2015 Guide. Programs & Franchises. to Fast Lube AUTO-LAB CASTROL (BP LUBRICANTS) CHEVRON HAVOLINE XPRESS LUBE

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1 2015 Guide to Fast Lube Programs & Franchises Opening a new fast lube or changing a fast lube 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 that are 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 National Oil & Lube News TOPS in the Fast Lube 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. AUTO-LAB and support. The Castrol Co-Branding Program is also available for customers who want to identify with the Castrol brand. Territory: Regional - Midwestern & Southeastern States Franchise fee: $30,000 Royalty percentage required: 6% Fast lube option: License agreement, signage agreement Advantages of Auto-Lab plan: At Auto-Lab, we provide a professional approach to today s automotive technology. By combining proper diagnoses, excellent repair work and total commitment to the customer, Auto-Lab Complete Car Care Centers has established itself as a reputable, efficient and professional automotive repair organization. Advantages of Castrol plan: Castrol s portfolio of quick lube programs means you can find the right program to meet your needs. The Castrol brand name means you offer a full line of leading, premium synthetic and conventional motor oils, as well as a wide range of automotive ancillary products and heavy-duty lubricants. All of this means you have a partner to help grow your business. For more information, contact: Dave Ziolkowski, CASTROL (BP LUBRICANTS) BP Lubricants USA Inc. builds business partnerships with its independent lube center customers by delivering premium products, unparalleled marketing efforts, extensive training and value-added programs. The Castrol portfolio of quick lube programs includes Castrol Premium Lube Express for operators interested in harnessing the power of a nationally consistent image and the highest level of programs For more information, contact: Kate Weis, kate.weis@bp.com n CHEVRON HAVOLINE XPRESS LUBE Chevron s Havoline xpress lube is a fully-branded, nationally recognized and supported oil change program without franchise/royalty fees. It is one of the most attractive fast lube images available on the street today. Fast lube option: License agreement 14 NOLN NOL_1-33.indd 14 12/17/14 8:33 AM

2 Advantages of Havoline xpress lube plan: Chevron s Havoline xpress lube is the sharpest quick lube on the street. We offer a relationship with people and a company you can trust; a fully-branded image and a program without franchise or royalty fees; endorsement by the Chevron master brand; and access to Havoline, Delo, and Techron product lines. This program is comprehensive, competitive, cost-effective and easy to implement. It features the resources, products, promotions, merchandising materials, brand support, credit card program, training, and warranty for an installer to run a successful quick lube. Chevron supports an active Havoline xpress lube Operator Council to provide input for further program growth and success in the marketplace. For more information, contact: Larry Russell, lrus@chevron.com n A Chevron Company Service Chevron U.S.A. Inc. All rights reserved. All trademarks are the property of Chevron Intellectual Property LLC or their respective owners. CITGO PETROLEUM CORP. CITGO s Fast Lube program is provided by CITGO for use by their independently owned distributor base for their customers. CITGO is based in Houston, Texas, and is a leading refiner, transporter and marketer of transportation fuels, lubricants, petrochemicals and other industrial products. Territory: International, national Advantages of CITGO Lube plan: Franchise-quality program without associated royalty costs. Focus on providing business tools and flexibility to build a long-term, profitable business relationship. For more information, contact: Ruben Terry, wterry@citgo.com n EXPRESS OIL CHANGE Express Oil Change was founded in 1979 and is based in Birmingham, Alabama. Territory: Regional; South, Southeast, MidAtlantic, Southwest, Midwest Franchise fee: $35,000 Average start-up cost: $1,500,000 to $1,800,000 Royalty percentage required: 5% Individual qualifications: $350,000 liquid capital, $500,000 net worth. No previous automotive experience necessary. Advantages of Express Oil Change plan: We have been in business since We have more than 200 stores with a highly successful track record; our stores are differentiated by the fact that we do a 10-minute oil change while the customer waits in their car. We also do mechanical work on cars that most of the quick lube stores don t, such as tune-ups, tires, brakes, A/C and general repairs, making us a convenient one-stop shop. For more information, contact: Donald Larose, dlarose@expressoil.com n EXXONMOBIL Discover Mobil 1 Lube Express one of the fastest growing quick lube chains in the United States and part of 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 handson product and sales training and a solid marketing program to provide you with all the tools needed to help increase tickets and profits. Fast lube option: License agreement, signage agreement Territory: International Average start-up cost: $15,000 - $20,000+ Individual qualifications: Two drive-through bays (pits preferred), the location not be within a three mile radius of another Mobil 1 Lube Express and a minimum of 30 cars per day for new operators and a minimum of 25 per day for existing operators. Advantages of ExxonMobil plan: Mobil 1 Lube Express can help independent installers grow their businesses by enabling them to leverage the power of Mobil 1 the world s leading synthetic motor oil brand as customers synthetic and premium lubricants needs increase. For more information, contact: Thomas Neuner, Ask-Mobil ( ) mobil1lubeexpress@exxonmobil.com GO GREEN OIL CHANGE CENTER Fast lube option: Partnership Territory: International Franchise fee: Partnership fee depends on location, volume, etc. Average start-up cost: $100,000 with existing location. Royalty percentage required: 8-12% Individual qualifications: Experience, green conscience and a good track record in the quick lube industry. Advantages of Go Green Oil Change Center plan: Go Green Oil Change Center will offer a complete line of earth-friendly motor oils, with the main objective always being as green as possible. For more information, contact: Cole Hutcheson, or cole@gogreensmokelessoil.com n 16 NOLN NOL_1-33.indd 16 12/17/14 10:22 AM

