Valvoline Instant Oil Change franchise
A franchisee (called a licensee) operates a Valvoline Instant Oil Change Center, a quick-service oil change facility offering engine oil and filter changes, chassis lubrication, fluid and filter services and other routine automotive maintenance.
Manager-run permitted Disclosed
- Source
- 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.
- Document
- FDD 2025, issued 2025-12-26, amended 2026-07-16
- Item
- Item 15
- Page
- PDF p. 53
- Obtained
- Wisconsin Department of Financial Institutions — Franchise Registration Search, file 640069
You may designate someone to act as the on-site manager of your initial Center and subsequent Centers.
The License Agreement requires the franchisee or its designee to devote full time and best efforts to managing the Center. VIOCF recommends but does not require that the owner personally participate in operating the first Center; an on-site manager may be designated instead. That manager must complete VIOCF's manager training program including SuperPro, must directly supervise on-site operations, and need not hold an ownership interest. All subsequent managers must also complete the program.
What stands out
- Item 7 range is $192,375 to $639,550 for a Center on leased land with leased signage; buying the land and building and purchasing signage raises it to $1,773,750 to $3,483,550. Both totals foot exactly to their line items.
- License fee is $30,000 for a first Center whether built new or converted; $20,000 or $5,000 for a second, $5,000 for a third, and $2,500 to $5,000 per Center under a Development Agreement covering at least three Centers.
- Royalty is 2% of Adjusted Gross Revenue in year one, 3% in year two and 6% thereafter; add up to 2% to the General System Fund (capped near $7,344 per Center) and at least 3% of Adjusted Gross Revenue on local advertising.
5 more observations
- Item 19 franchised results for FY2025 (891 Centers): average net sales $1,844,172, median $1,704,870, range $397,215 to $5,728,187. Sales only — no franchisee cost, margin or profit data anywhere in the item.
- The only profit figures in Item 19 are for 785 affiliate-run company Centers, which pay no royalties and whose $549,958 average contribution excludes rent, overhead, depreciation and taxes.
- Franchised outlets grew from 827 to 1,063 over FY2023 to FY2025 with 2 terminations and no non-renewals; company-operated Centers grew from 767 to 976 over the same period.
- No exclusive territory: a 2-mile radius protects only against Centers using the Valvoline Instant Oil Change marks, and an affiliate's 164 newly acquired Oil Changers centers may solicit inside it.
- Term is 15 years; disputes are litigated in Kentucky under Kentucky law with no arbitration provision listed, and the post-term non-compete runs 2 years within 25 miles of any Center.
Things to verify
- Ask VIOCF to reconcile Item 20: Table No. 3's FY2025 franchised total ends at 1,071 outlets while Table No. 1 and Item 19 both report 1,063 at September 30, 2025, and Table No. 3's printed FY2024 total row does not match its own state rows.
- Item 19 gives no franchisee-level costs. Ask what typical product, labor, rent, occupancy and insurance costs look like for franchised Centers, and how they differ from the company stores whose contribution figures are shown.
- Confirm the royalty base. Fees run on Adjusted Gross Revenue, which excludes sales taxes and coupon, fleet and promotional discounts, so 6% of Adjusted Gross Revenue is not 6% of gross ticket revenue.
6 more questions
- Clarify what a developer pays: Item 5 puts the per-Center license fee under a Development Agreement at $2,500-$5,000, yet the cover's three-Center estimate is exactly $15,000 (three development fees) above the single-Center range, implying the $30,000 first-Center fee still applies.
- Budget for the year-three royalty step from 3% to 6% of Adjusted Gross Revenue, and ask how many franchisees actually qualify for the graduated 4% to 6% scale.
- Two new charges are contemplated but unquantified: a national advertising fund with contributions from January 2027 and a separate Technology Fund from fiscal 2027.
- Get site-specific quotes for equipment and service systems, which Item 7 estimates anywhere from $10,000 to $350,000, and for rent, which Item 7 covers for only three months.
- Ask about the remodel obligation: up to the greater of $50,000 or 2% of Adjusted Gross Revenue per five-year period, uncapped when driven by law, new products or renewal.
- Item 20 discloses that some current and former franchisees signed confidentiality provisions; factor that into reference calls and ask Exhibit F and G contacts whether they are free to speak.
Category cost placeholders, not a forecast. This snapshot uses the default inputs; the calculator below updates when you edit them.
Evidence confidence: High. This describes source support, not investment quality. AI-extracted and machine-verified where stated; no human line-by-line review. Source and review record.
Read the full research overview
A Valvoline Instant Oil Change franchisee - the FDD calls it a licensee - operates a quick-service Center offering engine oil and filter changes, chassis lubrication, fluid services and related light maintenance, usually free-standing on about 15,000 square feet. Item 7 estimates $192,375 to $639,550 to open one Center on leased land with leased signage, including a $30,000 license fee, a $15,000 to $30,000 point-of-sale system and three months of additional funds; buying the land, building and signage raises the range to $1,773,750 to $3,483,550. Royalties run on Adjusted Gross Revenue at 2% in year one, 3% in year two and 6% thereafter, with a graduated 4% to 6% scale for qualifying multi-unit owners. Franchisees also contribute up to 2% to a General System Fund capped near $7,344 per Center and must spend at least 3% on local advertising. No minimum liquidity or net worth is disclosed.
Item 19 is detailed but asymmetric. For the 891 franchised Centers open a full fiscal year through September 30, 2025, average net sales were $1,844,172 and median net sales $1,704,870, ranging from $397,215 to $5,728,187, on an average ticket of $117.79 and about 50 oil changes a day; 386 Centers were at or above the average and franchised same-store sales grew 6.5%. That table shows sales only. Every cost and profit figure in Item 19 belongs to the 785 company-operated Centers run by an affiliate, where average contribution was $549,958, or $482,875 after an illustrative 4% royalty - struck before rent, overhead, depreciation and taxes, from stores that pay no royalties.
Item 20 shows steady growth. Franchised outlets went from 827 at the start of fiscal 2023 to 1,063 at the end of fiscal 2025, and company-operated Centers from 767 to 976, for 2,039 outlets. Across three years the system recorded 261 franchised openings against 2 terminations, no non-renewals, 11 outlets reacquired by the franchisor and 3 closed for other reasons, with 60 transfers; the affiliate also sold 67 of its own Centers to franchisees. VIOCF projects 97 new franchised and 79 new company Centers next year. One caution: Table No. 3's fiscal 2025 total ends at 1,071 franchised outlets, eight above the 1,063 in Table No. 1 and Item 19.
Item 3 discloses a pending California consumer class action against Valvoline Inc. and VIOCF over 3,000-mile oil change interval claims, with a motion to dismiss argued in February 2026, plus a concluded 2018 Washington Assurance of Discontinuance on no-poach clauses; Item 4 discloses no bankruptcies. There is no exclusive territory - only a 2-mile radius against Centers using the brand's marks - and an affiliate acquired 164 Oil Changers centers in December 2025 that may solicit inside a franchisee's territory. Required purchases from Valvoline suppliers are stated to be roughly 95% to 100% of the total. Disputes are litigated in Kentucky with no arbitration clause in Item 17, and the post-term non-compete runs 2 years within 25 miles of any Center.
View ratings and their supporting evidence
Transparent ratings
How these are computedEach dimension is scored 1–5 from published formulas. Missing data yields “Not enough evidence to rate”, never a low score. There is no composite score by design.
How the system has performed, computed from the disclosed Items 7, 19 and 20. Figures a documented material source inconsistency puts in doubt are excluded, and the dimension shows “Not rated”.
Inputs
- The FDD's own Item 20 tables disagree on the unit counts this score needs (classification C): Table No. 1 shows franchised outlets ending FY2025 at 1,063 (+101). Table No. 3's printed FY2025 TOTAL is 962 start, 117 opened, 2 terminations, 6 reacquired, 1,071 at year end — a
Inputs
- The FDD's own Item 20 tables disagree on the closure counts this score needs (classification C): Table No. 1 shows franchised outlets ending FY2025 at 1,063 (+101). Table No. 3's printed FY2025 TOTAL is 962 start, 117 opened, 2 terminations, 6 reacquired, 1,071 at year end — a
Inputs
- AUV $1,844,172 (disclosed) ÷ midpoint investment $415,963 = 4.43×
- Thresholds: ≥2.0 → 5; 1.5–2.0 → 4; 1.0–1.5 → 3; 0.7–1.0 → 2; <0.7 → 1
How much this brand’s FDD discloses, and how well-supported our data on it is. This measures transparency, not business performance — a strong business that discloses little scores low here and stays unrated above.
