The best way to do diligence on a franchise is to talk to their existing franchisees. They have to disclose that in the UFOC. You should not purchase any franchise unless you've talked to at least 15 franchisees. Once you've had these many conversations - you'll uncover any big issues.
You need to factor in that many zees are terrified of the zor, in the event they spoke the truth. In addition it is against their own best interest to diminish the concept. That being said, they truly are the ones who can give you the insight, just think of what is being said and how it is being said very, very carefully.
One thing that works fairly well is to ask a zee what competitor he wishes he was affiliated with. I have been surprised a number of times by the responses I get to that query. It adds a different dimension and tells you, perhaps what you might not think, but it certainly gives you some idea why so many zees fail.
FuwaFuwaUsagi
I find encouragement by franchisors to speak with their franchisees a tad disingenuous, particularly with the prospective investor's false presumption that the zees will be 100% honest and forth coming. Zors know franchisees are bound by confidentiality agreements and franchisees fear a risk of "non-compliance" retribution from zors.
