Throughout the last few years, the media has witnessed and reported an incredible, unprecedented growth of AI technology, not only in its usage throughout society, but also in its rapid technological development. AI can now create high-quality videos, full-mark essays, and organise all your endeavours in the blink of an eye. But this begs the question: Could AI replace human jobs, particularly running small, local, family businesses? AI, like anything, has applications for good… as well as not so good impacts on us, so how will it affect these vulnerable businesses in the future?
AI in the 21st century
The 21st century has brought with it an accelerated development of artificial intelligence, for both commercial, and common public use. The release of Siri for iPhone was a major stepping point, however the software was still at a basic level. The company OpenAI revolutionised the public use of AI by introducing General Pre-trained Transformers (GPTs), which was launched for public use in 2022 as ChatGPT.
We have also seen massive development in AI art, images and even videos, which can now easily be mistaken for real works. AI can also be used to create essays, reports, graphs, letters, articles or short stories in seconds.
It is safe to say AI’s swift development has led to huge impacts throughout businesses. So, what are the benefits for small or local enterprises?
Speeding up the process
AI was created to make life easier, and to an extent, we can see this happening. Need to organise files into a concise report? Ask AI. Need some ideas for a brand logo, name and colour scheme? Ask AI. Stressed and just need someone to write a summary of your expenses? Ask AI! It’s easy to see the appeal of an automated system that will almost instantly take your wish as a command.
However, AI’s practical applications extend further than personal convenience. A growing number of businesses, especially smaller businesses, have started using AI in their day-to-day work. As the use of AI gets cheaper, we can expect many smaller businesses to adopt AI. So, what are the benefits of using AI in your budding business?
AI can organise and complete mundane, boring, or repetitive tasks, leading to employees having more time for other tasks - important if you have limited employees and limited time. AI has the technology to scan and interpret large amounts of data, which could not only help evaluate the inner workings of a business, but also help the owners make informed decisions about next steps for growth. Say goodbye to messy spreadsheets or roughly drawn graphs.
Keeping down the costs
However, by far the most common application of AI, (and arguably the most useful), is AI’s helpfulness in finances and costs. Not everyone has an accountant to hand, nor a degree in economics, so finances and tax can often be the most stressful and complex part of running a small business. AI represents to a lot of people an easier solution. AI can be used to keep costs stable, especially in an inflating economy which, for small or vulnerable businesses, is especially important when sticking to a budget. AI can also be used to organise cost savings for small businesses, helpful if on a tight budget.
AI can make life easier, clearer, and means you spend less time writing tables of numbers, and more time helping customers. But a lot of people are worried about the threat AI poses to their livelihoods.
What does this mean for future jobs?
According to BBC News, AI has the potential to take 300 million jobs away from people across Europe and North America, which if true, would clearly lead to some large issues, extending past 300 million unemployed people looking for a job. This would not only seriously increase the unemployment rate but could also lead to other issues.
It remains a concern that as more companies lean on AI for support, there is a chance more jobs become obsolete. The most likely to lose jobs are those that work in repetitive jobs, as AI could easily take control. Also, data analysis and sales interpretation are quickly being completed by AI, as is some financial areas.
What does it mean for your business?
But could AI lead to your whole business closing down? Could entire businesses be run with AI, or new businesses made by AI compete with yours? The answer is... probably not, or at least not for a while. While AI does pose a potential risk to some areas of employment, it’s unlikely businesses would face competition from AI counterparts.
What is more likely is that AI will continue to grow inside businesses, as owners use AI as a tool alongside human thinking and insight for repetitive and simple tasks. It is possible businesses may even grow or make more money, as costs of employment would fall as efficiency rises.
Summary
With AI, as with anything, there is light and dark. AI has the potential to increase efficiency and make running a business much simpler. But AI also poses a real risk to people’s jobs and has the potential to negatively impact small businesses. We simply don’t know what the future holds. Twenty years ago, AI was practically just a dream, a talisman of a faraway future. But look at it now. Many small businesses may feel the need to adapt to the onrush of AI to avoid being left behind.
A big thank you to our work experience student Chris Bramhill, who has kindly written this insightful piece for our blog. Chris joined us in the Summer of 2025 from Year 10 at The Ashcombe School, Dorking.