Preliminary feasibility studies are quick exploratory studies aimed at reaching an initial assessment of the likelihood of an investment project achieving its objectives and its chances of success in the Egyptian market. In other words, they aim to verify the existence of indicators suggesting the project's potential for success.
If these studies reveal that there are no fundamental obstacles to implementing the investment project and that there are possibilities for its success, detailed feasibility studies are prepared in their various dimensions, and there are economic justifications for conducting these detailed studies.
However, if those studies result in the project not having the possibility of success for personal reasons that are difficult to explain, or for objective reasons from the initial feasibility study, then the feasibility studies stop at this point, and the investor can study other ideas that have a greater chance of success if he has the desire to do so.
There is no justification for conducting costly feasibility studies for an unsuitable investment idea or for an investment project that lacks the necessary elements for success. Therefore, we conduct preliminary studies that can be further developed.
A preliminary feasibility study helps the investor to filter out the projects and investment ideas he has in order to arrive at the idea that is worth spending time, effort and money on a detailed feasibility study.
We provide detailed feasibility studies that cover the marketing, technical, organizational, and financial foundations for the investment project decision. Several final feasibility studies are conducted on investment projects that were selected through the initial feasibility study and proved their initial viability. These studies are carried out through the following sub-stages:
1/ Joint-stock companies: The joint-stock company is the largest type of capital company, and its capital is divided into shares of equal value. Each partner (shareholder) has a certain number of shares according to his share in the capital, and the shareholder is not liable for the company’s debts except to the extent of his share of the shares.
2/Recommended share companies: A limited partnership with shares consists of two classes of partners:
a) Joint partners: Their number must be no less than two, and their own funds are considered collateral for the company’s debts and obligations. Their shares are non-sellable, and they alone are responsible for managing the company.
b) Shareholders: There must be at least three partners, each of whom is liable for the company's debts and obligations only to the extent of their shareholding. Their personal assets are not considered collateral for the company's debts, and they are not permitted to interfere in the company's management.
3/ Limited Liability Companies: This type of company is formed between two or more partners, who are liable for the company's debts only up to the amount of their capital shares. They are not liable for the company's debts, and their personal assets cannot be used to secure the company's debts, except to the extent of their capital contribution.
4/One-person company: It is a company whose capital is wholly owned by one person, whether that person is a natural or legal person, and the founder of the company is not responsible for its obligations except to the extent of the company’s capital.
Contact our experts at Meligi Foundation Today you can analyze your idea and establish your company on a solid legal basis.
