Strickland Brothers 10 Minute Oil Change Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$247,900 - $2,228,400
Franchise Fee
$25,000
Total US Locations
226
Business Summary
Strickland Brothers 10 Minute Oil Change operates quick-service engine oil change facilities. These centers offer fast engine oil changes, chassis lubrication, routine maintenance checks, and other automotive services. The business model can be either a full development option or a ground lease option for the facility.
Corporate History
SB Oil Change Franchising, LLC was formed in July 2019 in North Carolina and began offering franchises for Strickland Brothers 10 Minute Oil Change Business service centers in October 2019. In May 2021, SB PEP Holdco, LLC acquired SB Oil Change Franchising, LLC, making it the owner of the brand. SB Holdco is controlled by Princeton Equity Group, a private equity company. An affiliate, Strickland's Enterprises, LLC, which was formed in 2012, has been operating Strickland Brothers 10 Minute Oil Change Businesses under the brand since December 2016.
Financial Overview
Investment Range
$247,900 - $2,228,400
Franchise Fee (Low)
$25,000
Franchise Fee (High)
$54,900
Royalty %
6%
Marketing %
4.5%
Equipment Costs (Low)
$82,500
Equipment Costs (High)
$1,978,500
Working Capital
$50,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Strickland Brothers 10 Minute Oil Change's audited financial statements show a positive financial standing. For the fiscal year ending December 31, 2023, the company reported a net income of $1,167,629. The balance sheet for the same period indicates total assets of $7,173,196 and positive member's equity of $10,375,415. The independent auditor issued an unqualified opinion, indicating that the financial statements present fairly the company's financial position. It's noted that there are substantial advances due from related parties, which are classified as a component of member's equity due to common ownership and the absence of stated repayment terms.
Financing Details
Strickland Brothers 10 Minute Oil Change does not offer any direct or indirect financing to its franchisees. Additionally, the franchisor does not guarantee any notes, leases, or other financial obligations for its franchisees.
Performance Metrics
Total US Locations
226
Franchised Units
67
Corporate Units
159
Franchising Since
2019
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Strickland Brothers 10 Minute Oil Change has no litigation history to report. Item 3 of the FDD states that no litigation is required to be disclosed.
Bankruptcy History
Strickland Brothers 10 Minute Oil Change has no bankruptcy history to report. Item 4 of the FDD states that no bankruptcy proceeding is required to be disclosed.
Agreement Terms
Initial Term
15 years
Renewal Term
15 years
Renewal Conditions
Strickland Brothers 10 Minute Oil Change franchisees can renew their franchise agreement for one additional 15-year term, or the length of their current lease term if shorter. To qualify for renewal, franchisees must be in good standing, provide written notice of their intent to renew 6 to 12 months before the current term ends, and sign the then-current franchise agreement, which may have different terms. Franchisees are also required to modernize and refurbish their Service Center, including equipment and signs, to meet current brand standards at their own expense. Additionally, franchisees and their owners must execute a general release of claims against the franchisor and its affiliates, pay a renewal fee, and demonstrate the ability to maintain possession of the premises for the full renewal term.
Training & Support Program
Franchisor Assistance
Strickland Brothers 10 Minute Oil Change provides pre-opening assistance, including written acceptance of the site and lease, mandatory and suggested specifications and layouts for the Service Center, and approval of construction plans. It also provides lists of specifications and approved suppliers for operating assets and opening inventory. The franchisor loans a copy of its confidential Operations Manual and handles grand opening advertising. On-site opening support is also offered. Ongoing assistance includes developing products and services, providing guidance for hiring and training employees, resolving operational problems, and offering periodic telephone and email support. The franchisor establishes administrative and accounting procedures, manages the system-wide Brand Fund, maintains a system website, and updates the Operations Manual and System Standards. It also advises on sources of supply, makes training available for replacement managers, provides access to franchisee resources and company news, and may assist with customer complaints and require participation in a mystery shopper program. A mandatory annual conference is also held.
Initial Training Hours
92
Training Location
Winston-Salem, NC
Ongoing Support
Strickland Brothers 10 Minute Oil Change provides ongoing support including periodic telephone and email assistance for daily operations, marketing, advertising, personnel, and other operating issues. The franchisor also offers review and analysis of operations, and provides access to an Operations Manual with administrative, bookkeeping, accounting, and inventory control procedures. Assistance with sales promotions and administration of a system-wide Brand Fund is provided, along with a standard web page on the system website. The franchisor updates the Manual and System Standards and advises on sources of supply. Training for replacement managers is available, potentially for a fee, and an annual mandatory franchisee conference is held. The franchisor may also assist with customer complaints and requires participation in a mystery shopper program.
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
Supervisory
Territory Type
Limited
Territory Size Requirements
Strickland Brothers 10 Minute Oil Change territories are defined as a circle with a radius of 3 miles around the approved location or an area with a population of up to 80,000, whichever is less.
Staffing Notes
Strickland Brothers 10 Minute Oil Change requires that a General Manager, approved by the franchisor and having completed initial training, be present at the Service Center whenever it is open for business, dedicating all of their business time to on-premises management and operations. The Principal Owner is not required to work a minimum number of hours or be personally involved in daily on-premises operations, though it is recommended. Franchisees are solely responsible for all aspects of employee hiring, firing, discipline, compensation, and general labor relations, with the franchisor providing only optional suggestions and guidance.