Legal feasibility study. Legal feasibility studies for investment projects have become of great importance in many countries, whether developed or developing. Not long ago, these studies and their results became one of the basic factors, but rather the Faisaliah, which determines the extent to which the project will come to light or not in the commercial and economic market. Where the importance of the legal feasibility study emerges from the fact that every project is related to the environment in which it is established, and it must be properly legalized, because it imports its interventions from the environment and then transfers them to the environment as well.
Legal Feasibility Study
The legal feasibility study is concerned with the analyses, estimates and conclusions drawn up by experts in the field of investment law and legislation.
The legal feasibility study includes several legal and administrative elements, which are as follows:
First, the legal form:
The legal form answers these questions:
Is the project required to be officially registered?
And if the project is registered, what is its legal form (individual, joint or recommendation).
Is there an alternative way to register that is less expensive?
What are the procedures for publicity and registration?
Do I need to get a commercial card to work?
Are there other procedures such as licenses, road works or taxes?
Among the most important questions that you must answer in this step are as follows:
What are the jobs in the project (such as production, finishing, handling, packaging or selling) and other jobs.
Is the incumbent trained on it and how is it done.
Are the boundaries between these functions defined and clear.
Does each incumbent know the limits of the job they are working in?
Third, the organization of the project:
The following questions must be answered during the project organization step:
Who is the person responsible for the project and what is his job.
Is there someone on his behalf and what is his work.
What is the relationship between the departments of work?
What is the flow of work between these departments?
What are the administrative departments and what is their activity?
Are marketing and sales operations separated from production and processing operations?
This element must answer the following questions:
What are the types of labor required and are they skilled, semi-skilled or untrained at all?
What is the wages of each worker, and are there unpaid workers such as children, for example.
How many employees are in each job?
Is labor available in the labor market?
What is the cost of labor (cost of wages and employee services).
Are there systems for equipment cards and machines.
Are there conditions imposed by the state for employment.
What is the number of working hours and what is the number of working days.
Are there vacations and what kind.
Legal and environmental feasibility study for the investment project
The feasibility study takes place immediately before the project construction phase on the ground. The legal feasibility study is the last stage that must be completed after carrying out the following feasibility studies:
In the end, it is necessary to conduct a legal and administrative study to determine the methods of publicizing and registering the project, if necessary, in addition to the organizational structure, activities, functions, administrative procedures and manpower necessary for the progress of work in the implementation of the project.
As for how to complete the legal feasibility study, you can implement it on your own, but we advise you to obtain sufficient information and data so as not to make your project vulnerable to loss later or in the long run.
Or resort to the Technical Company for Administrative and Economic Consultations for the largest governmental and private institutions and factories and various sectors, as it specializes in conducting feasibility studies with all professionalism and skill for various investment projects.
You can rely on it to carry out all kinds of feasibility studies, as it has a long experience in this field, and it also provides the employer with alternative plans to use it in cases of danger.
This is because it studies all aspects of the project thoroughly in order to ensure that the client achieves the best possible success and profit rate.
Objectives of the legal feasibility study
The objective of legal feasibility is to discuss investment laws, tax and financial legislation, as well as salary and wage legislation and other legislation that may affect the establishment or functioning of the new project.
In addition to determining the appropriate legal form for the small or large enterprise, determining the ideal and appropriate organization for it, and defining the administrative activities and functions that will be performed.
This legal and administrative aspect receives less attention on the part of the project owners, to the extent that the omission of such a necessary step leads to the failure of the project.