing the feasibility of a proposed business,
with a particular emphasis on the cost-benefit analysis. Each section should be thoroughly researched
and documented to ensure a well-informed and credible feasibility report.

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