Feasibility Study Companies in Dubai

Feasibility Study at a Glance

AEY Auditing of accounts provides feasibility study services for businesses, investors and project owners across Dubai and the UAE. The scope of each study is tailored to the industry, project size, location, funding requirements and intended use of the report.

Feasibility Study Overview & Key Checks

FEASIBILITY

Question	What the study checks
Is there demand?	Customers, market size and growth
Can we compete?	Competitors, pricing and market position
How much money is needed?	Startup cost, capital expenditure and working capital
How much can we earn?	Revenue, margins and profit
When do we break even?	Break-even sales and time
Will we have enough cash?	Monthly cash-flow forecast
What can go wrong?	Financial, market, operational and regulatory risks
What return can investors expect?	ROI, IRR, NPV and payback where relevant
Should we proceed?	Go, change the plan, or stop

Important: A good feasibility study does not try to prove that your idea will work. It tests the idea.

Who Prepares Feasibility Studies in the UAE?

Feasibility studies in the UAE are prepared by business consultants, financial advisory firms, accounting and audit firms, and specialist sector consultants. The right provider should be able to assess the market, develop financial projections, evaluate operational requirements, and consider UAE regulations.

For investor- or lender-focused projects, reliable financial information is essential. Businesses may also need ISA-compliant audit services in the UAE for audited financial statements and compliance purposes.

What Is a Feasibility Study?

A feasibility study is a detailed review of a proposed business, project, investment, expansion or market entry. It combines:

Market research
Competitor analysis
Financial modelling
Technical review
Operational analysis
Legal and regulatory review
Risk analysis
Investment return analysis

The final report gives decision-makers evidence before they commit capital. For larger public projects, Dubai’s own PPP guidance describes feasibility as a detailed project assessment that can include needs assessment, technical and legal aspects, risk assessment, financial analysis and procurement options.

Do You Need a feasibility study services UAE

Not every UAE business needs one. A feasibility study is most useful when you are making a large or uncertain investment decision. You may need one when you are:

Starting a new business

Opening a new branch

Entering the UAE market

Launching a new product

Liquidation report

Developing real estate

Opening a hotel

Opening a restaurant

Buying another business

Setting up a manufacturing facility

Seeking bank finance

Raising investment

Starting a healthcare project

Starting a large infrastructure project

Expanding an existing business

There are also cases where a feasibility study is specifically required by a regulatory process. For example, the UAE Ministry of Economy & Tourism lists an economic feasibility study as a required document for incorporating a private joint stock company.

Why Hire a feasibility study consultants UAE?

1. Is the Market Large Enough?

It checks:

Target customers
Market demand
Market size
Growth
Customer needs
Competitors
Pricing
Market gaps

2. Can the Business Make Money?

It tests:

Revenue
Gross margin
Operating costs
Net profit
Cash flow
Break-even point

3. How Much Capital Is Needed?

The study calculates:

Startup costs
Equipment
Fit-out
Technology
Deposits
Licence costs
Working capital
Marketing
Staff costs
Financing requirements

4. What Could Go Wrong?

It tests risks such as:

Lower-than-expected sales
Higher costs
Strong competition
Delayed launch
Financing problems
Regulatory restrictions
Supply problems

Weak customer demand

5. Should You Proceed?

The final recommendation should normally be one of:

GO — proceed under the tested assumptions.

CHANGE — modify the model before investing.

NO-GO — the expected return does not justify the risk.

Yusuf Fakhree

Experienced Chartered Accountant and Audit Specialist with a proven track record in delivering high-quality audit, assurance, and compliance solutions

Follow us on

Our Services

What Is Included in a Feasibility Study in UAE?

Market Feasibility

This section checks whether customers are likely to buy the product or service. It covers:

Market size
Customer segments
Demand
Market growth
Customer behaviour
Competitors
Pricing
Market share assumptions
Barriers to entry

Current UAE feasibility providers also use market research and competitor analysis to test commercial viability.

Competitive Benchmarking Matrix

ANALYSIS

We compare your proposed business with direct and indirect competitors across key operational pillars.

Area	Competitor	Your Business
Price	Competitor pricing	Your proposed pricing
Product / Service	Existing offering	Your offering
Location	Competitor location	Proposed location
Target Customer	Existing customer segment	Your target customer
Strengths	Competitor advantages	Your advantages
Weaknesses	Competitor limitations	Potential limitations
Market Position	Current position	Potential position

The Key Question: Why will customers choose you instead of an existing competitor?

Financial Feasibility

This is the part that converts the business idea into numbers. It can include:

Startup investment
Capital expenditure
Working capital
Sales forecast
Cost of goods/services
Payroll
Rent
Marketing
Administrative costs
Financing costs
Profit and loss
Cash flow
Balance sheet
Break-even analysis

Where relevant, the model can also calculate:

ROI
IRR
NPV
Payback period
Profit margin
Debt service coverage

Break-Even Analysis

Break-even tells you how much you need to sell before the business covers its costs.

For example, if your fixed monthly costs are AED 200,000, the study can calculate the sales volume needed to cover those costs based on your contribution margin.
This answers:
How much must we sell before we stop losing money?
It is one of the most useful numbers for a startup or investor.

Cash Flow Forecast

Profit does not always mean cash in the bank.
A feasibility study therefore forecasts:
- Customer collections
- Supplier payments
- Payroll
- Rent
- Taxes
- Loan payments
- Capital expenditure
- Working capital
- Closing cash balance
This can show whether the project may face a cash shortage even when the income statement shows a profit.

