Entrepreneurship Process• Identify and Opportunity – right time , first mover, sense opportunity• Establish Vision – dream for the future• Persuade others –form the foundation team, business plan• Gather Resources – Financial, operating, Human, Information and intangibles (image procedures, transport, management).• Create new venture product or market• Change adapt with time
Feasibility Study• Is the evaluation of the proposal designed to determine the difficulty in carrying out a designated task.• Is the evaluation or analysis of the potential impact of a proposed project.• Will the idea work and should you proceed with it ?
Feasibility Study• Before writing business plan need to• identify how ,where and to whom you intend to sell a service or product• assess competition• figure out how much money is needed to start a business and keep it running until established• Determine if and how it can succeed and serves to develop a business plan
Feasibility Study• Is conducted during the deliberation phase of the project development cycle prior to obtaining project financing business process• It is an analytical tool that includes several scenarios for the decision maker of the group to utilise in determining if they should continue the project• If the would be entrepreneur decides to proceed further then he /she makes a business plan• Normally done independently by people outside the project group• Feasibility study is only at the developmental stage of the project
Feasibility Study –Why Important• Lists requirement of essentials to do to make business work• Identify logistical and other business related problems and solutions• Develop marketing strategies to convince bankers and investors to ensure their consideration• Serves a foundation for business plan
Feasibility Analysis• Done to check the feasibility of the project itself in the particular environment on great detail. More descriptive than environmental appraisal.• Market Analysis –estimate demand of proposed product/service and target market share.• Technical/Operational Analysis – operational ability of the project and cost and availability of the technology-material and plant parameters.
Feasibility Study• Contains comprehensive ,detailed information about your business structure,• your products and services,• the market,• logistics of how you would deliver a product or service,• resources needed to make the business run efficiently as well as• other information about the business
Business plan• Sets out objectives, estimates and financial forecasts• Helps establish where you are, where you are going and how you intend to get there.• Demonstrates determination to start a successful business• Only half the new businesses survive more than five years – the better the planning is, the more likely you are to succeed.• Should be updated on an annual basis at least- ongoing process – monitor and update.
Business plan• Basic structure should follow a format to facilitate an efficient way of meeting evidence requirements like National Vocational Qualification (NVQ) Level 3 Business Planning Qualification.
Business Plan• Is a roadmap for starting and running a business.• Is a blue print of the step by step procedure to be followed to convert a business idea into a successful business venture.• Identifies an innovative idea, researches the external environment for SWOT, assess the feasibility of the idea and then allocates resources in the best possible manner to make the plan successful.
Business Plan• Efficient method of focusing ideas in terms of defining objectives and assessing abilities to organise and run the business.• Establishes parameters and specific targets which provide a yardstick to measure progress and profitability• Prerequisite to both planning and starting as well as running a business• Good business plan necessary for raising finance.