Project Profile Preparation

Wpfreeware 6:49 AM Project Profile Preparation

A Project Profile or Feasibility Study Report is a comprehensive document that assesses the viability and potential success of a project or business venture. It is conducted during the early stages of project planning to determine whether the project is feasible, economically viable, and technically achievable. The report is typically prepared by experts or consultants who analyze various aspects of the project, including market demand, financial projections, technical requirements, regulatory considerations, and potential risks.

Before preparing a Project Profile it is considered type of sectors of the business as different business sectors have different characteristics in terms of revenue generation, credit facilities, and repayment methods. And for their different characteristic it requires different financial models.
As per characteristics, the sectors are categorized as follows:

  1. Manufacturing Industry: This sector involves the production of goods by transforming raw materials into finished products using mechanical, physical, or chemical processes.
  2. Agriculture & Livestock: Businesses in this sector engage in farming, dairy, poultry, and forestry activities to produce raw materials such as crops, livestock, and timber.
  3. Construction and Real Estate:This sector involves the construction of infrastructure, residential and commercial buildings, and other structures.
  4. Service Industry: This sector encompasses a wide range of activities that provide services to businesses in various industries without producing tangible goods.
  5. Hospitality and Tourism: Businesses in this sector provide services related to travel, accommodation, and leisure activities

Then, a Project Profile Format along with a Financial Model is structured and developed for better clarity and effectiveness of the Project Profile or Feasibility Study Report.

The followings are the key components and elements of a standard Project Profile Format :

A) Executive Summary:

A concise overview of the key findings and recommendations of the feasibility study. Background information on the proposed project, its objectives, and the purpose of the feasibility study.

  1. Brief Description of the Project
  2. Fixed cost of the Project & Means of Finance
  3. Production Capacity, Price and Revenue Generation
  4. Name, Location, Product/Services, Capacity
  5. Short Financial Forecast

B) Organizational aspects:

Evaluation of legal and regulatory requirements that may impact the project, such as permits, licenses, zoning laws, and environmental regulations.

  1. Formation of the company
  2. Types of Industry & Nature of Business
  3. Management of the Company
  4. Legal and Regulatory Considerations
  5. The inner most Goals and Objectives of the business
  6. Company Policy & Strategy
  7. Major Departments of the Company
  8. Other Sister concern companies

C) Management aspects:

It involves analyzing various aspects of management, including organizational structure, processes, strategies, and resources.

  1. Name of sponsor-Directors of the company, their background and experience.
  2. Comment on the management and financial capabilities and track record.
  3. Performance of other concerns, if any, where such Directors are involved.
  4. Details of foreign collaboration, if any.
  5. Names of Directors who will be responsible for supervising the administrative and technical aspects, both at the implementation and production stages.

D) Technical aspect :

Assessment of the technical requirements and resources needed to implement the project, including technology, infrastructure, and personnel.

  1. Location-area of land and if development of land is required, thecost thereof
  2. Communication facilities
  3. Availability of utilities
  4. Civil works – Type of building and specifications of construction, covered area, estimated cost
  5. Plant and machinery (list of machinery to be enclosed)

    Imported machinery

    1. C&F cost
    2. Other costs
    3. Country of origin
  6. Local machinery
  7. Erection and installation
  8. Technology transfer, if any
  9. Raw materials


    1. C&F cost
    2. Duty and Tax
    3. Other costs
  10. Local raw and packing materials
  11. Manpower
    1. Managerial and technical
    2. Administrative and sales
    3. Labour:
      1. Skilled
      2. Semi-skilled
      3. Unskilled
  12. Furniture and fixture
  13. Office equipment
  14. Transportation
  15. Safety provision
  16. Waste disposal
  17. Implementation schedule- Project's execution timelines

E) Financial aspects :

Analysis of the project's financial viability, including cost estimates, revenue projections, cash flow forecasts, and return on investment (ROI).

  1. Assumption for financial analysis
  2. Cost of the project and means of finance
  3. Estimate of working capital
  4. Sales estimate
  5. Cost of service/goods sold
  6. Selling, General, and Administrative Expenses
  7. Loan Repayment Schedule
  8. Financial Expenses
  9. Depreciation Calculation
  10. Projected income statement
  11. Cash-flow statement
  12. Projected balance sheet
  13. Debt-service coverage ratio
  14. Pay-back period
  15. Internal rate of return (IRR) and NPV
  16. Break even analysis
  17. Contribution to GDP Analysis
  18. Cost-Benefit Ratio analysis
  19. Sensitivity analysis

F) Marketing aspect:

Examination of the target market, including size, growth trends, competition, and consumer preferences.

  1. Proposed product-mix/service to be offered
  2. Capacity to be developed
  3. Existing demand along with future projection
  4. Capacity already developed
  5. Actual capacity utilization
  6. Demand-supply gap
  7. Pricing of proposed product/service
  8. If the product/service is import-substitute, duty structure of imported items
  9. Distribution channel

G) Economic aspects :

Economic evaluation involves analyzing the net economic benefits that contibutes to the national economy.

  1. No. of jobs created
  2. Cost per job created
  3. Contribution to GDP
  4. Earning in foreign exchange or foreign exchange savings.

I) Risk analysis

Identification and assessment of potential risks and uncertainties associated with the project, as well as strategies to mitigate them

  1. Financial Risk:
  2. Business/Industrial Risk
  3. Management Risk
  4. Security Risk
  5. Fire Hazard Risk
  6. Relationship Risk

J) Remark & Conclusion

Summary of the key findings of the feasibility study and recommendations regarding the feasibility of the project.

K) Appendices

Supporting documents, data sources, and additional information

Once the project profiling scope was approved, we began collecting data and information from relevant sources. After gathering all relevant data, our expert analysts carefully review and analyze it. The data is refined statistically and technically as needed to ensure accuracy. The Project Profile Format is then updated and modified with the verified information, ensuring that all financial assumptions and projections comply with accounting standards. After all, the revised document will be a reliable Bankable Project Profile that aids in decision-making and strategic planning.

The Project Profile is crucial for stakeholders, investors, and decision-makers to assess a project's potential and make informed decisions. It provides insights into opportunities, challenges, and risks, helping determine project viability.

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