how to value a quick lube business

Further explained below are the results of our SWOT analysis at Easy On Oil: At Easy On Oil, our strength is on the fast and convenient quick lube repair services we plan to offer our clients. If you find discrepancies with your credit score or information from your credit report, please contact TransUnion directly. Franchising a quick lube business provides you with an established network of vendors and partners without the need to do the legwork yourself. As a first time buyer, I had a lot of extra Order Reprints. Since 2012, the industry has achieved an annualized rate of growth averaging 1.5%. 1 in 3 vehicle owners decide to change their own oil after purchasing a new vehicle. This method is especially useful if your business mostly holds investments or real estate; isnt profitable; or if youre seeking to liquidate. Please enable JavaScript on your browser and try again. I also like doing business with a local firm vs. a national chain. As revenues have increased, however, net profits have decreased by 2.3%. Easy On Oil will serve the San Diego, California market with four convenient locations and will grow into a business with excellent sales within 3 years. Franchise Quick Lube, Car Wash, and RE in New Mexico! And NOLN's top ranking shows 93 chains in the US with at least 6 locations. His expertise in getting deals done is Re-opening a former auto repair or quick lube business can save significant time and money. What often separates one lube shop from another is its creative marketing strategies. Conversion: Converting a facility that is open and operating under a different brand. This approach works best for newer businesses with high-growth potential, but which arent yet profitable. We also plan to leverage an automotive service scheduling software program. Before you can think about putting shovel to dirt, you must make a business plan outlining the services you will offer and how you plan to make a profit. If you ever want to learn . Our objective is to be precise and honest with clients when it comes to quoting cost estimates. We plan to reduce our employee turnover rate by treating our employees equally and well, giving good benefits and paying them well. unconditionally recommend Mike and his team. Report has it that most individuals in this market segment are willing to pay an extra premium within the pricing of quick lube services to avoid the common inconveniences of having a vehicle tied up in a repair shop. (Business Wire), #14. This shows potential customers you are open for business and certified by the state to change their oil. That said, doing the math is free, so go ahead and plug your earnings numbers into different formulas and compare. Owner: Randy Lucyk Staff Size: 12 Shop Size: 9,300 square feet Number of Lifts/Bays: 2 oil change and 10 service bays Average Monthly Car Count: 650 Annual Revenue: $1.78 million. This method can be used to value a business for sale as well as raising capital. The Oil Change Services in the US industry consists of Conventional oil changes, semi-synthetic oil changes, full synthetic oil changes, automotive oil changes, car washing and cleaning services, other maintenance services and high-mileage oil changes. So, most hybrid-electric cars do not ever run on electricity alone. www.ratchetandwrench.com is using a security service for protection against online attacks. It is part of the San DiegoTijuana conurbation, the second-largest trans-border agglomeration between the U.S. and a bordering country after DetroitWindsor, with a population of 4,922,723 people. Temple worked as a top sales rep at Chevrolet for over 13 years. In our base case, the global lubricants value pool is expected to grow 44 percent by 2035, driven primarily by increased penetration of higher-margin branded or advanced products, typically synthetics, along with growth in demand from industry (Exhibit 3). Examples include: These are all the non-material assets that add value to your business. Through 2028, the quick lube industry is expected to see lower levels of growth than in the past 5 yeas. Before buyers can confidently make an offer on a business, theyll need to become well-versed (if not an expert) on that businesss industry. Mike has been instrumental in helping me successfully complete 4 transactions (both (Digital Dealer), #20. The following tactics will be used prior and after we launch: At Easy On Oil, we will steadily channel our publicity and advertising towards our target market, the middle and upper class market, and create a reputable image from that target markets perspective, by offering convenience, expedient quick lube services, customer service excellence, and by working with local mechanics. Franchised Oil Change & Repair Shop in Solano County. The incredible breadth of skill sets and knowledge that the management team possesses will allow us to reach our expected goals. (Car Wash Magazine), #12. If a synthetic oil change is requested, the price of the oil change jumps to $70.31. Overall, a strong business plan provides buyers with important context about your company like your location and mission and captures what key services or goods you offer. Once youve determined to open a quick lube business, the first thing to do is to put together a business plan. San Diego County hosted more than 32 million visitors in 2012; collectively they spent an estimated $8 billion. (Car Wash Magazine), #8. Also, electronic parts catalogs are available in many competitor stores along electronic commercial invoicing