Business plan and feasibility study are after confused but they are quite different. We need to appreciate the fact that one comes before the other. A feasibility study researches the likelihood of your business idea being successful while a business plan takes the information obtain in feasibility study to explain how the business will operate, grow, market itself and make profits. It’s therefore imperative for the feasibility study to precede the preparation of the business plan. The golden rule is that if your business ideas is not feasible you should not proceed with your business plan until you rework your idea.
In this chapter therefore, we shall examine the meaning of feasibility study and business plan, their basic features together with the importance of conducting each of them.