Inputs
- Item 19 present (+1)
- Average plus median or a distribution (+1)
- Population 84% of franchised units, clearly described (+1)
- Cost or profit data disclosed (+1)
- Multi-year or cohort data (+1)
- Franchisor Track Record
- Franchising 38 years (since 1988) · 2,039 outlets · Item 3: 2 matter(s) disclosed · Item 4: none disclosed
- Multi-Unit Scalability
- Multi-unit development is offered through a Development Agreement covering a defined Development Area, with the minimum number of Centers mutually agreed but… · Manager-run permitted
- Operational Intensity
- Manager-run permitted
Initial investment
FDD Items 5 and 7Format shown: Single Center, land and signage leased (Item 7 leased-property, leased-signage total)
$192,375–$639,550 total initial investment. Excludes real estate purchase. Includes 3 months of additional funds.
View full investment breakdown — Items 5 & 7
| Initial franchise fee (the named Item 5 fee only) | $30,000 Disclosed
Disclosed as 'license fee'. Half paid at License Agreement signing, half when the first royalty payment is due. Lower rates apply for a 2nd/3rd+ Center, Development Agreement, or purchase from an existing franchisee ($2,500-$20,000); none applies to a first Center. |
|---|---|
| Other required initial payments to the franchisor (Item 5) |
|
| Total Item 5 payments to franchisor/affiliates | $73,750 Derived
$122,050 Derived
|
| Total initial investment — low | $192,375 Disclosed
Equals the sum of the Item 7 line-item low values and the low end stated on the cover page. |
| Total initial investment — high | $639,550 Disclosed
Equals the sum of the Item 7 line-item high values for the leased-site, leased-signage scenario. |
| Midpoint of range | $415,963 Derived
|
| Real estate purchase included? | No — assumes a leased site |
| Additional funds assumed | 3 months |
| Required liquid capital | Not disclosed in the reviewed source Not disclosedNot disclosed in the reviewed source. We did not find this value in 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.; we do not fill gaps with estimates or third-party figures. No minimum liquid-capital requirement is stated on the cover pages or in Items 1, 5, 7, 11 or 15 of the reviewed document. |
| Required net worth | Not disclosed in the reviewed source Not disclosedNot disclosed in the reviewed source. We did not find this value in 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.; we do not fill gaps with estimates or third-party figures. No minimum net-worth requirement is stated anywhere in the reviewed document. |
The recorded range is Item 7's leased-land, leased-signage scenario, which the cover page also uses for its low end. Both Item 7 totals foot exactly to their line items. Buying roughly 15,000 sq ft of land and constructing the building ($1,550,000–$2,750,000) plus purchasing signage ($45,000–$120,000) raises the total to $1,773,750–$3,483,550. Item 7 assumes three months of rent, insurance and additional funds and does not estimate the cost of acquiring an existing Center. Of the leased-scenario total, the cover page states $73,750–$122,050 is payable to VIOCF or an affiliate. A Development Agreement adds a $5,000 development fee per Center; the cover page's three-Center example is $15,000 above the single-Center range, while Item 5 separately states the per-Center license fee under a Development Agreement is $2,500–$5,000 — the two statements are not reconciled in the document.
Item 7 line items (14)
| Expenditure | Low | High |
|---|---|---|
| License fee — Lump sum at signing; paid to VIOCF. | $30,000 | $30,000 |
| Land and improvements leased for three months — Alternative to purchase; assumes about 15,000 sq ft of land. | $12,500 | $24,500 |
| Land and improvements purchased (alternative) — Used only in the purchased-real-property total, not in the range recorded above. | $1,550,000 | $2,750,000 |
| Grand opening advertising — Minimum spend of $7,500; does not count toward the 3% local advertising requirement. | $7,500 | $10,000 |
| Training — Travel, lodging, food and wages; VIOCF charges no tuition for initial training. | $5,000 | $10,000 |
| Security deposits — Utilities, landlord and equipment lessors. | $500 | $11,500 |
| Insurance — First three months of coverage. | $10,000 | $15,000 |
| Start-up supplies — Office supplies, small tools and shop items; from VIOCF or third parties. | $22,000 | $30,000 |
| Initial inventory of VALVOLINE Products — Purchased from VIOCF, an affiliate or a designated supplier. | $28,750 | $62,050 |
| Equipment and service systems — Excludes inspection and diagnostic equipment. | $10,000 | $350,000 |
| Signage leased for three months — Alternative to purchase; VIOCF will lease up to $60,000 of signage to a new franchisee. | $1,125 | $1,500 |
| Signage purchased (alternative) — Used only in the purchased-signage total, not in the range recorded above. | $45,000 | $120,000 |
| Point-of-sale system — Must be bought from VIOCF, an affiliate or a designated vendor before opening. | $15,000 | $30,000 |
| Additional funds for three months — Minimum working capital VIOCF recommends for the first three months. | $50,000 | $65,000 |
Source for every row: the Item 7 estimated-initial-investment table of 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc. (table begins PDF p. 25) — rows inherit the table's citation rather than carrying fifteen identical ones.
Other formats disclosed in Item 7 (2)
| Format | Low | High | Fee |
|---|---|---|---|
| One Center with land and improvements purchased and signage purchased | $1,773,750 | $3,483,550 | $30,000 |
| Development Agreement for three Centers plus the first licensed Center (cover-page estimate) | $207,375 | $3,498,550 | — |
Ongoing fees
FDD Item 6Royalty
6% of net sales Disclosed
- Source
- 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.
- Document
- FDD 2025, issued 2025-12-26, amended 2026-07-16
- Item
- Item 6
- Page
- PDF p. 17
- Obtained
- Wisconsin Department of Financial Institutions — Franchise Registration Search, file 640069
Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Base is 'Adjusted Gross Revenue' (AGR) as defined in Item 6 — gross revenue less sales and similar taxes, sales of used fixtures and equipment, and coupon, fleet and promotional discounts — so it is neither pure gross sales nor an accounting net-income figure. New Centers pay 2% of AGR for the first 12 months of the initial term, 3% for the second 12 months, then 6% for the remainder of the term. Payable monthly by EFT on the 20th. A graduated 4%–6% scale is available to existing franchisees whose combined AGR across all Centers exceeded $1,000,000 in the prior fiscal year, and to buyers of a Center already on a graduated rate; Item 19 states 95% of franchise Centers paid 4% in the prior year. VIOCF may charge a higher percentage on renewal.
Brand advertising fund
2% of net sales Disclosed
- Source
- 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.
- Document
- FDD 2025, issued 2025-12-26, amended 2026-07-16
- Item
- Item 6 — General System Fund row
- Page
- PDF p. 18
- Obtained
- Wisconsin Department of Financial Institutions — Franchise Registration Search, file 640069
Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Up to 2% of Adjusted Gross Revenue per fiscal year, contributed to the General System Fund until that Center reaches an annual cap. The cap for a Center opened in VIOCF's 2026 fiscal year is estimated at $7,344 and can never exceed $7,500 per Center. VIOCF may establish a national advertising fund at the start of fiscal 2027 with contributions beginning January 2027; those contributions would sit inside the same 2% cap. No national fund existed at the original issuance date.
Local marketing
3% of net sales Disclosed
- Source
- 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.
- Document
- FDD 2025, issued 2025-12-26, amended 2026-07-16
- Item
- Item 6 — Local Advertising Spend or Contribution row
- Page
- PDF p. 18
- Obtained
- Wisconsin Department of Financial Institutions — Franchise Registration Search, file 640069
At least 3% of Adjusted Gross Revenue annually on a calendar-year basis. VIOCF may require the amount be paid into an advertising fund or cooperative instead. Grand opening advertising does not count toward it.
Core requirements shown separately; caps, credits and conditions may overlap. Check the full schedule for technology, cooperative, transfer and other charges.