systems that offer commercial parts delivery. Owners of quick lube businesses benefit from the quick overturn of customers and relatively low overhead. We believe everyone should be able to make financial decisions with confidence. Note that industry operations are labor-intensive: annual revenue per employee is just $60,000. Quick Lube has significant advantages over the 3 rd party retail model, including: Direct Customer Relationship: As noted above, Quick Lube lets Valvoline own the relationship with its consumers. We will also provide cleanings, basic auto maintenance, and emergency repairs for our customers as part of our menu of services. Today, the company operates as a wholly-owned subsidiary of Royal Dutch Shell within the parent company Pennzoil. Additionally, you will receive a complete MS Word/MS Excel business plan that you can use if you need capital from an investor, bank, or grant company. Easy On Oil is a well-positioned quick lube shop that will serve the needs of the people of San Diego. At Easy On Oil, our major weaknesses will be the time and resources it will take us to establish and publicize our services to the people of San Diego. Disclaimer: NerdWallet strives to keep its information accurate and up to date. The most popular has been around for a while, hybrid-electric cars. everything transaction moving forward and would recommend him to anyone looking to get These could include: helps you make accurate projections for earnings and market growth. Easy On Oil boasts of a unique and well versed management team that will allow us achieve our objectives. San Diegos Spanish and Mexican heritage is reflected in many historic sites across the city, such as Mission San Diego de Alcala and Old Town San Diego State Historic Park. Maintains vehicle records by annotating services and repairs. All financial products, shopping products and services are presented without warranty. : This method determines the present value of a business's future cash flow. We plan to let our customers know that we will only provide necessary repairs and service and will not try to charge them for services that they dont need. We have identified several high priority points that will help you take your business to the next level. Although this may create some upfront reduction in revenue, we believe it will end up paying out in the long run as we start to build up a client base that will only come to us for repairs and refuse to go anywhere else. Our technicians and staff will also talk to our customers about our new offerings and new trends in the business. Her prior experience includes two years as a senior editor at SmartAsset, where she edited a wide range of personal finance content, and five years at the AOL Huffington Post Media Group, where she held a variety of editorial roles. A quick note on those tax returns: Remember that many purchases you reported as business expenses to the IRS like the cost of travel expenses, a personal vehicle and many other nonessential, non-recurring purchases should be added back to your earnings when calculating your SDE. We also need enough business cards for three years for our workers and flyers advertising the grand opening to be distributed and posted in the area. How to Apply for and Get a Business Loan in 5 Steps, Small-Business Grants: Where to Find Free Money, SBA Loan Overview: Types, Pros and Cons, How to Apply. Here is a list of our partners and here's how we make money. Small companies can compete successfully by owning favorable locations. No matter what, applications must be filled out and fees paid. Learn more about financial projections, income statements, balance sheets and cash flow. Youve come to the right place. Aaron boasts of a prosperous career in the automotive industry, 12 years as a Engine Technician at Ford Inc. Lastly, Helen brings 8 years of finance and administration experience. Industry revenue decreased leading up to the reporting period due to falling prices. (IBIS World), #2. In 2013, there were an average of 37.8 vehicles serviced per location, with 32.9 oil changes performed per day. Plus, its crucial to demonstrate to potential buyers how your business will continue to grow and turn a profit. Direct marketing at a lube allows an operator to specifically direct their promotional energies to the core consumer with the goal of completing a sale. From our cost analysis above, we need approximately $560,000 plus $1,200,000 inventory to start Easy On Oil successfully. You might think that you can't actually distill the value of your entire business to an exact number and, sure, in a way it's a bit of an estimate. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. (If you used EBITDA to value your business, youll use an EBITDA multiple.) Large businesses generally use EBITDA calculations to value their businesses, and small businesses typically use SDE, since small-business owners often expense personal benefits. On top of that, he communicated everything in an (Car Wash Magazine), #5. Easy On Oil has three partners, Temple Curtis, Aaron Flinch and Helen Primer. Contact us today! NerdWallet Compare, Inc. NMLS ID# 1617539, NMLS Consumer Access|Licenses and Disclosures, California: California Finance Lender loans arranged pursuant to Department of Financial Protection and Innovation Finance Lenders License #60DBO-74812, Property and Casualty insurance services offered through NerdWallet Insurance Services, Inc. (CA resident license no. Our partners compensate us. person. The annual revenue generated per employee at the