A feasibility study should not be considered a business plan. A feasibility study and business plan plays separate roles in the start-up phases for business. This being said, feasibility studies and business plans are frequently misunderstood. The feasibility study provides an investigating function that should answer the question of “Is this a viable business venture?”
The business plan provides a planning function that outlines the actions needed to take the proposal from “idea” to “reality.”
A well-written feasibility study plans and analyzes several changes or methods of achieving success for that successful business. As such, a feasibility study helps to narrow the scope of the project to identify the best business model and a business plan deals with only one alternative or model. A well-written feasibility study must narrow the scope of the project to identify and define two or three scenarios or alternatives. The consultant conducting the feasibility study may work with the group to identify the “best” alternative for their situation. Generally this becomes the basis of the business plan and plays an important role. My suggestion is that you complete a business feasibility study before you complete your business plan.
A business plan should only be prepared after the business idea has been deemed to be feasible. If your proposed business venture is considered to be feasible, then a business plan should be constructed which provides a “roadmap” of how the business will be established.
In addition, a business plan provides the “blueprint” for project execution. If the idea is deemed not to be feasible. However, if the business plan is note implemented properly then efforts can and should be made to correct its deficiencies, other alternatives may be explored, or the idea is dropped.