• Development of feasibility studies and surveys, budgeting

The feasibility study or feasibility study of the project is perhaps one of the most important documents in the creation and development of any modern company. Most often, the feasibility study of the project (or the feasibility study of the project) is necessary if the company or enterprise is going to introduce some new technology, to receive any funds for the implementation of production goals.

Many entrepreneurs confuse the concepts of «Business Plan» and «Feasibility Study», believing that the development of a feasibility study is no different from writing a regular business plan. In fact, compiling a feasibility study and writing a business plan are several different things, the main difference is that compiling a feasibility study is not as complex and detailed as a business plan.

The feasibility study of the project (the feasibility study of the project), as a rule, is devoted only to part of the general business of the company and, as a result, should not contain sections describing the whole business as a whole. That is, the feasibility study of the project includes only those data and calculations that will describe future changes in the company’s activities directly related to this project.

A feasibility study, unlike a business plan, does not contain details in the form of a marketing promotion strategy, description of goods or services, and risk analysis. A feasibility study is being drawn up precisely in order to be able to calculate the results of innovations, to see all the possible problems of this process.

Why do you need a feasibility study?

In order to visually see the situation that develops at the enterprise after any changes in its work (it does not matter whether it is quantitative or qualitative), as a rule, a feasibility study of the project is developed. When drawing up the feasibility study of the project, various factors that have a direct or indirect effect on the enterprise, as well as all changes in financial indicators, are carefully taken into account.

A properly compiled feasibility study allows you to see how effective investments are in developing new or finalizing old types of activity of the enterprise, whether the company needs mergers or acquisitions, whether there is a need for loans. Also, the feasibility study of the project will help to select the necessary equipment, select and implement appropriate production technologies, and organize the activities of the enterprise.

A feasibility study (feasibility study) is mandatory included in the package of documents that are submitted to the bank for a loan. In this case, the feasibility study allows you to show the profitability of lending, increasing the level of activity as a result of lending, as well as guaranteeing the return of the loan to the bank.

Development of estimated calculations

Local estimates for certain types of construction and installation works, as well as the cost of equipment are compiled on the basis of the following data:

— parameters of buildings, structures, their parts and structural elements adopted according to the working drawings;

— the volume of work adopted from the statements of volumes of construction and installation works and determined according to the working drawings;

— the nomenclature and quantity of equipment, furniture and inventory, adopted from custom specifications, statements and working drawings;

— current estimated standards for types of work, structural elements, as well as wholesale, limit and, in some cases, prices of a one-time order for equipment, furniture and inventory.

The basis for determining the estimated cost of construction may be:

— initial customer data for the development of budget documentation, pre-project and project documentation, including drawings, statements of volumes of construction and installation works, specifications and statements of equipment needs, decisions on the organization and sequence of construction adopted in the construction organization project (PIC), explanatory notes for design materials, and for additional work — field supervision sheets and certificates for additional work identified during construction and repair work;

— current estimated standards, as well as selling prices and transportation costs for materials, equipment, furniture and inventory;

— separate decisions related to the corresponding construction site of state authorities.

When compiling local estimates according to the adopted technical decisions, the priority in choosing the current estimated standards or methods for determining the estimated cost is made from the conditions:

— if there are approved price lists for the construction of buildings and structures, aggregated prices (SD) or aggregated estimated standards (USN), intended for use in the preparation of estimates according to working drawings, then these aggregated estimated standards are accepted;

— if there are no aggregated estimated standards, but there are estimates for typical and reusable economical individual projects, tied to local construction conditions, then these estimates are accepted;

— if there are no aggregated estimated standards, as well as estimates for typical and reusable economical individual projects, tied to local construction conditions, then unit rates for building structures or for certain types of construction and installation works from the relevant collections and catalogs are accepted.