Franchising creates one of the clearest pathways to business ownership, but it also presents a hidden challenge. Many new franchisees arrive with experience in an industry, a passion for service, or a drive to run their own business, yet few arrive with deep financial expertise, a gap KTA Financial Services helps franchisees close through structured financial systems. Understanding a profit and loss statement is very different from balancing a checkbook, and the gap between those two skills can influence everything from profitability to long-term sustainability.
In a recent episode of the Training Impact Podcast, Jeff Walter sits down with Emily George, Director of Strategic Partnerships at KTA Financial Services, to talk about why financial clarity is the foundation of strong franchise systems and how franchisors and franchisees can avoid the common pitfalls that undermine performance. Her background spans education, hospitality, competitive bartending, technology startups, Franchise Business Review, and the International Franchise Association. That combined experience gives Emily a rare understanding of both the operational and human sides of the franchise model.
Like many people in franchising, Emily did not plan a career in the industry. She began in education, transitioned into hospitality for more than a decade, and then moved into tech after helping launch an early regional delivery app. Those startup roles forced her to build process, create structure, and adapt quickly as the business grew. Each experience taught her how organizations scale and how important it is to develop the right habits early.
Her path into franchising came through an unexpected connection with a former Wendy’s International executive who later invited her to help operationalize a small restaurant group preparing for franchising. That opportunity became her entry point into a sector she would ultimately spend years serving, including at Franchise Business Review and the International Franchise Association.
Today, at KTA Financial Services, Emily supports both franchisors and franchisees, helping them implement KTA Financial Services’ proven approach to consistent bookkeeping and financial reporting as they navigate one of the biggest challenges in the industry: understanding, organizing, and leveraging financial data to build healthier businesses.
KTA Financial Services emphasizes that franchising is built on systems, but those systems only work when everyone follows the same structure. In the conversation, Emily explains that franchisors often underestimate the role of financial literacy in franchisee success. Many founders are product experts, not financial operators, and they may assume new owners have stronger financial acumen than they actually do.
She notes that franchisees come from widely different backgrounds. Some were corporate leaders seeking independence. Some were long-time practitioners of the brand’s core service. Some simply wanted to own a business. What they usually do not have is formal experience managing a profit and loss statement or a balance sheet. As Emily points out, a franchisee might know how to deliver an exceptional product, but that does not mean they know how to analyze margins, budget for marketing, or calculate ROI on staffing decisions.
Without a consistent accounting structure or timely financials, franchisors struggle to coach their system. Without clear reporting, franchisees struggle to understand whether they are actually performing well or simply keeping cash in the checking account.
One of the most striking parts of the interview is Emily’s honesty about what happens when bookkeeping becomes an afterthought. She describes brands that reach 20, 30, or 50 franchisees before realizing their financial infrastructure is inconsistent or nonexistent. Profit and loss statements arrive months late. Chart of accounts differ from location to location. Key decisions are based on guesswork or emotion instead of data.
KTA Financial Services sees this lack of structure in many early-stage franchise systems, and it creates two major problems.
First, franchisors cannot coach effectively when every report is different. They need standardization to understand systemwide patterns and help owners make better decisions.
Second, franchisees cannot evaluate the true health of their business. Many believe that if there is money in the checking account, everything is fine. As Emily notes, that assumption leads to tough conversations when owners attempt to sell their business but lack the documentation needed to capture its value.
KTA Financial Services steps into this gap by providing consistent bookkeeping, timely reporting, and system-aligned financial structures that allow both franchisors and franchisees to manage based on facts rather than feelings.
Another powerful insight from the episode, and one KTA Financial Services reinforces in its client work, is the difficulty founders face when transitioning from operator to franchisor is the difficulty founders face when transitioning from operator to franchisor. Emily explains that founders often begin franchising because they are excellent at the core service, but they may not fully understand the new business they are entering. Being a franchisor is not about making the widget anymore. It is about supporting people who make the widget.
This shift requires new systems, new forms of accountability, and a willingness to let go of tasks that once felt essential. Emily uses the concept of giving away your Legos, an analogy that describes how organizations must redistribute responsibilities as they grow. Franchisors who cling to every piece of the business become bottlenecks. Those who delegate effectively position their system for scale.
The same principle applies to franchisees. Owners must differentiate between what they can do and what they should do. Offloading financial work to professionals creates space for them to focus on marketing, operations, hiring, and customer experience.
One of the recurring themes in the conversation, and a core principle KTA Financial Services teaches is the importance of balancing structure with flexibility. Emily emphasizes that franchising thrives when systems are simple, consistent, and enforced from day one. Problems occur when franchisors create long lists of requirements but fail to enforce them consistently.
The goal is not bureaucracy. The goal is clarity. When expectations are simple, reasonable, and aligned with business outcomes, franchisees understand the value behind them. When financial reporting improves performance, compliance becomes a shared goal rather than a burden.
Although the episode centers on financial systems, the insights extend directly into the training and development world. Financial clarity influences everything from onboarding to ongoing coaching. L&D teams often try to build programs without visibility into the real pain points franchisees face. Understanding financial performance unlocks better strategic training decisions and stronger program design.
For leaders who want a deeper look at how financial clarity strengthens franchise systems, the companion case study is an essential follow-up.
KTA Financial Services: Building Stronger Franchise Systems Through Alignment and Financial Clarity details the training structure, learner types, best practices, and systemwide challenges that financial training helps solve. It uses the LatitudeLearning Training Program Roadmap to illustrate how knowledge acquisition and operational consistency connect directly to franchisee performance.
Emily George’s journey is a reminder that franchising is fundamentally a people business. Tools and systems are important, but success depends on relationships, structure, and the willingness to learn. Financial clarity, especially when supported by KTA Financial Services’ standardized processes, empowers franchisees to understand their business, franchisors to coach consistently, and the entire system to grow with confidence.
🎧 Listen to the full episode
📄 Download the companion case study
🌐 Learn more about KTA Financial Services on their website https://ktafinancialservices.com/
See for yourself what makes LatitudeLearning stand out. Free 30-day trial includes:
