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The ultimate guide to writing a business plan with AI

SkillsCategory
11 min read
Amy K

Writing a business plan can be daunting, but with Artificial Intelligence (AI), entrepreneurs can save time in drafting this critical document. This guide helps you employ AI prompts to draft a comprehensive business plan using ChatGPT or another AI chatbot of your choice. 

Imagine AI as your assistant, expediting the initial drafting phase and leaving you more time for refining your plan. After AI aids you, it is ultimately your unique insight and understanding of your business that adds the finishing touch.

Embrace the power of AI and get ready to revolutionize your business planning process!

Disclaimer: When using AI tools, avoid entering sensitive information and always review output for accuracy. Additionally, this content is for demonstration purposes only; it does not represent any affiliation, endorsement or sponsorship with the companies mentioned. All trademark rights belong to their respective owners. Third-party trademarks are used here for demonstrative and educational purposes only, use does not represent affiliation.

Understand business plans and prepare your info

Before embarking on your plan, you’ll need to first be familiar with the components of a business plan: 

  • Your executive summary
  • Company description
  • Market analysis
  • Competitive analysis
  • Sales and marketing plan
  • Ownership and management plan
  • Operating plan
  • Financial plan

Compiling detailed information about these areas of your business beforehand will make it easier to for AI to draft your information into a business plan.

Need some examples of business plans? Check out these business plan resources:

For this business plan guide, I broke the plan down into 10 sections. Once I had all the information compiled on the company that I was writing a business plan for, it took about 90 minutes to input the information and use the prompts to create a solid draft. I utilized GoDaddy's free template and pasted the output into the relevant sections, revising it into a final version.

Choose your AI assistant

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For testing this article, I used ChatGPT as my AI assistant. You can use any AI chatbot that you find suitable for your needs. For more on how to get started check out:

Feeding information to AI

Start with a general overview of your business name, target market, product/service, and financial projections. Share this information with your chatbot:

I'm developing a business plan for my company, <company name>, a <industry> startup offering <product/service>. Please accept the below information about my company, I will ask you about it during this chat where you will help me build out a strong business plan. Here is the information on my business to draw from, I will ask you about it next when we write a business plan together: <copy and paste information on your business here>

Break down different sections

Breaking down the business plan into different sections and using prompts for each is an effective strategy. Your AI assistant can then generate drafts for each section, which can be reviewed and edited by you. The goal is to make draft writing faster with high quality, so you can focus on providing a stellar final product.

  • Cut and paste these below prompts and fill in your information. 
  • Chat back and forth and refine prompts until you get the results you’re looking for. 
  • For each section, if you have more information, you may add more information to the bottom of your prompt by adding: … here is more information to draw from: <cut-n-paste information>

Looking for more prompt recommendations? Find more AI prompts in the GoDaddy AI prompt library.

Section 1: Executive summary and company description prompt

Embody the mindset of a successful entrepreneur and a seasoned business strategist to help guide my business planning process and write a compelling business plan. Given that my company, <company name>, operates in the <industry> sector and is targeting <specific market segment>, please write an enticing and concise executive summary. From the information you have, also create a company description including the problems your business solves, who it serves, competitive advantage, and strengths.

Note: Even though this opens the business plan, you may choose to do this as a step last, or again at the end again once you’ve expanded on the information in the other sections of the business plan.

Section 2: Products and/or services prompt

Channel the innovative mindset of a product or service developer and a successful entrepreneur to provide a comprehensive description of <product/service> offered by my company. Elucidate the unique benefits these offerings provide to our customers and illuminate the unique selling propositions that distinguish us from our competitors in the <industry>.

Section 3: Market analysis prompt

Assume the role of a market analyst and help me outline a comprehensive market analysis for my company, <company name>. Please include data on our target market, demographics, consumer behavior, growth prospects, and our position in the <industry>.

Section 4: Competitive analysis prompt

As a seasoned business strategist and successful entrepreneur, compile a concise competitive analysis for my venture, <insert company>, in the <industry>. Pinpoint our main competitors, evaluate their strengths and weaknesses relative to ours, and detail the advantage of three competitors in our sector, <insert business type>. Draft a compelling unique selling proposition for our <product or service> that accentuates our unique value.

Alternative prompt: SWOT analysis

Embodying the strategic insight of a seasoned business strategist, marketer, and entrepreneur, conduct a succinct but thorough SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis for my venture, <your company>, in the <industry>. This analysis should offer a well-rounded view of our strategic position, and guide us in leveraging strengths, addressing weaknesses, capitalizing on opportunities, and mitigating threats for enduring success in the <industry>.

