The feasibility study report refers to that before engaging in an economic activity (investment), both parties shall conduct specific investigation, research and analysis on various factors from economy, technology, production, supply and marketing to various social environment, laws and other factors to determine the favorable and unfavorable factors, whether the project is feasible, the size of the estimated success rate, and the evaluation of economic and social benefits, Documents submitted for approval by decision makers and competent authorities (referred to as "feasibility study").

Main purpose

1. Feasibility study report for enterprise financing and foreign investment cooperation. Such research reports usually require accurate market analysis, reasonable investment plans, and provide competitive analysis, marketing plans, management plans, technology research and development and other practical operation plans.

2. Feasibility study report for project approval by the National Development and Reform Commission. This document is prepared in accordance with the Administrative License Law of the People's Republic of China and the Decision of the State Council on Establishing Administrative Licenses for Administrative Examination and Approval Projects that Really Need to Be Retained. It is the basic document for the establishment of large-scale infrastructure projects. The NDRC will approve, record or give an official reply according to the feasibility study report to decide whether a project is implemented. In addition, pharmaceutical enterprises also need to prepare feasibility study reports when applying for relevant certificates.

3. Feasibility study report for bank loans. When commercial banks conduct risk assessment before loans, they need the project party to issue a detailed feasibility study report. For domestic banks such as China Development Bank, this report is issued by a Grade A qualification unit, and it usually does not need to organize expert review. Some banks do not need qualification for their loan feasibility study reports, but it requires that the financing plan is reasonable, the analysis is correct, and the information is comprehensive. In addition, it is often necessary to prepare a feasibility study report when applying for relevant national policy support funds and industrial and commercial registration, which is similar to the feasibility study report for bank loans.

4. It is used to apply for tax exemption of imported equipment. Feasibility study report mainly used for duty-free import of equipment, and projects applying for project confirmation of Sino foreign joint ventures and domestic funded enterprises need to provide Project Feasibility Study Report 。

5. Feasibility study report for approval of overseas investment projects. When enterprises implement the "going out" strategy and invest in foreign mineral resources and other industries, they need to prepare a feasibility study report and submit it to the National Development and Reform Commission or the Provincial Development and Reform Commission. When they need to apply for credit support for key overseas investment projects of the Export Import Bank of China, they also need a feasibility study report.

The above five kinds of feasibility study reports have high access threshold, so the preparation unit needs to have engineering consulting qualification, which is issued by the National Development and Reform Commission and the Provincial Development and Reform Commission, and is divided into three grades: Grade A, Grade B, and Grade C.

primary coverage

The focus of various feasibility study reports varies greatly, but they generally include the following:

Necessity of investment. The necessity of project investment and construction is demonstrated mainly according to the results of market survey and prediction, as well as relevant industrial policies and other factors.

Technical feasibility. Mainly engaged in the technical aspects of project implementation, reasonable design of technical solutions, and comparison and evaluation.

Financial feasibility. Mainly from the perspective of the project and investors, design a reasonable financial plan, conduct capital budgeting from the perspective of corporate finance, evaluate the financial profitability of the project, make investment decisions, and evaluate the shareholders' investment income, cash flow plan and debt repayment ability from the perspective of the financing subject (enterprise).

Organizational feasibility. Formulate a reasonable project implementation schedule, design a reasonable organization, select experienced management personnel, establish a good cooperation relationship, and develop a suitable training plan to ensure the smooth implementation of the project.

Economic feasibility. It mainly measures the value of the project from the perspective of resource allocation, and evaluates the benefits of the project in realizing the regional economic development goals, effectively allocating economic resources, increasing supply, creating employment, improving the environment, improving people's lives, etc.

Social feasibility. It mainly analyzes the impact of the project on society, including political system, principles and policies, economic structure, laws and ethics, religious nationalities, women and children, and social stability.

Risk factors and countermeasures. It is mainly to evaluate the market risk, technical risk, financial risk, organizational risk, legal risk, economic and social risk and other factors of the project, formulate countermeasures to avoid risks, and provide basis for risk management throughout the project.

The main contents and requirements of the general feasibility study report are as follows:

1. Basic information: name, legal address, purpose, business scope and scale of the Sino foreign joint venture; The names, countries of registration and legal addresses of the parties to the joint venture and the names, positions and nationalities of their legal representatives; The total investment of the enterprise, the amount of registered capital stock (the amount of self owned capital, the proportion of capital contribution of each party to the joint venture, the way of capital contribution, and the time limit for capital payment); The duration of the joint venture, the profit distribution and loss sharing ratio of the joint venture party; Project Proposal Approval documents of; List of persons in charge of the feasibility study report; Overview, conclusions, problems and suggestions of the feasibility study report.

2. Product production arrangement and its basis. It is necessary to describe the domestic and foreign market demand and market forecast, as well as the existing and under construction production equipment capacity at home and abroad.

3. Material supply arrangement (including energy and transportation) and its basis.

4. Project address selection and its basis.

5. Selection of technical equipment and process and its basis (including the arrangement of batch delivery of domestic and foreign equipment).

6. Production organization arrangement (including the total number of employees, composition, source and operation management) and its basis.

7. Environmental pollution control, labor safety protection, health facilities and their basis.

8. Construction mode, construction schedule and basis.

9. Fund raising and its basis (including the basis for calculating the shares of plant and equipment).

10. Arrangement of foreign exchange receipts and payments and its basis.

11. Comprehensive analysis (including economic, technical, financial and legal analysis). Dynamic method and risk method (or sensitivity analysis method) shall be used to analyze project benefits and foreign exchange receipts and payments.

12. Necessary accessories. For example, copies of business licenses of all parties to the joint venture; Certificate of legal representative; Assets of the parties to the joint venture, business information, opinions of the superior competent department, etc.

Lanzhou Zhiyuan Engineering Project Management Service Co., Ltd. is the place to write the feasibility study report of Lanzhou Project.