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Quick Lube Business Plan [Sample Template]

Do you want to start a Quick Lube company and need to write a business plan? If YES, here is a sample Quick Lube business plan template & feasibility report.

Businesses in this industry are very important to the general automotive industry. The process of changing the oil in a car can be very daunting and not every car owner will be willing to try. Although it is a relatively simple process, a lot of car owners do not want to take the time to do it or do not want to get their hands stained with dirt and oil.

Car owners instead prefer to pay someone else to do it for them. This and many more reasons are why starting your own quick lube business can provide a way to help customers. Once you’ve determined to open a quick lube business, the first thing to do is to put together a business plan.

A Sample Quick Lube Repair Business Plan Template

1. Industry Overview

Businesses in this industry change motor oil, lubricate the chassis of automotive vehicles and provide other automotive repair and maintenance services, such as tire rotations and liquid flushes. Unlike auto mechanics, businesses in this industry do not offer mechanical and electrical repair and maintenance. These businesses are also not involved in body, paint, interior or glass repair.

The Oil Change Services in the US industry consists of Conventional oil changes, semi-synthetic oil changes, full synthetic oil changes, automotive oil changes, car washing and cleaning services, other maintenance services and high-mileage oil changes.

The US automotive oil change and lubrication industry includes about 5,000 companies with combined annual revenue of about $5 billion. Major companies include Jiffy Lube, Pennzoil 10-Minute Oil Change, Valvoline Instant Oil Change, and Texaco Xpress Lube. According to reports, the industry is fragmented; the 50 biggest companies generate less than 40 percent of revenue.

Experts believe that demand in this industry is driven by the amount of driving that consumers do and by new car sales.

The profitability of individual companies depends on convenient location and good marketing. Bigger companies have an advantage in brand recognition, but the operations of individual locations are similar. Small companies can compete successfully by owning favorable locations.

Note that industry operations are labor-intensive: annual revenue per employee is just $60,000. Major services are oil changes, installation of new oil filters, chassis lubrication, and preventative maintenance. Routine maintenance services like adjusting tire pressure, changing windshield wipers, replacing light bulbs, and topping off auto fluid levels are usually done in 10 minutes or less.

Typically, more than 70 percent of revenue is from oil changes. A typical location performs about 1,200 jobs per month. Most locations operate two to five bays in a drive-through building, and many use basement construction so that oil can be changed below while other services are being completed above.

However, to keep capital investments low and offer quick building relocation, vehicle lifts can be used rather than basements.

2. Executive Summary

Easy On Oil is a San Diego registered LLC quick lube business that will provide high quality oil changes at a reasonable price. Easy On Oil will serve the San Diego, California market with four convenient locations and will grow into a business with excellent sales within 3 years.

At Easy On Oil, we will differentiate ourselves by not only offering oil change or other automotive maintenance services, but by also providing customers with a stocked lubricant and parts store. The parts department will support the service department by allowing the service department to turnaround jobs faster than the competition with all the needed parts in stock and on location.

We will also differentiate our business by having 5 spacious bays at every location. This offers incredible value to customers who need their cars fixed right away. Long wait for services and parts won’t b entertained at East On Oil as we strive to offer the best service and product in our market.

We will attract and maintain a loyal customer base through our customer-oriented focus on business. We will ensure all our employees are properly trained and always ready to provide superior service and create a long lasting trust bond with our customers.

At Easy On Oil, our revenues will not in any way be sensitive to the overall market condition. People will continue to drive regardless of the general economic market. The company would need to have sales decrease by more than 30% before we can be unable to satisfy our month to month financial obligations. Easy On Oil boasts of a unique and well versed management team that will allow us achieve our objectives.

Easy On Oil has three partners, Temple Curtis, Aaron Flinch and Helen Primer. Temple worked as a top sales rep at Chevrolet for over 13 years. He will be charged with overseeing the sales and marketing of Easy On Oil. Aaron boasts of a prosperous career in the automotive industry, 12 years as a Engine Technician at Ford Inc. Lastly, Helen brings 8 years of finance and administration experience. She was trained at Ford and later took a position at Chevrolet.

