Latest news with #businessplanning
Entrepreneur
4 days ago
- Business
- Entrepreneur
Why Your New Company Needs a Mission Statement Before Its First Transaction
A mission statement is the foundation of a company and should be developed before a business ever accepts a transaction. Opinions expressed by Entrepreneur contributors are their own. A lot goes into building a company before it ever makes a sale — from brainstorming the idea to developing a business plan and crafting a go-to-market strategy. Whether you're launching a physical storefront or an online business, early-stage planning involves countless moving parts. But there's one critical step that often gets overlooked: writing a mission statement. A mission statement defines the purpose of your business in one or two clear, compelling sentences. It acts as a north star for your team, your customers and your stakeholders — guiding decisions, shaping culture and communicating what your company stands for. It should be completed before launch, because it lays the foundation for everything that follows. In my experience managing 22 companies across 89 countries, I've learned this firsthand: the businesses with the clearest missions move faster, scale smarter and stay grounded in their values. Related: 11 Effective Marketing Strategies to Help Streamline Your Startup Why a mission statement matters At its core, a mission statement explains why your company exists. It clarifies your purpose, expresses your values and points to your goals. It's not just a description — it's a declaration. A good mission statement is: Clear and concise Actionable and achievable Aligned with your company's five-year plan It doesn't just inspire; it directs. When my team faces a major decision, I often ask: What does our mission statement say? That one lens can resolve uncertainty, align priorities and keep us on course. For example, one of my companies has a simple mission: To empower individuals by providing clean, effective and science-backed wellness solutions. That clarity filters everything — from product development to marketing to customer service. And it keeps us focused on our longterm goals, not just short-term wins. How to write a mission statement Writing a mission statement isn't about sounding impressive. It's about being intentional. Here's a simple formula that works: "Our mission is to [main goal for the next five years], in order to [the impact you want to make]." This structure keeps your mission grounded and forward-looking. Save the big, audacious future goals for your vision statement — that's where longterm aspiration lives. Here are some great examples of clear, focused mission statements: Nike: To bring inspiration and innovation to every athlete in the world. To bring inspiration and innovation to every athlete in the world. JPMorgan Chase: To be the most respected financial services firm in the world. To be the most respected financial services firm in the world. Ford: To help build a better world where every person is free to move and pursue their dreams. Now compare that to their vision statements, which take a broader, longterm view: Nike: To do everything possible to expand human potential. To do everything possible to expand human potential. Ford: To shorten the distance between where you are and where you want to go. Mission statements should be memorable. If you can't say it in a single sentence, it's not a mission — it's messaging. Why it should come before launch Think of your mission as the blueprint for your business. Just like an architect wouldn't start building without a plan, you shouldn't start accepting orders without clarity on why your company exists. Your mission should guide key decisions before you ever go to market: Product development: Does this align with our purpose? Does this align with our purpose? Hiring: Do these candidates reflect our values? Do these candidates reflect our values? Branding and marketing: Are we communicating what we truly stand for? After launch, your mission continues to guide you, ensuring that growth doesn't come at the expense of your core purpose. It also helps your business adapt while staying anchored to its identity. A tool for attracting the right investors and talent Investors today want more than financial returns. They want to believe in your why. A strong mission statement tells them you're building something that lasts — not just chasing short-term profit. The same is true for your team. A well-defined mission increases engagement, attracts values-aligned talent and builds a strong internal culture. People want to do meaningful work — and your mission tells them what that meaning is. Related: How to Write An Unforgettable Company Mission Statement Set your direction before you hit "go" A mission statement does more than clarify your purpose — it drives focus, builds culture, and attracts support. It helps every stakeholder — from employees to investors to customers — understand your business on a deeper level. By crafting your mission before your company makes its first sale, you create alignment from day one. You establish a guiding principle that shapes every action and decision — now and into the future. Before you launch, take the time to ask: What's the purpose behind this business? Your answer might just be the most valuable asset you create.
