How Small Businesses Are Using AI: From Legal "Sherlock Holmes" to Everyday Operations

How Small Businesses Are Using AI: From Legal "Sherlock Holmes" to Everyday Operations

Most small businesses are still sitting on the sidelines when it comes to artificial intelligence, but the ones diving in are finding creative ways to compete with larger firms.

A new survey from the National Federation of Independent Business reveals that only 24% of small business owners are currently using AI tools like ChatGPT, Canva, or Copilot. However, those who have adopted the technology are seeing remarkable results without cutting jobs.

Creative AI Implementation in Action

Chris Schwegmann at Dallas law firm Lynn Pinker Hurst & Schwegmann demonstrates how small businesses can think outside the box. He uses the legal AI platform Harvey to channel famous legal minds like Supreme Court Chief Justice John Roberts or even fictional detective Sherlock Holmes when analyzing opposing counsel's briefs.

"Once we as lawyers get outside those lanes, when we are thinking more creatively involving other branches of science, literature, history, mythology, that sometimes generates some of the most interesting ideas," Schwegmann explained.

Key Findings from the Survey

• 98% of AI-adopting small businesses report no impact on employee numbers
• AI adoption increases with company size: 21% for single-digit employee firms vs. nearly 50% for companies with 50+ workers
• Work completion time dramatically reduced: Tasks that took weeks now finish in days
• Common AI uses: Communications, marketing, predictive analysis, and customer service

The Future Outlook

Looking ahead, 63% of small business owners believe AI will be important in their industry over the next five years, with 12% calling it "extremely important."

The survey data aligns with findings from Reimagine Main Street, a Public Private Strategies Institute project partnering with PayPal, which found similar adoption rates among nearly 1,000 small businesses.

For Schwegmann's firm, AI levels the playing field: "No longer does a party have an advantage because they can paper you to death." The technology frees up associates from grunt work while giving senior partners more time to mentor younger attorneys.

🔗 Read the full article on CNBC