View all recurring fees and conditions
| Royalty | 6% of net sales Disclosed
Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Base is 'Adjusted Gross Revenue' (AGR) as defined in Item 6 — gross revenue less sales and similar taxes, sales of used fixtures and equipment, and coupon, fleet and promotional discounts — so it is neither pure gross sales nor an accounting net-income figure. New Centers pay 2% of AGR for the first 12 months of the initial term, 3% for the second 12 months, then 6% for the remainder of the term. Payable monthly by EFT on the 20th. A graduated 4%–6% scale is available to existing franchisees whose combined AGR across all Centers exceeded $1,000,000 in the prior fiscal year, and to buyers of a Center already on a graduated rate; Item 19 states 95% of franchise Centers paid 4% in the prior year. VIOCF may charge a higher percentage on renewal. Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Base is 'Adjusted Gross Revenue' (AGR) as defined in Item 6 — gross revenue less sales and similar taxes, sales of used fixtures and equipment, and coupon, fleet and promotional discounts — so it is neither pure gross sales nor an accounting net-income figure. New Centers pay 2% of AGR for the first 12 months of the initial term, 3% for the second 12 months, then 6% for the remainder of the term. Payable monthly by EFT on the 20th. A graduated 4%–6% scale is available to existing franchisees whose combined AGR across all Centers exceeded $1,000,000 in the prior fiscal year, and to buyers of a Center already on a graduated rate; Item 19 states 95% of franchise Centers paid 4% in the prior year. VIOCF may charge a higher percentage on renewal. |
|---|---|
| Advertising / brand fund | 2% of net sales Disclosed
Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Up to 2% of Adjusted Gross Revenue per fiscal year, contributed to the General System Fund until that Center reaches an annual cap. The cap for a Center opened in VIOCF's 2026 fiscal year is estimated at $7,344 and can never exceed $7,500 per Center. VIOCF may establish a national advertising fund at the start of fiscal 2027 with contributions beginning January 2027; those contributions would sit inside the same 2% cap. No national fund existed at the original issuance date. Percent of 'Adjusted Gross Revenue' (gross revenue less sales taxes, certain equipment sales and discounts) — treated here as a net-sales basis. Up to 2% of Adjusted Gross Revenue per fiscal year, contributed to the General System Fund until that Center reaches an annual cap. The cap for a Center opened in VIOCF's 2026 fiscal year is estimated at $7,344 and can never exceed $7,500 per Center. VIOCF may establish a national advertising fund at the start of fiscal 2027 with contributions beginning January 2027; those contributions would sit inside the same 2% cap. No national fund existed at the original issuance date. |
| Required local marketing | 3% of net sales Disclosed
At least 3% of Adjusted Gross Revenue annually on a calendar-year basis. VIOCF may require the amount be paid into an advertising fund or cooperative instead. Grand opening advertising does not count toward it. At least 3% of Adjusted Gross Revenue annually on a calendar-year basis. VIOCF may require the amount be paid into an advertising fund or cooperative instead. Grand opening advertising does not count toward it. |
| Technology / software | Not disclosed in the reviewed source Not disclosedNot disclosed in the reviewed source. We did not find this value in 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.; we do not fill gaps with estimates or third-party figures. Item 6 discloses no fixed recurring technology, software or POS fee. It lists specialized computer services at $50–$300 per hour as needed and computer hardware upgrades ranging from $150 to $15,000 when required, both payable to VIOCF or third parties. The POS system itself is a one-time purchase of $15,000–$30,000 (Items 5 and 7). Item 6 Note 4 states VIOCF may administer a separate Technology Fund beginning in its 2027 fiscal year, moving some costs out of the General System Fund; no rate is given. |
| Advertising cooperative | Not disclosed in the reviewed source Not disclosedNot disclosed in the reviewed source. We did not find this value in 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.; we do not fill gaps with estimates or third-party figures. VIOCF has the right to establish a regional advertising cooperative and require participation, but Item 6 records the amount as 'Not yet determined' and states no cooperative existed at the original issuance date. Cooperative payments would count toward the 3% local advertising obligation. |
| Transfer fee | $30,000 one-time Disclosed
$30,000 for a first Center transferred to a new franchisee; $5,000 if transferred to an existing franchisee; $2,500 for each additional Center in the same transaction. Waived for certain transfers within an existing ownership group or to qualified family members. $30,000 for a first Center transferred to a new franchisee; $5,000 if transferred to an existing franchisee; $2,500 for each additional Center in the same transaction. Waived for certain transfers within an existing ownership group or to qualified family members. |
| Renewal fee | $2,500–$5,000 one-time Disclosed
$2,500 for a 5-year renewal term; $5,000 for a 10-year or 15-year renewal term. Due on signing. $2,500 for a 5-year renewal term; $5,000 for a 10-year or 15-year renewal term. Due on signing. |
| Royalty + ad fund (% of sales) | 8% Derived
|
Fee schedule (23 fees; 20 verified against the source, 3 single-pass)
Every recurring, conditional and one-time fee found in this FDD's Item 6 table (plus mandatory recurring costs disclosed in Items 7/11), each cited to its page and carrying its verification status: verified means two independent readings agreed or a tie-break re-inspection of the page decided it; single-pass means one reading captured it and it has not been independently confirmed (permitted only for fees that cannot move modeled economics — see the materiality rule). Amounts marked “not stated” are charged at then-current rates the FDD does not quantify and are never modeled as $0.
| Fee | Amount | Frequency | Mandatory | Verification | Cite | Notes |
|---|---|---|---|---|---|---|
| Royalties | Tiered (base 6%) | monthly | Yes | verified (tie-break) | Item 6, p. 17 | Payable monthly by EFT on the 20th. Non-negotiable. The 2% and 3% rates apply only to a newly opened Center's first two years; VIOCF may charge a higher percentage on renewal. Pass A's value=2 takes the introductory year-1 rate as the headline; Pass B's value=6 is right but its percent_of_revenue treatment loses the ramp. Tiered with value=6 keeps both. Calculator audit 2026-09-03: Item 6 Note 1 keys the 2%/3%/6% ladder to years of the term, so the bands are time_based and the standard rate (6%) is modeled; setting this stops the lone $1,000,000-threshold entry - which is a multi-Center eligibility test, not a revenue band - from ever being read as a marginal or whole-base bracket. (p. 22; "Beginning on the first day of the third year of the initial term and through the") |
| General System Fund | 2% of adjusted gross revenue | monthly | Yes | verified (2-pass) | Item 6, p. 18 | VIOCF may waive or prorate the fee during a franchisee's first partial year of operation. 21.5% of FY2025 GSF spend went to POS/software licensing and maintenance costs rather than pure advertising (Item 11, page 34). |
| Local Advertising Spend or Contribution | 3% of adjusted gross revenue | annual | Yes | verified (2-pass) | Item 6, p. 18 | VIOCF may require the amount be paid into an advertising fund or cooperative instead of spent directly by the franchisee; grand-opening advertising does not count toward it. Calculator audit 2026-09-03: The Item 6 table states a minimum spend, not an exact rate, so value_is is 'floor'; the franchisor may also require the amount be paid into a fund or cooperative instead of spent directly. (p. 18; "At least 3% of AGR annually based on a calendar year schedule") |
| National Advertising Fund | Not stated | monthly | No | verified (tie-break) | Item 6, p. 18 | Only if VIOCF establishes the fund, which it anticipates for its FY2027 with contributions beginning January 2027. No fund existed as of the original issuance date. Pass B's duplicate id 'national-ad-fund' is the same entry; keep one id. |
| Regional Advertising Cooperatives | Not stated | varies | No | verified (tie-break) | Item 6, p. 18 | Only if VIOCF establishes a cooperative covering the Center's area; none existed at the original issuance date. VIOC company-owned Centers in the area must join on the same basis. Pass B's duplicate id 'regional-cooperative' is the same entry. Pass B found the real 2% ceiling in Item 11, which Pass A missed; Pass A was right that nothing is currently payable. |
| Transfer | Tiered (base $30,000) | one time | No | verified (tie-break) | Item 6, p. 19 | Due on signing. Waived for certain transfers, including qualifying transfers within an existing ownership group or to family members qualified to operate the business. |
| Renewal | Tiered (base $2,500) | one time | No | verified (tie-break) | Item 6, p. 19 | Due on signing the renewal. A site review occurs at least 18 months before expiration and upgrades may be required; VIOCF may also charge a higher royalty percentage during the renewal term (Item 6 Note 1). |
| Specialized Computer Services | $50–$300 | varies | No | verified (2-pass) | Item 6, p. 19 | Charged on demand for computer/POS support; payable to VIOCF or third parties. |
| Computer Hardware Upgrade | $150–$15,000 | varies | No | verified (2-pass) | Item 6, p. 19 | Charged upon demand as hardware needs upgrading to keep the required POS System running. |
| Product Testing and Product Suppliers | Not stated | varies | No | verified (tie-break) | Item 6, p. 20 | Only when the franchisee proposes a new product, fixture or supplier. Billed when incurred. |
| Audit | Not stated | per event | No | verified (tie-break) | Item 6, p. 20 | Due 15 days after billing, and only if the franchisee fails to supply required reports or records, or understates required continuing support and Royalty payments or GSF contributions by more than 2%. |
