How SMBs Can Use Artificial Intelligence In 2024 and Beyond

In a world where the promise of artificial intelligence (AI) sparks both curiosity and confusion, recent findings from the Small Business and Entrepreneurship Council (SBEC) offer a refreshing glimpse into a growing trend: more small medium businesses (SMB’s) around the world are using AI tools to drive efficiency, productivity, and savings on a massive scale.

According to the report, nearly half of small businesses have adopted AI tools within the last year, with an additional chunk integrating them over the past one to two years. Karen Kerrigan, the CEO of SBEC, emphasizes the critical role AI plays for small business owners, "Small business owners have rapidly embraced AI, and the range of tools and applications are helping to boost profitability, productivity, and competitiveness at a time when they need such support. In fact, 93% of small business owners agree that AI tools offer cost-effective solutions that drive savings and improve profitability."

I couldn't agree more with this sentiment. The integration of AI tools into small businesses is not just a trend but, increasingly, a necessity. As AI continues to advance, it offers unprecedented opportunities for small businesses to streamline operations, improve customer experiences, and ultimately thrive in an increasingly competitive market.

Canadian businesses, in particular, stand to gain significantly from embracing AI and incorporating it into their business operations. Historically, Canadian businesses have lagged behind global counterparts in terms of efficiency, producing lower output per worker. Despite working longer hours and boasting a high percentage of college or university-educated individuals, Canadian workers remain less productive than their peers in other advanced economies, including the United States and France. Why is this? I can assure you it is not down to laziness or lack of intelligence, nor is it related to industrial composition either.

This productivity gap stems from a lack of investment in technology and inefficient business practices among Canadian firms. AI could be the ticket to closing that gap and positioning Canadian businesses at the forefront of innovation and competitiveness on the global stage.

Given the ever-growing number of AI tools available on the market, I recognize the challenge of choosing the right one for your needs, let alone how to implement it effectively. This challenge can be daunting for even the most tech-savvy of entrepreneurs.

We could not possibly talk about AI tools without giving a nod to ChatGPT, which was the first AI tool to gain significant traction on the market. It may be hard to believe, but ChatGPT only launched in November 2022. It feels like it's been around for much longer. The speed at which it's become a part of our daily lives is pretty remarkable, impacting everything from our decision-making and information-gathering to our communication styles and work routines. Like all AI tools, it digests vast amounts of data and can instantly draft a write-up on anything you ask. (But it is important to exercise caution as it is not always 100% correct - as two lawyers from New York found out the hard way).

But ChatGPT is just the tip of the iceberg. With hundreds, if not thousands, of AI tools entering the market daily, each with its own unique features and functions, businesses across different industries have a wealth of options to improve efficiency, speed, and data utilization.

Today's article will explore various AI applications for businesses, highlighting specific tools, explaining their functionalities, and outlining some potential benefits for Canadian businesses. So, without further ado, let's dive in.

Small Business Lending

Let's start by discussing how AI can assist Canadian businesses with small business loan origination and approval processes. These loans can often be a headache for small business owners—time-consuming and bewildering, especially when they're already juggling a multitude of other tasks. However, with platforms like Levr.Ai, SMBs can streamline their approach to securing financing. Using advanced AI algorithms, Levr.Ai streamlines the loan origination and approval process for SMEs.

Here's how it works: When an SME applies for a small business loan through Levr.Ai, their application undergoes a comprehensive analysis powered by AI. The system assesses the application against the criteria of numerous lenders within Levr.Ai's extensive network. This approach eliminates the need for SMEs to approach multiple lenders individually. Instead, they can submit a single application to Levr.Ai, accessing a diverse range of financing options to meet their specific needs. This streamlined process not only saves SMEs valuable time and effort but also increases their chances of securing suitable financing.

This is but one example of how artificial intelligence can simplify processes, offering small businesses more efficient ways to secure financing and ease the burdens associated with loan applications. But there are other examples.

Take Bankwell, for example, a Connecticut-based community bank which is currently piloting a Gen-AI tool for small business lending. Powered by Cascading AI's Casca software, this virtual assistant guides small business owners through the loan application process, handling tasks like data validation and approval usually done by loan officers. This levels the playing field, making the lending process more accessible and efficient for small business owners who might struggle with traditional channels.

