Valvoline Instant Oil Change Franchise Cost, Revenue & Review 2026
- Investment
- $192K – $640K
- Disclosed sales
- $1.8M
- gross sales, not profit
- SBA charge-off
- 5.4%
- on 61 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Valvoline Instant Oil Change is a drive-up quick-lube franchise offering fast oil changes and routine maintenance while customers stay in their cars. Franchisees run service centers managing technicians, throughput, and inventory.
FranchiseVerdict summary · 2026
A Valvoline Instant Oil Change franchise requires a total initial investment of $192K – $640K, including a $3K – $30K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average unit revenue was $1.8M[2]. SBA 7(a) loans show a 5.4% charge-off rate across 61 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: 2026 filing · Data extracted: · Last cited check: · Staleness risk: low - the current year's filing
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored8 of 8 headline figures on this page cite a page of the filing.
Overview
- Investment
- $192K – $640K
- 27th pct Automotive
- Avg gross sales
- $1.8M
- Net sales17th pct Automotive
- Royalty
- 6.0%
- 15th pct Automotive
- Units
- 2,039
- 54th pct Automotive
- SBA charge-off
- 5.4%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Automotive · color = vs category peers
Green = favorable by >10% vs Automotive median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $192K – $640K including a $30K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $1.8M/year (median $1.7M).
- RISKVerdict A (Strongest tier), verdict score 98/100 (higher is better). SBA loan charge-off rate of 5.4% across 61 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +101 franchised outlets in the latest year (101 opened, 2 closed) (Item 20).
- GROWTHSystem growing at 20.9% CAGR over 3 years with 2039 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Valvoline Instant Oil Change Franchising, Inc.
- Parent company
- Valvoline US LLC
- FDD Item 1, page 9 of the 2026 FDD
- Ultimate parent
- Valvoline Inc.
- FDD Item 1, page 9 of the 2026 FDD
- Predecessor
- OCH International, Inc. (Oil Can Henry's)
- Prior franchisor entity
- CEO title
- President
- Lori A. Flees
- Incorporated in
- Delaware
- HQ
- 100 Valvoline Way, Suite 100, Lexington, Kentucky 40509
- Auditor
- Ernst & Young LLP
- Audited financials
- Franchisor revenue
- $1.7B
- vs $1.6B prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- of VIOCF)
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Lori A. Flees
- Headquarters
- KY
- Founded
- 1988
- FDD year
- 2026
- States available
- 46
Can you afford it, and what does the money buy?
Entry cost runs 13% above the typical automotive franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown12 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| License Fee | $30K | $30K | |
| Land and Improvements Leased for Three Months | $13K | $25K | |
| Grand Opening Advertising | $8K | $10K | |
| Training | $5K | $10K | |
| Security Deposits | $500 | $12K | |
| Insurance | $10K | $15K | |
| Start up Supplies | $22K | $30K | |
| Initial Inventory of VALVOLINE Products | $29K | $62K | |
| Equipment and Service Systems | $10K | $350K | |
| Signage Leased for Three Months | $1K | $2K | |
| Point-of-Sale System | $15K | $30K | |
| Additional Funds for Three Months | $50K | $65K | |
| Total initial investment | $192K | $640K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $192K – $640K
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $65K
- Top 40% of category vs category
- Franchise fee
- $3K – $30K
- Top 40% of category vs category
- Royalty
- 6.0%
- Tiered by sales volume · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% |
| Transfer fee | $30K |
| Renewal fee | $5K |
| Inventory (initial) | $22K – $30K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales run 80% above the automotive norm.
Reported as net sales, not gross sales
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Valvoline Instant Oil Change until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$473K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Valvoline Instant Oil Change unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Reported as net sales, not gross sales
- Avg gross sales
- $1.8M
- Per unit, per year
- Median gross sales
- $1.7M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- net sales
- Sample size
- 891 outlets
- vs category median 70 · large
- Range (low → high)
- $397K→$5.7MCited, not corroborated — printed on page 65 of the 2026 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- Quartile band
- $1.3M→$2.9M
- Bottom 25% → top 25%
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 10 / 10
- vs category median 4 / 10 · above
Compared against 167 Automotive brands
Revenue is 4.4x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $1.8M/year in gross sales. Revenue-to-investment ratio: 4.4x.