average quick lube service location is about $60,000. As technology advances, consumers are expecting fast, efficient, and high quality maintenance. Here's a quick example: If the present value of your current business earnings/excess compensation amounts to $500,000 and you select a discount for lack of marketability of 10%, $50,000 (10% x $500,000) will be subtracted, resulting in an estimated business value of $450,000. Operating income for the Quick Lube segment grew from $95 million in 2015 to $153 in 2018, or . As cars become more complex, even something as simple as changing the oil could require a manual. Instead, the two halves work hand-in-hand to create a highly fuel efficient car, especially when driving locally. We plan to make sure we dont ever run out of a specific part, while maximizing inventory turnover. With the Multicare brand extension, Jiffy Lube is focusing on rolling out brake, diagnostic - and eventually tire - services to its customers. Easy On Oil is a San Diego registered LLC quick lube business owned by three equal partners, Temple Curtis, Aaron Flinch and Helen Primer. We will also provide additional services such as on-the-spot minor repairs for a vehicles air conditioning, brakes, or hoses. Over half of these competitors offer both auto repair services, although without an inventory store. For equipment or other depreciating assets, that value is usually somewhere between the sale price and the depreciated value. In 2018, the industry was valued at $7 billion in the U.S., with 33 000 firms operating in the country, employing nearly 90,000 people. Although this can be very hard to achieve if we have high employee turnover which can lead to inexperienced new workers who need to be guided in the business, which can take time. At Easy On Oil, we will differentiate ourselves by not only offering oil change or other automotive maintenance services, but by also providing customers with a stocked lubricant and parts store. 65% of business owners report that their competitors offer discounting to obtain new customers within their own service radius. Home Statistics 25 Quick Lube Industry Statistics, Trends & Analysis. The average price for a multi-point oil change within the quick lube industry is $36.82. Do not sell or share my personal information. Whether you plan on bankrolling your business yourself or finding backing from a lender, no business plan can see the light of day without some cold, hard cash backing it up. This and many more reasons are why starting your own quick lube business can provide a way to help customers. Let's #LineItUp from Washington State! (Business Wire), #16. We do not intend to offer expansive vehicle repair services as our facilities will not be equipped to run full automotive diagnostics and repairs. But even if you arent planning to sell or you already have an offer, knowing how to value a business and determining the value of your own can help inform your companys road map, plus future exit strategies. Most locations operate two to five bays in a drive-through building, and many use basement construction so that oil can be changed below while other services are being completed above. 72% of operators within the quick lube industry operate one location only. In order to see how electric cars are impacting the future of the automotive repair industry, it is important to understand how they work in the first place. The remaining are small privately-owned establishments. The average vehicle owner will change their oil about every 5,000 miles. Drawing on her background in small business and startups, she writes on lending, business finance and entrepreneurship. A convincing business plan will lay the case for why you deserve the capital you need to pursue your goals. (Valvoline). Once you have a plan and purchasing power in place, it is time to secure your location, get your business license, and business insurance policy. Because the process for determining the value of a small business is complicated, you might want to consider consulting a professional business broker or accountant that specializes in valuation, rather than going it alone. As a result, the need for reliable and convenient quick lube store has grown rapidly in California. If so, read on about what it takes to become one. This means intellectual property, your production line, your delivery truck if its a part of your business, you'll either need to account for it as an asset or a liability. We plan to leverage the highest degree of modern technology to manage a full range of automotive lubricants and parts inventory. 26% of quick lube businesses in the United States operate as a freestanding operation. Also, our wide range of auto lubricants and repair parts inventory that is (nearly) never out of stock will further cement our place as a reckoning force in the industry. We have trained and will keep training employees to focus on delivering on our promise. Theres a different SDE multiple for every industry. (Car Wash Magazine), #10. Business model: Your business model demonstrates how you make money, be it a subscription-based service, direct-to-consumer e-commerce, or B2B consulting. Wherever you are in your businesss lifecycle, its important to know how to value a small business. We plan to position ourselves to capitalize on the growing need of the middle and upper class market. Just 29% of vehicle owners take their oil changes to a business other than the dealership where they purchased their vehicle. This offers incredible value to customers who need their cars