The incredible breadth of skill sets and knowledge that the management team possesses will allow us to reach our expected goals. Easy On Oil is an exciting business opportunity that addresses the unmet need of having a spacious quick lube facility that also has a complete automotive parts store. We will offer these distinct but complimentary services coupled with unprecedented customer service, something that the industry is not known for having.

3. Our Products and Services

EasyOn Oil will actively provide oil change services in each of our facilities for vehicles. These services will include full oil changes, lubricate the chassis of automotive vehicles and provide other automotive repair and maintenance services, such as tire rotations and liquid flushes. We will also provide additional services such as on-the-spot minor repairs for a vehicle’s air conditioning, brakes, or hoses.

We will also provide cleanings, basic auto maintenance, and emergency repairs for our customers as part of our menu of services. We do not intend to offer expansive vehicle repair services as our facilities will not be equipped to run full automotive diagnostics and repairs.

Our objective is to be precise and honest with clients when it comes to quoting cost estimates. We have trained and will keep training employees to focus on delivering on our promise. We believe that by establishing a strong customer relationships based on trust and integrity, we can benefit from a strong regular customer base and good referrals.

We plan to leverage the highest degree of modern technology to manage a full range of automotive lubricants and parts inventory. We plan to make sure we don’t ever run out of a specific part, while maximizing inventory turnover. We will create strong vendor relationships with the most reputable vendors in terms of shipping time of major parts.

4. Our Mission and Vision Statement

  • Our vision at Easy On Oil is to become the leading business that offers Quick Lube repair services and a well-stocked repair parts shop in San Diego, California. Our goal is to capture a majority of the market in little or no time.
  • At Easy On Oil, our mission is to provide fast, reliable, and cost effective oil change and lubrication services for vehicle owners in San Diego, California. We plan to offer our clients personalized service by offering convenience and rapid service.
  • With Easy On Oil as a technologically savvy business with computerized monitoring of all automotive lubricant and repair parts inventory, we plan to make sure that parts are always in stock, while keeping a balanced level of inventory to maximize inventory turnover.

Our Business Structure

Easy On Oil will be managed by its three founding partners. Temple Curtis represents sales/management, Helen will focus on the finance/administration section of the business and Aaron will focus on the mechanical aspect of the business. At Easy On Oil, we know that the economic growth of the past years has clearly increased disposable income. People are graciously buying cars and comfort.

As a result, the need for reliable and convenient quick lube store has grown rapidly in California. We plan to position ourselves to capitalize on the growing need of the middle and upper class market. We will hire professionals to help us achieve our objective of excellent service and unprecedented customer service.

  • Managing Director
  • Marketing manager
  • Accountant
  • Automotive technician
  • Mechanic assistant
  • Shop attendant
  • Cleaners
  • Security Guard

5. Job Roles and Responsibilities

Managing Director

  • Is the senior Technician at Easy On Oil
  • Oversees the activities of group technicians, including the recruiting and credentialing processes
  • Attend standing meetings (board, committee, etc.)
  • Monitor quality and appropriateness of services and care
  • Provide guidance and leadership for performance guidelines
  • Develop policies and procedures
  • Manage strategic development
  • Oversee business peer review
  • Oversee documentation and care planning
  • Manage staffs relations and/or representation
  • Handle client complaints
  • Address emergency issues
  • Support technician education

Marketing Manager

  • Manages external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
  • Models demographic information as it relates to those who need our services
  • Sources for clients for the company
  • In charge of promoting the company’s image
  • In charge of creating marketing and sales strategies, etc.
  • Represents the organization in some strategic business meetings
  • Handles any other duty as assigned by the director


