2019 Guide to Programs AND Franchises

Transcription

1 2019 Guide to Programs AND Franchises Opening a new fast lube or changing a shop s operating plan can be a daunting task because of the large number of programs available. Potential operators or those looking to shake up the way they re currently doing business can choose to operate their facilities independently, as part of a larger signage agreement with an oil company, as a turnkey operation or as a franchise. Those are only a few of the many ways in which operators and prospective operators might choose to run their facilities. To help our readers better understand some of the options available to them, we have assembled the following list of fast lube programs. We compiled this list by contacting the top chains listed in the NOLN TOPS in the Industry rankings to find out what options they offer, as well as contacting companies that offer other options. All information supplied by the responding companies is believed to be accurate and correct as of press time. CHEVRON HAVOLINE XPRESS LUBE Become part of Chevron s Havoline xpress lube program with nearly 250 independently owned and operated locations throughout the U.S. You maintain control of your operation while selling Chevron Havoline, Delo and Techron brand lines to your loyal customers. Program option: License agreement, signage agreement Average start-up cost: Funds offered for re-imaging based on volume Individual qualifications: Business financial and credit reviews are required. Car count of roughly 30 cars per day. Training: In-person, online and a mentoring program. Equipment: POS and lube equipment resources available. Signage: Design and engineering of primary identification signage and image. Advertising: Pre-approval local marketing materials available. Support with national promotions. Site selection: Demographic studies and business consultation available. Credit cards: Pending pre-qualification, enjoy no-processing fees on Chevron credit card holder payments. Customer warranty: All brands and products backed by Chevron s Limited Product Warranty. Building design and construction: Access to blueprints for ground-ups. Financial assistance plan: Facility re-image funds are a function of annual volume. Financing: Depending on the scale of the business, you may be eligible for a quarterly payback program based on volume and type of products purchased, outlined in a Rebate Agreement. Other: Cooperative advertising program for reimbursement for qualified branded local advertising. Advantages of Havoline xpress lube plan: A national fast lube image and program for customers that desire to maintain full operating control yet do not wish to pay franchise or royalty fees. For more information, contact: Larry Russell, lrus@chevron.com, 1 NOLN

2 EXPRESS OIL CHANGE Express Oil Change was founded in 1979 and is based in Birmingham, Alabama. Territory: Regional; Southeast, Southwest, Midwest, Atlantic Coast, West to include Arizona Franchise fee: $35,000 Average start-up cost: $1,7500,000 to $2,500,000 includes land and building Royalty percentage required: 5% Individual qualifications: $350,000 liquid capital and $500,000+ net worth Training: Eight weeks of training on how to manage the overall business. Equipment: We identify all needed equipment, help plan its order and installation. Signage: We provide logos and materials to order signage. Advertising: We have a marketing staff that provides franchisees with marketing tools, systems and guidance. Site selection: We are actively involved in helping to find the best site for the franchisee s store. Credit cards: We help franchisees get access to all needed credit cards, including our own branded card. Customer warranty: We warranty our work on customers cars. Building design and construction: We provide architectural plans, guidance in the design and permitting process and with construction bids to GCs. Financial assistance plan: We introduce franchisees to lenders who provide SBA loans to our franchisees. Other: We help franchisees get access to oil, tires and auto parts through national vendors at negotiated prices. Franchisees do not buy any supplies from us. Advantages of Express Oil Change plan: Our combined buying power for all parts is significant, particularly for bulk oil, which is very impactful to the franchisees bottom lines. Franchisees pay the same price for bulk oil delivered to their store as all of our company-owned stores, and we do not collect any sort of fee or rebate from franchisees purchases. Our business model includes full mechanical repair in addition to a 10-minute oil change, and we carry a full line of top brand tires, which provides a more convenient one-stop shop for the customer, more reasons to visit by customers and overall higher sales volume of the stores. For more information, contact: Don Larose, dlarose@expressoil.com, EXXONMOBIL MOBIL 1 LUBE EXPRESS Discover Mobil 1 Lube Express a growing lube chain in the United States and one of the largest quick lube networks in the world and benefit from an exciting business opportunity. In addition to leveraging Mobil 1, Mobil Super and Mobil Delvac brands, we offer hands-on product and sales training and a solid marketing program to provide you with all the tools needed to help increase tickets and profits. We are investing in local digital advertising to drive customers to your business. Program option: Signage agreement Territory: International Average start-up cost: $10,000-$15,000 Individual qualifications: Location must not be within a three-mile radius of another Mobil 1 Lube Express, and recommended for 30 cars/day for new operators or 25 per day for existing operators. 2 NOLN

