Your next big hire might be an algorithm.
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For years, entrepreneurs have proudly announced how many employees they’ve hired. Growing from five employees to 50 was a milestone. Reaching 100 was even better.
But what if you could build a $10 million business with just five employees? Would that make you less successful than the founder with 100?
Artificial intelligence is forcing entrepreneurs to reconsider a familiar assumption: A growing business needs a growing workforce.
And while AI may be changing the economics of building a business, founders need to be careful about what they’re actually measuring.
Refreshed leadership advice from CEO Stephanie Mehta
When fewer employees means more business
A recent Wall Street Journal report, republished by Mint, highlighted Butternut AI, a startup that builds websites using AI.
According to the report, co-founder Simar Singh reduced the company’s workforce from nine employees to four after determining AI agents could perform work previously handled by five engineers.
Meanwhile, the company has approximately 10,000 paying customers, and Singh says its products continue to grow.