  • Receives payments on behalf of the company
  • Issues receipt to customers
  • Prepares financial report at the end of every working week
  • Purchase supplies and equipment as authorized by management
  • Monitor office supply levels and reorder as necessary
  • Tag and monitor fixed assets
  • Pay supplier invoices in a timely manner
  • Take all reasonable discounts on supplier invoices
  • Pay any debt as it comes due for payment
  • Monitor debt levels and compliance with debt covenants
  • Issue invoices to customers
  • Handles financial transaction on behalf of the company
  • Interfaces with our bankers
  • In charge of payment of tax, levies and utility bills
  • Handles any other duty as assigned by the office

Mechanic Assistant

  • Maintains and repairs automotive fleet and small equipment
  • Performs oil and other lubricant change on vehicles
  • Inspects and services automobiles, trucks, and other equipment
  • Changes and repairs tires and responds to road service calls
  • Performs tune-ups on vehicles
  • Diagnoses heating and air conditioning systems and makes repairs
  • Inspects suspension and exhaust systems and makes repairs
  • Assists in ordering and obtaining necessary parts and supplies
  • Assists with loading and unloading of warehouse supply trucks
  • Assists with maintenance on vehicles as time permits
  • Responds to after hour emergencies as requested
  • Performs other duties and responsibilities as assigned by the technician

Shop Attendant

  • Sees to it that clients are attended to and on time
  • Books clients for repairs or check in
  • Passes information to the technicians about clients
  • Reaches out to clients when information needs to reach them

Automotive Technician

  • Determines vehicle condition by conducting inspections and identifying worn and damaged parts.
  • Keeps equipment available for use by completing preventive maintenance schedules; installing component and part upgrades; controlling corrosion; completing winterization procedures.
  • Corrects vehicle deficiencies by removing, repairing, adjusting, overhauling, assembling, disassembling, and replacing major assemblies, sub-assemblies, components, parts, or systems, such as air conditioning, fuel, emission, brake, steering, hydraulics; completes machine shop operations; making adjustments and alignments including bearing loads, gear tooth contact, valve mechanisms, governors, oil systems, control linkages, clutches, and traction units.
  • Verifies vehicle performance by conducting test drives; adjusting controls and systems.
  • Complies with federal and state vehicle requirements by testing engine, safety, and combustion control standards.
  • Maintains vehicle records by annotating services and repairs.
  • Keeps shop equipment operating by following operating instructions; troubleshooting breakdowns; maintaining supplies; performing preventive maintenance; calling for repairs.
  • Keeps supplies ready by inventorying stock; placing orders; verifying receipt.
  • Updates job knowledge by participating in educational opportunities; reading technical and regulation publications.


  • Mops the floors
  • Keeps the facility clean
  • Cleans the bathroom
  • Empties the trash
  • Washes the windows

Security Guards

  • Ensures that the shop is secured at all time
  • Controls traffic and organize parking
  • Patrols around the building on a 24 hours basis
  • Submits security reports weekly
  • Handles any other duty as assigned by the manager

6. SWOT Analysis

Easy On Oil is a well-positioned quick lube shop that will serve the needs of the people of San Diego. With an estimated population of 1,425,976 as of July 1, 2018, San Diego is the eighth-largest city in the united states and second-largest in California.

It is part of the San Diego–Tijuana conurbation, the second-largest trans-border agglomeration between the U.S. and a bordering country after Detroit–Windsor, with a population of 4,922,723 people. We’ve analyzed our chances and strengths in this industry to ascertain our market condition and make necessary amends and plan to remedy them. Further explained below are the results of our SWOT analysis at Easy On Oil:

  • Strengths

At Easy On Oil, our strength is on the fast and convenient quick lube repair services we plan to offer our clients. Also our plans to make sure we maintain a referral network will give us the needed push in the industry. Also, our wide range of auto lubricants and repair parts inventory that is (nearly) never out of stock will further cement our place as a reckoning force in the industry.

  • Weaknesses

At Easy On Oil, our major weaknesses will be the time and resources it will take us to establish and publicize our services to the people of San Diego. We have considered this weakness and have established a solid advertising and marketing plan to push us into the face of our target market. Also our cash flow is impaired and business hours are limited for a retail establishment (Monday through Friday 9:00 a.m. to 6:00 p.m.)