| Interest | 1.5% of other | monthly | No | verified (tie-break) | Item 6, p. 20 | Due on all overdue amounts, 15 days after billing. Pass B listed the identical fee under id 'late-interest'; that duplicate id should be dropped. |
| Insurance | Not stated | per event | No | verified (tie-break) | Item 6, p. 20 | Only if the franchisee fails to obtain its own required insurance. Due 15 days after billing. |
| Insufficient Funds Processing Fee | Not stated | varies | No | verified (2-pass) | Item 6, p. 21 | Only if an EFTA draft or check fails for insufficient funds. |
| Costs and Attorneys' Fees | Not stated | varies | No | verified (tie-break) | Item 6, p. 21 | Due, as incurred, when the franchisee does not comply with certain License Agreement provisions and VIOCF incurs enforcement expenses. |
| Center Update and Remodel Costs | Not stated (min $50,000) | varies | Yes | verified (tie-break) | Item 6, p. 21 | Payable at VIOCF's demand to bring the Center to current image, signage, equipment and trade-dress standards. The cap does not apply where changes are required by law, to adopt new products, services or methods, or on renewal of the license term. |
| Fleet Program | Not stated | varies | Yes | single-pass | Item 6, p. 21 | Participation in the national fleet program is mandatory; the fee amount may be adjusted from time to time. [Listed by one verification pass only (A); not independently confirmed.] |
| Warranty and Guarantee Costs | Not stated | varies | No | single-pass | Item 6, p. 21 | Only if the franchisee fails to remedy a customer complaint within 15 days and VIOCF steps in. [Listed by one verification pass only (A); not independently confirmed.] |
| Additional Mandatory and/or Optional Training Costs | Not stated | varies | No | verified (2-pass) | Item 6, p. 21 | Only when additional training beyond the standard initial program is required or chosen. |
| Ongoing Purchases of VALVOLINE Products | Not stated | varies | Yes | verified (tie-break) | Item 6, p. 21 | Mandatory sole-source purchasing obligation; the franchisee must keep a sufficient supply of all products and items needed to operate the Center. Governed by the Licensee Supply Agreement (Exhibit A-3). Pass A carried the same row as 'ongoing-valvoline-product-purchases'; Pass B as 'valvoline-product-purchases'. Keep one id. |
| Signage Lease | $375–$650 | monthly | No | verified (tie-break) | Item 6, p. 22 | Applies only if the franchisee leases signage from VIOCF or an affiliate instead of buying it. VIOCF will lease at most $60,000 of signage to a new franchisee ($50,000 on renewal); sign ownership stays with VIOCF until the lease is paid in full. Pass B's duplicate id 'signage-lease' is the same entry. |
| Indemnification of VIOCF and its Affiliates for Expenses of Claims | Not stated | varies | Yes | single-pass | Item 6, p. 22 | Only if such a claim/legal action arises. [Listed by one verification pass only (A); not independently confirmed.] |
| Technology Fund (possible from FY2027) | Not stated | varies | No | verified (tie-break) | Item 6, p. 23 | Only if VIOCF creates the fund, which it may do beginning in its 2027 fiscal year. No fund existed at the original issuance date. |
All Item 6 fees are imposed and collected by VIOCF or its affiliates and are non-refundable. Other fees payable on demand include product and supplier testing costs, insurance reimbursement, insufficient-funds processing, enforcement costs and attorneys' fees, warranty and guarantee costs under the 100% satisfaction guarantee program, additional training costs, fleet program administrative cost recapture, and indemnification of VIOCF. Ongoing purchases of VALVOLINE Products from VIOCF, an affiliate or a designated supplier are a continuing cost of operation.
Financial performance (Item 19)
What the franchisor actually disclosedWho is represented: Section B, the franchisee data, covers the 891 franchisee-operated Centers that were franchise-operated for a full fiscal year prior to and during fiscal 2025 (Oct 1, 2024 - Sep 30, 2025), out of 1,063 franchised Centers open at September 30, 2025. 172 Centers were excluded as not open or not franchisee-operated for the whole prior and current year, and four in the data were temporarily closed for part of the year. Section A covers the 785 company-operated Centers meeting the same test, excluding 191; those are affiliate-run stores, not franchises. Section C covers same-store growth for 986 franchised, 863 company-operated and 1,849 system-wide Centers.
Qualifications: The franchisee table (Section B) reports sales measures only — net sales, ticket, oil changes per day and premium mix. It contains no franchisee cost, margin or profit information. All cost and profit figures in Item 19 come from Section A, which covers company-operated Centers run by an affiliate of the franchisor; those stores pay no royalties, and their 'Contribution' excludes operating leases (rent), market and corporate overhead, depreciation and taxes, so it is not comparable to a franchisee's net income. Company store sales also exclude revenue from arranging product for franchised Centers, and their product cost includes intercompany estimates. Both sections exclude any Center not operated in the same capacity for a full fiscal year before and during the measurement year (172 franchised and 191 company Centers for FY2025), which removes newer and recently transferred units from the averages. A small number of Centers in the data were temporarily closed for part of the year. The 4% royalty shown in Section A is illustrative; a new franchisee pays 2% in year one, 3% in year two and 6% thereafter unless it qualifies for the graduated 4%–6% scale. Figures are drawn from point-of-sale data and are not presented as audited.
View full Item 19 disclosure and tables
Item 19 has three parts. Section A gives a detailed per-Center income statement for company-operated Centers. Section B gives sales-only statistics for franchised Centers. Section C gives same-store sales growth for both. For the 891 franchised Centers that operated for a full fiscal year through September 30, 2025, average net sales were $1,844,172 and median net sales $1,704,870, with individual Centers ranging from $397,215 to $5,728,187 and 386 Centers at or above the average. Average ticket was $117.79 on about 50 oil changes a day. Franchised averages rose each year over the three years shown, from $1,698,145 in FY2023 to $1,771,860 in FY2024 to $1,844,172 in FY2025, and franchised same-store net sales grew 6.5% in FY2025. What Item 19 does not show is what a franchised Center earns. No franchisee expense, margin or profit figure appears anywhere. The only profitability data is for the 785 company-operated Centers, whose average contribution of $549,958 (or $482,875 after an illustrative 4% royalty) is calculated before rent, overhead, depreciation and taxes and comes from stores that do not pay royalties, do not carry the franchisee's debt service and are managed by the franchisor's affiliate.
| Metric | Subset | Value | Units | Period | Cite |
|---|---|---|---|---|---|
| Net sales — franchisee-operated Centers open a full fiscal year 386 of 891 Centers were at or above this average. Net sales, not gross sales. | Franchised (comparable) Average | $1,844,172 | 891 | FY2025 | FDD p.66 |
| Net sales — franchisee-operated Centers open a full fiscal year | Franchised (comparable) Median | $1,704,870 | 891 | FY2025 | FDD p.66 |
| Net sales — highest franchisee-operated Center | Franchised (comparable) High | $5,728,187 | 891 | FY2025 | FDD p.66 |
| Net sales — lowest franchisee-operated Center | Franchised (comparable) Low | $397,215 | 891 | FY2025 | FDD p.66 |
| Net sales — franchisee-operated Centers open a full fiscal year Median for the same year was $1,609,279; range $76,881 to $5,579,427. | Franchised (comparable) Average | $1,771,860 | 819 | FY2024 | FDD p.66 |
| Net sales — franchisee-operated Centers open a full fiscal year Median for the same year was $1,552,103; range $363,755 to $5,013,420. | Franchised (comparable) Average | $1,698,145 | 768 | FY2023 | FDD p.65 |
| Average customer ticket — franchisee-operated Centers Median ticket $116.67; range $80.19 to $178.37. | Franchised (comparable) Average | $118 | 891 | FY2025 | FDD p.66 |
| Oil changes per day — franchisee-operated Centers Median 48.0; range 12.0 to 137.0. | Franchised (comparable) Average | 50 | 891 | FY2025 | FDD p.66 |
| Share of oil changes using premium oil — franchisee-operated Centers Median 84.7%; range 66.3% to 97.9%. | Franchised (comparable) Average | 84.6% | 891 | FY2025 | FDD p.66 |
| Same-store net sales growth — franchisee-operated Centers 50.6% of units met or exceeded Total franchised same-store growth over the prior year; 499 of 986 Centers (50.6%) met or exceeded it. Median growth 6.6%; individual Center results ranged from +242.5% to -100.0%. Excludes 77 Centers open less than 12 full months. | Franchised same-store Centers Other | 6.5% | 986 | FY2025 | FDD p.67 |
| Net sales — company-operated Centers open a full fiscal year 349 of 785 Centers were above this average. These Centers are operated by an affiliate of the franchisor and pay no royalties. | Company-operated (affiliate-run, not franchises) Average | $1,677,087 | 785 | FY2025 | FDD p.63 |
| Net sales — company-operated Centers open a full fiscal year The separate 'Median Center Financial Performance' block in the same table prints net sales of $1,592,280 for the median Center P&L. | Company-operated (affiliate-run, not franchises) Median | $1,599,409 | 785 | FY2025 | FDD p.63 |
| Gross sales — company-operated Centers open a full fiscal year Gross sales before sales tax ($110,899) and sales deductions ($205,851). This is the only gross-sales figure in Item 19 and it is for company-operated, not franchised, Centers. | Company-operated (affiliate-run, not franchises) Average | $1,993,837 | 785 | FY2025 | FDD p.64 |
Disclosed cost and profit figures
These figures are disclosed by the franchisor for the population stated in each row — often a subset (company-owned units, or franchisees who chose to report). They frequently exclude owner compensation, rent, debt service, taxes or royalties. They are not a prediction of your results.
