New projects are prone to both technical and financial risk which requires a holistic approach to ensure profitable outcomes. Feasibility and economic analysis are crucial steps toward engaging with debt and equity investors. It requires a thorough examination of the underlying technical and financial factors as a whole.
Hedgehog uses both top-down and bottom-up approaches for risk management to determine the feasibility of a project. We think long-term and consider the sustainability of the project over the course of its life. We begin by reviewing the deliverables before breaking each step down into sub-components. From the bottom, we estimate the sub-projects and budget including multi-year cash flow and balance sheets. Project feasibility estimates require a risk assessment to outline potential hazards including:
- Technical risk
- Project risk
- Supplier risk
- Schedule risk
- Financial risk
- Safety risk
Hedgehog draws on extensive project management experience and a holistic process to perform a feasibility and economic analysis.