Small Business Administration AI support bills clear House

The House passed two bipartisan bills on Tuesday directing the Small Business Administration to expand AI guidance and training for small businesses, with both measures now awaiting Senate consideration.

What happened

The House approved the AI for Main Street Act and the AI Wisdom for Innovative Small Enterprises (AI-WISE) Act after the bills advanced out of committee last November. In the Senate, companion legislation was introduced earlier in January by Sens. Todd Young, R-Ind., and Maria Cantwell, D-Wash.

The AI for Main Street Act requires the SBA's Small Business Development Centers to provide guidance, training and outreach to small businesses on AI-related matters. The legislation expands upon a Google-backed SBDC initiative called AI U, which offers one-on-one coaching and AI resources to small businesses. Rep. Mark Alford, R-Mo., co-sponsored the bill with Rep. Hillary Scholten, D-Mich.

The AI WISE Act directs the SBA to create guidance for small businesses that clearly outlines best practices for emerging technology through educational resources, learning modules and other materials. These resources would be hosted on an existing SBA platform. Rep. Roger Williams, R-Texas, chair of the Small Business Committee, and Rep. Troy Downing, R-Mont., co-sponsored the AI WISE Act with Scholten.

Going deeper

The legislation addresses AI adoption among small businesses while acknowledging the challenges they face. According to the U.S. Chamber of Commerce's fourth edition of Empowering Small Business: The Impact of Technology on U.S. Small Business published in August 2025:

• 58% of small businesses report using generative AI, up from 40% in 2024 and more than double the adoption rate in 2023
• 96% of small business owners plan to adopt emerging technologies, including AI and cryptocurrencies
• 77% of small businesses that use AI report that limits on the technology would negatively impact their growth, operations, and bottom line
• 82% of small businesses using AI increased their workforce over the past year

The report also revealed concerns among small business owners about navigating a patchwork of state AI and privacy laws that could hinder their ability to grow and compete. The AI WISE Act's focus on educational resources addresses these concerns by helping businesses understand how to use AI effectively while managing compliance challenges.

What was said

Rep. Mark Alford, R-Mo., emphasized the legislation's purpose by stating, "This is not about replacing people; it is about empowering people. It's about giving a family-owned business the same opportunity to compete and grow and innovate as a Fortune 500 company."

Jordan Crenshaw, Senior Vice President of the U.S. Chamber's Technology Engagement Center, stated, "AI is transforming economies and industries across the globe, but often overlooked is its potential to empower small businesses—enabling them to innovate, grow, and compete on a larger scale. Small businesses are the backbone of the American economy, and a fragmented regulatory landscape will significantly hinder their ability to compete."

In the know

Small Business Development Centers (SBDCs) are SBA-funded programs that provide free business consulting and low-cost training to small business owners and aspiring entrepreneurs. These centers operate through partnerships with universities, colleges, state and local governments, and the private sector. SBDCs offer assistance in areas including business plan development, marketing, financial management, and regulatory compliance. The AI for Main Street Act would add AI guidance and training to the existing services these centers provide to small businesses across the country.

Why it matters

By providing clear, accessible guidance through existing SBDC infrastructure, these bills could help bridge the knowledge gap that prevents small businesses from leveraging AI effectively. This matters for rural businesses, which often lack access to technology consultants and training resources available in urban centers. The legislation recognizes that democratizing AI access requires more than just making the technology available, it requires education, support, and practical guidance tailored for small businesses.

The bottom line

These bills arrive as small businesses adopt AI without adequate support systems in place. As the legislation moves to the Senate, small businesses should begin exploring available AI resources through their local SBDCs and prepare for expanded training opportunities that could help them compete more effectively while avoiding costly implementation mistakes in an AI-driven marketplace.

FAQs

Would these bills create new compliance obligations for small businesses using AI?

No, the legislation focuses on education and guidance rather than imposing new regulatory requirements.

How might this affect startups versus established small businesses?

Startups could gain early access to AI best practices, while established firms may use the guidance to modernize legacy operations.

Will AI guidance differ by industry or business size?

The bills allow flexibility for the SBA to tailor resources, but industry-specific guidance is not explicitly required.