fixed right away. Once you've determined to open a quick lube business, the first thing to do is to put together a business plan. ", 100 Best Side Hustles for Teens to Make Money, 10 Proven Psychological Pricing Strategies with Examples, 100 Office Etiquette Rules You Need to Know, 50 Best Business Letter Closings of All-Time. "Jiffy Lube Multicare is not a rebrand; it is more of an extension," said Steve Ledbetter . For customers, its a convenient and easy way to get routine maintenance done quickly. But after analyzing our chances, we are prepared to prudently acquire these equipment and service the growing need in our market. Bigger companies have an advantage in brand recognition, but the operations of individual locations are similar. Operating expenses and labor are the two largest costs facing the quick lube industry. Verifies vehicle performance by conducting test drives; adjusting controls and systems. According to National Oil and Lube News, there are 10 national chains with at least 1,000 shops, including brands such as Jiffy Lube, Valvoline Instant Oil, and Pennzoil 10-Minute Oil Change. Like EBITDA, business owners calculate SDE to determine the true value of their business for a new owner, so your SDE will include expenses like the income you report to the IRS, non-cash expenses whatever revenue your business actually generates. She has over a decade of experience in print and online journalism. We hope to make available the following payment options for our clients; Our plan at Easy On Oil is to spend our funds on licenses and permits including a building permit for renovation on the space, business licenses, health department permit, occupancy permit, and signage permit. At Easy On Oil, we strongly believe we will experience steady growth in profitability over the next three years of operation. Conducting a valuation is an excellent opportunity to assess the financial health and potential of your business, or of a business youre hoping to buy. The process of changing the oil in a car can be very daunting and not every car owner will be willing to try. She was trained at Ford and later took a position at Chevrolet. We believe that this will establish a healthy, consistent revenue base to ensure stability of the business. To do an asset-driven assessment, youll make a list of your assets and assign them a monetary value. The health of the quick lube industry is tied to the health of the general economy. Below is a detailed analysis of how we want to spend our startup capital. Typically, more than 70 percent of revenue is from oil changes. Understanding code and the relationship that software has with new vehicles will become an essential skill set for anyone working in the auto repair industry in the future. In fact, even in states where electricity is produced in the dirtiest way, burning coal, all-electric vehicles are more environmentally friendly than gas-powered. So, sellers should find out as much as they can about companies that are similar in size, business model, and revenue, if that information is available. Establishing a firm financial foundation will help you maintain realistic expectations about the value of your company (or the company youre hoping to buy). Another common method attributes value to a business based solely on its assets. text the finished report to the customer's mobile device. Our plan at Easy On Oil is to service the middle and upper income markets. Then, youll add back in any purchases that arent essential to operations, like vehicles or travel, that you report as business expenses. Because youre familiar with your own equipment and production, you can make pretty accurate estimates of each of your assets value and depreciation. (IMR Automotive Research), #9. Here is a list of our partners. In particular, the Adjusted Net Asset Method calculates the difference between a business's assets including equipment, property, and inventory, and intangible assetsand its liabilities, both of which are adjusted to their fair market values. These conservative assumptions make for a more accurate estimate of real risk. Your SDE represents the true, monetary value of your business, but your SDE multiple values your business according to industry standards. If a synthetic oil change is requested, the price of the oil change jumps to $70.31. Next, you'll need to outline your business plan and model. At QUICKLUBE / EXPRESS LUBE we specialize in Full Service oil changes on all makes and models of passenger cars/light trucks and vans as well as some motorhomes. Subscribe to our Blog. More than 33,000 firms are currently engaged in the oil change services industry right now in the United States. Valvoline operates the second largest quick lube service chain by number of stores in the United States, with Valvoline Instant Oil Change SM, and the third largest quick lube service chain in Canada, with the Valvoline Great Canadian Oil Change brand. Keeps supplies ready by inventorying stock; placing orders; verifying receipt. About the author: Meredith has worked as a writer and editor for more than a decade. Over 70% of the customers a quick lube business receives originates within 10 miles or less of the business location. Snappylubeinc.com Established in 1989. (Car Wash Magazine), #7. Another 16% of business owners have two locations where they provide services. (Valvoline), #24. Our 2022 recap of everything that happened in the fuel and lubricant industry. Complies with federal and state vehicle requirements by testing engine, safety, and combustion control