Many small businesses are already using and finding value in artificial intelligence. But the new year will be a “defining era” for their use of the technology, according to a new LinkedIn report.
“AI has moved from a tool to a strategic asset for small businesses aiming to stay resilient and grow in 2026,” said Sharat Raghavan, an Economist and Director of Research at LinkedIn. “By adopting AI, businesses can streamline operations, reduce costs, and accelerate decision-making, creating space for innovation and relationship-building.”
Skills are a “key differentiator” for small and medium-sized businesses, or SMBs. Raghavan said, “The new competitive edge is upskilling on AI literacy, which is emerging as a driving force for small businesses.”
The report, which draws on insights from 160 million professionals across more than 18 million small businesses on the platform, reveals the “growth engines” for small businesses in the coming year. Here’s an overview:
‘AI is lowering the barriers to entrepreneurship’
Half of U.S. small businesses said that the rise of AI inspired them to consider career paths, such as entrepreneurship, that they hadn’t previously thought of, according to the report.
AI can automate repetitive tasks and improve efficiency, freeing up time and resources for professionals to focus on creative work, Raghavan said. “This shift makes starting a business more achievable and allows founders to operate leaner and smarter.”
The report also found a 69% increase in people adding “founder” to their LinkedIn profiles.
AI is an ‘equalizer’ for small businesses
Most U.S. small businesses already use AI in some way, such as for everyday tasks like writing emails and summarizing notes, and for advanced tasks like data analysis and developing strategies. They say AI tools help them save time, reduce costs, and find new opportunities.
The report found that 57% of small businesses believe AI will improve their daily work lives and that moving from AI “experimentation to adoption” is the next step. AI offers opportunities to automate tasks related to customer service, content creation, hiring, and decision-making.
“This matters because SMBs make up over 90% of all businesses and employ half the global workforce, so scaling AI adoption could have a massive economic impact,” Raghavan said.
Small business leaders believe AI will help them compete and “punch above their weight,” the report noted. More small businesses are investing in AI tools and skills and seeking upskilling opportunities for themselves and their teams.
AI has moved from a tool to a strategic asset for small businesses aiming to stay resilient and grow in 2026.Sharat Raghavan, Economist and Director of Research at LinkedIn
Authenticity matters in the AI era
While many small business owners use AI to help them create content, they also believe “real human voices” remain important—and putting human voices and perspectives at the forefront builds trust.
Many small businesses plan to invest in community-driven content that’s created by their employees, customers, or third-party industry leaders and experts. Nearly 75% agree that “audiences today don’t just take information at face value—they gut-check it with people they trust,” the report said.
Embracing authentic voices can enhance a company’s credibility and build lasting relationships with communities and customers.
‘Networking is key to growth’
Small business owners recognize that human relationships matter more than ever in the AI age. They continue seeking advice from family, friends, and their professional networks. Small business owners say their networks help them find new customers, make hiring decisions, and offer trusted guidance, and they plan to grow them in the new year.
“To win in 2026, SMBs should upskill teams and leverage AI to make technology work for them, while they focus on earning trust and strengthening relationships,” Raghavan said.
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