How SMB levelles the arena

when Alex Schlesingerthe founder and CEO of the insurance company Active mutualFaced with the harsh reality that large companies train sales agents without a budget or trainer they can afford, he turned to something unexpected: AI chatbots.

“Our small businesses have struggled for a while to provide agents with in-depth training that large companies can afford,” Schlesinger told Pymnts. “But that changed this year when we started role-playing tough conversations with Gemini.”

Instead of hiring expensive coaches or taking part in long workshops with sales agents, Schlesinger said his company used Gemini to simulate conversations. So agent I did it Rehearse responses in realistic settings.

result? “It prepares my agent better and faster than any sales course,” Schlesinger said. “They are actually Make your practice sessions incredibly useful and build real skills. ”

Sales suddenly didn't increase by 50%, but Schlesinger realized something more valuable. “That new level of confidence and the resulting positive client interaction is a huge 'bonus' for the whole team. ”

For Schlesinger, Gemini became an in-house trainer that his team had none, leveling out the arena between his company and much larger competitors.

Schlesinger's story is not unique. Small and medium-sized enterprises (SMBs) across the country use artificial intelligence (AI) as a way to compete with large companies.

By automating processes, increasing talent and accelerating decision-making, AI now allows small businesses to bypass legacy systems and jump directly into AI-first business models – Comparable to what a large incumbent offers.

New data from the Verizon Business '2025 State of Small Business Survey showed that 38% of SMBs integrate AI into operations. A quarter (28%) deploy AI in marketing and social media, while 24% use it for written communications. Using almost a quarter, we will enhance your digital personal assistants that will help you with customer service. Other uses include cybersecurity and employment and retention of workers.

“Small business owners are taking part in a new chapter in digital business with the rise of AI,” said Aparna Khurjekar, Chief Revenue Officer of Verizon Business's Business Market and SaaS. statement.

Staying competitive is essential for small and medium-sized businesses. especially In an uncertain economic situation. According to May 2025 PYMNTS Intelligence Report,Half of SMBs should rely on the funds they get from daily sales. from bank just To survive.

“This highlights the volatile financial position of most of the SMB landscape, leaving it vulnerable to revenue fluctuations caused by changes in the business environment,” the report said. The hotels and restaurants are particularly dependent on and Entertainment business.

read more: How retail small businesses will lend in times of uncertainty

Compete with smart, not scale

The saying “wiser, less difficult” applies to SMB and AI.

“Small and medium-sized businesses cannot compete with large companies scale – So they need to compete smartly,” said Mary Kaybowman, executive vice president and general manager of payments and financial services at Software Provider Building.

“The smartest thing small businesses can do is use AI to unlock the top-tier financial expertise and tools that enterprise companies have ever used.”

Bowman told Pymnts that the best AI tools for SMBS are not flashy high-tech add-ons, but are built with the needs of small businesses in mind. “Silicon Valley needs to provide AI actually It provides the tangible results that small and medium-sized businesses need. Save time, improve accuracy, free up bandwidth and focus on growth. ”

Jackie Sinclair, a consultant working at SMBS, agreed. “Let's face it. Running a small business often means doing everything yourself. But AI is turning that script over,” she said. “Small business owners are empowering them to operate with the exception of their heads, as if they have a full team behind them.”

Hapax Chief Marketing Officer Kevin Green added that SMEs have the opportunity to “leaps” into large institutions by using customized, industry-specific solutions and focusing on operational and process improvements that are essential to success.

“There's so much innovation happening around AI as big technology releases new features every week,” Green told Pymnts. “We are impressive, but many examples of tactical use cases are presented that often do not elegantly integrate into the way we do our business.”

An example of customization is from LegalZoom. CEO Jeff Stibel told Pymnts that his company's partnership with Prplexity gives small businesses a direct access to legal tools within AI-powered search.

“This first-time collaboration reflects how SMEs are becoming increasingly sequentially in AI for both efficiency and confidence,” says Stibel. “AI cannot replace legal advice, but it could be the first step for us at Legalzoom to complete the process.”

Customer service is another area of confusion. Robin Westerling, CEO Long BadonSalesforce's AgentForce AI Agent says Let me They reduce and solve customer problems and is enabled To the company Shrink 3 to 1 Customer Support Staff While maintaining quality service.

Where to start for SMB leaders, Schlesinger advised, “We've explored ways that AI tools can help bridge the gaps in places where there are no large resources. …This helps provide a truly first-class service that makes customers feel understood and appreciated, as is the case with large players.”

What business uses

According to Sinclair, here are some of the tools SMB uses:

Marketing: Tools like ChatGpt, Jasper, and more and copy.ai helps SMBS to write captions, blogs and Email faster and smarter emails.
design: canvas Magic Studio, Runway and Lumen5 Let me Business owners create professional graphics and videos without a designer.
Accounting and Finance: QuickBooks AI, WaveApps, and Xero simplify bookkeeping and forecasting.
Management and Law: DonotPay and Spellbooks can help you create contracts and other legal documents and answer FAQs.
Operation: Concept AI, Gohighlevel, and Clickup Brain automate workflows to ensure that you don't lose track of your tracking when your business gets busy.