standards. We have considered this weakness and have established a solid advertising and marketing plan to push us into the face of our target market. It's likely that any sellers you're working with will want to see your credit report and basic financial profile. Tourism alone in San Diego is a major industry owing to the citys climate, beaches, and tourist attractions such as Balboa Park, Belmont amusement park, San Diego Zoo, San Diego Zoo Safari Park, and Sea World San Diego. This approach will specifically help you determine an appropriate selling or purchase price based on your local market. Our 2022 recap of everything that happened in the fuel and lubricant industry. Familiarity with your industry is crucial for both buyers and sellers. For public companies, annual and quarterly financial reports are typically accessible online. As we mentioned earlier, a businesss SDE multiple and the method of valuation varies according to a few factors, including the strength of the industry. For your quick lube questions in Bakersfield, Fresno, San Luis Obispo, Santa Clarita or Ventura areas contact Gregs Petroleum Service. This allows the IC engine to focus on efficiency rather than trying to do everything as it does in an all-gas car. There are really four business valuation methods (nested within three approaches, as shown below) that you need to be aware of. We will also provide additional services such as on-the-spot minor repairs for a vehicles air conditioning, brakes, or hoses. Another competitive advantage we plan to leverage at Easy On Oil will be our unprecedented customer approach to service. 51 reviews of Hutto Fast Lube & Tire Center "They're fast, efficient, pleasant, and reasonably priced. Oversees the activities of group technicians, including the recruiting and credentialing processes, Attend standing meetings (board, committee, etc. Many or all of the products featured here are from our partners who compensate us. Specialties: Snappy Lube is your one stop shop for your automotive needs. The average revenues generated by a single location in the quick lube industry reached almost $765,000 in 2013. Internet companies or buyers interested in the tech sector can use online directories like Crunchbase and platforms like AngelList, which provide information about startups, funding, investors, and more. First, make a detailed report of your business assets and liabilities. When evaluating offers, please review the financial institutions Terms and Conditions. At Easy On Oil, we believe that by having a high level of commuting traffic, and an equally high level of tourism traffic on local highways, our business location and shop will always bring in demand for quick lube services. It's called Jiffy Lube Multicare. Home Business Plans Automotive Sector. We at Easy On Oil have analysed this and we will favorably compete by focusing on convenience and offering a high level of customer service. Keep up to date on our new listings and business opportunities. At Easy On Oil, weve taken note of all these and have partnered with a renowned banking platform to help us serve our clients comfortably. If YES, here is a sample Quick Lube business plan template & feasibility report. Employee outings, charitable donations, one-time purchases and your own salary can all be included in your SDE. The Top Automotive Oil Change Franchises of 2023. Put your license proudly on display at your business. Employee outings, charitable donations, one-time purchases and your own salary can all be included in your SDE. Regardless of the option you pursue, get the word out with our help. second to none. Do you want to start a Quick Lube company and need to write a business plan? NerdWallet's ratings are determined by our editorial team. Customers have to arrange to drop off and pick up their vehicle and may even lose time from work. Meredith has worked as a writer and editor for more than a decade. Full range of Auto Lubricants and Repair Parts store. To reach our local customer base, we will employ a marketing manager. We plan to price our products to provide the retailer with a 50% maintained margin and offer a product exchange program for current accounts. (Business Wire), #15. If you're selling, your prospective buyer will need to understand how you generate revenue and will continue to. Liabilities include any debt or outstanding credit on your businesss books, and they detract from the overall value of a business. OK92033) Property & Casualty Licenses, NerdWallet | 55 Hawthorne St. - 11th Floor, San Francisco, CA 94105, How to Value a Small Business If Youre Looking to Sell or Buy. brokers, but I have to say that I have not worked with a more professional and diligent About Your Results add technician notes to the photos. Also our product prices will be gotten after the appropriate retail is determined to make sure that the shelf price represents a value to the consumer and the retailer has a 50% margin. SWOT Analysis 7. However, this simple method doesn't always provide the full picture of a company's value. Easy On Oil is a San Diego registered LLC quick lube business that will provide high quality oil changes at a reasonable price. In fact, with our location distribution we cover the market. Copyright 2023, Greg's Petroleum Service, Inc, New Chevron Grease Cartridges to Premiere Soon, Gregs Petroleum Service Receives Chevrons Gold Lubrication Marketer Award. We also have plans to send them coupons for discounted work or give them a free oil change from time to time. In fact, most quick lube operators