3 Training: Inperson and online training Signage: Ask distributor or local sales rep- program is to support the owner during start-up and supporting the Mobil 1 brand Advertising: Local digital advertising during promotion periods Site selection: Available on Mobiloil.com Credit cards: Credit card program available through the ExxonMobil credit card program Customer warranty: All products have a limited warranty Other: Strong brand and local sales support For more information, contact: Catherine Kehn, ASK.MOBIL ( ) mobil1lubeexpress@exxonmobil.com, GREASE MONKEY FRANCHISING The Grease Monkey concept was founded in 1978 and is based in Greenwood Village, Colorado. The company s plan is available in the United States, Colombia, Saudi Arabia and Mexico., license agreement, signage agreement Territory: International, national Franchise fee: $30,000 license fee 15 year agreement; $20,000 for veterans with valid DD214 Average start-up cost: $150,000-$250,000 for a three-bay center Royalty percentage required: 5% of gross sales Individual qualifications: $60,000-$70,000 liquid capital, $250,000 minimum net worth, 675 or higher credit score Training: Required training includes new franchisee on-site training, classroom training at the corporate and initial hands-on training. Ongoing training is available through FullSpeed Automotive University. Equipment: We identify all needed equipment and provide complete equipment package offerings. Also, help with order and installation process. Signage: Complete national sign program including sourcing, design and permitting. Advertising: 4% local center advertising fee to be invested by owner. Site selection: Dedicated real estate department to assist in site selection process. Credit cards: National credit card processing program. Customer warranty: Nationwide service warranty provided to strengthen customer trust. Building design and construction: Several prototype options available. Financing: We work with a third-party to assist our franchisees in obtaining funding, if necessary. Very experienced in working with SBA lenders. Advantages of Grease Monkey plan: Independently owned and operated turnkey opportunities with full support and fast growth. For more information, contact: Lori Schneider, loris@greasemonkeyintl.com, JIFFY LUBE INTERNATIONAL Jiffy Lube is seeking to expand its footprint, adding to the more than 2,000 service centers across North America. Territory: United States and Canada Franchise fee: $35,000 for new development, or $17,500 for conversions Average start-up cost: Ranges from $234,000-$450,000 (excluding real estate) Royalty percentage required: 7% total (3% for royalty and 4% for advertising) *the 3% royalty includes a 1% prompt pay discount Individual qualifications: $150,000 liquid and $450,000 net worth 3 NOLN

4 Training: An award winning training program called Jiffy Lube University. Advertising: A robust national advertising campaign consisting of broadcast and digital ensures the brand has your marketing covered. Through the multimillion-dollar national advertising fund, Jiffy Lube maintains a presence from coast to coast on national and cable television as well as through numerous evolving digital assets. Site selection: Jiffy Lube works with four real estate development companies to provide turnkey solutions for our Build to Suit program. Additionally, our business development managers have access to resources to assist with the site selection process. Credit cards: Customers have the opportunity to receive special financing with the Jiffy Lube Credit Card or Fleet Card *subject to credit approvals Building design and construction: The Jiffy Lube construction team is available to assist with recommendations and provide a prototype for new store development. Other: Internal support of operations, marketing, business development and point-of-sale. The strength of Jiffy Lube is complimented by Pennzoil, the most preferred motor oil brand in the U.S., and by Shell, one of the most innovative energy companies in the world. Advantages of Jiffy Lube plan: Celebrating 40 years in the industry, Jiffy Lube services more than 21 million consumers annually. Jiffy Lube is consistently ranked as one of the top franchising opportunities for entrepreneurs. For more information, contact: Angie Avery, jiffy-lube-development@shell.com, KWIK INDUSTRIES, INC. Kwik Industries, Inc. is a family owned business based in Dallas, Texas. Founded in 1989, Kwik has completed more than 400 automotive and car wash facilities nationally; providing location selection, design, construction and licensing for lube centers, carwashes, and combinations for independent owners and operators. In addition, Kwik will remodel or rebrand an existing facility. Program option: License agreement, signage agreement, build-to-suit, parts and supply program for all consumables, regional (Texas, Oklahoma, Arkansas, Missouri, Louisiana, Mississippi) Franchise fee: No franchise fees. License fee of $50,000. No license fee for purchasers of new facilities constructed by Kwik Industries, Inc. Contact Kwik Industries, Inc. for licensing of existing facilities. Average start-up cost: $50,000 and up for licensing and branding. $500,000 and up, depending on location and type of facility. Individual qualifications: Good credit and management experience. Experience in the industry helpful, but not necessary. Training: Start-up and operational training available. Equipment: Equipment installation, training and servicing available. Signage: Sourcing, design, permitting and other assistance available. Site selection: Site selection assistance available. Building design and construction: Custom site selection, design, engineering and construction. Financing: Very experienced in working with preferred SBA lenders. Other: Parts and supply division for all your facilities needs. Please visit or call Advantages of Kwik Industries plan: Independently owned and operated facilities with available support and training and no royalties or franchise fees. Parts and service department allows operators to order parts and supplies for their facility from one source. Our service department excels in customer service, providing maintenance and service for both building and equipment. For more information, contact: Mike Birge, mbirge@kwikind.com, 4 NOLN

