The subject of feasibility studying of investment projects in Turkey occupies the interest of a wide sector of businessmen, who wish to enter into a new investment experience in the Turkish market, in its various economic and commercial sectors.
Therefore, in this article, we provide a quick overview of the most important points related to the subject of the feasibility study of investment projects, including the definition, importance, basics and data it covers.
Introduction to the Feasibility Study
It is an interconnected and integrated series of legal, environmental, financial, marketing, technical, financing and social methods that are applied to investment opportunities before their entry into force, from the idea of the idea until reaching a final decision of acceptance or rejection.
The application of this series of methods, represented in specialized studies, helps to ensure that the project outputs "benefits and revenues" are greater than the inputs "cash and non-cash expenditures", or at least equal to them.
Feasibility Study Data
In order for the feasibility study of your investment project to be complete, which helps to make a rational investment decision, the data related to the following must be covered:
- Market and market share.
- Prices of production inputs.
- Funding sources.
- Environmental and legal aspect.
Basics of Feasibility Study for Investment Projects
- Comprehensiveness of the financial, technical, marketing, administrative, financing, legal and environmental aspects.
- Reliance on accurate information.
- Taking into account the time and place.
- Laying the foundations for achieving the investment objective.
- It can be a plan for the implementation of the project.
- Take into account the element of risk.
The Importance of a Feasibility Study
- An important way to make a rational investment decision.
- Access to the best investment opportunities.
- Achieving optimal allocation of scarce economic resources.
- Sensitivity analysis to test the extent to which the project can bear the risks.
- Avoid losses and loss of resources.
- Determining the extent of the return from the project.
- Reducing uncertainties.
- Assisting institutions in making financing decisions.
- Determining the project financing structure to achieve the greatest return at the lowest cost.
- Achieving the best cost structure in line with the size of the project.
Finally. If you want to know more information about the feasibility study for investment projects in Turkey, or if you wish to conduct a comprehensive, accurate, objective and scientific feasibility study for your investment project, contact us at Trustus, a Turkish legal and accounting consultancy, to discuss the details of preparing a feasibility study for your project. Which helps you to make more successful and safe investment decisions in achieving the desired profitability goals.
Edited by: Trustus Consulting©
