Artificial intelligence (AI) is increasingly transforming mentorship by providing personalized, scalable, and psychologically informed coaching for entrepreneurs. This chapter explores how AI-driven virtual mentors support entrepreneurial psychological growth by enhancing self-efficacy, stress management, emotional intelligence, and reflective practices. Drawing on theories of psychological capital, growth mindset, self-determination, and social learning, the chapter examines how AI systems leverage natural language processing, sentiment analysis, adaptive feedback, and scenario-based simulations to mimic mentor-like guidance. Applications span early-stage entrepreneurs, startup founders, and established ventures, offering accessible support in resource-constrained contexts. Case studies highlight AI platforms that foster resilience and emotional well-being. Challenges, including empathy gaps, algorithmic bias, privacy, and over-reliance, are discussed, alongside future directions emphasizing hybrid human-AI mentorship, emotionally intelligent systems and culturally responsive design