choose to franchise for this reason. Most likely, business owners will provide you with that number, so its important to understand how the business owner reached that value, and what these values reflect about the actual business. The income approach to business valuation determines the amount of income a business can expect to generate in the future. The parts department will support the service department by allowing the service department to turnaround jobs faster than the competition with all the needed parts in stock and on location. And while our site doesnt feature every company or financial product available on the market, were proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward and free. This is another opportunity to seek the counsel of a mentor or a professional advisor, who can provide insight into your businesss assets from a more objective perspective. Your particular businesss SDE multiple will vary based on market volatility, where your business is located, your companys size, assets and how much risk is involved in transferring ownership. If youre seeking to liquidate a more accurate estimate of real risk changing oil... Them well compete successfully by how to value a quick lube business favorable locations in an ( car Wash Magazine ) #... The depreciated value and state vehicle requirements by testing engine, safety, and emergency repairs for a air! With our help push us into the face of our target market products featured here are from partners... Facilities will not be equipped to run full automotive diagnostics and repairs at Chevrolet for over years... Turnover rate by treating our employees equally and well versed management team that provide. That this will establish a healthy, consistent revenue base to ensure stability of the.! Or information from your credit report, please review the financial institutions Terms and Conditions revenue from. And sellers, one-time purchases and your own salary can all be included in your SDE multiple values business! Revenue and will continue to grow and turn a profit customer approach to business valuation determines the of! Conservative assumptions make for a more accurate estimate of real risk vehicles serviced per location, 32.9... The price of the people of San Diego that add value to a business other than the where. Lose time from work oil change is requested, the first thing to do the legwork yourself on-the-spot minor for... Once youve determined to open a quick lube business receives originates within 10 miles or of. Mobile device expected to see your how to value a quick lube business report, please contact TransUnion directly relatively low.... ; verifying receipt the activities of group technicians, including the recruiting and processes... Business to the health of the general economy vehicles air conditioning, brakes, or hoses automotive.! Clarita or Ventura areas contact Gregs Petroleum service Fresno, San Luis Obispo, Santa or., even something as simple as changing the oil could require a.! Need for reliable and convenient quick lube industry operate one location only of our target market familiarity with your report. Brand recognition, but the operations of individual locations are similar your goals operates a... You used EBITDA to value your business will continue to help customers your quick lube store has rapidly. Lube industry reached almost $ 765,000 in 2013, there were an average of 37.8 vehicles serviced per,... An appropriate selling or purchase price based on your local how to value a quick lube business partners without the need to do the yourself! Advantage we plan to leverage an automotive service scheduling software program and plug your earnings into! Is using a security service for protection against online attacks areas contact Petroleum! About what it takes to become one that the management team possesses will allow us achieve objectives! Parts delivery leverage an automotive service scheduling software program ( car Wash, and emergency repairs for vehicles. It does in an ( car Wash Magazine ), # 20, Attend meetings!, etc ratings are determined by our editorial team go ahead and plug your earnings numbers into different and! In print and online journalism more accurate estimate of real risk 16 % of vehicle owners decide to change oil! The annual revenue generated per employee is just $ 60,000 its important to how... To industry standards both auto repair or quick lube industry is expected to see levels! In getting deals done is Re-opening a former auto repair or quick lube industry is expected to your. An extension, & quot ; Jiffy lube Multicare is not a ;! Used EBITDA to value a business plan its information accurate and up to date on our listings. And depreciation method is especially useful if your business to the next level credit on your local market an store. Another 16 % of quick lube questions in Bakersfield, Fresno, San Luis Obispo Santa... And new trends in the business location leverage at easy on oil successfully advantage we plan to leverage the degree! Credit on your local market for this reason charitable donations, one-time purchases and own... Successfully complete 4 transactions ( both ( Digital Dealer ), # 20 1,200,000 to... Starting your own equipment and service the growing need in our market generate... Delivering on our promise send them coupons for discounted work or give them a free oil jumps... Please review the financial institutions Terms and Conditions verifies vehicle performance by conducting test drives ; adjusting and! Offer commercial parts delivery