| Metric | Subset | Value | Units | Period | Cite |
|---|---|---|---|---|---|
| Contribution before royalties — company-operated Centers Net sales of $1,677,087 less product $449,317, labor $450,906, center expenses $153,625 and advertising $73,281. Center expenses exclude operating leases (rent), market and corporate overhead and depreciation, and company Centers pay no royalties. Not a franchisee profit figure. | Company-operated (affiliate-run, not franchises) Average | $549,958 | 785 | FY2025 | FDD p.64 |
| Contribution after a hypothetical 4% royalty — company-operated Centers VIOCF deducted a 4% royalty ($67,083) to show what the average company Center would have earned had it paid royalties; it states 95% of franchise Centers paid 4% in the prior year. Still excludes rent, overhead, depreciation and taxes. | Company-operated (affiliate-run, not franchises) Average | $482,875 | 785 | FY2025 | FDD p.64 |
| Contribution after a hypothetical 4% royalty — company-operated Centers Median Center P&L: net sales $1,592,280, contribution $516,049, less a 4% royalty of $63,691. | Company-operated (affiliate-run, not franchises) Median | $452,358 | 785 | FY2025 | FDD p.64 |
| Contribution before royalties — lowest company-operated Center The lowest company-operated Center had net sales of $535,143 and negative contribution; the highest had net sales of $3,659,964 and contribution of $1,497,237. | Company-operated (affiliate-run, not franchises) Low | −$26,421 | 785 | FY2025 | FDD p.64 |
System health (Item 20)
Outlets, openings, exits and transfers by fiscal year · U.S. onlyView detailed Item 20 tables and source notes
| Fiscal year | Start | Opened | Terminated | Not renewed | Reacquired | Ceased — other | End | Transfers | Company-owned (end) |
|---|---|---|---|---|---|---|---|---|---|
| 2023 | 827 | 54 | 0 | 0 | 0 | 2 | 879 | 23 | 844 |
| 2024 | 879 | 90 | 0 | 0 | 5 | 1 | 963 | 26 | 913 |
| 2025 | 962 | 117 | 2 | 0 | 6 | 0 | 1,071 | 11 | 976 |
Disclosed 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc., Item 20, Tables 1–3 (PDF p. 69). Counts are U.S. outlets by state; VIOCF operates no Centers itself, so the company-owned column reports Centers run by affiliate Valvoline LLC. Table No. 3 has two internal inconsistencies. Its printed FY2024 total shows 90 openings and 963 outlets at year end, but its own state rows sum to 89 and 962, matching Table No. 1. Its printed FY2025 total shows 1,071 and the state rows agree, but Table No. 1 and Item 19 both report 1,063 - an unexplained gap of eight. Unit counts here use Table No. 1; Table No. 3 is reproduced as printed. Over three years: 261 franchised openings, 2 terminations, no non-renewals, 11 reacquired by the franchisor, 3 closed for other reasons and 60 transfers. The affiliate also sold 67 company Centers to franchisees in FY2024-FY2025.
Source data notes (12) — inconsistencies found in the FDD itself during verification
Our verification re-reads every table. Where the FDD's own printed tables disagree, we document the discrepancy rather than silently "fixing" it. Classes: B = arithmetic error in the source's derived column; C = the printed tables genuinely disagree; D = a legitimate definitional difference (e.g., transfers netted, explained by a footnote); E = unresolved ambiguity. Figures a material C/E issue puts in doubt are excluded from our derived metrics, scores and rankings.
- [C/minor] Table 3 vs Table 1 2024: Table No. 3's printed FY2024 TOTAL row reads 879 start, 90 opened, 0 terminations, 0 non-renewals, 5 reacquired, 1 ceased-other, 963 at year end. Its own 46 state rows for FY2024 sum to 89 opened and 962 at year end. Table No. 1 shows franchised outlets ending FY2024 at 962, and Table No. 3's own FY2025 row starts at 962. — Verified against the page image of physical page 74: the TOTAL row really is printed as 90 and 963, so this is a source-document inconsistency, not an extraction error, and the record reproduces the page correctly. 962 (and 89 openings) is the corroborated figure — the state rows, Table No. 1 (p.69) and Table No. 3's own FY2025 carry-forward all agree on it. The one-unit error sits in the printed TOTAL. Quote, Table 3 TOTAL p.74: '2024 879 90 0 0 5 1 963'; Table 1 p.69: 'Franchised 2024 879 962 +83'. Use 962/89 for derived metrics and keep the printed 963 only as reproduced source.
- [C/material] Table 1 vs Table 3 2025: Table No. 1 shows franchised outlets ending FY2025 at 1,063 (+101). Table No. 3's printed FY2025 TOTAL is 962 start, 117 opened, 2 terminations, 6 reacquired, 1,071 at year end — an 8-outlet gap between the two tables for the same count. — Both totals are internally coherent, which is what makes this material: Table No. 3's 1,071 equals the sum of its own 46 state rows and foots arithmetically (962+117-2-6=1071), while Table No. 1's 1,063 is corroborated twice outside Table 3 — Item 19 Section B states 'there were 1,063 Centers operated by franchisees' as of September 30, 2025 (p.65), and Table No. 1's own total outlets of 2,039 equals 1,063 franchised plus the 976 company-owned that Table No. 4 foots to exactly (913+97+6-1-39=976). The 8-unit gap is unexplained by any footnote; nothing in Table 3 records 8 closures. 1,063 is the better-supported figure and should drive the site's franchised unit count and growth; note that derive.ts growthStats reads item20.franchised_status, i.e. the Table 3 series, so it currently ends FY
- [C/minor] Table 3 2025: Carry-forward break inside Table No. 3: FY2024 ends at 963 but FY2025 starts at 962. — Same root cause as the FY2024 TOTAL error, not a separate defect: the FY2025 start of 962 is the correct figure (it matches the FY2024 state-row sum and Table No. 1), so the break exists only because the printed FY2024 TOTAL end is one too high. Correcting FY2024 to 962 closes it. Affects nothing further once FY2024 is corrected.
- [C/minor] Table 2 (Transfers) 2025: Table No. 2's printed FY2025 TOTAL is 11, but its state rows for FY2025 (Colorado 6, Minnesota 2, South Carolina 1, South Dakota 1, all others 0) sum to 10. — Confirmed on physical page 70: the state rows sum to 10 and the printed TOTAL says 11. Neither figure is corroborated elsewhere in the FDD, so the one-unit difference cannot be resolved from the document; it is 0.1% of the 962 start-of-year franchised base, well under the 0.5% threshold, and transfers are a secondary metric. Keep the printed TOTAL of 11 as recorded and footnote the one-unit footing error.
- [C/minor] Table 3 vs Table 4 2023: New finding, not raised by either pass. Table No. 3 records FY2023 with 0 outlets reacquired by the franchisor and 2 ceased for other reasons (both in Michigan, which goes 2 to 0). Table No. 4 records 2 outlets 'Reacquired from Franchisees' in FY2023. The same two units are classified as a reacquisition in one table and as a closure in the other. — The FY2024 and FY2025 reacquisition columns tie exactly across the two tables (5 and 6), so FY2023 is the odd year out. Total franchised closures for FY2023 are 2 either way and Table No. 1's 879 is unaffected, so only the composition of attrition changes — a reacquisition rather than a closure for other reasons. Present the FY2023 exits as 2 outlets leaving the franchised base without asserting the reason.
