Speedee Oil Change & Auto Service Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$291,320 - $1,972,033
Franchise Fee
$20,000
Total US Locations
75
Business Summary
SpeeDee Oil Change & Auto Service businesses provide oil changes and preventive maintenance services for cars and trucks to the general public. SpeeDee Centers offer automotive oil and lubrication services, along with preventive checks and fluid fills, and other approved automotive maintenance and repair services. Customers do not need to schedule appointments, and SpeeDee Centers commit to providing services within a specified timeframe. Additionally, SpeeDee Centers are required to offer brake services and sell select automotive products.
Corporate History
SpeeDee Worldwide, LLC was initially incorporated as SpeeDee Worldwide Corporation on February 1, 2008, and later converted to a limited liability company on January 30, 2017. SpeeDee, along with its predecessors and affiliates, began offering franchises for SpeeDee Centers in 1982. The company operates under the names SpeeDee Worldwide, LLC, SpeeDee Oil Change & Auto Service, and SpeeDee. Its parent company is MidOcean FSA Holdings, L.P., which also has interests in other automotive and service brands like Grease Monkey and Kwik Kar.
Financial Overview
Investment Range
$291,320 - $1,972,033
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$39,900
Royalty %
6%
Marketing %
0.5%
Equipment Costs (Low)
$160,450
Equipment Costs (High)
$1,683,300
Working Capital
$55,000
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
MidOcean FSA Holdings, L.P., the parent company of SpeeDee Worldwide, LLC, has experienced consecutive years of operating and net losses for the fiscal years ended December 28, 2024, and December 30, 2023. Specifically, the net loss for 2024 was approximately $54.6 million, and total revenues decreased by $9.5 million compared to 2023. These losses are attributed to a deteriorating economic environment, including increased labor costs and rising interest rates. Despite these financial challenges, the Partnership performed a valuation as of December 28, 2024, and determined that no impairment of goodwill had occurred. The Partnership also believes there are no conditions or events that raise substantial doubt about its ability to continue as a going concern.
Financing Details
SpeeDee Worldwide, LLC does not offer direct or indirect financing to franchisees, nor does it guarantee franchisee notes, leases, or obligations. However, its affiliate, SpeeDee Worldwide Realty Corporation (SWRC), may sublease properties for SpeeDee Centers, particularly for existing centers acquired through a transfer. Under such a sublease, rent is typically the greater of a fixed minimum (which includes a 5% markup for administrative costs) or 5% of gross revenues, plus construction or renovation costs amortized over the lease term. The sublease requires a security deposit equal to one month's rent and taxes. The term of the sublease mirrors the third-party head lease. Personal guarantees from the franchisee and their spouse are required for the sublease. No prepayment penalties are mentioned, and no security interest is taken by SWRC.
Performance Metrics
Total US Locations
75
Franchised Units
66
Corporate Units
9
Avg Square Footage
2,272
Franchising Since
1982
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
1
Litigation Summary
SpeeDee Worldwide, LLC, along with its affiliate Grease Monkey International, LLC, is involved in one lawsuit filed in 2024 against Gerard Toppa, Carrie Toppa, and J&C Automotive Inc. in D. Mass. This litigation is aimed at enforcing a covenant not to compete.
Bankruptcy History
SpeeDee Worldwide, LLC has no bankruptcy information to report.
Agreement Terms
Initial Term
15 years
Renewal Term
15 years
Renewal Conditions
To renew, SpeeDee franchisees must be in good standing and not have received more than four notices of breach during the term. They must also execute the then-current franchise agreement (which may have different terms like higher royalty and advertising contributions), pay a renewal fee ($0 if a 15-year term is chosen with 6 months' notice; $2,500 for a 5-year term with auto-extension option and 6 months' notice; $5,000 otherwise), upgrade their center to current design and performance specifications, and sign a general release of claims against SpeeDee and its affiliates.
Training & Support Program
Franchisor Assistance
SpeeDee Worldwide, LLC assists franchisees with site selection review and approval, provides a list of approved architects, and offers standards and specifications for center build-out. Before opening, a representative assists on-site for 3-4 days. Franchisees receive a Brand Standards Manual and supplier lists. Initial training is provided for the franchisee or principal owner. Ongoing assistance includes additional training programs, advice on operations, information on new products and services, access to advertising materials, and approximately twice-yearly visits from a SpeeDee representative. Optional assistance like system modifications and national conferences may also be offered.
Initial Training Hours
72
Training Location
Greenwood Village, Colorado
Ongoing Support
After opening, SpeeDee Worldwide, LLC provides ongoing support through additional training programs, seminars, and continuing development programs, which can be in-person or online. Franchisees receive advice regarding their center's operation based on reports or inspections, and information about new products, services, or updated business methods. A SpeeDee representative visits the center approximately twice a year to provide consulting assistance. Franchisees also gain access to advertising and promotional programs and materials. Mandatory biennial conventions are held every two years, with a registration fee charged even if attendance is missed.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
absentee-allowed
Territory Type
non-exclusive
Staffing Notes
SpeeDee Oil Change & Auto Service franchisees are solely responsible for their employees, including hiring, firing, training, and compensation. Franchisees must inform employees that they are the employer, not SpeeDee, and display a notice to this effect. Employees must maintain a professional appearance and wear specified uniforms. If the franchisee or principal owner does not actively manage the center, an approved manager must be designated for direct on-premises supervision. Any manager or officer not holding at least 10% equity, and all employees with access to confidential information, must sign a System Protection Agreement or Confidentiality Agreement.