If you’re thinking about starting or expanding a business, it may be too early to embark on developing the business plan. In this early stage, it makes sense to carry out a quick Feasibility Analysis first to determine if the business idea is worth pursuing.
Business Concept Feasibility Analysis
The analysis provides a quick, relatively high-level evaluation of your business concept. It determines if your idea for starting or expanding a business is viable and worth pursuing. If that’s the case, you can then start putting in the time and effort to develop a business plan. The insight from a feasibility study also helps you to figure out early on which aspects of your business venture need a lot of attention.
On the other hand, the analysis could show that your idea is not very promising and that you need to go back to the drawing board. It may even be advisable to abandon the idea altogether.
If the business venture has little chance of becoming successful, the feasibility analysis has saved you a lot of time, money, and aggravation. Least of all, the cost and effort of developing the business plan.
Think of the feasibility analysis as a quick ‘sanity check’ on your business concept. With the results of the analysis you can then make the “go/no-go” decision about developing of a complete business plan.
Elements of a Feasibility Analysis
Analyzing the viability of a business concept requires a comprehensive perspective. Click on the topics below to learn more.