  • Opportunities

Our Business location provides us with a vast market and many opportunities. Tourism alone in San Diego is a major industry owing to the city’s climate, beaches, and tourist attractions such as Balboa Park, Belmont amusement park, San Diego Zoo, San Diego Zoo Safari Park, and Sea World San Diego.

San Diego’s Spanish and Mexican heritage is reflected in many historic sites across the city, such as Mission San Diego de Alcala and Old Town San Diego State Historic Park.

Also, the local craft brewing industry attracts an increasing number of visitors for “beer tours” and the annual San Diego Beer Week in November. San Diego County hosted more than 32 million visitors in 2012; collectively they spent an estimated $8 billion. The visitor industry provides employment for more than 160,000 people.

  • Threats

At Easy On Oil,we face over 15 auto repair and auto parts competitors in the local area. Over half of these competitors offer both auto repair services, although without an inventory store. Among these, only a few are major national chains. The remaining are small privately-owned establishments. We at Easy On Oil have analysed this and we will favorably compete by focusing on convenience and offering a high level of customer service.


  • Market Trend

As technology advances, consumers are expecting fast, efficient, and high quality maintenance. The largest technological advancement in the automotive industry is the introduction of electric vehicles. Electric vehicles impact the future of the automotive repair industry in many different ways.

In order to see how electric cars are impacting the future of the automotive repair industry, it is important to understand how they work in the first place. To start off, there are two major types of electric cars that are on the roads today. The most popular has been around for a while, hybrid-electric cars.

Along with hybrids, all-electric cars are taking to the streets across the world. Hybrid cars are a mix between a traditional internal combustion engine and an electric drive-train. In hybrid-electric cars, the electric systems are used to even out the power needs in the vehicle.

This allows the IC engine to focus on efficiency rather than trying to do everything as it does in an all-gas car. So, most hybrid-electric cars do not ever run on electricity alone. Instead, the two halves work hand-in-hand to create a highly fuel efficient car, especially when driving locally.

These are some of the most efficient cars to ever be driven. This does come at a cost though. When it comes to all-electric cars, consumers either have an inexpensive car with very low range or a very expensive car with comparable range to an ICE car. Along with that, all-electric vehicles can pose some challenges to auto mechanics.

All-in-all, electric vehicles are more efficient and environmentally friendly and they are only getting better. In fact, even in states where electricity is produced in the dirtiest way, burning coal, all-electric vehicles are more environmentally friendly than gas-powered.

So, most maintenance on electric cars will be more software driven. Understanding code and the relationship that software has with new vehicles will become an essential skill set for anyone working in the auto repair industry in the future. Although there will still be many different tasks to complete with your hands, we will grow and advance with this trend by employing the services of a software engineer in due time.

8. Our Target Market

Our plan at Easy On Oil is to service the middle and upper income markets. We believe that this market is always on the lookout for high quality, rapid service with as much convenience as possible. Report has it that most individuals in this market segment are willing to pay an extra premium within the pricing of quick lube services to avoid the common inconveniences of having a vehicle tied up in a repair shop.

  • Local Residents’ Regular Customer Base

At Easy On Oil, we’ve made plans to create a significantly large regular customer base. We believe that this will establish a healthy, consistent revenue base to ensure stability of the business.

  • Local Mechanics and Freeway Traffic

This segment comprises approximately 25% of our revenue at Easy On Oil. Note that convenience, steady referrals from local mechanics, and high quality, rapid service are necessary to capture this segment of the market.

Our Competitive Advantage

Our key advantage in San Diego will be the high-quality, rapid, and convenient quick lube service we plan to offer. We will ensure we provide a full range of auto lubricant and repair parts inventory and rapid shipping capability of major parts. Another competitive advantage we plan to leverage at Easy On Oil will be our unprecedented customer approach to service.


