Financial feasibility audits and assessments are necessary to help you make critical decisions. They inform your understanding of whether a prospective investment in a new project or an extension of an existing one is likely to be worthwhile.
At RSM Egypt, we can deliver a wide range of financial assessment services – including calling upon financial model experts who will work closely with you to calculate estimated costs and timeframes as well as the likely returns once the project has been completed.
Understanding a project’s financial feasibility is the first step to assessing its value to your organization, and we want to help you reach that decision in a timely and efficient manner.
Our approach to providing financial assessment services
We want to help you have a full, clear picture of a project’s financial feasibility. But before we can do that, our expert team needs to develop an understanding of your organization and its objectives. That means starting with an open, honest dialogue and maintaining that two-way communication throughout the process. Respect, integrity, and teamwork form some our core values and you’ll see how they underpin everything that we do when you enlist our financial feasibility services.
We are also in the privileged position of being part of a global network spanning 800 offices across 120 nations. That means we can offer market analysis services on a worldwide scale, and our financial model experts can draw up forecasts of how a project might fare in multiple territories.
How we deliver our financial feasibility services
Our financial feasibility specialists will begin by obtaining a good understanding of the project and its target market. Based on that understanding, we will develop a comprehensive set of assumptions regarding the following:
- The estimated cost of your investment.
- The period of project completion and the timing of the cash outflow.
- How the project will be financed (equity, debt, or a combination).
- The cost of the funds (capital) that will be invested in the project.
- The sources of operating revenues and the magnitude of the revenues projected to be realized after project completion.
- The operating costs of the project after completion.
Based on the assumptions that we will discuss and agree with you, we will develop a financial model to forecast the project’s net free cash flows by year as a going concern. We will then assess the project’s financial feasibility based on the following three indicators:
- The net present value that is likely to be realized on your investment in the project.
- The internal rate of return that is likely to be realized on the investment.
- The pay-back period, i.e., the period of time the net free cash flows will be sufficient to return your investment in the project.
We also assess the sensitivity of the results due to possible variations in actual performance from assumed performance.
When drawing assumptions about the future performance of the project, we will carry out a market analysis to support the assumptions about the magnitude and value of future revenues. We will also validate assumptions about future operating cost based on our experience in similar projects and sectors.
Financial assessment services from RSM Egypt
To find out more about our financial feasibility services and how they can help your organization, why not get in touch with us today. You can fill out our online contact form or visit us in person at one of our Cairo and Alexandria offices. Benefit from market analysis services, financial modelling, and unwavering support when you partner with RSM Egypt