Economic feasibility study

What is it?

An economic-financial feasibility study determines whether a project or investment is profitable and sustainable. It projects revenue, costs, investment and cash flows under different scenarios and computes expected returns (NPV, IRR, payback). Our reports are signed by chartered economists (CEMAD).

What is it for?

It helps you decide whether to invest and convince those who must finance it: banks, investors or committees. It turns an idea into defensible numbers and lets you compare alternatives objectively.

What the report contains

• Market analysis and demand estimation.
• Investment plan and financing structure.
• Projected P&L, balance sheet and cash flows.
• Returns (NPV, IRR, payback) and sensitivity analysis.
• Clear conclusion on feasibility and recommendations.

Professional backing

Our reports are signed by chartered economists (CEMAD), giving them the validity required by banks and public bodies. We have experience with private hospital expansion and public facilities.

The four dimensions of feasibility

A project is only feasible if it is so on every front. We do not stop at the numbers: we analyse the whole.

• Commercial feasibility: is there enough market and demand?
• Technical feasibility: is it achievable with the planned means?
• Economic feasibility: does the project generate profit?
• Financial feasibility: is there cash to sustain it over time?

Methodology and assumptions

We start from a market analysis that underpins the revenue forecast: we do not project sales by guesswork but on estimated demand. We then build the investment plan and financing structure and model multi-year forecasts. Each assumption is explicit and justified so any third party can review it. We always work with scenarios (conservative, base, optimistic) and a sensitivity analysis showing how the project responds when critical variables change.

Indicators we calculate

The report translates the project into the metrics banks, investors and control bodies expect.

• NPV (Net Present Value) and IRR (Internal Rate of Return).
• Payback period.
• Break-even point.
• Forecast P&L, balance sheet and cash flows.
• Leverage, liquidity and coverage ratios.

Experience in high-value projects

We have prepared feasibility studies for private hospital expansion, health-sector internationalisation plans and public facilities such as youth residences and schools. This lets us anticipate the questions of whoever must approve or finance your project and answer them in the report.

The value of the chartered signature

Our studies are signed by chartered economists at the Madrid Association of Economists (CEMAD). That signature is not a formality: it brings credibility before banks, backing before investment committees and validity before audit when the project is public.

Feasibility for financing and grants

A feasibility study is often the key to financing. We prepare it with the reader in mind: if you seek a loan, we orient it to the questions and ratios the bank analyses; if you apply for a grant or tender, we tailor it to the requirements and formats of the call or specifications. The same project may need different approaches depending on its recipient, and that adaptation marks the difference between a yes and a no.

When to engage it

• Before an opening, expansion or new investment.
• To apply for bank financing or attract investors.
• When choosing between strategic alternatives.
• When a third party requires proof of the project’s feasibility.

Frequently asked questions