Financial Scenario Analysis

A feasibility study should not depend on one optimistic forecast. We normally test different scenarios.

Base Case

The expected outcome using reasonable assumptions.

Downside Case

Sales down 10-20%, costs up 10%, slower growth, longer launch.

Upside Case

Higher sales volume, stronger margins, or accelerated growth.

The purpose is simple: How much can the project go wrong before the investment stops making sense?

Technical Feasibility

Can we actually deliver the product or service?

Location

Equipment

Technology

Capacity

Suppliers

Logistics

Software

Infrastructure

Employees

Raw Materials

A restaurant, software company, factory and property development project will need very different technical analysis.

Operational Feasibility

Evaluates day-to-day workflow structure post-launch:

Org Structure

Management

Customer Service

Procurement

Sales Process

Delivery

Inventory

Internal Controls

Goal: Confirming scale viability under actual operational loads.

Legal & Regulatory Feasibility in the UAE

Regulatory Factors Considered

Depending on the project, the assessment may consider:

Proposed business activity
Mainland or Free Zone structure
Ownership requirements
Licensing
Sector-specific approvals
Premises requirements
Employment considerations
Tax considerations
Other applicable regulatory requirements

Specific requirements should always be assessed according to the proposed activity, legal structure and location.

Location Feasibility in the UAE

Evaluating rent, footfall, access, and competitor clusters.

Mainland

Free Zones

Business Districts

Retail Hubs

Residential areas

Industrial areas

Tourism areas

We can assess:

Rent
Customer access
Footfall
Competition
Parking

Transport
Delivery access
Staffing
Licensing
Operating costs

A cheaper location is not always the better location.

Industry-Specific Feasibility Studies in UAE

Real Estate Feasibility Study Dubai

A real estate project requires a more detailed financial and market model. A property feasibility study can cover:
Land cost, Acquisition cost, Development area, Permitted use, Construction cost, Design and consultancy fees, Financing cost, Development timeline, Unit mix, Selling price, Rental assumptions, Market absorption, Operating costs, Exit value, IRR, NPV, Cash flow
The result helps determine whether the proposed development can generate an acceptable return.

Feasibility Study for Bank Financing

A bank wants to understand whether the project can repay the money it borrows. A bank-focused feasibility study can therefore present:
Total project cost, Owner contribution, Loan requirement, Revenue forecast, Cash flow, Debt repayment, Security, Profitability, Sensitivity analysis, Management experience

The report should be built around the lender’s questions, not just the entrepreneur’s business idea.

Feasibility Study for Investors

Investors normally want clear answers to:
How much capital is needed?, Where will the money go?, Who are the customers?, How will revenue be generated?, When will the investment break even?, What return is expected?, What are the major risks?, What happens if the business underperforms?, What is the exit plan?
An investor-ready report should make these answers easy to find.

Feasibility Study vs. Business Plan

COMPARISON

Feasibility Study	Business Plan
Tests whether the idea is viable	Explains how the business will operate
Challenges assumptions	Sets operating targets
Focuses on go/no-go decision	Focuses on execution
Tests risks	Defines business strategy
Can recommend stopping	Normally assumes the business will proceed

A simple way to remember it:
Feasibility study: Should we do it? | Business plan: How will we do it?

Feasibility Study vs. Business Valuation

COMPARISON

Feasibility Study	Business Valuation
Tests whether a proposed business or project can work.	Estimates what an existing business or asset is worth.

UAE Acquisition Insight: If you are buying an existing UAE company, you may need both a feasibility assessment and Due Diligence Services.

Our Feasibility Study Process

1 - Understand the Project

We review:

Business idea
Industry
Location
Investment size
Target customer
Funding requirement

2 - Research the Market

We assess:

Demand
Competition
Customer profile
Pricing
Market opportunity

3 - Build the Financial Model

We model:

Revenue
Costs
Profit
Cash flow
Break-even
Investment return

4 - Prepare the Report

The findings are presented in a clear report with supporting financial schedules.

5 - Give the Decision

The study concludes whether the project should:

Proceed → Change → Stop

6 - Test the Risks

We run downside and sensitivity scenarios.

What You Receive From AEY Auditing

Depending on the project, the final feasibility report can include:

Executive summary

Market analysis

Competitor analysis

Customer analysis

Location analysis

Technical review

Operational plan

Regulatory review

Startup cost

Revenue forecast

Profit and loss forecast

Cash flow forecast

ROI

IRR/NPV where relevant

Sensitivity analysis

Risk register

Funding requirement

Final recommendation

The scope is agreed before the work starts.

What Information Do We Need?

To prepare a useful feasibility study, we usually need:

Project or business idea
Industry
Proposed location
Expected investment
Products or services
Pricing assumptions
Target customers
Expected sales
Existing financial records, if any
Funding requirement
Known competitors
Bank or investor requirements

How Long Does a Feasibility Study Take?

There is no single timeline. A small business study may take a few weeks. A large property, manufacturing, healthcare or infrastructure project can take longer because it may require more research, technical work and financial modelling. The scope should be agreed before the study begins.

How Much Does a Feasibility Study Cost in UAE?

Project Type	Typical Complexity	Main Cost Drivers
Small business	Lower	Market research and basic financial modelling
SME/project	Medium	Market, competitors and detailed financial projections
Real estate	High	Property, development, market and financial analysis
Manufacturing	High	Technical, operational, CAPEX and financial analysis
Large investment project	Very high	Extensive research, technical analysis, financial modelling and risk assessment