Feasibility Study for your industrial project

Is a study carried out by the idea of a new project to study the possibility of the application of the project and its success, and describes the feasibility study required investments and the expected return and external influences Alyalparwa such as state laws and competition and technological development, information gathering and Albeanatalosasah related to the economy in general and the project in particular, and include data Allazmabashkl essential costs and input prices, materialsinitial, intermediate and assistance, water, electricity, energy, workers' wages, sources of funding, land costs and buildings, Almaadatallazma and other fixed assets.

Target Market

The market study is the key point to illustrate the possibility of success of any project (commercial, industrial or service) to provide products or services to the greatest number of consumers and the ability of the project in the continuity and continue to work, so must the owner of the investment opportunity Agraemsh detailed market to get all of the information that help himensure viability before entering into investment to see the possibility of achieving profits, and product design are perfect, and determine the raw materials it needs, and determine the right price, and knowing the behavior of consumers and their needs.

Market study include the following steps

  • Product Description of the product (s) and a clear and comprehensive description, and add what is available from the pictures, samples and brochures, as well as the income statement for the applicable standards and specifications of the product.
  • Supply and demand to determine the percentage chances of local producers and their productive potential, and determine the quantities imported, brands and products and share estimated in the market, and you can see the size of the demand subtracting the volume of exports of the product of the total sales of local producers and imports, ie the margin between what has been put on the market and what have been exported in order to see how the demand for locally produced, and whether it is required more in the domestic market or abroad, possible to know this information from the foreign trade statistics issued by the Department of Statistics, also can learn locally manufactured products from the site of the Ministry of Trade and Industry, and also can see the size of demand from the list of sales prior to the project owner if he has a previous activity, and if any foreign partner, but if the project intends to exclusive marketing of the product in a particular area should focus on this region.
  • Price study and analysis of the structure of the prevailing prices of the product in the local market and any other markets related to the project and find out the sale price of the product from factories domestic and Sarastaradh, and then the pricing of the new product in the light of the prices and cost of production expected.
  • Expected sales and market share estimates of the size of aggregate demand (domestic and foreign) on the project's products and specifications and the outlook for the request and then estimate the size of the expected production and design production capacity based on its expected share of the domestic and foreign markets.
  • Competition the study of the effects of competition and knowledge of competitors and their strengths is important, whether internal or external competition in order to come up with ways to firm presence in the market, whether local or foreign, there are strengths and weaknesses for each individual competitor.
  • Distribution Determine the sales and distribution channels and to develop a marketing strategy and appropriate methods of distribution, or search for wholesale sales or marketing agreement, to facilitate the arrival of the product from the factory to the final consumer through efficient distribution channels best and least expensive.

Technical and procedural details

Interested in the technical study beside the definition of the industry concerned, and economies of scale, and the factors that affect them, and sources of technology covers the following aspects:

