Feasybilty Analysis
A comprehensive concise and clear financial feasibility document will provide projections of likely achievable income; probable operating expenses; total project cost (if requested); and the resultant rate of return to the investor or developer.
Areas generally covered in any feasibility analysis undertaken by Hospitality Consulting & Services include;
Economic Indicators including
Population Trends
Employment Trends
Residential & Commercial Development
Transport
Tourism
Demand generators
Supply & Demand Analysis
Competitive Supply
Competitive Set
Historical performance of Competitive Supply
Seasonality
Segmentation of demand
Demand growth & market occupancies
Financial & operational projections
Estimates of occupancy
Average daily room rate
Preliminary estimated operating results
Estimated forward projections
Operational break even analysis
Classification of revenue & expenses