3 GREASE MONKEY FRANCHISING The Grease Monkey concept was founded in 1978 and is based in Greenwood Village, Colorado. Grease Monkey currently has 288 locations. The company s plan is available in the United States, Columbia 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: $125,000-$140,000 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 Advantages of Grease Monkey plan: Turnkey quick lube franchise opportunity with fast growth. For more information, contact: Jeff King, jking@greasemonkeyintl.com JIFFY LUBE INTERNATIONAL Jiffy Lube International, Inc., with more than 2,000 franchised service centers in North America, serves approximately 22 million customers annually. Territory: U.S. Franchise fee: $10,000 upon signing the Franchise Agreement, $25,000 on the 15th day of the first full month after the service center opens. Average start-up cost: $221,000-$400,000, not including real estate Royalty percentage required: 0% of gross sales for the 1st 6-month period of operation, and 3% of gross sales thereafter (includes a 1% prompt pay discount) Individual qualifications: Net worth of $450,000 without personal residence, $150,000 liquid. Advantages of Jiffy Lube plan: Jiffy Lube offers a secure, proven business model and the support needed to help you grow your business. For more information, contact: Jiffy Lube, jiffy-lube-development@shell.com KWIK INDUSTRIES Kwik Industries, Inc. was founded in 1984 and has completed more than 368 fast lube, lube/tune and carwash facilities nationally. Kwik Industries, Inc. is based in Dallas, Texas. Franchise fee: No License Fees on locations constructed by Kwik Industries, Inc. Contact Kwik for options on licensing existing facilities. No Franchise Fees. Average start-up cost: $2,500,000 with 15-20% down Individual qualifications: Good credit and experience dealing with people Advantages of Kwik Industries plan: No franchise fees or royalties. Owned and operated by individual owners. For more information, contact: Ray Ellis, ray@kwikind.com MYSTIK SERVICE CENTER/TRUCK LUBE An opportunity for a changing marketplace the landscape is full of providers who have been offering the same services to the same automotive customers for years. Advantages of Mystik Service Center plan: With a bold and distinctive brand scheme, Mystik Service Centers address the needs of both commercial fleets and automotive consumers under one roof. For more information, contact: Ruben Terry, wterry@citgo.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. 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: Brian Davis, bdavis@nalube.com Fast lube option: License agreement January 2015 NOLN 17

