Qualifications for Ownership

Financial

Cash available to invest: $400,000
Net worth: $600,000
Credit Score: 680 or above

Personal

You need to be energetic, good with people, and committed to being actively engaged even if you are an absentee owner. You must also have a clean criminal history.

Why Grease Monkey^® is a Top-Rated Automotive Franchise

FEES (Plain and Simple)

Franchise fee: $39,900*
Royalties: 6%**
Advertising Fees: 4.5%***

Some discounts apply. See below for details.

THE DETAILS

Incentives

Discounts for Veterans and First Responders: Initial Franchise Fee is reduced to $29,900, a 50% rebate on all royalty fees during the first year of operations, and a 25% rebate on all royalty fees during the second full year of operations.

Discounts for multi-unit operators: Franchise fees are discounted to $20,000 for the second unit and to $15,000 for each additional Kwik Kar Center you intend to open under the Multi-Unit Agreement. Multi-Unit Franchisees must open a minimum of three Kwik Kar Centers.

Discounts for independent business owners who convert their automotive locations to a Kwik Kar: The Initial Franchise Fee is reduced to $20,000 for the first location you are converting to a Kwik Kar, and $10,000 for each additional location that is open and operating and you convert to a Kwik Kar Center. If you meet additional qualifications, you may also be eligible for a royalty rebate.

Startup Costs

Estimated initial investment for a single Brownfield location¹

NOTE 1: General. The high and low ranges in the chart are based on a single Franchise Agreement and to retrofit the location for a three-bay tandem to a six-bay Center using current brand standards. The low ranges in the chart assume you are purchasing a Conversion franchise, which is already in the quick lube business, in which case you may not need to incur all of these expenses.

Initial Franchise Fee²

$10,000 ^(LOW) | $39,900 ^(HIGH)

Method of Payment:

Lump Sum or Installments, As Applicable

When Due:

When you sign the Franchise Agreement

To Whom Payment is Made:

FullSpeed Automotive

The Initial Franchise Fee. The Initial Franchise Fee for a single Kwik Kar^® is $39,900. If you are a Conversion Owner, the Initial Franchise Fee is $20,000. If you are a veteran or first responder, the Initial Franchise Fee is $29,900. We offer a reduced Initial Franchise Fee of $20,000 for existing franchisees (unless you are also an existing franchisee that is converting an open and operating competitive business to a Kwik Kar^®, then the Initial Franchise Fee is further reduced to $10,000) who are eligible to participate in our Incentive Program. See Item 5 for more information on the Initial Franchise Fee.

Lease and Real Estate³

$14,000 ^(LOW) | $50,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As specified in Lease

To Whom Payment is Made:

Third Parties

Lease, Real Estate and Improvements. A common arrangement used by franchisees is to secure a triple net lease through which you will pay all the expenses of the property, including real estate taxes, building insurance, and maintenance ("NNN") for an existing automotive building. In this type of a lease, the landlord may pay some or all of the tenant improvement costs, which could lower your costs of construction. Your rent rate is based in part on those costs. If property is owned by a third party and leased to you, we estimate the rent for the first month to be in a range of $3,500 to $9,000 for a three-bay tandem to six-bay unit and the security deposit is usually equal to one month's rent. Rates may be higher in certain areas of the country. The chart shows three months' rent and a security deposit equal to one month's rent. If you propose a site that was an existing automotive building to be reviewed and approved by us that is for sale and you choose to retrofit that site, the estimated cost to purchase a site for a Kwik Kar^® ranges from approximately $350,000 to $1,400,000 for the land and building. You need a site of approximately 43,000 square feet, but smaller sites may be acceptable. Smaller sites may be used if there is adjoining common usage space such as a shopping center. The standard three-bay tandem building is approximately 71 feet by 32 feet and contains approximately 2,272 square feet on the main level of the building (the basement is not included in the 2,272 square foot estimate). Your building should have drive-through capability and an in-ground car service basement area unless we authorize you to use a different configuration, such as shallow pits and/or auto-service pits rather than an in-ground car service basement area. Preferred sites are located on major streets or within high volume shopping areas. Acceptable levels of vehicle traffic, population size and demographics of an area may vary from location to location. You must negotiate your lease, or financing for the purchase, of the real estate and the construction or retrofitting of a building to a Grease Monkey Center designed to meet our specifications. If you purchase an existing Kwik Kar^® from an existing Kwik Kar^® franchisee, you will be required to sign a Deferred Maintenance Agreement which requires the buyer or seller of the Kwik Kar^® to repair conditions of the Center identified in our inspection of the Center within 90 days of the purchase (Exhibit D-3).

Leasehold Improvements³

$60,000 ^(LOW) | $300,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Equipment, Furniture, Tools and Installation⁴

$75,000 ^(LOW) | $245,500 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Equipment, Furniture, Tools and Installation. This amount includes storage tanks. Assuming you can establish a creditworthiness acceptable to third parties, financing through third parties may be available. Certain of these prices may vary due to fluctuations in the price of steel. A breakdown of these estimated costs is as follows:

	LOW	HIGH
Equipment	$23,000	$78,000
Storage Tanks	$10,200	$17,000
Installation	$12,500	$35,000
Filter Crusher	$1,300	$1,700
Tools	$2,500	$8,000
Vacuum	$400	$2,300
Radiator Flush	$1,400	$4,000
Furniture	$2,000	$4,000
Transmission Fluid Machine	$3,700	$8,500
Air Conditioning Equipment	$3,900	$8,500
Tire Rotation	$6,800	$20,400
Service Pit Covers	$1,300	$3,000
Subtotal	$69,000	$190,400

Grand Opening Costs⁵

$10,000 ^(LOW) | $10,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

FullSpeed Automotive or Third Parties

Grand Opening Costs. You must plan to spend a minimum of $10,000 on your Grand Opening, not including labor, cost of goods and discounts or special offers. You will plan the Grand Opening with us or our designee, and it will include advertising and promotional campaigns to be conducted at or around the time your Center opens or within 30 days of opening and will last for as long as four to six months. Within 30 days after the completion of your Grand Opening, you will submit a summary of your expenditures for the Grand Opening. We may provide the Grand Opening services to you (See Item 11). If we provide such Grand Opening services, you will pay to us the Grand Opening Costs at the time you secure a Location (See Item 5).

Initial Inventory⁶

$14,500 ^(LOW) | $25,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Signs⁷

$10,000 ^(LOW) | $35,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Supplies

$2,000 ^(LOW) | $4,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Initial Training - Travel and Lodging Expenses⁸

$2,500 ^(LOW) | $5,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Computer Hardware and Software⁹

$12,500 ^(LOW) | $19,500 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Agreed

To Whom Payment is Made:

Third Parties

Computer Hardware and Software; POS Maintenance Fee. The estimated initial investment includes costs related to the purchase of computer hardware and software and the ongoing POS Maintenance Fee for the first three months of operations. We reserve the right to require that you purchase hardware and proprietary software from a vendor approved by us and which has been developed for use in the operation of Kwik Kar^®.

Point of Sale Maintenance Fee⁹

$2,316 ^(LOW) | $4,152 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Agreed

To Whom Payment is Made:

Third Parties

Computer Hardware and Software; POS Maintenance Fee. The estimated initial investment includes costs related to the purchase of computer hardware and software and the ongoing POS
Maintenance Fee for the first three months of operations. We reserve the right to require that you purchase hardware and proprietary software from a vendor approved by us and which has been developed for use in the operation of Kwik Kar^®.

Prepaid Expenses¹⁰

$2,000 ^(LOW) | $3,000 ^(HIGH)

Method of Payment:

Cash

When Due:

As Agreed

To Whom Payment is Made:

Third Parties

Additional Funds (3 months)¹¹

$40,000 ^(LOW) | $80,000 ^(HIGH)

Method of Payment:

As Agreed

When Due:

As Incurred

To Whom Payment is Made:

Third Parties

Additional Funds. This amount includes estimated operating expenses you should expect to incur during the first three months of operations. It includes payroll costs (but not a draw or salary for you), taxes, utilities, advertising, rent, accounting and other professional fees, and other operational expenses that are not covered by sales revenue. You may have additional expenses starting your business. Your costs depend on several factors, including how much you follow our methods and procedures, your management skill, experience and business acumen, local economic conditions, the local market for our products and services, the prevailing wage rate, competition and the sales level reached during the initial period. This is only an estimate, there is no guarantee that the amounts specified will be adequate or that additional investment will not be necessary during the first three months of operations or afterwards. There is no assurance that you will have reached “break-even” or any other financial level by the end of three months and you may need additional capital.

Total Estimated Initial Investment¹²

$254,816 ^(LOW) | $821,052 ^(HIGH)

Total Estimated Initial Investment. Because the ranges in the chart are only estimates and are subject to economic and inflationary conditions, it is possible both to reduce and exceed the estimated range of costs listed in each item of the chart. In certain major metropolitan areas, actual costs may substantially exceed the high range estimates in the chart. You should review these figures carefully with a business advisor or other professionals before making any decision to purchase a franchise.

How Much Can I Make?

$1,609,637^*

Average net sales for Top Quartile of sales revenue averages

$597,510^*

EBITDAR for Top Quartile of sales revenue averages

REVENUE DETAILS

Path To ownership

Kwik Kar has designed a process to help you learn more about the brand – and for us to learn about you – before any franchise agreements are signed. We want to make sure franchisees are set up for success. Here’s an outline of our process.

Step 1: Initial Conversation

After you fill out a contact form on this site, we’ll reach out for a short conversation to confirm that you are likely to qualify for the opportunity and that your desired territory is available. We’ll want to know about your background and goals as well.