Forbes
5 days ago
- Business
- Forbes
5 ChatGPT Prompts That Can Help Teens Launch A Startup
teen entrepreneur using ChatGPT to help with her business Teen entrepreneurship continues to be on the rise. According to Junior Achievement research, 66% of U.S. teens aged 13-17 say they're likely to consider starting a business as adults, with the 2023-2024 Global Entrepreneurship Monitor finding that 24% of 18- to 24-year-olds are currently entrepreneurs. These young founders aren't just dreaming—they're building real ventures that generate revenue and create social impact, and they are using ChatGPT prompts to help them. At WIT (Whatever It Takes), the organization I founded in 2009, we have worked with over 10,000 young entrepreneurs. Over the past year, I've observed a shift in how teens approach business planning. With our guidance, they are using AI tools like ChatGPT not as shortcuts but as strategic thinking partners to clarify ideas, test concepts, and accelerate execution. The most successful teen entrepreneurs have discovered specific prompts that help them move from idea to action. These aren't generic brainstorming sessions—they're using targeted questions that address the unique challenges young founders face: limited resources, school commitments, and the need to prove their concepts quickly. Here are five ChatGPT prompts that consistently help teen entrepreneurs build businesses that matter. "I notice that [specific group of people] A teen might use this prompt after noticing students at school struggling to afford lunch. Instead of assuming they understand the full scope, they could ask ChatGPT to research school lunch debt as a systemic issue. This research may lead them to create a product-based business where the proceeds help pay off lunch debt—combining profit with purpose. Teens notice problems differently than adults because they experience unique frustrations—from school organization challenges to social media overwhelm to environmental concerns. According to Square's research on Gen Z entrepreneurs, 84% plan to still be business owners five years from now, making them ideal candidates for problem-solving businesses. "I'm [age] years old with approximately [dollar amount] to invest and [number] hours per week available between school and other commitments. Based on these constraints, what are three business models I could realistically launch this summer? For each option, include startup costs, time requirements, and the first three steps to get started." This prompt addresses the elephant in the room: most teen entrepreneurs have limited money and time. When a 16-year-old entrepreneur employs this approach to evaluate a greeting card business concept, they may discover that they can start with $200 and scale gradually. By being realistic about constraints upfront, they avoid overcommitting and can build toward sustainable revenue goals. According to Square's Gen Z report, 45% of young entrepreneurs use their savings to start businesses, with 80% launching online or with a mobile component. This data supports the effectiveness of constraint-based planning—when teens work within realistic limitations, they create more sustainable business models. "Act like a [specific demographic] and give me honest feedback on this business idea: [describe your concept]. What would excite you about this? What concerns would you have? How much would you realistically pay? What would need to change for you to become a customer?" Teen entrepreneurs often struggle with customer research because they can't easily survey large groups or hire market research firms. This prompt helps simulate customer feedback by having ChatGPT adopt specific personas. A teen developing a podcast for teenage female athletes could use this approach by asking ChatGPT to respond to different types of teen athletes. This helps identify content themes that resonate and messaging that feels authentic to the target audience. The prompt works best when you get specific about demographics, pain points, and contexts. "Act like a stressed high school senior applying to college" produces better insights than "Act like a teenager." "I want to test this business idea: [describe concept] without spending more than [budget amount] or more than [time commitment]. Design three simple experiments I could run this week to validate customer demand. For each test, explain what I'd learn, how to measure success, and what results would indicate I should move forward." This prompt helps teens embrace the lean startup methodology without getting lost in business jargon. The focus on "this week" creates urgency and prevents endless planning without action. A teenager wanting to test a clothing line concept could use this prompt to design simple validation experiments, such as posting design mockups on social media to gauge interest, creating a Google Form to collect pre-orders, and asking friends to share the concept with their networks. These tests cost nothing but provide crucial data about demand and pricing. "Turn this business idea into a clear 60-second explanation: [describe your business]. The explanation should include: the problem you solve, your solution, who it helps, why they'd choose you over alternatives, and what success looks like. Write it in conversational language a teenager would actually use." Clear communication separates successful entrepreneurs from those with good ideas but poor execution. This prompt helps teens distill complex concepts into compelling explanations they can use everywhere—from social media posts to conversations with potential mentors. The emphasis on "conversational language a teenager would actually use" is important. Many business pitch templates sound artificial when delivered by young founders. Authenticity matters more than corporate jargon. The difference between teens who use these prompts effectively and those who don't comes down to follow-through. ChatGPT provides direction, but action creates results. The most successful young entrepreneurs I work with use these prompts as starting points, not endpoints. They take the AI-generated suggestions and immediately test them in the real world. They call potential customers, create simple prototypes, and iterate based on actual feedback. Recent research from Junior Achievement shows that 69% of teens have business ideas but feel uncertain about the starting process, with fear of failure being the top concern for 67% of potential teen entrepreneurs. These prompts address that uncertainty by breaking down abstract concepts into concrete next steps. Teen entrepreneurs using AI tools like ChatGPT represent a shift in how business education is happening. According to Global Entrepreneurship Monitor research, young entrepreneurs are 1.6 times more likely than adults to want to start a business, and they're particularly active in technology, food and beverage, fashion, and entertainment sectors. Instead of waiting for formal entrepreneurship classes or MBA programs, these young founders are accessing strategic thinking tools immediately. This trend aligns with broader shifts in education and the workforce. The World Economic Forum identifies creativity, critical thinking, and resilience as top skills for 2025—capabilities that entrepreneurship naturally develops. Programs like WIT provide structured support for this journey, but the tools themselves are becoming increasingly accessible. A teenager with internet access can now access business planning resources that were previously available only to established entrepreneurs with significant budgets. The key is using these tools thoughtfully. ChatGPT can accelerate thinking and provide frameworks, but it can't replace the hard work of building relationships, creating products, and serving customers. The best business idea isn't the most original—it's the one that solves a real problem for real people. AI tools can help identify those opportunities, but only action can turn them into businesses that matter.
