AI Literacy for Small Business.
Aug 11, 2025

AI literacy for small business: Susan Gonzales shares how small business owners can overcome fear, embrace Artificial Intelligence literacy, and start using generative AI tools to improve efficiency and competitiveness.
Artificial intelligence isn’t coming – it’s already here, and small business owners can’t afford to be left behind. In this episode of The How of Business, Henry Lopez speaks with Susan Gonzales, founder and CEO of AIandYou, a nonprofit dedicated to making AI literacy accessible for everyday people.
Susan explains why fear, skepticism, and lack of awareness are slowing AI adoption (especially among women and minority business owners) and how these barriers can be overcome. She breaks down the difference between predictive and generative AI, offers practical advice on where to start.
Susan’s five-step framework for crafting effective AI prompts:
- Help me with… (Be specific)
- You are a… (Define the role)
- The output should be… (State the desired format)
- You should know… (Provide context)
- Here are some… (Include references or examples)
From creating business plans and marketing strategies to streamlining repetitive tasks, Susan shares real-world examples of how AI can save time, reduce costs, and open new opportunities. She also warns about “hallucinations” in AI-generated output and emphasizes the importance of verifying results before relying on them.
The conversation covers emerging trends like AI agents (the next generation of chatbots with reasoning capabilities) and how existing business tools, like CRMs, accounting platforms, and Microsoft Copilot, are embedding AI features business owners should explore.
Susan’s core message is clear: AI literacy is now an essential basic business skill. Owners who start learning and experimenting today will have a significant advantage over those who wait.
“The more specific the prompt, the more specific the answer,” Susan advises, encouraging listeners to explore AI tools with curiosity rather than fear.
Listen to gain the confidence, knowledge, and practical steps you need to start leveraging AI in your small business today.
Susan Gonzales is the founder and CEO of AI and You, a nonprofit dedicated to making artificial intelligence literacy accessible to everyday people and small business owners. A former policy executive at Facebook, Susan has worked at the intersection of technology, policy, and community engagement, and now focuses on educating diverse communities about AI opportunities and challenges.
AI Literacy for Small Business – FAQ:
Question: How can small business owners start using AI effectively?
Answer: Start by exploring free generative AI tools like ChatGPT or Google Gemini and experiment with tasks you least enjoy or that take up too much time such as creating marketing content, summarizing spreadsheets, or drafting business plans. Use specific prompts that define the role, format, and context for the output. Verify results to avoid AI errors (“hallucinations”) and look for AI features embedded in the tools you already use. Embracing AI literacy now will help you stay competitive as the technology rapidly evolves.
Episode Host: Henry Lopez is a serial entrepreneur, small business coach, and the host of The How of Business podcast show – dedicated to helping you start, run, grow and exit your small business.
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