- [C/minor] Item 20 lead-in 2025: The Item 20 lead-in on physical page 69 reads 'as of the end of each of VIOCF's 2023, 2024 and 2054 fiscal years'. — Plain typographical error for 2025. Every table below it is headed 'FOR FISCAL YEARS 2023/2024/2025' and every data row is labelled 2023, 2024 or 2025, so no figure is affected.
- [D/minor] Table 5 (Projected Openings) 2026: Table No. 5 projects 97 new franchised outlets and 79 new company-owned outlets in FY2026 against only 6 franchise agreements signed but not yet opened — a projection about sixteen times the signed backlog. — The two columns measure different things, so the comparison is not an inconsistency. Much of VIOC's franchised growth comes from the affiliate selling company-operated Centers to franchisees rather than from a backlog of signed-but-unopened agreements: Table No. 4 shows 28 company Centers sold to franchisees in FY2024 and 39 in FY2025, and those conversions appear as franchised 'openings' in Table No. 3 (Colorado's 10 FY2024 franchised openings match Table No. 4's 10 Colorado Centers sold to franchisees exactly). Projections are forward-looking statements and feed none of the site's derived metrics.
- [D/minor] Table 3 / Table 4 (definitions) 2025: VIOCF franchises but operates no Centers itself; the 'company-owned' columns report Centers operated by affiliate Valvoline LLC / VIOC, which Item 20 expressly discloses as company-owned Centers. — A disclosed definitional choice, stated in the Item 20 lead-in on p.69, not a discrepancy. It matters for reading the franchised series: company-operated Centers grew 767 to 976 over FY2023-FY2025 while the affiliate also bought 13 Centers back from franchisees and sold 67 to franchisees, so a large share of franchised 'openings' are transfers of existing company Centers rather than new construction.
- [D/minor] Table 3 (state rows) 2025: Pass B's observation that Louisiana loses all 5 of its franchised Centers to franchisor reacquisition in FY2025 and Michigan's 2 Centers ceased operations for other reasons in FY2023. — Verified against the state rows: Louisiana FY2025 reads 5 start, 0 opened, 5 reacquired by franchisor, 0 at year end; Michigan FY2023 reads 2 start, 2 ceased-other, 0 at year end. Descriptive, no discrepancy — though the Michigan units are the same two that Table No. 4 calls reacquisitions (see the FY2023 Table 3 vs Table 4 issue above).
- [D/minor] Table 2 (Transfers) 2024: Pass A's and Pass B's observation that Table No. 2 foots correctly for FY2023 and FY2024. — Verified: FY2023 rows Florida 4 + Illinois 1 + Kentucky 7 + Tennessee 11 = 23, matching the printed TOTAL; FY2024 rows New York 12 + Oklahoma 14 = 26, matching the printed TOTAL. No discrepancy in either year.
- [D/minor] Table 1 2025: Pass B's observation that Table No. 1 is internally consistent for every year. — Verified: franchised plus company-owned equals total outlets in all three years (879+844=1723, 962+913=1875, 1063+976=2039), each net change ties to its start and end, and each year's end carries forward to the next year's start. No discrepancy.
- [D/minor] Table 4 (Company-Owned) 2025: Pass B's observation that Table No. 4 foots exactly for all three years. — Verified by re-adding the 26 state rows in each year: they equal the printed TOTAL row in every column, and each TOTAL foots (767+75+2=844; 844+92+5-0-28=913; 913+97+6-1-39=976). No discrepancy — which is what makes Table No. 1's 1,063 the better-supported franchised figure for FY2025, since 1,063+976 reproduces Table No. 1's printed 2,039 total.
Company-owned outlets (Table 4)
| Year | Start | Opened | Reacquired from franchisee | Closed | Sold to franchisee | End |
|---|---|---|---|---|---|---|
| 2023 | 767 | 75 | 2 | 0 | 0 | 844 |
| 2024 | 844 | 92 | 5 | 0 | 28 | 913 |
| 2025 | 913 | 97 | 6 | 1 | 39 | 976 |
Read: How to read Item 20.
Ownership and operations
Items 11, 12, 15, 17Manager-run permitted Disclosed
- Source
- 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc.
- Document
- FDD 2025, issued 2025-12-26, amended 2026-07-16
- Item
- Item 15
- Page
- PDF p. 53
- Obtained
- Wisconsin Department of Financial Institutions — Franchise Registration Search, file 640069
You may designate someone to act as the on-site manager of your initial Center and subsequent Centers.
The License Agreement requires the franchisee or its designee to devote full time and best efforts to managing the Center. VIOCF recommends but does not require that the owner personally participate in operating the first Center; an on-site manager may be designated instead. That manager must complete VIOCF's manager training program including SuperPro, must directly supervise on-site operations, and need not hold an ownership interest. All subsequent managers must also complete the program.
View operating requirements, territory and contract term
| Owner involvement (Item 15) | Manager-run permitted Disclosed
The License Agreement requires the franchisee or its designee to devote full time and best efforts to managing the Center. VIOCF recommends but does not require that the owner personally participate in operating the first Center; an on-site manager may be designated instead. That manager must complete VIOCF's manager training program including SuperPro, must directly supervise on-site operations, and need not hold an ownership interest. All subsequent managers must also complete the program. The License Agreement requires the franchisee or its designee to devote full time and best efforts to managing the Center. VIOCF recommends but does not require that the owner personally participate in operating the first Center; an on-site manager may be designated instead. That manager must complete VIOCF's manager training program including SuperPro, must directly supervise on-site operations, and need not hold an ownership interest. All subsequent managers must also complete the program. |
|---|---|
| Initial training | Item 11's training table lists five segments totalling about 70 hours of classroom instruction and 288 to 312 hours of on-the-job training: Real Estate and Development (6 classroom, 8-16 on-the-job, in Lexington and in-market), Administration (24 and 16, Lexington KY), Operations Training (40 and 160, at a company-owned Center in the region), Center Opening Assistance (80 on-the-job at the franchisee's location) and Follow-Up Training (24-40 on-the-job). The franchisee, or a principal if the franchisee is an entity, must complete Real Estate and Development training, which begins after signing and includes one day of orientation and one to three days of site visits, and Administration training, which begins about 60 days before opening. The initial manager must complete Operations Training, including roughly 20 days of on-the-job work at a Center operated by an affiliate or franchisee, before the Center opens. Center Opening Training is held on site about a week before opening and Follow-Up Training about three to six months after. VIOCF charges no tuition, but the franchisee pays for printed materials, travel, lodging, meals and wages. Disclosed
Hour totals are the sum of the table's classroom and on-the-job columns; the table itself prints no total row. |
| Multi-unit / development options | Multi-unit development is offered through a Development Agreement covering a defined Development Area, with the minimum number of Centers mutually agreed but never fewer than three. A non-refundable development fee of $5,000 is due for each conversion or ground-up Center to be developed, and a separate License Agreement must be signed for each Center. Item 5 states the per-Center license fee under a Development Agreement is $2,500 to $5,000. Outside a Development Agreement, the license fee falls to $20,000 for a second ground-up Center or $5,000 for a second qualifying conversion Center, and $5,000 for a third Center. Buying a Center from an existing franchisee costs $5,000 for the first and $2,500 for each further Center in the same transaction. A Development Area may span part of a city up to several counties or market areas in more than one state and cannot be relocated. Developers receive no option or right of first refusal over existing Centers offered for sale inside their Development Area. Disclosed
Drawn from Items 1, 5 and 12. |
| Territory (Item 12) | No exclusive territory. The License Agreement designates an Approved Location and a 2-mile radius around it within which VIOCF agrees not to establish or license another Center operating under the System and the Proprietary Marks. Territory rights do not depend on sales volume, market penetration or other performance contingencies, and the Center cannot be relocated without consent. Protection is narrow: VIOCF and its affiliates may buy other quick-lube facilities inside the territory and operate or license them under different marks, the Valvoline and V marks used apart from Instant Oil Change are not treated as protected marks, Valvoline Express Care operators may be located inside the territory, and there is no protection against product sales through other channels including online. The franchisee may solicit business from outside the territory but has no right to other distribution channels. Disclosed
|
| Initial term | 15 years Disclosed