Step 2: Franchise Qualification Questionnaire

Next, we’ll ask you to fill out a secure questionnaire with details about your assets, business experience, and Social Security info. This allows us, later in the process, to perform a simple background check, which is an important way that we protect the value of the brand for all franchisees. If everything looks good, we’ll start digging into the details of the opportunity.

Step 3: We’ll send our Franchise Disclosure Document (FDD)

We will send you our Franchise Disclosure Document and will need you to verify receipt. Per Federal Trade Commission rules, you won’t be allowed to sign a franchise agreement until at least 14 days after you acknowledge receipt of the FDD.

Step 4: FDD review

The FDD outlines the terms of the franchise agreement, provides background about the company and leadership, and offers details about costs, fees, and historic revenue. The format is dictated by the Federal Trade Commission, so there’s a fair bit of legal language. We’ll walk you through the document and will answer any questions you have about the various sections and terms.

Step 5: Validation

We will give you the names and phone numbers of all Grease Monkey franchisees so you can ask them questions about the brand and their performance. Feel free to ask any questions you may have, but our primary role is to help facilitate conversations with anyone you’d like to reach.

Step 6: Discovery Day

You’ll meet the Kwik Kar and FullSpeed Automotive leadership teams. You’ll hear about our vision for growth, and department heads will walk you through the support that they provide franchisees. We encourage you to ask questions.

Step 7: FARE Approval

The Kwik Kar Franchise Application and Real Estate committee will evaluate whether they consider you a strong fit for the brand. If so, you’ll be offered a Franchise Agreement.

Step 8: Franchise Agreement Awarded

You’ll be sent the agreements to review and sign.

Step 9: Franchise Agreement Signed / Franchise Fee Paid

Once we have your signed agreement, and received your franchise fee, it’s full speed ahead!

Step 10: Onboarding Call!

We’ll schedule an onboarding call and begin the process of making your new business a reality!

Qualifications for Ownership

Financial

Personal

Why Grease Monkey^® is a Top-Rated Automotive Franchise

FEES (Plain and Simple)

Incentives

Startup Costs

Estimated initial investment for a single Brownfield location¹

Initial Franchise Fee²

Lease and Real Estate³

Leasehold Improvements³

Equipment, Furniture, Tools and Installation⁴

Grand Opening Costs⁵

Initial Inventory⁶

Signs⁷

Supplies

Initial Training - Travel and Lodging Expenses⁸

Computer Hardware and Software⁹

Point of Sale Maintenance Fee⁹

Prepaid Expenses¹⁰

Additional Funds (3 months)¹¹

Total Estimated Initial Investment¹²

How Much Can I Make?

$1,609,637^*

$597,510^*

Path To ownership

Step 1: Initial Conversation

Step 2: Franchise Qualification Questionnaire

Step 3: We’ll send our Franchise Disclosure Document (FDD)

Step 4: FDD review

Step 5: Validation

Step 6: Discovery Day

Step 7: FARE Approval

Step 8: Franchise Agreement Awarded

Step 9: Franchise Agreement Signed / Franchise Fee Paid

Step 10: Onboarding Call!

START A CONVERSATION WITH OUR TEAM

About

Financial Performance

Notes to Charts

Qualifications for Ownership

Financial

Personal

Why Grease Monkey® is a Top-Rated Automotive Franchise

FEES (Plain and Simple)

Incentives

Startup Costs

Estimated initial investment for a single Brownfield location1

Initial Franchise Fee2

Lease and Real Estate3

Leasehold Improvements3

Equipment, Furniture, Tools and Installation4

Grand Opening Costs5

Initial Inventory6

Signs7

Supplies

Initial Training - Travel and Lodging Expenses8

Computer Hardware and Software9

Point of Sale Maintenance Fee9

Prepaid Expenses10

Additional Funds (3 months)11

Total Estimated Initial Investment12

How Much Can I Make?

$1,609,637*

$597,510*

Path To ownership

Step 1: Initial Conversation

Step 2: Franchise Qualification Questionnaire

Step 3: We’ll send our Franchise Disclosure Document (FDD)

Step 4: FDD review

Step 5: Validation

Step 6: Discovery Day

Step 7: FARE Approval

Step 8: Franchise Agreement Awarded

Step 9: Franchise Agreement Signed / Franchise Fee Paid

Step 10: Onboarding Call!

Why Grease Monkey^® is a Top-Rated Automotive Franchise

Estimated initial investment for a single Brownfield location¹

Initial Franchise Fee²

Lease and Real Estate³

Leasehold Improvements³

Equipment, Furniture, Tools and Installation⁴

Grand Opening Costs⁵

Initial Inventory⁶

Signs⁷

Initial Training - Travel and Lodging Expenses⁸

Computer Hardware and Software⁹

Point of Sale Maintenance Fee⁹

Prepaid Expenses¹⁰

Additional Funds (3 months)¹¹

Total Estimated Initial Investment¹²

$1,609,637^*

$597,510^*