  • Sources of Income

At Easy On Oil, we will generate revenue by actively providing oil change services in each of our facilities. These services will include full oil changes, lubricate the chassis of automotive vehicles and provide other automotive repair and maintenance services, such as tire rotations and liquid flushes.

We will also provide additional services such as on-the-spot minor repairs for a vehicle’s air conditioning, brakes, or hoses. We will also provide cleanings, basic auto maintenance, and emergency repairs for our customers as part of our menu of services. Below is well detailed outline of the services we will offer at Easy On Oil facilities in exchange for cash and referrals;

  • Providing automotive oil change and lubrication services
  • Providing automotive emissions testing services
  • Providing automotive rustproofing and undercoating services
  • Providing automotive safety inspection services
  • Providing automotive tire repair services
  • Providing emissions testing with repair services
  • Spray-on bed liner installation for trucks
  • Full range of Auto Lubricants and Repair Parts store.

10. Sales Forecast

Note that our sales forecast at Easy On Oil is based on the averages of the first-year figures for total sales by units, and for operating expenses. All these were analysed based on per-unit revenue, per-unit cost, and fixed costs. These conservative assumptions make for a more accurate estimate of real risk. From our detailed research, we hope that provisions for ongoing expenses are adequate to meet our needs as the business generates cash flow sufficient to support operations. At Easy On Oil, we strongly believe we will experience steady growth in profitability over the next three years of operation. Our sales forecast at Easy On Oil is as follows;

  • First Year: $850,000
  • Second Year: $1,994,000
  • Third Year: $3,119,000
  • Marketing Strategy and Sales Strategy

At Easy On Oil, our marketing and sales strategy will focus on reaching our target audience. To reach our local customer base, we will employ a marketing manager. We will also strengthen our relationships with local mechanics to capture repair needs of the local and highway traffic. The following tactics will be used prior and after we launch:

  1. Print 1,500 flyers advertising the grand opening of the business
  2. List the website on search engines, local business databases, auto repair shop databases and the Yellow Pages
  3. The principals and additional staff handing out business cards and wearing Easy On Oil shirts to promote the opening
  4. Running ads in the local papers about the grand opening
  5. The grand opening, a five-day event, will consist of a promotion giving introductory branded products
  6. Create a basic website with contact information and directions, the prices for services, images of products for sale in the shop and prices
  7. Printing flyers periodically promoting discounts and new products and posting them in the area
  8. Maintaining the website with new trends and advises.

11. Publicity and Advertising Strategy

At Easy On Oil, we will steadily channel our publicity and advertising towards our target market, the middle and upper class market, and create a reputable image from that target market’s perspective, by offering convenience, expedient quick lube services, customer service excellence, and by working with local mechanics.

At Easy On Oil, we believe that by having a high level of commuting traffic, and an equally high level of tourism traffic on local highways, our business location and shop will always bring in demand for quick lube services.

We plan is to grow sales through word-of-mouth. We plan to give our clients a few business cards to hand out to friends when they talk about our quick lube services or buying new parts. Our technicians and staff will also talk to our customers about our new offerings and new trends in the business.

12. Our Pricing Strategy

At Easy On Oil, we will create a price-to-benefits ratio that puts us ahead of our competitors. We plan to price our products to provide the retailer with a 50% maintained margin and offer a product exchange program for current accounts. Also our product prices will be gotten after the appropriate retail is determined to make sure that the shelf price represents a value to the consumer and the retailer has a 50% margin.

  • Payment Options

Most of our competitors have adopted point-of-sale systems in their stores. These systems gather sales and gross profit data by a stock-keeping unit from each store on a daily basis. At the end, the information is used to help formulate pricing, marketing and merchandising strategies.

Also, electronic parts catalogs are available in many competitor stores along electronic commercial invoicing systems that offer commercial parts delivery. Some of them also have electronic work order systems available amongst their various service centres.