License Agreement term is 15 years. The Development Agreement term is negotiated. |
| Renewal | The License Agreement offers a renewal option of two consecutive 5-year terms, one 10-year term, or one 15-year term. VIOCF and the franchisee conduct a site review at least 18 months before expiration to set maintenance and upgrade requirements, and the franchisee must give 12 to 18 months written notice of the election to renew. Renewal requires compliance with monetary, training, site-upgrade and other obligations, a signed release of claims, execution of the then-current License Agreement and related agreements, and payment of a renewal fee of $2,500 for a 5-year term or $5,000 for a 10- or 15-year term. VIOCF states the then-current agreement may contain materially different terms, and Item 6 notes it may charge a higher royalty percentage on renewal. Disclosed
|
Risk and legal observations
Items 3, 4, 8, 15, 17 — summarized neutrallyLitigation: 2 matter(s) disclosed Disclosed · Bankruptcy: None disclosed Disclosed
View legal disclosures, restrictions and guarantees
| Litigation (Item 3) | 2 matter(s) disclosed Disclosed Item 3 lists one pending action and one concluded action. The pending matter is a putative consumer class action filed June 4, 2025 in California state court on behalf of people who paid for an oil change at a Valvoline location in California, naming Valvoline Inc. and VIOCF and alleging that representations about changing engine oil every 3,000 miles or 3 months violated California's Unfair Competition Law and Consumers Legal Remedies Act. Plaintiffs seek compensatory, statutory, treble and punitive damages in unspecified amounts. Defendants deny the allegations, removed the case to federal court on September 18, 2025 and moved to dismiss on November 24, 2025; oral argument was set for February 2026 and the court had not ruled as of the document. The concluded matter is a 2018 Assurance of Discontinuance with the Washington Attorney General over no-poach clauses in VIOCF license agreements; without admitting liability, VIOCF agreed to stop including and enforcing those clauses and to remove them from existing agreements. Item 3 states no litigation was commenced against franchisees in the last fiscal year. |
|---|---|
| Bankruptcy (Item 4) | None disclosed Disclosed Item 4 states no bankruptcy information is required to be disclosed. |
| Personal guaranty | Required Disclosed
Item 15 states that officers, directors, partners and holders of a 5% or greater interest in the franchisee entity or its parent or affiliate, and certain related persons, may be required to sign a consent, confidentiality and non-competition covenants, and to personally guarantee performance. Exhibit E is a Guarantee of Performance and Exhibit A-5 is a Spousal Consent. The state-mandated risk factor on the cover states a spouse must sign a document making the spouse liable for all financial obligations under the franchise agreement even without an ownership interest. |
| Non-compete | During the term, Item 17 row q bars the franchisee from diverting business, employing anyone employed by VIOCF, or operating a similar business. After termination or expiration, row r bars involvement in a similar business for 2 years within a 25-mile radius of any Center — not merely the franchisee's own Center. Exhibit A-4 is a separate Covenant Not To Compete. Failure to comply with the non-competition provisions is listed as a default that cannot be cured. Disclosed
|
| Transfer restrictions | Transfer is defined broadly to include selling, assigning, conveying, giving away or encumbering all or substantially all of the Center's assets or an interest in the licensed business. VIOCF must approve all transfers but says it will not unreasonably withhold approval. Conditions include satisfying all money obligations, paying the transfer fee, not being in default, signing a release, the transferee qualifying and completing training, and executing then-current form documents. VIOCF holds a right of first refusal to match any offer, and on termination or expiration may buy certain assets at fair market value. On death or disability the franchise must be transferred to an approved transferee within one year. The transfer fee is $30,000 for a first Center going to a new franchisee, $5,000 to an existing franchisee and $2,500 per additional Center in the same transaction, waived for certain intra-ownership-group or qualified family transfers. Disclosed
|
| Termination / non-renewal | VIOCF cannot terminate without cause. Curable defaults under the License Agreement carry a 5-day cure period for fee payment defaults and 30 days for other defaults. A long list of defaults cannot be cured at all, including insolvency and bankruptcy events, unsatisfied judgments, levies against property, felony or moral-turpitude convictions, repeated defaults, unapproved transfer, abandonment, loss of premises, false books or reports, understated payments, failure to maintain insurance, disclosure of confidential information, failure to complete training, breach of the non-competition provisions, and misuse of the marks. Cross-default provisions run both ways: termination of the Development Agreement or any other agreement with VIOCF or an affiliate because of the franchisee's default is itself an incurable default under the License Agreement, and a material default under the License Agreement can be deemed a default under every other agreement. On termination or non-renewal the franchisee must cease operating and using the marks, pay all sums due, return the manual and confidential materials and remove signage. Item 17 lists no provision for termination by the franchisee. Disclosed
|
| Supplier restrictions (Item 8) | At least 95% of bulk and packaged motor oils, greases, other lubricants, oil, air and cabin air filters and automotive performance chemicals used or sold at the Center must be bought from VIOCF, an affiliate or a designated supplier; at the issuance date the only approved sources were VIOCF and affiliate Valvoline LLC. Base pricing is stated to match what company-operated Centers pay, though incentive programs change net prices. All other products, fixtures, signs and equipment must come from suppliers VIOCF approves in its sole discretion, and the POS system and card processor must be its designated providers. VIOCF states required purchases and leases are approximately 95% to 100% of a franchisee's total. In the year ended September 30, 2025 VIOCF recognised $7,140,095 from franchisee purchases and leases of required supplies including signage, 8.3% of its $86,493,241 total revenues; affiliate Valvoline US Retail Services LLC received $99,215,598, 92.1% of its $107,671,131 total revenue. There is no purchasing cooperative. Disclosed
|
| Dispute resolution | Item 17 row u lists no arbitration or mediation provision for either the License Agreement or the Development Agreement. Rows v and w require litigation in Kentucky under Kentucky law, subject to state law and the state addenda. The state-mandated risk factor on the cover page flags out-of-state dispute resolution, noting that litigating in Kentucky may cost more and may pressure a less favourable settlement. The Michigan addendum states that a requirement to arbitrate or litigate outside Michigan is void, and VIOCF adds a note there asserting that it intends to enforce the arbitration provisions in its agreements — a reference to arbitration that Item 17 itself does not carry. Disclosed
|
- No exclusive territory: protection is a 2-mile radius and only against Centers using the Valvoline Instant Oil Change Proprietary Marks; affiliates may buy and run other quick-lube brands inside it.
- On December 1, 2025 Valvoline Inc. acquired OC IntermediateCo, Inc., which operates 164 Oil Changers quick-lube centers; Item 12 states those centers may solicit or accept orders from within a franchisee's territory.
- The franchisor's affiliate operates 976 company Centers, slightly fewer than the 1,063 franchised Centers, and opened 97 of its own in FY2025 while projecting 79 more next year.
- Royalty steps up from 2% of Adjusted Gross Revenue in year one to 6% from year three, so the third-year cost increase is substantial relative to the opening years.
- Remodel obligation: at VIOCF's request the franchisee must update the Center, spending up to the greater of $50,000 or 2% of Adjusted Gross Revenue over the previous five-year period, with no cap when changes are required by law, for new products or services, or on renewal.
- Item 20 notes that some current and former franchisees have signed confidentiality provisions restricting their ability to speak openly about their experience with VIOCF.
- The Item 7 equipment line spans $10,000 to $350,000 and the land-and-improvements purchase line spans $1,550,000 to $2,750,000, so the headline range depends heavily on site and format assumptions.
- Item 6 contemplates two new charges not yet quantified: a national advertising fund with contributions starting January 2027 and a separate Technology Fund from fiscal 2027.
Summaries are neutral paraphrases of the cited document and are not legal advice. Read the full Items in the current FDD and consult a franchise attorney.