Section 5: Marketing and sales plan prompt 

Channel the strategic insight a seasoned marketing and sales strategist and expert business strategist to create a thorough sales and marketing plan for my venture, <insert business type>, which offers <insert products and/or services>. Additionally, provide a detailed growth strategy to accelerate our progression in the market. Write this in the appropriate professional style to be included in my business plan.

Section 6: Value proposition prompt 

Assume the perspective of <company name’s> potential customer in the <target market>. Based on the offerings and strengths of my company, <company name>, what would you consider to be our unique selling proposition? Please write this in the appropriate professional style to be included in my business plan.

Section 7: Ownership and management plan prompt

As a business strategist, help me delineate the optimal structure, ownership, and management roles for my company, <company name>, a <business type> operating in <location or online>. Outline the specific responsibilities tied to each role, creating a well-defined, profitable ownership and management plan, written in a professional business plan style. <copy and paste roles, names, titles, bios, etc if you have them>

Section 8: Operating plan prompt

Embodying the insight of a seasoned entrepreneur, help craft an efficient operating plan for my venture, <insert business type>, based in <location or online>. Assist in outlining our physical or digital infrastructure, equipment, and supply chain. Also, guide in devising a risk management plan to buffer uncertainties in the <industry>, ensuring our <product/service> delivery is well-articulated in a business plan style.

Section 9: Financial projections and funding request prompt*

In the mindset of a seasoned financial analyst, help me craft a comprehensive financial overview and funding request for <company name>. Create detailed income statements, balance sheets, cash flow statements, and a <how many years> year sales forecast assuming an average growth rate and an average order value of $<amount>. Incorporate a break-even analysis for my <insert business type> factoring in a total cost per unit/job of $<amount> and combined annual fixed and variable costs of $<amount>. Describe any assumptions. Simultaneously, articulate our present and future funding requirements of $<amount>, how we plan to utilize these funds, and the type of funding we're seeking. Ensure a persuasive pitch to potential financiers to be included in our business plan.

*A detailed financial projection cannot be appropriately done within this medium however it can provide a general approach and outline. Do not input confidential nor highly sensitive information. Please consult with a financial advisor or business strategist to develop an accurate and robust financial model for your business.

Section 10: Appendix 

An optional section to provide additional supporting information such as patents, licenses, detailed market research data, or product pictures. You should compile this yourself to ensure all supporting documents relevant to your company are accurate.

Pulling it all together

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Once you have detailed drafts for each section, it's time to perfect it. The goal of a business plan is to demonstrate a thorough understanding of your business, its market, and its path to success. As you compile this document, ensure that your passion and commitment to your business idea shines through!

Request recommendations

Once you have refined the draft, feed it all back into the AI like in the first section to give you an overview of your business plan and help you identify any inconsistencies or gaps, and create a mission, vision, and values statement. 

Please accept my revised business plan. Based on all the information provided, please embody a seasoned business strategist, and review my business plan. What did I miss and what other opportunities can you identify for my business to be highly successful and profitable? What additional suggestions or ideas do you have? <insert business plan, may have to be separated into a few chats>

Please accept my revised business plan. Based on all the information provided, please embody a seasoned business strategist and expert marketing copywriter, and write a comprehensive summary, mission statement, vision, values, and value proposition for my company, <company name>. <insert business plan, may have to be separated into a few chats>

Condense your business plan to one page

Act as a team of extremely successful businesspersons in <industry> who have achieved repeated, great success. Using all the information that we discussed, write a 1-page comprehensive, concise detailed business plan for my business, <company name> in <city/state/country and/or online>. This plan should cover all essential elements such as executive summary, company description, market analysis, organization and management, service or product line, marketing and sales, funding request, financial projections, and all the topics that should be included in a business plan to ensure success. Thank you!

Using AI image generators to liven up your business plan 

From concept to content generation, AI image generators can deliver high-quality, unique images that can enhance your business. From visual ideation, product design, iteration, logo creation, graphic design, and stock-style images, these tools can save time, reduce costs, and infuse creativity into your business planning process. 

Related: How to effectively prompt for AI art and generative AI image creation

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In the rapidly evolving business landscape, AI stands as an indispensable ally. It can help you generate a business plan that is comprehensive, accurate, and tailored to your business, saving you valuable time and effort. 

It is important to remember that it is a tool, not a substitute for human ingenuity and careful oversight. Writing a business plan with AI becomes faster and easier, leaving you with more time to focus on turning your business dreams into reality. Best wishes for much success! 

Editor’s Note: GoDaddy Airo, our AI-powered website solution, is another way that AI is helping people by taking you from idea to online in just a few minutes. Check it out yourself!