Feasibility study versus business plan
A standalone study is particularly important where the project involves construction, technology or site selection, material capital expenditure, utility connections, or an application to a lender, development institution, SEZ or industrial zone.
| Criterion | Business plan | Feasibility study |
|---|---|---|
| Primary purpose | Explain the commercial model and business plan | Demonstrate technical feasibility and justify the optimum project configuration |
| Technology | Usually describes a selected solution | Compares options, capacity, equipment and resources |
| Infrastructure | States the main requirements | Tests the site, utilities, technical conditions and constraints |
| Outcome | Launch plan and financial forecast | Evidence-based investment decision and delivery parameters |
Frequently asked questions
When is a feasibility study needed instead of a business plan?
It is appropriate for capital-intensive, manufacturing, infrastructure and technically complex projects, and whenever the recipient explicitly requires a technical and investment justification.
Can a study be prepared without a financial model?
No. A linked working model is needed to assess budget, cash flow, returns, financing and downside risks.
What information is needed to start?
Concept and capacity, site, technology, supplier quotations, resources, market and sales evidence, schedule, financing structure and the recipient's checklist.
How long does development take?
Timing depends on data readiness, scale and review requirements. A delivery plan and control points are agreed after the initial diagnostic.
Official requirements
Requirements vary by project type and document recipient. Before work starts, confirm the current checklist with the lender, investor, zone management company or public authority.