Illustrative unit economics
Model estimateModel estimate — not disclosed by the franchisor, not a forecast. Fee lines below come from this brand's verified FDD fee schedule and are computed exactly as disclosed (each line shows its arithmetic). Operating-cost ratios are category placeholders we chose — every one is editable and labeled assumption. Results are illustrative arithmetic, not expected returns. Every figure here belongs to one of five labeled categories — disclosed inputs, model assumptions, unmodeled mandatory fees, user-editable assumptions, and exclusions — defined in our methodology. This brand's Item 19 also discloses some cost or profit data — see the Item 19 section, which takes precedence over any assumption here.
| Line (annual) | Downside | Base | Upside |
|---|---|---|---|
| Revenue (AUV basis) | $1,475,338 | $1,844,172 | $2,120,798 |
| − Cost of goods / supplies assumption | $442,601 | $553,252 | $636,239 |
| − Payroll (excl. owner) assumption | $398,341 | $497,926 | $572,615 |
| − Occupancy assumption | $118,027 | $147,534 | $169,664 |
| − Other operating expenses assumption | $147,534 | $184,417 | $212,080 |
| − Royalties disclosed 6% of revenue (standard rate; tiers are time-based (years of the term) — the standard rate is modeled) = $110,650 |
$88,520 | $110,650 | $127,248 |
| − General System Fund disclosed 2% of adjusted gross revenue = $36,883; capped at $7,500/yr |
$7,500 | $7,500 | $7,500 |
| − Local Advertising Spend or Contribution disclosed 3% of adjusted gross revenue = $55,325 |
$44,260 | $55,325 | $63,624 |
| = Modeled operating result before the items below (EBITDA-style) | $228,554 | $287,568 | $331,828 |
| − Manager compensation assumption | $70,000 | $70,000 | $70,000 |
| = Modeled result after manager compensation | $158,554 | $217,568 | $261,828 |
| − Illustrative debt service assumption | $47,147 | $47,147 | $47,147 |
| = Illustrative pre-tax cash flow — before taxes, capital expenditures and unmodeled fees | $111,407 | $170,420 | $214,680 |
| Modeled operating margin | 15.5% | 15.6% | 15.6% |
This modeled result is not owner income. It excludes: income taxes; capital expenditures and equipment-replacement reserves; working-capital needs; ramp-up losses; owner-specific costs; one-time and per-event fees (transfer, renewal, audit); and 4 mandatory fee(s) whose amounts the FDD does not state (listed below — real outflows are higher by these amounts). It is illustrative arithmetic on stated assumptions, not a promise or forecast of what a franchisee earns.
Mandatory fees disclosed but not quantified — not included in the modeled result: the FDD requires these but states no amount (e.g. billed at "then-current" rates). They are never modeled as $0. If you have a quote or estimate, enter an annual amount to include it as your own assumption:
- Center Update and Remodel Costs (Item 6, p. 21) — A ceiling on required spend, not a fixed charge, and it recurs roughly every five years rather than annually. At the record's $1.84m AUV the 2% formula implies about $184,000 per five-year cycle against a $50,000 floor; a capital reserve of at least $10,000 per Center per year is the conservative floor. The exceptions to the cap are broad.
- Fleet Program (Item 6, p. 21) — amount not stated in the FDD (e.g. “then-current fee”)
- Ongoing Purchases of VALVOLINE Products (Item 6, p. 21) — A purchasing obligation rather than a fee, but it is the largest recurring payment to the franchisor's system. Item 19 Section A company-operated data implies product cost of roughly 26.8% of Net Sales; Item 5 estimates initial inventory of $28,750-$62,050.
- Indemnification of VIOCF and its Affiliates for Expenses of Claims (Item 6, p. 22) — amount not stated in the FDD (e.g. “then-current fee”)
Overlap control: National Advertising Fund is counted within “general-system-fund” — excluded to avoid double counting; Regional Advertising Cooperatives is counted within “local-advertising-spend” — excluded to avoid double counting.
Every figure in this table is a model estimate built on the disclosed fee schedule plus labeled assumptions. Excluded: income taxes, owner draw, working-capital swings, capital expenditures, ramp-up losses in year one, one-time and per-event fees (transfer, renewal, audit), and the undisclosed-amount fees listed above. Read AUV vs. EBITDA vs. owner income before using this.
Sources and provenance
Primary source: 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc. · issued 2025-12-26 · amended 2026-07-16. Find the FDD at Wisconsin Department of Financial Institutions — Franchise Registration Search. We cite source pages and do not redistribute PDFs.
View all sources, provenance and verification notes
| Document | Obtained from | Dates | Status |
|---|---|---|---|
| 2025 Franchise Disclosure Document — Valvoline Instant Oil Change Franchising, Inc. Registry file 640069 · 424 pages Cover page reads 'Issued: December 26, 2025, as amended July 16, 2026'. Wisconsin registration effective 12/29/2025 and shown as Registered; this is the newest document available for the brand in that registry. | Wisconsin Department of Financial Institutions — Franchise Registration Search | Issued 2025-12-26; amended 2026-07-16 Retrieved 2026-08-29 | Newest available at retrieval |
AI-assisted extraction from the archived FDD text, independently machine-verified against the cited source (two passes plus tie-break); not human-reviewed. Extracted 2026-08-29. Last updated 2026-09-05. AI-assisted extraction independently machine-verified against the cited source document (2026-08-30): two independent AI reading passes plus tie-break re-inspection of every disagreement; 73 of 77 material fields confirmed (67 with the exact page citation re-confirmed), 1 corrected, 0 unresolved, 4 confirmed not disclosed. No human has reviewed this profile. Fiscal year covered: FY2025 (Oct 1, 2024 – Sep 30, 2025). See how we use AI and verify data.
Fields flagged as uncertain (5)
- item20.franchised_status[2].end - Table No. 3 prints 1,071 for FY2025 and its state rows agree, but Table No. 1 and Item 19 say 1,063. Unit counts use Table No. 1.
- item20.franchised_status[1] - Table No. 3's printed FY2024 total (90 opened, 963 end) contradicts its own state rows and Table No. 1 (89, 962). Recorded as printed.
- investment.alternative_formats[1].franchise_fee - left null: Item 5's $2,500-$5,000 development-agreement license fee cannot be reconciled with the cover page's three-Center estimate.
- fees.royalty.unit, fees.ad_fund.unit, fees.local_marketing.unit - pct_other because the base is Adjusted Gross Revenue, neither the schema's gross-sales nor net-sales base.
- item19.headline_auv - the franchisee table reports net sales only; no gross-sales figure for franchised Centers exists in the document.
Extraction notes (14)
- Cover page reads 'Issued: December 26, 2025, as amended July 16, 2026'. The document is keyed to its 2025 issuance year. Wisconsin registration is effective 12/29/2025 and shown as Registered, so this is treated as current.
- Fiscal years run October 1 to September 30. FY2025 means the year ended September 30, 2025.
- Two expected validator warnings compare Item 20 Table No. 1 with Table No. 3 for 2024 (962 vs 963) and 2025 (1,063 vs 1,071). Both reflect real inconsistencies inside the FDD, not transcription errors: the state rows of Table No. 3 were summed independently and confirm 962 for FY2024 (contradicting its own printed total of 963) and 1,071 for FY2025 (contradicting Table No. 1's 1,063).
- Item 20's opening line contains a typo reading 'VIOCF's 2023, 2024 and 2054 fiscal years'; the tables themselves are labelled 2023/2024/2025.
- Both Item 7 totals were checked against their line items and foot exactly: $192,375 and $639,550 for the leased scenario, $1,773,750 and $3,483,550 for the purchased scenario.
- Item 1 gives August 1, 1988 as the date VIOCF was incorporated and began offering license and development agreements, and October 1, 1989 as the date affiliate Valvoline LLC began operating company-owned Centers. business_since and franchising_since are both recorded as 1988; no earlier predecessor date appears in Item 1.
- VIOCF operates no Centers of its own. The company-owned column in Item 20 reports Centers operated by affiliate Valvoline LLC, and the Item 19 Section A profit data comes from those affiliate stores.
- Item 1 reports 98 franchised Great Canadian Oil Change locations in Canada as of September 30, 2024 under a separate franchisor entity and brand. These are excluded from the unit counts, which are U.S. Valvoline Instant Oil Change outlets only.
- No minimum liquidity or net-worth requirement appears on the cover pages or in Items 1, 5, 7, 11 or 15; both fields are recorded as not_disclosed rather than inferred.
- Item 6 lists no recurring technology or software fee, so fees.technology is not_disclosed with the hourly and hardware-upgrade charges described in its note; a Technology Fund is contemplated from fiscal 2027 but unquantified.
- Item 17 row u shows no arbitration or mediation provision, yet the Michigan addendum contains a franchisor note asserting it will enforce the arbitration provisions in its agreements. Both are recorded in risk.dispute_resolution without resolving the conflict.
- Item 19 Section A prints two different FY2025 medians for company-operated net sales — $1,599,409 in the 'Median Center Data' block and $1,592,280 in the 'Median Center Financial Performance' P&L. Both are recorded.
- Royalty and General System Fund units recorded as pct_net_sales because the base is Adjusted Gross Revenue (gross revenue less taxes and discounts).
- Verification 2026-08-30: correct /franchisor/business_since 1989 → 1989
We do not host or redistribute FDD PDFs. Search the registry linked above by franchisor name to obtain the document. Found an error? Report a correction with the field and the primary source.
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