  • Site selection of the project is determined requirements of the infrastructure such as electricity, water, roads, storage, transport and communications, and are studying more geographical locations suitable both economic and technical for the project not only in comparison between the city and another, but between the site and another within the same city, where it may require some industrial projects, specifications and special requirements such as near the project site of sources of raw materials and the availability of regular transport and processed, and others.
  • The development plan for the project taking into account all the needs of utilities, and the possibilities and prospects for expansion in the future, and determine the area of land, including the area of manufacturing facilities, production, storage, management and walkways, attitudes and modes of transport and other areas allocated for the purposes of industrial activities, and identify the needs of the project of machinery, equipment and spare parts and techniques used and their sources and raw materials, intermediate and other operating requirements necessary (domestic and imported), with its quantity, sources and prices, and to identify the needs of the project of electricity, water, fuel, oil and sewage with an indication of its sources or how the availability and cost, as well as packaging materials with the statement of sources and cost , and the statement of handling and transportation, distribution and storage.
  • Machinery, equipment and manufacturing method The study of manufacturing method of entry of raw materials to the arrival of the final product and if the product has several stages, so the study of each stage separately, and includes detailed steps for the operations of the formation of the product and additions nested in the production line. And the investor must know the quality and numbers of plant and machinery for the process of production and operations support, and the related technical specifications inherent in such energy to power the necessary services for cooling or steam or air pressure of the machine, and the control method in the factory environment, such as air entry and exit to control the temperature appropriate or the presence of air conditioning manner. And humidity. As well as the food industry needs to preventive health needs, and for toxic gases industry need to take security measures to protect workers and the public health. Among the most important information that the project owner must ensure their presence in the study phase, outline, site of machinery and equipment inside the building, and places of storage areas for raw materials and under and finished products manufacturing and site maintenance workshop and laboratory .. Etc.. And care must be taken smoothly movement of production, and put a clear showing itinerary raw material or materials from handling through various configuration operations to the packaging, if any.
  • Waste treatment, security and safety each plant output or waste resulting from the manufacturing process, so it is important statement methods Waste Treatment plant, whether gaseous, liquid and solid to make them conform to the specifications in place, and find out equipment for the treatment of industrial waste unwanted (incinerators to burn waste and units liquid waste treatment and air purifiers). As it is at this stage to insert the table illustrates all the 5- machinery and machinery manufacturing and equipment to combat fire and air conditioning, water treatment and safety devices and generators standby power devices lab, and the inclusion of a special table for transportation equipment internal plant such as forklifts or cranes and mobile cranes mono rail and lifting equipment fixed platforms loading within the item above.
  • Buildings in the case of the preparation of the study on the buildings, you must consider the standards and requirements of the existing building at the site industrial cities, Vmkhtt the general location of the area shows the factory and industrial buildings, service buildings and places of the main benefits of connections (extensions of sewer, water and electricity). It also must be prepared drawings of buildings show space and vertical sectors, INCIDENTAL, which describes the methods and construction materials for building components, floors, foundations, and specifications concise main features of the buildings, and the outline shows the equipment and safety and reduce the risks and ways to ensure the safety of the plant and its employees to protect against the risk of fire or any risks arising from manufacturing processes or transportation. After knowing the required spaces and buildings and support services and types, we can get the price of buildings, construction and civil works within and external.Find sources of material: means the raw materials and packaging materials with an indication of its source or alternative sources of purchase.
  • Furniture and fixtures In addition to the requirements for the costs of furniture and office equipment such as office furniture and restaurant furniture and equipment, computers, phone system, printer machines, and copiers .. Etc..
  • Agreements In the case of license agreements or franchise, there will be exaggerated Orsom annual or a percentage of sales, or capacity, or net profit, specifying in the Convention on the responsibility of the licensed and the extent of their participation in technical management and technical services for installation, operation and maintenance, design rights, graphics and technical knowledge with the clarification of the proposed changes at hand.
  • Human resources Determine the number of employees to be their presence for the operation and also maintenance, whether labor was normal or skilled or management personnel Oamal maintenance and transport workers and escort services and hygiene, and determine the wages and the cost of using each type of employment and training programs of employment for upgradation to the level required in the table operating , and also learn the required skills and competencies.
  • Human resources Determine the number of employees to be their presence for the operation and also maintenance, whether labor was normal or skilled or management personnel Oamal maintenance and transport workers and escort services and hygiene, and determine the wages and the cost of using each type of employment and training programs of employment for upgradation to the level required in the table operating , and also learn the required skills and competencies.

Costs and financial readiness

The estimate includes all investment and operating costs and analysis of the financial and economic feasibility of the project the following:

  • Capital costs: means of fixed assets and working capital and pre-operating expenses, which include expenditure on consultancy studies and project development, travel and transportation, and the cost of establishment of the company, licenses and others.
  • Sources of funding: expenses include available locally and abroad and proposal Almassadralamnasph the self whether in full or by investment loans or through participation.
  • Determine the capital structure: (percentage of ownership of capital to loans), with an estimate of the cost of funding in the light of the conditions and data available financing alternatives.
  • Determine the cost of fixed and variable production.
  • Development of financial statements for the project and the expected flows show gross income and net income for the project.
  • Analysis of indicators of financial and commercial feasibility of the project, which includes profitability Altjarao the internal rate of return and payback period.

Summary of doing a feasibility study:

  • Financial study
  • Marketing study.
  • Technical study (raw materials, machinery, labor, assets pollutants and And non-fixed.
  • Competitors in the domestic market and abroad.
  • Exports and imports.
  • Electric power , Water consumption , Need refrigeration ,Air pressure and steam , Work the soil tests.
  • Transportation.
  • Direct costs and indirect.
  • Find a technical partner when needed (technology transfer, franchise, technical support).

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