5 MEINEKE CAR CARE CENTERS Meineke Car Care Centers has been proudly serving America since Meineke has an unparalleled reputation for customer service and quality workmanship. We have adapted our model to encompass full auto care providing a one-stop theme customers desire., license agreement Territory: International, national Franchise fee: $35,000 Average start-up cost: $250,000-$300,000 Royalty percentage required: 5% Individual qualifications: $110,000 liquid cash, $250,000 net worth, 675 or better credit score Training: Two-week initial training program and ongoing, in-store operational support. Equipment: We have relationships with equipment vendors/suppliers and installation. Signage: We have relationships with signage vendors/supplies and installation. Advertising: Ongoing national and local programs with a presence on TV, Internet, billboards, radio and digital efforts. Site selection: Assistance that includes in-depth market analysis utilizing our mapping/modeling software. Credit cards: Meineke has a branded credit card for customers with a variety of financing options. Customer warranty: Nationwide warranty on all work provided to strengthen customer relations. Building design and construction: Full project coordination to locate, prepare and open the facility. Financial assistance plan: We work with a third-party to assist in financing our franchisees to get started. Financing: 20% cash injection is typical; 80% financed is achievable Other: Unmatched advantages for increased success to include: marketing and ad program; territory protection; extensive assistance for site selection; initial training and on-going training; proprietary software (POS); and purchasing power for deep discounts. Advantages of Meineke Car Care Centers plan: Today s customers are looking for a complete car care experience. It is more convenient and develops a relationship model. For more information, contact: Hutter Black, hutter.black@meineke.com, meinekefranchise.com NORTH AMERICAN LUBRICANTS North American Lubricants is a premier bulk lubricant supplier to the professional installed market. NAL was founded in 1999 with a focus on providing lube operators with high-quality, licensed products. Program options: Signage agreement Average start-up cost: Varies by region Advantages of North American Lubricants plan: Our company was founded by quick lube operators, and we offer the fairest and most flexible programs in the industry. Our goal is to structure each plan to suit the individual needs of each customer. We offer a diverse product line, including conventional, synthetic, eco friendly, chemicals and a host of other premium products. For more information, contact: Paul Pfauser, ppfauser@nalube.com, 5 NOLN

