TLDR: Artificial intelligence is revolutionizing accounting services, providing small and medium-sized businesses (SMBs) with access to sophisticated tools previously exclusive to large corporations. This shift automates routine tasks, enabling accountants to focus on high-value advisory work and proactive financial management, despite current low adoption rates among SMBs.
Artificial intelligence (AI) is rapidly leveling the playing field in accounting services, granting small and medium-sized businesses (SMBs) access to advanced tools that were once the exclusive domain of large enterprises. This technological evolution is poised to redefine the role of accountants, shifting their focus from manual, routine tasks to more strategic, advisory functions.
According to a PYMNTS.com report published on July 22, 2025, AI is making sophisticated accounting capabilities more accessible, helping SMBs automate mundane processes and gain financial insights previously out of reach. Despite these significant advantages, the adoption rate among SMBs remains relatively low, with a Verizon survey indicating that only 21% currently utilize AI tools for their financial operations.
Experts emphasize that AI’s impact extends beyond mere automation. Ariege Misherghi, Senior Vice President and General Manager of Accounts Payable, Accounts Receivable, and Accountant Channel at Bill, stated, “AI will amplify the value of accounting services for SMBs.” Misherghi elaborated that by automating tasks like data extraction and invoice processing, accountants are liberated to concentrate on higher-value human-centric work, such as applying judgment, guiding complex financial decisions, and delivering strategic insights.
The benefits of AI in accounting are multifaceted. A survey by Bill involving 1,000 SMB executives revealed that 67% believe AI will enhance financial forecasting and planning, while 65% anticipate improvements in cost management. Jonathan Bailey, CTO of B2B payments firm Extend, highlighted that AI can provide actionable, real-time financial insights, such as identifying unusual spending patterns, and will continue to enable more personalized experiences, automation of complex workflows, and enhanced security and compliance.
The accounting industry is at a critical juncture, facing increasing client demands, evolving regulatory pressures, and a looming talent shortage due to a generational shift. Lisa Huang, Senior Vice President of Product Management at Xero, noted, “The accounting and bookkeeping industry is at a turning point.” She added that many existing systems are heavily manual, limiting accountants’ capacity to offer high-value advisory services.
AI offers a solution to these challenges by transforming accounting from a reactive process to a proactive one. Kevin Akeroyd, CEO of tax compliance software provider Sovos, explained that AI enables SMBs to spot issues early and make faster decisions, eliminating the need for a technical team to ask complex questions or identify problems.
For smaller firms, AI, particularly purpose-built generative AI platforms, addresses historical disadvantages. Ben Alarie, CEO of Blue J, a generative AI tax research platform, pointed out that legacy tax research tools were often costly and misaligned with SMB workflows. Generative AI, he said, provides practitioners with instant access to clear, citation-backed answers, dramatically reducing manual research time and leveling the playing field for firms without large research teams, leading to “higher-quality work with fewer resources.”
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However, the effective harnessing of AI in accounting hinges on two crucial elements: “clean data and trusted software,” according to Fergal Glynn, CMO and AI security advocate at Mindgard. Glynn stressed that modern platforms offer transparency, allowing users to verify details. He concluded that “With the right setup and a human eye on critical decisions, AI becomes not just a tool, but a trusted partner in running a leaner, smarter business.” Companies like Intuit are already integrating AI agents into their Enterprise Suite to handle routine accounting tasks, signaling a broader industry shift.