4 OIL CAN HENRY S An innovative quick lube industry leader, Oil Can Henry s was founded in 1988 and is based in Tualatin, Oregon. Oil Can Henry s, which has built a strong brand as The One You Can Trust, has 90 centers. Franchise fee: $25,000 Average start-up cost: $237,000-$300,000 Royalty percentage required: 5.5% Individual qualifications: $300,000 liquid; $750,000 net worth without residence For more information, contact: Marsha Emerson, info@oilcanhenry.com OILSTOP, INC. OilStop, Inc. was founded in 1988 and is based in Petaluma, California. Territory: Regional; West Coast & Southwest Franchise fee: $35,000 Average start-up cost: $250,000 Royalty percentage required: 5% Individual qualifications: No experience preferred; net worth of $1M 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, franchising@oilstopinc.com oilstopinc.com PHILLIPS 66 LUBRICANTS Lube Shop is a fast lube program from Phillips 66 designed to help operators open, or enhance, successful, profitable fast lubes. The Lube Shop program is offered through Phillips 66 Lubricants Marketers and features Conoco, Phillips 66, 76 Lubricants and Kendall Motor Oil. The Program is designed to provide flexibility to accommodate the diverse needs of independent operators. Advantages of Phillips 66 Lubricants plan: Branded program provides access to all four Phillips 66 Lubricants brands. Opening a Lube Shop gives you a trusted name to stand behind, as well as access to a full line of Conoco, Phillips 66, 76 Lubricants and Kendall Motor Oil, fluids and greases. From synthetics and synthetic blends to high-mileage oils, innovative, high-quality products and trusted brands are available to help build a successful lube business. The program is designed to be flexible to accommodate the needs of independent operators. For more information, contact: lubricants@p66.com * Phillips 66, Conoco, 76 Lubricants, Kendall and their respective logos are registered trademarks of Phillips 66 Company in the U.S.A and other countries. QUAKER STATE Quaker State introduces a program that can help grow your business, the Quaker State We Feature Installer program. The We Feature Installer program gives you competitive pricing and signage support, as well as the backing of Quaker State technology and marketing programs to help you drive traffic, retain customers and increase your profitability. Fast lube option: Sales agreement, signage agreement Territory: U.S.; Regional focus Average start-up cost: Not applicable Individual qualifications: Flexible Advantages of We Feature program: The We Feature Installer Program includes competitive pricing; signage lease funding; media/ promotional support; and award-winning training support, as well as the opportunity to leverage your association with Quaker State, one of the nation s top lubricant brands. QUICKCHANGE For more information, contact: Quaker State Brand Management, QuickChange was founded in 1997 and is based in Cleveland, Ohio. Turnkey modular oil change units are also available. Territory: Regional Franchise fee: $25,000 Average start-up cost: $225,000 Royalty percentage required: 6% Individual qualifications: Ability to invest $250,000 and liquid assets of $75,000 Advantages of QuickChange plan: More than 20 years of experience in the fast lube business; 11 operating stores in the Cleveland, Ohioarea and two operating franchises. For more information, contact: Tim LaGanke, Jr., gank@quickchangeoil.com 18 NOLN

5 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. Fast lube option: License, signage agreement Territory: International Average start-up cost: Varies 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. In an industry that has many installers competing with the same brands in the same markets, Service Pro brings a new opportunity to increase profits, services and stand out in the crowd. Distinctive exterior and interior imaging, premium formula lubricants, professional maintenance chemicals, OEM series filters, coolants/antifreeze and a complete offering of accessories provide a tremendous advantage for the Service Pro featured fast lube operator. For more information, contact: Sherry Burr, SHINN BUILDINGS Albert Shinn has been in the business of building glass carwash and quick lube structures and equipment since Our companies have the most value-packed lube and carwash buildings available anywhere. Fast lube option: Other Territory: International, national, regional Average start-up cost: $95,000-$750,000 Individual qualifications: None Advantages of Shinn Buildings plan: Pre-engineered buildings have a lower cost, better quality and save time. For more information, contact: Albert Shinn, alshinn@aol.com SINCLAIR DINO LUBE The Sinclair Dino Lube program was founded in Fast lube 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. Advantages of Sinclair Dino Lube plan: The Sinclair Dino Lube program offers opportunities to independent quick lube operators looking for extra support from a trusted brand. Sinclair s wellrecognized and nearly 100-year-old brand and dinosaur trademarks add prestige and confidence to any location, but without the pressure of big name lube centers. Because we trust our independent operators to successfully maintain their business, we offer flexibility and limited support to Dino Lubes. The Dino Lube program does assist locations with POS materials, co-op advertising and connects every location to the vast, nationwide Sinclair credit card network. Enjoy a strong brand image combined with quality products at competitive pricing. For more information, contact: Tanner Bickley, VALVOLINE VALVOLINE EXPRESS CARE The Valvoline Express Care program now has over 320 stores open within the U.S. and Canada. Valvoline and Valvoline Express Care are based in Lexington, Kentucky. 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 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 select from Express Care s selection of marketing and training tools in order to provide a tailored solution that achieves your goals. For more information, contact: Gayle McMillin, or lgmcmillin@ashland.com VALVOLINE INSTANT OIL CHANGE Valvoline Instant Oil Change was founded in 1986 and is based in Lexington, Kentucky. We currently have 929 locations in 41 states, with room to grow in many markets. Franchise fee: $30,000 initial franchise fee Average start-up cost: $200,000-$1,700,000, depending on whether real property and equipment are purchased or leased. 20 NOLN

