Research from Sage has found that a new generation of tradespeople are embracing digital tools, automation and agentic AI to streamline and grow their businesses more efficiently.
Data found that tradespeople are likely to use digital tools every day – builders (73%), electricians (71%) and plumbers (63%) – with the most common uses found to be analysing data (36%), writing emails (35%), and customer messaging (27%).
The highest usage was found among engineers, with 91% using AI daily.
The Sage data found tradespeople are also relying on AI technology for record keeping (23%), generating invoices and chasing payments (17%), highlighting how digital tools are being used to reduce the burden of late payments on businesses struggling with cash flow.
Almost a third (29%) of builders are also using it for calculating the costs of materials and labour, while 43% of electricians sent customer messaging using digital tools. Plumbers were most likely to use AI for budgeting tasks (67%).
According to research from Sage, small businesses are now owed an average of £42,000 in overdue invoices, a figure that has risen for three consecutive years. This restricts cash flow and limits the ability of small businesses to pay staff, cover day-to-day costs and invest in growth. For some, it can threaten the very survival of their business.
The new AI tool, Sage’s Payments Agent, available on the Sage Sole Trader mobile app, streamlines the entire invoicing journey from start to finish – reducing admin and freeing up time for more valuable work. Users can create invoices by speaking or typing, making it ideal for tradies on the go, and send smart payment reminders on their own terms – removing the discomfort of chasing payments while staying fully in control.
Stuart Bogazzi who runs Oak Sure Construction in Croydon says adopting Payments Agent has transformed the way he runs his business – helping him save time, reduce admin, get invoices paid faster to improve cashflow, and take on more work.
He said: “AI has made my life much easier – I’d say I use it on four days out of five.
“Digital tools are really helpful for working out calculations. I’ll enter the measurements of a space and it will tell me how much concrete I need, and where I can buy it cheapest. It has helped me find suppliers I would never have found otherwise.
“I also use Sage digital tools for 90% of my accountancy. I keep track of all of my book-keeping and taxes in their Sole Trader mobile app, and then I use the Payments Agent tool to generate invoices and chase late payments.
“The software has saved me money as well as time. I used to spend around three hours a week doing admin and now that’s down to about 20 minutes – and I can spend the rest of the time with my family.
“Technology is moving so fast and I know a lot of people are worried about how AI will impact their jobs in the future, but for sole traders like me, digital tools can also be used to make your business far more profitable and efficient.”
Senior Vice President for Small Business, Lisa Ewens, at Sage, said: “Technology is transforming how tradespeople operate behind the scenes, and our research shows that many sole traders are embracing new digital tools.
“For many these tools are becoming as much an essential for keeping businesses running as a spirit level or a chisel – with sole traders relying on them to communicate with their customers, generate quotes, issue invoices and make payments.
“AI tools such as Sage Payments Agent can add another layer of speed and efficiency – removing the burden of chasing invoices, automating reminders and follow-ups so sole traders can get paid faster and more efficiently.”
For more information on Sage and the new AI Sage Payment Agent tool on Sage’s Sole Trader app, please visit sage.com
