AI Readiness Isn’t Optional: What SMBs Need Before They Automate with Sebastian Chedal

In this episode of the Human-First AI Marketing Podcast, Mike Montague sits down with @SebastianChedal co-founder of Fountain City and Testfox.ai, to talk about what really drives success when implementing AI inside small and mid-sized businesses. Spoiler: It’s not the tools. It’s the people, the process, and the problems you’re solving. Together, they unpack what it means to be AI-ready, how to avoid the 80% failure rate of AI projects, and how to align your data, workflows, and expectations for long-term wins.

You’ll learn why capturing messy data is better than having none, how to spot when your team is working around your process instead of with it, and how human-first testing can prevent costly AI mistakes. Whether you’re exploring automation, building internal chatbots, or just trying to figure out if AI is worth your time, this episode will give you the clarity and caution you need. It’s smart, strategic, and packed with practical takeaways for SMB leaders who want to grow without losing their voice, values, or velocity.


Top Takeaways
1. AI Success Starts with Process, Not Tools
Before plugging in any AI, you need a well-defined process; otherwise, you're just scaling chaos.

2. Document Your Knowledge, Don’t Just Store It in People’s Heads
AI can’t help your team if your workflows, SOPs, and decision logic live in tribal knowledge.

3. Your Data Doesn’t Need to Be Clean, It Just Needs to Exist
Capturing conversations, emails, and documents now gives you raw material that AI can organize later.

5. Most Small Businesses Overestimate AI's Readiness and Underestimate Their Own
You may not need complex custom models; smart use of tools + your business context often wins.

6. Testing Isn’t Optional, It’s Your Safety Net
Unchecked AI can hallucinate, mislead, or even expose you to legal risk. Test for bias, tone, and reliability before going live.

7. The Best Use of AI Right Now Is as an Assistant, Not a Replacement
AI excels when augmenting human talent, freeing up time, reducing tedious tasks, and accelerating execution.

8. Even Failed AI Projects Can Create Business Value
When done right, AI readiness work enhances your process and documentation, yielding benefits with or without a bot.

9. Productivity Increases Mean More Jobs, Not Less
AI won’t replace your team; it will change what they do. SMBs that prepare for this shift will outpace those that don’t.