How to Use AI to Research a Franchise: 8 Tips

Allison Dudas
Allison Dudas

Senior Marketing Manager

Franchise Business Review

woman at computer using AI to research a franchise

More franchise candidates now begin their search in a chatbot instead of a search engine, and even those who stay loyal to Google often land in Gemini through AI Overviews without realizing it. Used well, AI can compress weeks of research into a few focused sessions. Used carelessly, it can send you down a rabbit hole built on a wrong number. Drawing on advice from Steve Buors, CEO and co-founder of Reshift Media, on the From A to Franchisee podcast, here are eight ways to use AI to research a franchise with your eyes open.

1. Let AI help you narrow your sector

If you know you want to be an entrepreneur but haven’t settled on an industry, AI is a great place to start. Ask it to compare sectors, explain how different business models work, or suggest what might fit your lifestyle. It can even introduce franchising to people who hadn’t considered it yet. Think of it as a way to shape your journey and get oriented before you dig into any one brand.

2. Write detailed prompts (or just talk)

A chatbot isn’t a search bar, so a one-line question gets you a thin answer. Tell it your budget, your background, the territory you’re considering, and the lifestyle you want, and the results get far more specific. Steve’s trick is to turn on the microphone and talk it through, since you’ll naturally say more than you would type. Just keep sensitive details like banking information out of it.

3. Ask for sources, then follow them

AI can present a guess with total confidence, and it sometimes doubles down when you question it. Asking the tool to cite its sources gives you a trail to follow. If it claims franchisees in a brand earn a certain amount, click through and find out whether that figure comes from the FDD, a credible report, or a random claim someone made online. You can also ask it to find a second source or double-check its own answer.

4. Double-check the specifics with a second tool

Steve compares AI to a trusted friend who has had a few drinks: helpful, but not always right. For big-picture research, that’s fine. For specifics like what a franchise costs to buy into or what owners can earn, verify with another AI platform or, better yet, the franchisor’s own website and materials. Watch for brand mix-ups too, because AI will sometimes pull data from the wrong system when two names sound alike.

5. Upload the FDD and let AI flag what matters

An FDD is dense, and there’s a lot of nuance in how things are positioned. AI excels when it has a fixed set of information to work from, which makes the document a natural fit. You might be far along in your research and already have a brand’s FDD, but you can also get it online, check out our tips for using AI to look at an FDD. Upload it to an LLM and ask it to flag anything worth a closer look, or have it break the document into bullets. Steve even has AI turn long documents into a podcast he can listen to on the road. Use whichever format helps you absorb the material best.

6. Use AI to gauge franchisee sentiment, then call real franchisees

AI pulls from far more than a brand’s website. Reddit, Quora, and other forums can offer a candid look at whether a franchisor is good to work with, how long a build-out really takes, and whether turnover is high. Franchisee satisfaction research, like the annual surveys we at FBR conduct across many brands, is also what LLMs love to pull in, because it puts real numbers behind owner opinions. Still, a chatbot isn’t a substitute for the franchisees listed in the FDD, so don’t skip the phone calls. Talking to real people beats talking to AI every time.

7. Ask the franchisor about its AI plans

AI is changing how search works, how advertising works, and how customers find local businesses, so the brand you’re considering should have a plan. Ask how AI fits into its marketing, how it makes sure customers can find franchisees in AI answers, and how it approaches local search. Ask, too, how AI makes franchisees’ day-to-day easier. A brand that only says “yes, we use AI” without explaining where and how isn’t giving you much. As Steve puts it, there’s no page one anymore, only answer one, and a franchisor that can’t say what it’s doing about that is a red flag.

8. Try more than one AI tool

Many people settle into the first chatbot they tried, but each tool has its own strengths. Some are better at images, others at analysis, others at research, and you may find a different favorite for different jobs. Steve suggests trying ChatGPT, Gemini, and Claude this month, since all of them offer a free tier. Switching is easier than you might think, and comparing their answers doubles as a handy fact-check.

Put AI to work, then talk to real people

AI is a strong starting point for franchise research, but the best results come when you pair it with verified sources and conversations with current franchisees. Ready to go deeper? FBR’s free Franchise Academy walks you through sectors, financing, and the questions to ask franchisors and franchisees during due diligence. And for more from Steve, listen to the full podcast episode.