6 Royalty percentage required: 4-6% Individual qualifications: Net worth of $600,000-$1,000,000; liquid assets of $300,000 for lease locations. Individuals considering the development of new ground up facilities may require additional capital and/or credit capacity. Operators should have solid business experience and strong customer service focus. Advantages of Valvoline Instant Oil Change plan: We own and operate 272 of our quick lube locations, which means our franchisees benefit from our investment in the resources, tools, infrastructure and support systems to drive results at store level. Additionally, we re backed by the brand power of Valvoline and its 140 years of innovation, technology and industry knowledge. We offer training, talent management tools, marketing assistance, a state-of-the-art POS system, customer care support and franchise business consultants who have an average of 14 years of experience in the quick lube industry. For more information, contact: Gayle McMillin, lgmcmillin@ashland.com Lube-Plus Programs In addition to the many great programs available to current and prospective fast lube operators, there is also an increasing number of what we call lube-plus programs. These are companies that offer a program that focuses on holistic car care. Below is a list of those companies that responded to our request for information. HONEST-1 AUTO CARE The Honest-1 brand is developed through superior training, support and a vast array of franchise offerings. We are the country s most trusted family of automotive maintenance and repair centers and currently have 44 operating locations in the U.S. Franchise fee: $35,000 Royalty percentage required: 6% and a 1% ad fund Average start-up cost: $169,975 - $457,975 Individual qualifications: $500,000 net worth, $150,000 liquid capital. Advantages of Honest-1 Auto Care plan: Customer-centric model. Exceptional service and a commitment to honesty and integrity builds customer trust and loyal relationships. 100% eco-friendly. As environmental responsibility becomes even more important, Honest-1 is the clear choice for consumers who prefer green options. Recessionproof. There will always be a demand for quality automotive care, no matter what the economic situation. Proven franchise model. Honest-1 franchise owners benefit from a finely tuned model that helps maximize potential and profit. Comprehensive training and support. From our intensive training and certification programs to efficient marketing campaigns, we ll support you with the tools and resources you need at every step. Attractive lifestyle. With sane business hours and steady business demands, Honest-1 franchise owners can create a lifestyle that works for them. For more information, contact: Chip Baranowski, info@honest-1.com MEINEKE CAR CARE CENTERS Meineke provides the opportunity to work with an established and proven automotive franchise company that provides extensive automotive business training and field support. Meineke Car Care Centers have nearly 1,000 automotive franchises open worldwide. Territory: International, national, regional Franchise fee: $30,000 Average start-up cost: $200,000-$250,000 Royalty percentage required: 3-7% (based on gross revenue on identified categories) Individual qualifications: No automotive experience required. $250,000 net worth, 25-30% cash injection, credit score of 675 or better. Advantages of Meineke Car Care Centers plan: The automotive repair industry is booming and Meineke continues to be one of the most trusted and recognized brands in our industry. For more information, contact: Olivia Nota, olivia.nota@meineke.com MILEX COMPLETE AUTO CARE Milex has been repairing vehicles for 40-plus years. We offer a superior business system and customized marketing and support services that provide entrepreneurs with the means to capture their share of the billions of dollars being spent annually on automotive repairs. At Milex, we believe that being honest in the work we do and with the people around us is the only way to do business. Franchise fee: $30,000 Average start-up cost: $167,359-$251,372 Royalty percentage required: 7% Individual qualifications: Net worth of $250,000-plus with $50,000 liquid capital available. Milex is looking for people who enjoy the automotive industry but experience isn t required. They must enjoy the retail environment and have good people skills with sales ability. They need to have a good work ethic, be skilled at team building and possess integrity and ethics. They have to know basic business skills, have a positive track record in other industries and be a self-starter that takes initiative with a positive attitude. Advantages of Milex Complete Auto Care plan: Proven management system, co-branding opportunities and excellent support system. Milex has been repairing vehicles for 40-plus years. We offer a superior business system and customized marketing and support services that 22 NOLN

7 provide entrepreneurs with the means to capture their share of the billions of dollars being spent annually on automotive repairs. At Milex, we believe that being honest in the work we do and with the people around us is the only way to do business. For more information, contact: Ben Reist, n PRECISION TUNE AUTO CARE We are the recognized experts in automotive systems worldwide. What started as a small tune-up shop in Beaumont, Texas, in 1976 has grown to become a recognized global leader in the auto service industry providing diagnostics, scheduled maintenance and repairs. Our brand proposition can best be described as the successful combination of customer care and car care services., license agreement Territory: International, national Franchise fee: $25,000 (domestic) Royalty percentage required: 6 to 7.5% plus 1.5% advertising fee. Average start-up cost: $120,000-$225,600 Individual qualifications: $350,000 net worth; potential candidates should have strong business management background; automotive background helpful. Advantages of Precision Tune Auto Care plan: PTAC offers a proven operating system, effective brand leadership, turnkey marketing and advertising programs, a 24/7 Intranet community and world-class training and certifications. For more information, contact: Lee Oppenheim, ext. 211 lee.oppenheim@precisionac.com n Thanks to all the companies who participated. If you were not included and would like to be, please Amanda Bowman at amanda.bowman@noln.net or call January 2015 NOL_1-33.indd 23 NOLN 23 12/17/14 11:26 AM