Feasibility Plan Outline

This outline provides a framework to help entrepreneurs recognize the actual feasibility of proposed ventures and clarify their thinking before considering potential funding. It focuses on the viability of the idea, asking whether there is a market for the concept and if the concept can be produced and sold at a profit.

Title Page

Name of proposed company:

Names and titles of the founding team members:

Relevant contact information $($name$,$ title, address, phone, email$)$:

Table of Contents

Make sure that all of the contents in the feasibility plan have page numbers and are listed carefully in the table of contents.

Executive Summary

The Business Concept

Industry$/$Market Analysis

Management Team

Product$/$Service Development Plan

Financial Plan

Time Line

Bibliography

$6$a$-1$The Sections of A Feasibility Plan

$6$a$-1$aExecutive Summary

Explanation: Include the most important highlights from each section of the feasibility study. Be sure to include a clear and concise description of the venture, whatever proprietary aspects it may possess, the target market, the amount of financing needed, and the type of financing that is being requested.

$6$a$-1$bThe Business Concept

Explanation: Using the following directions, articulate a compelling story that explains why this is an excellent concept. This section allows the reader to understand what concept is being proposed and why it has true potential in the marketplace. It also provides an opportunity for the entrepreneur to prove that he can articulate this concept in clear and comprehensible terms to people outside his circle of friends and close associates.

Key Concepts

Describe whether the proposed concept is a retail, wholesale, manufacturing, or service business. Identify the current stage of development for the venture $($concept stage, start$-$up$,$ initial operations, or expansion$).$

Include a clear description of the targeted customer, the value proposition $($in terms of benefits gained$)$ for that customer, and the potential growth opportunities.

Summarize any proprietary rights associated with this concept, whether that be patents, copyrights, licenses, royalties, distribution rights, or franchise agreements.

$6$a$-1$cIndustry$/$Market Analysis

Explanation: The industry$/$market analysis is critical. Is there a market for the product or service resulting from the venture? What are the current trends in this industry? What are the predicted trends for this industry? Can any of this be substantiated? The market for the product$/$service may be obvious, yet the feasibility analysis must validate its existence. In the venture feasibility analysis, it may be enough to prove that a sufficient market exists for the venture and that no further in$-$depth research is warranted. However, entrepreneurs should always study their competitors in the marketplace. Lessons learned from competitors provide opportunities for entrepreneurs to find the unique distinctions in their own concept.

Key Concepts

Explain the industry that this concept focuses on$,$ as well as whatever trends may exist in that particular industry today.

Discuss the target market analysis that has been used and what specific market niche that has produced. In addition, identify the market size, its growth potential, and your plan for market penetration based on research.

Explain the customer profile in terms of who the specific customer is and$$again$$what value proposition $($in terms of benefits$)$ is being offered the customer.

Finally, be sure to include a competitor analysis that describes thoroughly the competition existing today and how specifically your concept will match up or exceed the competition and why.

$6$a$-1$dManagement Team

Explanation: Keep in mind that all new ventures must stand the scrutiny of whether the founding team can really move this idea to market. The experience of the management team may end up being one of the most critical factors to outside investors. Many times, venture capitalists have expressed their belief that they prefer a $$B$$ idea with an $$A$$ team as opposed to an $$A$$ idea with a $$B$$ team. In other words, there is a real concern about the implementation phase of a proposed concept. Does this founding team have the background, experience, skills, and networks to make the concept operationally successful?

Key Concepts

Identify the founding team members and the key personnel in place to guide the proposed company.

Explain the team$$s qualifications and how the critical tasks are being assigned. Also include any board of directors$/$advisors that are in place.

Finally, outline any $$gaps$$ in the management team $($in terms of skills and abilities$),$ and explain how those will be addressed.