6 OILSTOP, INC. OilStop, Inc. was founded in 1988 and is based in Petaluma, California. Territory: Regional (West Coast & Southwest) Franchise fee: $30,000 Average start-up cost: $250,000 Royalty percentage required: 5% Individual qualifications: No experience preferred; net worth of $1,000,000 Advantages of OilStop plan: High level of guest satisfaction. High level of business management and control. Excellent service process and training materials. For more information, contact: Gary Woo SERVICE PRO All Service Pro products are designed to provide professional installers with exceptional quality and performance, coupled with the expertise and the support of a national network of licensed and approved distributors. Service Pro is based in Montrose, Colorado. Program option: License, signage agreement Territory: International, national Average start-up cost: To be determined with the AIOD member and operator. Individual qualifications: Determined by the local Service Pro distributor Advantages of Service Pro plan: Service Pro combines premium quality products, exceptional value and local distributor support to enable professional installers to operate more efficiently and profitably. Our plan is very open to the individual needs and circumstances of the operator because the AIOD member company who will be servicing the operator is key to determining the bulk of the agreement. This flexibility takes in all the necessary parts and pieces rather than a one-size-fits-all agreement like many other companies enforce. For more information, contact: Sherry Burr, sburr@newwestmarketing.com, SINCLAIR DINO LUBE Our size and competitively priced products make us flexible and a valued partner that will make the difference your business needs. Program option: License Average start-up cost: None Individual qualifications: Operators interested in the Sinclair Dino Lube program should be highly motivated, sufficiently capitalized and have expertise in the fast lube industry. 6 NOLN

7 Equipment: Top-of-the-line equipment. Signage: Fresh, inviting and long-lasting brand image. Brand standards with easy-to-follow guidelines. Advertising: Custom marketing materials and campaigns. Eye catching point-of-sale materials. Credit cards: Competitively priced credit card network. Proprietary cards that drive customer loyalty. Other: Professional, high-quality uniforms that last. Sinclair Dino image that everyone loves! Advantages of Sinclair Dino Lube plan: Sinclair is big enough to supply what you need, but small enough to give you prompt personal attention. The green dinosaur really cuts through the red tape. Sinclair has lasted more than 100 years because we produce only the highest quality lubricants, gasoline, diesel, jet fuel and asphalt. We are a family-owned business, and we believe in treating you like a part of the family which means we re always here for you. For more information, contact: Sinclair Lubricants Team, DINO (3466). SPEEDEE OIL CHANGE AND AUTO SERVICE With more than 30 years in the automotive service and repair industry, SpeeDee is proud to stand out as a leader with over 200 locations in the US and Mexico. We re continuing to expand and looking for progressive entrepreneurs with a strong desire to own and grow their own business. Territory: International, national Franchise fee: $30,000 license fee, 15-year agreement; $20,000 for Veterans with valid DD214 Royalty percentage required: 6% of gross sales Average start-up cost: $446,540-$456,370 Individual qualifications: $75,000 Training: Required training includes new franchisee on-site training, classroom training at the corporate office, and initial hands-on training. Ongoing training is available through FullSpeed Automotive University. Equipment: We identify all needed equipment and provide complete equipment package offerings. Also, help with order and installation process. Signage: Complete national sign program including sourcing, design and permitting. Advertising: 6% advertising fee. Site selection: Dedicated real estate department to assist in site selection process. Credit cards: National credit card processing program. Customer warranty: Nationwide service warranty provided to strengthen customer trust. Building design and construction: Several prototype options available. Financing: We work with a third-party to assist our franchisees in obtaining funding, if necessary. Very experienced in working with SBA lenders. Advantages of SpeeDee plan: Independently owned and operated turnkey opportunities with full support and fast growth. For more information, contact: Lori Schneider, loris@speedeecorp.com, 7 NOLN

8 TAKE 5 Take 5 Oil Change is expanding our successful and disruptive business from over 300 company owned stores by offering multi-unit franchise development opportunities nationally. Whether you are an existing quick lube operator looking to convert or looking to build a large portfolio of stores, please contact us right away so we can see if you might qualify. We leverage a proven, data-driven approach to all aspects of our business including real estate site selection, marketing, in-store operations, training, and store-level profitability management. Friendly people and fast oil changes., multi-unit franchise development Franchise fee: $35,000 Royalty percentage required: 3.5% in year one and 7% thereafter Average start-up cost: $637,000-$850,000 per location Individual qualifications: We are looking for multi-unit franchise partners that want to develop five or more locations. Franchise partners are required to have a net worth of at least $500,000 per location planned to develop, and liquid assets of $300,000 per location to be developed. Training: We provide a three-week hands-on training program for franchisee managing partners and a separate three-week program for franchisee store managers. Equipment: We have a set equipment package that is less than $40,000 per location. Signage: We have a national contract with a large sign company who gets our signs for a little less than $25,000 per location. Advertising: We leverage the marketing department for our 300-plus corporate stores. Big focus on digital and direct mail plus many fleet and hyper-local campaigns we will execute with our franchise owners. Site selction: We employ a sophisticated, data-driven approach based on numerous area, site and customer characteristics. Credit cards: We have a national account and preferential pricing with a large merchant services vendor. Customer warranty: Satisfaction guaranteed and free top-offs. Building design and construction: Our partners have access to the Real Estate and Construction teams that work every day on growing the Take 5 brand corporately. Financing: We have several third-party lenders that can assist with financing for our multi-unit franchisees. Advantages of Take 5 plan: 1) Attractive unit level economics 2) Simple operating model and focused menu designed to provide superior customer service. 3) Centralized buying power that can be passed on to the franchisees. 4) Proven, data-driven systems and procedures supporting real estate, marketing, operations and profitability. 5) No specialized or skilled labor required. 6) Huge white space to grow nationally. For more information, contact: Trey Hughes, trey.hughes@drivenbrands.com, 8 NOLN

