Policy consulting and advisory

Construction Projects are very Capital Intensive Undertakings which require thousands of dollars to be executed. In any such expensive venture, it is extremely vital to be sure that the investment is carefully planned and that it will give the required Rate of return on the capital invested. We carry out studies to analyze the Economic Effectiveness of the proposed Investment. This in simple terms is a comparison between the amount of monies invested and the returns anticipated. The Client avails us the Investment preliminary information for instance, the amount of funds available for investment and the desired return on the funds; the proposed location of the investment and an idea of the type (say apartment block, residential house for rent, an office block etc). We then calculate the corresponding evaluation indices for the different projects. We compute such indicators like the Pay Back period, the Profitability Index, the internal rate of Return etc. Using these, a comparison is done on which investment is more profitable and the Client is advised accordingly. Our research has established that one of the difficulties in carrying out project economic effectiveness analyses is the lack of reliable data in Africa. In view of that the firm is over time developing its own data bases to be used in Uganda. It is worth noting that the practice of evaluating how profitable an investment will be has not been so widely used especially on small private investments in Uganda. Clients decide on which projects they want to invest in using different parameters e.g. advice from friends or thatís the trend etc. However given the fact that today some of the monies for construction are borrowed from Banks, it has become increasing paramount to be sure that the Project will produce the anticipated revenue on completion. Our research has also revealed that TIME is an important factor when determining the effectiveness of a Project. We are living a world that is rapidly changing and not many factors remain constants, so when money is being invested in any project, all its plans have to be executed in the planned time frames, any delays will have a negative effect on the Project, this most Clients are yet to appreciate. We are proud to report that on action of our advice several of our clients have turned their former ideas into great investment and profitable ventures.