The purpose for every business undertaking is profit which serves as a return from investment activities. Profit creation in business will forever remain a mirriage if business activities are not properly anticipated, planned and coordinated. Risk analysis is one of the major means of projecting the future outcome of any business before a decision to embark on it or not can be taken, hence the reason for this study. In this study, the researcher observed the role that risk analysis played in investment decision making (capital Budgeting) in business organizations, determine the level of acceptability of risk analysis as investment decision tool, ascertain the impact financial risk analysis has in the evaluation of projects viability and investment portfolios selection, and make recommendations to stakeholders in the investment sector in Nigeria using Niger Mill Ltd, Calabar as a case study. The statistical instruments employed to collect data for this study are questionnaires and oral interviews which constitute the primary sources, while published textbooks, Journals and internet materials serve as the secondary sources of data. The sampling method used for this study is the stratified random sampling method, while chi-square (x2) statistical model was used to test the three hypotheses formulated for this work. Major findings made from this study are that; there is a high level of acceptability of risk analysis as a major tool for investment decision, staff of various organizations in Nigeria are well acquainted with the various methods of financial risk Analysis, there are enough trained hands in the country to handle risk analysis related issues, and the fact that there can be no meaningful investment decision without a proper financial risk analysis.