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App-wise, I know my wife is going to want to use Microsoft Word and Excel, and we always use this laptop for our taxes, so TurboTax. I have a feeling running from a USB drive will be way too slow.
The Kingston Datatraveler Max will be more than fast enough
https://ssd-tester.com/kingston_datatraveler_max_usb-a_256gb.html
https://www.kingston.com/en/usb-flash-drives/datatraveler-max
If you're unwilling to change software suites thst is gonna be the bigger problem.
Being that this laptop is probably 15 years old, I'm doubt the USB slots are going to benefit much from those high speed drives. They are USB3 at least.
Software-suite wise, I suspect that won't be a problem long-term but I know we'll have to look closely at least a few of our more complex documents - such as resumes - to make sure they can be converted properly. My wife is a spreadsheet maniac too, though I expect most won't take special handling. Being able to boot back to Windows in a pinch will be beneficial though.
Half the speed of USB 3.2 Gen2 is still plenty fast. :)