9 VALVOLINE VALVOLINE EXPRESS CARE A proven independent quick lube system for 20 years, the Valvoline Express Care program now has over 330 stores operating within the U.S. and Canada. Valvoline and Valvoline Express Care are based in Lexington, Kentucky. Program option: Sales agreement Territory: International, U.S. and Canada Average start-up cost: Valvoline Express Care is an independent quick lube conversion program. Individual qualifications: Current quick lube operator and/or retail business background. Business financial and credit reviews are required. Advantages of Valvoline Express Care plan: The Valvoline Express Care program provides a premium retail image, business consultation and the strength of the Valvoline brand to the professional quick lube operator. As an Express Care owner, you have access to an Express Care Advisor with quick lube experience who can coach you and your team at your facility. The advisor reviews your store performance, compares it against industry benchmarks, then assists you in establishing short and long-term goals that grow your profitability. They help you pick from Express Care s selection of marketing tools and operations support in order to provide a tailored solution that achieves your goals. For more information, contact: Gayle McMillin, lgmcmillan@valvoline.com, VALVOLINE INSTANT OIL CHANGE Valvoline Instant Oil Change was founded in 1986 and is based in Lexington, KY. We currently have 1,242 company and franchise locations. Franchise fee: $30,000 Average start-up cost: $174,500 to $2,538,500, depending on whether real estate property and equipment are purchased or leased. Royalty percentage required: 4-6% on a graduated scale. Individual qualifications: Net worth $1,000,000; $600,000 liquid; the ideal franchise candidate is a successful businessperson, already a multi-unit operator or independent quick lube operator. Advantages of Valvoline Instant Oil Change plan: We are not just a franchisor; we are actually in the quick lube business. We own and operate 462-plus quick lube locations, which enables us to test and refine programs in our own stores and share best practices with franchisees. For more information, contact: Gayle McMillin, lgmcmillan@valvoline.com, 9 NOLN

10 VICTORY LANE We currently have 32 locations in five states with plans to expand in all 50 states, focused on states east of the Mississippi. Franchise fee: $39,500 for one unit. Discounted for three units $90,000. Discounted for five units $120,000. Royalty percentage required: 6% Average start-up cost: $200,000-$250,000 depending on location Individual qualifications: Net worth $250,000. Prefer business or management experience. Auto experience is not required. Training: Two weeks at headquarters with both classroom and in-store training; then, two to four days on-site for store opening Equipment: We have a complete turnkey equipment set up package and provide thirdparty vendors. Signage: We have a complete sign package and video surveillance setup program. Advertising: We help our owners prepare a 120-day marketing and advertising plan. Site selection: We provide site selection assistance and provide professional real estate service in the local market. Credit cards: We have a national program for setup and discounted credit card fees. Customer warranty: At the retail and store level, we guarantee our workmanship and ensure customer satisfaction. Building design and construction: We have a number of build-out options, including pre-engineered building programs. Financial assistance plan: We will provide franchise candidates with a business plan template. Financing: We will assist franchise candidates with SBA and other third-party financing programs. Advantages of Victory Lane plan: Lower investment and financing programs. For more information, contact: Jim Harrington, ext. 104 jharrington@victorylane.net, 10 NOLN