NASHVILLE — Payroll software firm Gusto released findings from a survey of 1,000 people who opened businesses in 2025, with a majority of respondents saying artificial intelligence made the process of launching a company faster or less expensive. Gusto's payroll platform is used by half a million small businesses. The survey found that more than 70% of Gen Z entrepreneurs used AI to launch their businesses, while just over half of Gen X entrepreneurs reported doing the same.

"You think about a young startup in the past, having to hire lawyers is very expensive. Having to hire admins was a luxury," said Aaron Terrazas, an economist.

Among the entrepreneurs who turned to AI tools in 2025 was Justus Shaw, who launched a mobile espresso bar called Shaws Coffee Cart. Shaw pays $20 per month for an AI assistant named Claude, which he consults for tasks such as taxes, legal issues, and employee management.

"When ChatGPT first came out, I was on that trend and jumped on that and was using it for anything, really," he said. Reflecting on the alternative, he described the older approach to problem-solving for a new business owner: "Either consult people or just do a lot of research to try to find the answer to one question."

After ten months of operation, Shaw has expanded to two coffee carts and achieved six-figure revenue. He has hired four baristas and runs four to six events per week, including corporate gatherings, graduation parties, church events, and weddings.