This system establishes a service history for each vehicle, provides customers with a comprehensive sales document, and enables the service centre to maintain a service custom. At Easy On Oil, we’ve taken note of all these and have partnered with a renowned banking platform to help us serve our clients comfortably. We hope to make available the following payment options for our clients;

  • Payment by via bank transfer
  • Payment via online bank transfer
  • Payment through POS
  • Payment through PayPal
  • Payment via check
  • Payment with cash

13. Startup Expenditure (Budget)

Our plan at Easy On Oil is to spend our funds on licenses and permits including a building permit for renovation on the space, business licenses, health department permit, occupancy permit, and signage permit. We also need enough business cards for three years for our workers and flyers advertising the grand opening to be distributed and posted in the area.

We understand that starting a business like ours can be very expensive due to the high cost of equipment. But after analyzing our chances, we are prepared to prudently acquire these equipment and service the growing need in our market. Below is a detailed analysis of how we want to spend our startup capital.

  • Cost of incorporating the Business – $750.
  • Cost for basic insurance policy covers, permits and business license – $100,000
  • The cost of acquiring a suitable Office facility 6 months (Re – Construction of the facility inclusive) – $120,000
  • The budget for equipping the office (computers, software applications, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al) – $10,000
  • The price of purchasing of the required software applications (CRM software, Accounting and Bookkeeping software and Payroll software et al) – $12, 000
  • The Cost of Launching our official Website – $4,000
  • Our budget for paying at least five employees for 6 months plus utility bills – $70,000
  • Additional Expenditure (Business cards, Signage, repair equipment, Adverts and Promotions et al) – $234,000
  • Inventory: $1,200,000
  • Miscellaneous: $5,000

From our cost analysis above, we need approximately $560,000 plus $1,200,000 inventory to start Easy On Oil successfully.

Generating Funding/Start up Capital for Easy On Oil

Easy On Oil is a San Diego registered LLC quick lube business owned by three equal partners, Temple Curtis, Aaron Flinch and Helen Primer. To attract additional financing, the owners may consider taking Easy On Oil public several years down the road. Note that each of the three co-owners will invest an equal amount. The remainder of the required financing will come from a ten year Small Business Administration (SBA) loan and a short-term loan.

14. Sustainability and Expansion Strategy

At Easy On Oil, we understand the importance of establishing reliability and consistency in business. Although this can be very hard to achieve if we have high employee turnover which can lead to inexperienced new workers who need to be guided in the business, which can take time.

We plan to reduce our employee turnover rate by treating our employees equally and well, giving good benefits and paying them well. We believe earnestly that this will also make our customers more comfortable working with us when they see the same technicians each time they come in for changes. We will give a guarantee on all our repairs for a certain amount of miles or time.

Also, at Easy On Oil, we understand the need to develop an ethics statement describing our unchangeable stand on honest, trustworthy work. We will always stress the fact that we only offer reliable services. We plan to let our customers know that we will only provide necessary repairs and service and will not try to charge them for services that they don’t need.

Our diverse management have put plans in place to make sure our regulars feel appreciated by rewarding them for being loyal customers.

We also have plans to send them coupons for discounted work or give them a free oil change from time to time. Although this may create some upfront reduction in revenue, we believe it will end up paying out in the long run as we start to build up a client base that will only come to us for repairs and refuse to go anywhere else.

We also plan to leverage an automotive service scheduling software program. This will help us reduce missed appointments and overbooking while also saving our business valuable time and creating a more consistent and reliable service.


  • Business Name Availability Check: Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of Insurance for the Business: Completed
  • Conducting feasibility studies: Completed
  • Leasing, renovating and equipping our facility: Completed
  • Generating part of the startup capital from the founder: Completed
  • Applications for Loan from our Bankers: In Progress
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents: In Progress
  • Design of The Company’s Logo: Completed
  • Printing of Packaging and Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Purchase of software applications, furniture, office equipment, electronic appliances and facility facelift: In progress
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business (Business PR): In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with banks, financial lending institutions, vendors and key players in the industry: In Progress