What is the difference between a feasibility study and a business plan?
A feasibility study is not a business plan. The separate roles of the feasibility study and the business plan are frequently misunderstood. The feasibility study provides an investigating function that should answer the question of “Is this a viable business venture?” The business plan provides a planning function that outlines the actions needed to take the proposal from “idea” to “reality.” The feasibility study outlines and analyzes several alternatives or methods of achieving business success. So the feasibility study helps to narrow the scope of the project to identify the best business model. The business plan deals with only one alternative or model. The feasibility study must narrow the scope of the project to identify and define two or three scenarios or alternatives. The consultant conducting the feasibility study may work with the group to identify the “best” alternative for their situation. This becomes the basis of the business plan. The feasibility study is conducted befo
