The plan and the business pitch — Business Studies Level 3

What thorough planning contains

Planning is one of the three things the grade is decided on, so the plan is a document, not a conversation.

A plan for this standard covers:

The activity — what good or service is produced, for whom, and why anyone wants it.
The innovation — what is original, invented, commercialised or improved, compared with what, and why it matters.
The four outcomes — what economic, social, cultural and environmental outcomes are intended, with measures, baselines and targets.
The market — who the customers are, how many there might be, what they will pay, and how you know.
Operations — how it is made or delivered, by whom, where, with what equipment and materials, and how long each batch or session takes.
Suppliers — who they are, what they charge, what the terms are, and what happens if one fails.
People — who does what. Modern practice, which the guide encourages, is rotating roles based on individual strengths and interests rather than fixed permanent positions.
Finance — start-up costs, unit cost, price, break-even, cash flow, and where the initial money comes from.
The schedule — a dated plan with dependencies, and the review points built in.
Risks — what could go wrong, how likely, how serious, and what will be done about each.
Legal, safety and ethical requirements — food handling, health and safety, consents, insurance, permission to trade, and any cultural permissions needed.

Costing it properly

The economic outcome depends on getting this right at the planning stage:

Fixed costs — costs that do not change with how much you make: equipment, licences, stall fees, insurance.
Variable costs — costs per unit: ingredients, packaging, materials.
Unit cost = variable cost per unit + (fixed costs ÷ expected units).
Break-even units = fixed costs ÷ (price − variable cost per unit).

Knowing the break-even point before you start tells you whether the activity is viable at the scale you can actually operate at, and it is one of the strongest things a plan can contain.

The business pitch

The teaching guide requires you to thoroughly develop a business pitch that highlights the innovative aspects and presents the business case. It is a specific requirement of this standard.

A pitch is short, spoken, and aimed at someone deciding whether to back the activity — an advisor, a funder, a school, a partner.

What it must contain, in this order:

The problem or opportunity, in one sentence.
The activity — what you make or do.
The innovation — what is different, compared with what.
The market — who buys it, how many, at what price, and the evidence for that.
The four outcomes — what this delivers economically, socially, culturally and environmentally.
The numbers — unit cost, price, break-even, expected surplus.
The risks, and what you will do about the main one.
The ask — what you need from the person you are pitching to.

What separates a good pitch from a weak one:

It leads with the problem, not with the product.
It contains numbers, and they are consistent with the plan.
It names the main risk rather than hoping nobody asks. Naming your own weakness makes everything else you say more credible.
It is rehearsed, so it fits the time available.
It ends with a specific ask.

What thorough planning contains

Planning is one of the three things the grade is decided on, so the plan is a document, not a conversation.

A plan for this standard covers:

The activity — what good or service is produced, for whom, and why anyone wants it.
The innovation — what is original, invented, commercialised or improved, compared with what, and why it matters.
The four outcomes — what economic, social, cultural and environmental outcomes are intended, with measures, baselines and targets.
The market — who the customers are, how many there might be, what they will pay, and how you know.
Operations — how it is made or delivered, by whom, where, with what equipment and materials, and how long each batch or session takes.
Suppliers — who they are, what they charge, what the terms are, and what happens if one fails.
People — who does what. Modern practice, which the guide encourages, is rotating roles based on individual strengths and interests rather than fixed permanent positions.
Finance — start-up costs, unit cost, price, break-even, cash flow, and where the initial money comes from.
The schedule — a dated plan with dependencies, and the review points built in.
Risks — what could go wrong, how likely, how serious, and what will be done about each.
Legal, safety and ethical requirements — food handling, health and safety, consents, insurance, permission to trade, and any cultural permissions needed.

Costing it properly

The economic outcome depends on getting this right at the planning stage:

Fixed costs — costs that do not change with how much you make: equipment, licences, stall fees, insurance.
Variable costs — costs per unit: ingredients, packaging, materials.
Unit cost = variable cost per unit + (fixed costs ÷ expected units).
Break-even units = fixed costs ÷ (price − variable cost per unit).

Knowing the break-even point before you start tells you whether the activity is viable at the scale you can actually operate at, and it is one of the strongest things a plan can contain.

The business pitch

A pitch is short, spoken, and aimed at someone deciding whether to back the activity — an advisor, a funder, a school, a partner.

What it must contain, in this order:

The problem or opportunity, in one sentence.
The activity — what you make or do.
The innovation — what is different, compared with what.
The market — who buys it, how many, at what price, and the evidence for that.
The four outcomes — what this delivers economically, socially, culturally and environmentally.
The numbers — unit cost, price, break-even, expected surplus.
The risks, and what you will do about the main one.
The ask — what you need from the person you are pitching to.

What separates a good pitch from a weak one:

It leads with the problem, not with the product.
It contains numbers, and they are consistent with the plan.
It names the main risk rather than hoping nobody asks. Naming your own weakness makes everything else you say more credible.
It is rehearsed, so it fits the time available.
It ends with a specific ask.