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How to Write a Feasability Report

As the name implies, feasibility reports look at ways to solve a business problem when more than one plan seems possible. They ask the question, "Which recommendation is most feasible for this company at this time?" Whether their focus is narrow or small, the most serviceable reports provide swift, cost-effective solutions in a business environment that doesn't indulge in hit-or-miss experimentation. "It is estimated that only one in fifty business ideas are actually commercially viable," says business writer Alan Thompson. "Therefore, a Business Feasibility Study is an effective way to safeguard against waste of further investment or resources."

Instructions

- 1
  Give the report a title that reveals its purpose. For example, "The Feasibility of Installing Solar Panels." (Reference 1)
- 2
  Write an introduction that identifies the problem and explains that the report's intention is to propose a solution. Describe the expected audience and summarize the general contents. (Reference 1)
- 3
  Explain when, how and where the problem started. Name its positive and negative effects on the business. Identify who is seeking a solution and why. Generally describe all proposed solutions. (Reference 1)
- 4
  Summarize the educational and work background of people who helped prepare the report. Identify each person's specific contribution. (Reference 4)
- 5
  Consider how much technical information readers need to understand the topic. Decide whether to explain technical issues in a separate section or at relevant points in other sections. For example, a feasibility report on harvesting energy in a wireless network might first need to explain how energy hunting mechanisms work. (Reference 1)
- 6
  Devote a section to "Financial Projections," which Ready Planning says helps demonstrate how the plan supports the company's goal of producing profit-making goods and services. Include projected balance sheets, income statements, cash flow, a break-even analysis, and capital requirements and strategy. (References 3 and 2, in that order)
- 7
  Discuss standards for choosing the most feasible plan. For example, a report examining the feasibility of permitting employees to work at home might rest its decision on the new program's added costs and impact on worker productivity as well as the payroll department's ability to calculate overtime compensation. (Reference 1)
- 8
  Finish the report with sections for "Conclusions" and "Recommendations." Add charts or tables that support your conclusions. (See page 11 of the PDF from Florida State University). Repeat the strongest points made and advocate specific action. (Reference 1)
- 9
  Prepare a one-page executive summary that reviews all sections. Place the summary in front of the introduction. According to Thompson, an executive summary must be comprehensive enough to stand on its own. He suggests drafting it after the other sections are complete. (Reference 2)

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