Entrepreneur
08-05-2025
- Business
- Entrepreneur
5 Costly Planning Errors That Could Cripple Your Company
Opinions expressed by Entrepreneur contributors are their own. Business planning is often treated like a New Year's resolution — rushed, reactive and optimistic. But for high-performing entrepreneurs, planning is not a once-a-year event. It's a year-long, strategic discipline that defines everything from daily decisions to long-term growth. As the landscape continues to shift — thanks to evolving technologies, unpredictable markets and new consumer expectations — many entrepreneurs unknowingly set themselves up for failure before Q1 even begins. The real danger? It's not a lack of effort but rather strategic missteps in how you approach planning. Here are the five planning mistakes that could quietly sabotage your success this year—and how to avoid them. 1. Waiting until the year begins to start planning One of the biggest mistakes entrepreneurs make is waiting for the calendar to flip before thinking about goals. By the time January hits, your competitors who started planning in Q3 are already executing. Great planning requires foresight, not reaction. You should begin laying the foundation for the next year at least six to twelve months in advance. This gives you the time to evaluate what's working, test new initiatives, allocate resources and refine your team structure — before the pressure of a ticking clock sets in. Planning is not about setting New Year's goals. It's about ensuring you're already in motion when the year starts. It's the difference between launching on the starting line and scrambling to catch up halfway through the race. Related: How to Create a Winning Strategic Plan for 2025 2. Ignoring market trends Many businesses plan in a vacuum, focusing on internal goals and legacy practices without accounting for the world around them. That's a fatal mistake. Today, successful companies don't just respond to trends — they ride them. Whether it's the rise of AI, the shift toward remote work, generational behavior changes or sustainability movements, macro-level trends shape micro-level performance. Before crafting your business strategy, deeply dive into global, technological and social shifts that affect your industry. Tools like my One-Page Strategic Plan can help distill these insights and translate them into clear opportunities. Ask: What trends are shaping customer expectations? Which ones can we leverage instead of fighting? Don't swim against the current. Learn to surf the wave. 3. Building a strategy without purpose In the rush to hit revenue goals, many entrepreneurs fall into the trap of planning with a singular focus: making more money. While profitability is essential, planning based solely on financial targets can lead to short-term thinking and long-term instability. Your strategy should be anchored in purpose — a clear understanding of the value you provide to the market and the impact you want to create. Purpose inspires your team and aligns your offers, messaging and customer experience in a way that resonates and converts. Remember: people don't buy what you do; they buy the value you create. Ask yourself: How does our work make the world better? What real problems are we solving? The money will follow when the value is clear and compelling. 4. Skipping a deep analysis of what has (and hasn't) worked Too many businesses jump into the future without first learning from the past. Before setting new goals or launching fresh initiatives, take a hard look at what's worked — and what hasn't. Use a Start–Stop–Keep framework: What should we start doing to innovate or improve? to innovate or improve? What should we stop doing because it's underperforming or misaligned? because it's underperforming or misaligned? What should we keep doing because it delivers consistent value? This isn't just about metrics. It's about identifying behaviors, strategies and structures that either fuel or hinder growth. Be brutally honest. The best strategy is often found in the patterns of your previous wins and the lessons of your failures. Your past performance is your greatest planning tool — if you're willing to listen to it. Related: 5. Failing to communicate the plan clearly to the team A brilliant plan is useless if your team can't understand it — or worse, doesn't even know it exists. Clarity is your greatest asset when it comes to execution. Once your strategic plan is complete, simplify it. Create a visual roadmap. Break it into clear objectives and key results (KPIs). Assign ownership and timelines. Most importantly, communicate it in a way that everyone, from leadership to frontline staff, can act on. A practical, well-communicated plan keeps everyone rowing in the same direction. It boosts accountability, fosters collaboration and creates a culture where strategy is a daily commitment. Related: You Might Be Sabotaging Your Sleep (And Your Work) Without Realizing It These mistakes can be foreseen and fixed with the Scaling Up method, the quickest way to plan and scale your business. Avoiding these five planning pitfalls dramatically increases your odds of success. More importantly, it positions your business not just to survive the next year but to lead it. So don't wait until January. Don't chase revenue without purpose. Don't assume the world will stay the same. Don't forget the past. And never keep the plan locked in your head. Instead, lead with vision, plan with strategy and execute with clarity.
