Market Feasibility Studies

Historically, market feasibility studies account for the majority of assignments (over 300 market feasibility studies performed in the last 10 years) undertaken by Rainmaker Marketing Corporation for commercial real estate due diligence services.  Rainmaker moves far beyond the service expectations in the today's business world - in terms of time, quality of service/finished report, and cost of service delivery.  Rainmaker's vision is focused on getting to the point where a commercial real estate syndication plan can be developed and funded for the project using Rainmaker's syndication program; an approach that fits hand-in-glove with the market feasibility studies and financial feasibility studies we routinely prepare anyway.

It starts with our mindset that can best be summed up as "looking under the rocks".  In today's litigation intensive business operating environment, the client company's subjective risk exposure can be virtually eliminated via our structured finance services solution, but only if we have some idea of the full scope of potential risks and factors that could impact the company's geographical primary marketing area (or "PMA").  Our approach includes a review and investigation of the following key PMA elements:

• Development of the demographic profile of the primary end-user of the client company's products and/or services.  The critical first step.

• Development of a demand model predicated upon available demographic information and the application of common sense statistical models to develop a picture of the current and future marketing area trends that may effect demand (and thereby affect penetration and sales revenues).  This is where the "magic" happens.

• Investigation of the PMA's direct operating costs and revenue streams on a historical, current, and potential future trend basis.

• Modification of the demand model to include the effects of historical, current and potential future competition (direct and indirect) that may impact the client company's penetration opportunity and prospective sales revenues.

• Investigation of the PMA in terms of the end-user's expectations as to the delivery of additional services, amenities, and programs that effect the cost of service delivery on an ongoing basis.

• Development of a sustainable business niche that should place the client company's business at a distinct advantage over competitors (assuming the client company's operations are professionally executed and managed on an ongoing basis).

The cold, hard facts of today's capital markets dictate the only winning path to obtaining capital is the creation of an opportunity that reflects the realities of the PMA the company proposes to serve.  This means everything flows from the market study, so the quality of the end product is tantamount to the overall success of the endeavor.  That's where RMC comes into the picture to help ensure the outcome you seek is the outcome you actually realize.

RMC should be your primary "go-to consultant" for supporting the entirety of the proposed project from conceptual stage through the completion of construction activities and stabilized operations.  We have experience with all aspects of commercial real estate development finance due diligence and this expertise can be provided to you.