Myth Busting on AI for Small and Medium Business
by Jared, Co-founder
Contrary to many of the misperceptions about AI, the data is clear: small businesses are increasingly using AI and 96% of small business owners plan to adopt such emerging technologies to help their businesses grow. This includes hiring AI agents to overcome the chronic challenge of missed calls and lost business opportunities.
U.S. Chamber of Commerce’s recent report Empowering Small Business: The Impact of Technology on U.S. Small Business focuses on the role that technology can play in helping small businesses. Published in August 2025 with a focus on artificial intelligence (AI), the Chamber’s analysis includes enlightening data on national trends on AI usage. Bottom line: more and more small businesses are embracing AI and reaping its benefits.
Nevertheless, there have been mixed reactions to AI, so let’s bust some of the most common myths about the use of AI by small businesses specifically.
Common Myths
Myth: "Customers hate talking to AI."
Truth: What customers hate most is not having their calls answered. AI always picks up and answers customer queries. The result is an increase in customer satisfaction.
Myth: “AI may be efficient, but it interferes with building strong customer relationships.”
Truth: Small businesses reported that their use of technology resulted in better relationships with customers. According to the Chamber’s survey, “Eighty-seven percent (87%) of small businesses agree that AI has increased efficiency, will provide economic growth, help them enjoy running their business, and help them communicate better with customers.”
Myth: “AI is expensive, and a luxury that SMBs can’t afford.”
Truth: Costs are always a consideration, but entry tiers for AI agents are comparable to a phone line and the ROI comes from captured calls and booked jobs. The news headlines have highlighted the enormous investments companies are making in building data centers and AI models, which are part of the essential infrastructure for all AI applications. And the Chamber’s data indicates that 30% of small businesses who are not using AI yet said cost was a factor. However, AI functions, such as call management and scheduling, are increasingly a technology they cannot afford to avoid.
Myth: “AI is only for big companies, not SMBs.”
Truth: AI adoption is actually trending the other direction. According to Chamber’s survey, “More than 9 in 10 (90%) small businesses plan to grow their tech adoption in the coming years, with two-thirds indicating they will be using AI.” In other words, small businesses that are not adopting new technologies such as AI are the exception. And they are the ones that risk losing market share to businesses that are using AI effectively to capture more business.
Myth: “AI means firing staff.”
Truth: AI is intended to compliment and not replace staff. AI can extend coverage for calls, such as after-hours and peak times. Properly configured, AI agents reduce back-and-forth, capture structured intake, transcribe calls, and log information directly in your CRM. This frees staff for higher-value work, such as preparing estimates and being fully attentive to customers while on-site for jobs. AI in the role of first-ring triage and booking is likely to result in more work, not less staff.
Myth: “We don’t have the expertise to run AI.”
Truth: Modern AI tools are designed for all users and expertise is not a barrier to its benefits. The programming behind the curtain for AI is indeed enormously complex and requires deep expertise in computer programming and machine learning. However, AI interfaces for small businesses are as intuitive as using a smart phone or Internet browser.
Myth: “Bots are not accurate at bookings.”
Truth: Unanswered calls do not lead to bookings. The AI agent’s job isn’t to replace experts, just to move routine calls to completion faster. AI agents can be trained and integrated with most businesses calendars, resulting in seamless scheduling. They are trained to answer incoming calls based on SMB’s FAQs and follow a structured flow. And when AI agents don’t know the answer, they are designed to “fail” gracefully by confirming details, summarizing what was discussed, and then either transfer the call to a human or schedule a callback.
Myth: “The voice is too robotic and won’t reflect our brand.”
Truth: AI voices today are remarkably realistic. Businesses pick the name of their AI agents and can select from voices that range from neutral to warm to energetic, selecting the one that best matches the businesses brand. SMBs also decide on the greetings when fielding calls, escalation rules, and guardrails for what the AI agent won’t say.
In sum, many of the myths about AI for SMBs are simply wrong. The good news is that AI is transforming how businesses operate and Automata Partners is ready to help your business adopt low-cost, high-return tools to capitalize on this technology.