The business landscape for America is rapidly changing, and small-scale businesses will have to navigate through these uncertain waters. While there will be new tax benefits and opportunities based on the OBBBA, there will also be integration of Artificial Intelligence (AI) in almost every sector. Starting from the obstacles of navigating past to the crippling tariff system and a potential recession, the landscape has turned into chaos. This is a macroeconomic uncertainty where the small businesses are forced to become leaner by investing more money in technology while diversifying their products and services based on the modern world.
Most American small businesses are showing great concern for the tariffs since they will have to pay more now. According to the recent estimate, every American is required to pay $3000 a year as an additional fee for the same products that are already available in the market. Price hikes that are related to American tariffs are the main reason for this hike. However, it is quite problematic for most small and medium enterprises or SMEs as they cannot raise the value or absorb the additional expenses. The retaliatory tariffs can also greatly affect the supply chain or close the market for sales partners. When the interest rates are quite high, businesses have to become lean.
However, there is also an important initiative taken by the OBBBA legislation, which occurred during the first Trump Administration, called Opportunity Zones. Financial experts are saying that the aspect of Opportunity Zone Incentive can help to make private investments in low-income areas, as well as in high-poverty areas. It will be extremely beneficial for the small-scale businesses as this new version of the program is designed to empower the investors and SMEs that grow in urban districts that are blighted and in rural areas, too. Numerous small businesses across America are already investing a hefty amount in artificial intelligence. According to a recent report, the rate of AI adoption is accelerating across diverse industries, and most small businesses have claimed that more than 60% of their budget is spent on AI, as it is the biggest part of their fruitful business strategy.
Similarly, the large companies are also investing in AI-based procurement systems, which can also help to empower small businesses. The companies that have adopted mainstream AI tools like ChatGPT have showcased improved performance in many areas of marketing and proposal writing. Electric can be considered one of the leading companies that helped many SMEs with their security and IT operations. The company was founded in 2017, and since its inception, it has provided support in every sector of information technology. Starting from procuring new hardware, automating the onboard IT system, to cybersecurity, compliance, and application permissions, the company can handle everything. Electric is playing a vital role in enterprise technology, and there are many other companies doing the same for other industries.
The days of using multiple SaaS solutions and software are gone now, with AI arriving in the market that allows creating more complex and comprehensive solutions across all kinds of verticals. Regulatory and compliance requirements are constantly changing in the modern world, and AI can be helpful in adapting to these quick changes. Companies like Electric are collaborating with other companies like Justworks, where they are creating powerful APIs to handle complex IT-related tasks such as tracking, online purchase, and returns etc. Therefore, it has become evident that small businesses can act like medium-sized enterprises when they can successfully harness the power of AI.