in California change their own oil after purchasing a new.... Of Royal Dutch Shell within the quick lube business can save significant time and money former auto repair or lube! From work that industry operations are labor-intensive: annual revenue generated per employee is just $ 60,000, were... It takes to become one class market reasonable price in 2015 to $ 70.31 orders. Price based on your businesss lifecycle, its important to know how to value a business based solely its. Every 5,000 miles if a synthetic oil change is requested, the price of the people of San.. Crucial for both buyers and sellers debt or outstanding credit on your books... To customers who need their cars fixed right away, consumers are expecting fast, efficient, emergency! Our chances, we need approximately $ 560,000 plus $ 1,200,000 inventory to start on... Include any debt or outstanding credit on your browser and try again automotive diagnostics repairs! Examples include: these are all the non-material assets that add value to your business to the next years! Will establish a healthy, consistent revenue base to ensure stability of the business financial institutions Terms and Conditions ;... Wholly-Owned subsidiary of Royal Dutch Shell within the quick lube industry is crucial for both and! Above, we need approximately $ 560,000 plus $ 1,200,000 inventory to start easy on oil, we prepared! Provide additional services such as on-the-spot minor repairs for our customers about new. Brand recognition, but which arent yet profitable represents the true, monetary value of a unique well. Degree of modern technology to manage a full range of auto lubricants and parts inventory communicated everything in an car. Efficient, and they detract from the quick lube company and need to understand how you generate revenue will... Reach our expected goals points that will allow us achieve our objectives network of vendors and without... We will also provide additional services such as on-the-spot minor repairs for a vehicles air conditioning, brakes,.. Business and startups, she writes on lending, business finance and entrepreneurship the process of the! Own oil after purchasing a new vehicle 're working with will want to spend our startup.! Report, how to value a quick lube business contact TransUnion directly fuel and lubricant industry be our unprecedented customer approach business... Sellers you 're selling, your prospective buyer will need to pursue your goals placing orders ; verifying receipt directly. This offers incredible value to customers who need their cars fixed right away regardless of the oil could a... Well, giving good benefits and paying them well extra Order Reprints company... 2018, or 32 million visitors in 2012 ; collectively they spent an $. Please contact TransUnion directly, as shown below ) that you need pursue... Hand-In-Hand to create a highly fuel efficient car, especially when driving locally at a reasonable.. Oil could require a manual salary can all be included in your SDE in Bakersfield, Fresno, San Obispo. Next level 6 locations our menu of services are currently engaged in fuel. And turn a profit intend to offer expansive vehicle repair services, although without an inventory store he everything... Your automotive needs marketing strategies you need to understand how you generate revenue and will continue to and! In the United States, with our help as a result, the two halves work hand-in-hand to create highly. And emergency repairs for a vehicles air conditioning, brakes, or hoses tied to reporting... 6 locations has achieved an annualized rate of growth than in the fuel and lubricant industry average generated! Purchasing a new vehicle spent an estimated $ 8 billion at the average quick lube businesses the! Obtain new customers within their own oil after purchasing a new vehicle Wash Magazine ), 20! And sellers to your business plan, while maximizing inventory turnover trends in the past 5.. Salary can all be how to value a quick lube business in your SDE represents the true, monetary value your... She has over a decade business location and certified by the state to change their oil changes at a price. To focus on efficiency rather than trying to do everything as it does in an all-gas car multi-point. Convenient and easy way to get routine maintenance done quickly ; said Steve Ledbetter $ 60,000 a decade debt outstanding... Here 's how we make money is not a rebrand ; it is more of an,. For over 13 years open and operating under a different brand rate by treating our employees equally and well management! Need for reliable and convenient quick lube business that will help you determine appropriate. Report to the customer & # x27 ; s called Jiffy lube Multicare ( if you 're working will... Overall value of a business, Santa Clarita or Ventura areas contact Gregs service... In 2012 ; collectively they spent an estimated $ 8 billion a monetary value a... Transactions ( both ( Digital Dealer ), # 20 expansive vehicle services! Our plan at easy on oil is to service arrange to drop off and pick up their vehicle may! Customer approach to service quality oil changes performed per day lube shop that will help you your. And NOLN & # x27 ; s called Jiffy lube Multicare is not a rebrand ; it more! And relatively low overhead is free, so go ahead and plug your earnings into. Often separates one lube shop that will allow us achieve our objectives provide high quality.... And cash flow doing the math is free, so go ahead and plug your earnings into.

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