Project Management

Anyone who has started a business will tell you of the difficulties of grappling with tight budgets and limited resources, posing significant challenges to project management. With so much on the plate—risk assessment and mitigation, resource allocation, budget planning, stakeholder meetings, and daily operations—keeping everything coordinated can feel overwhelming. Fortunately, the rapid advancements in artificial intelligence are transforming the landscape of project management, making it more manageable for small businesses.

One standout solution in this arena is ClickUp, a cloud-based project management tool renowned for its ability to streamline processes, improve collaboration, and boost overall productivity across businesses of all sizes. A key highlight of ClickUp is its AI-powered task management system, which leverages intelligent algorithms to analyze past project data, team performance, and task dependencies. This analysis enables ClickUp to predict potential bottlenecks and optimize task assignments, allowing teams to address issues and keep projects on track proactively.

Another valuable project management tool is Ayanza, designed to support project managers from implementation to completion. Ayanza improves workflow streamlining and team coordination through its collaborative platform, increasing productivity. By focusing on real-time communication and clearly establishing objectives, Ayanza improves project visibility and team health, contributing to project success.

Sales & Customer Relationship Management

In recent years, customer relationship management (CRM) software has become indispensable for businesses aiming to boost sales, foster growth, and deliver outstanding customer experiences. With so many CRM platforms available, each offering unique features and benefits, it's important to note that many of these platforms, unsurprisingly, have begun integrating AI technology to improve further their functionality and effectiveness for paying customers.

Among the leading innovators in this field is Zoho's Zia, an AI-powered platform that improves efficiency, effectiveness, and accuracy across various aspects of the sales process. At its core, Zia serves as a sales assistant, capable of handling tasks ranging from lead generation to sales copywriting, all to drive revenue growth and improve customer relationships.

One of the standout features of Zoho's Zia is its lead generation capabilities. Through advanced data analysis and machine learning algorithms, Zia scours through vast amounts of data to identify potential leads with the highest likelihood of conversion. By analyzing customer behaviour patterns, historical sales data, and other relevant parameters, Zia helps businesses prioritize and target the most promising leads, thereby maximizing sales opportunities and minimizing wasted resources.

HR & Recruitment

Small businesses often face unique challenges when it comes to human resources management. Whereas larger organizations may have dedicated HR departments, small business owners frequently find themselves wearing multiple hats, including that of the HR decision-maker. Juggling various responsibilities alongside managing hiring processes can be overwhelming, especially considering labour is typically the highest cost for these businesses.

Fortunately, AI-driven solutions like Manatal are available to alleviate the burden for small business owners. Manatal serves as a critical tool for HR recruitment, utilizing AI to streamline and optimize the hiring process across businesses of all sizes. With its user-friendly interface and advanced functionalities, Manatal empowers HR professionals to efficiently source, screen, and onboard top talent, ultimately improving recruitment outcomes and supporting organizational success.

By automating repetitive tasks and offering intelligent insights throughout the hiring journey, Manatal simplifies the recruitment workflow. Its AI-powered candidate sourcing capability enables small business owners to identify and attract qualified candidates from diverse talent pools. Through the analysis of candidate profiles, skill sets, and career trajectories, Manatal aids owners in pinpointing the best-fit candidates for their open positions. This not only accelerates the hiring process but also reduces time-to-fill metrics so that small businesses can quickly secure the talent necessary to propel their growth and success.

Final thoughts

These examples merely scratch the surface of how AI can assist small businesses across various crucial functions, including securing funding, project management, sales, customer relations, and recruitment. Yet, the potential of AI extends far beyond these areas, with countless other innovative applications continually emerging and evolving.

By embracing this transformative technology, Canadian businesses can catch up with their global counterparts and position themselves at the vanguard of innovation and competitiveness on the world stage. As AI continues to expand and advance, the opportunities it presents for small businesses are boundless, offering the potential to revolutionize operations, increase productivity, and drive sustainable growth.

Cheers, and thank you for reading.

Trevor Palmquist

Founder & Managing Director