Does the EU AI Act apply to my small business?

Quite possibly — but usually only the light-touch transparency duties, not the heavy “high-risk” regime. Being small doesn’t exempt you; what matters is your role and whether your users are in the EU.

Role, not size

The rules follow what you do. A provider builds an AI system and puts it out under their own name; a deployer simply uses one. Most small businesses are deployers, which usually means only the limited Article 50 transparency duties rather than the heavy high-risk regime. Two things to watch, though. If you use AI for recruitment, credit decisions or managing staff, you may be deploying a high-risk system, which carries extra duties under Article 26 from 2 December 2027. And every provider and deployer, whatever they use AI for, has to take measures supporting AI literacy among staff under Article 4.

“I just use ChatGPT”

Using an off-the-shelf tool to write copy generally makes you a deployer — usually with no transparency duty, unless you’re running a customer-facing bot or publishing public-interest content — though the Article 4 AI-literacy duty applies either way. It does not pull you into the high-risk rules.

“I’m not in the EU”

It can still apply. If your AI or its outputs reach people in the EU, you’re in scope — the same long-arm logic as the GDPR. (A business in Brazil or the US whose chatbot serves customers in the EU is in scope; a business established inside the EU is in scope wherever its customers are.)

Open source isn’t a free pass

Building on a free or open model doesn’t switch off the Article 50 transparency duties.

No blanket small-business exemption

Startups face the same duties. The concessions are lighter paperwork and proportionate enforcement — not exemption. If you build or rebrand AI as your own product, you may tip into being a provider, with heavier duties.

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Other common questions

Not legal advice. Disclosed. is an information and template tool, not a law firm. The EU AI Act’s official text, the European Commission’s Article 50 Guidelines and the Code of Practice on Transparency of AI-generated Content are the authoritative sources. Nothing here creates a solicitor–client relationship, and it can’t account for your specific circumstances. For decisions with real consequences, consult a qualified adviser in your jurisdiction.

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