Fee burden
Total ongoing fee load of 8.0% (near the Automotive median).
Disclosure
Transparency score 10/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 20.9% CAGR over 3 years across 2,039 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Automotive medians
How Valvoline Instant Oil Change Compares
Category median of published Automotive brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2,039
- Opened
- 101
- Last reporting year
- Closed
- 2
- Turnover rate
- 0.1%
- Company-owned
- 976
- Corporate units in the system
- % franchised
- 52%
- vs corporate-owned
- Net growth (3-yr)
- +20.9%
- Net unit change over 3 years
- 3-yr CAGR
- +20.9%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Transferred
- 11
- Transfer rate
- 1.4%
- Owners selling to other franchisees
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 45 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- Michigan
- South Dakota
States where the franchisor is registered to sell new franchises (FDD registration filings).
Where the owners are · Item 20 owner list
1,054 current owners across 44 states; 7 former (terminated, transferred or not renewed) listed separately.
- CA 153
- FL 85
- NC 74
- MA 57
- NY 57
- TX 54
- SC 43
- NJ 41
- CT 39
- WI 39
- IL 37
- PA 34
- +32 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 61
- Loan volume
- $44.9M
- Median loan
- $616K
- 50th percentile
- Charge-off rate
- 5.4%
- on 61 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 94.6%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 39
- Defaults
- 3
- Typical loan rate
- 6.3%
- avg rate to borrowers
- Franchised industry avg
- 14.5%
- brand beats franchise avg ↓
- Jobs supported
- 844
- 1.9 per loan
- Lender concentration
- 10%
- top lender's share
Borrower mix: 40% went to startups / new businesses, 60% to established operators
Franchise vs independent — in automotive oil change and lubrication shops, franchised businesses charge off at 14.5% vs 17.7% for independents — franchising is associated with 18% lower SBA default risk in this category.
Vintage analysis
Valvoline Instant Oil Change charge-off rate by loan vintage
Top lenders financing Valvoline Instant Oil Change franchisees
Showing 3 of 39 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Valvoline Instant Oil Change from SBA 7(a) FOIA data.
- Principal loss rate
- 0.8%
- Avg SBA guarantee
- 73%
- Avg interest rate
- 6.32%
- Avg chargeoff amount
- $116K
- Lender concentration
- 9.8%
- Job velocity
- 1.9 per $100K
- Startup risk premium
- 0.0pp
- NAICS benchmark
- 9.6%
- NAICS 811191
- Jobs supported
- 844
Top SBA lendersTop lender holds 10% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Stearns Bank National Association | 6 | $4.3M | 0.0% |
| 2 | Wells Fargo Bank National Association | 6 | $6.3M | 0.0% |
| 3 | Zions Bank, A Division of | 4 | $3.9M | 0.0% |
| 4 | Comerica Bank | 3 | $2.9M | 33.3% |
| 5 | The Huntington National Bank | 2 | $1.2M | 0.0% |
| 6 | JPMorgan Chase Bank, National Association | 2 | $553K | 50.0% |
| 7 | Readycap Lending, LLC | 2 | $1.6M | 0.0% |
| 8 | PNC Bank, National Association | 2 | $1.7M | 0.0% |
| 9 | TD Bank, National Association | 2 | $111K | 0.0% |
| 10 | U.S. Bank, National Association | 2 | $1.6M | 0.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TXTexas | 10 | 1 | 10.0% |
| AZArizona | 6 | 0 | 0.0% |
| CACalifornia | 5 | 0 | 0.0% |
| ILIllinois | 5 | 1 | 25.0% |
| MIMichigan | 4 | 1 | 25.0% |
| MNMinnesota | 4 | 0 | 0.0% |
| NCNorth Carolina | 4 | 0 | 0.0% |
| VAVirginia | 4 | 0 | 0.0% |
| WIWisconsin | 3 | 0 | 0.0% |
| COColorado | 2 | 0 | 0.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
What could kill this investment?
SBA loans charge off at 5.4% — 67% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Very large, highly profitable system (2,039 units, net income $210.7M on $1.71B revenue, net worth $338.5M). Only 2 litigation matters — one pending California putative class action (Scott Moore, oil-change interval) and a concluded 2018 no-poach AG action — which is low relative to system size. Item 19 disclosed; the class action is the single notable flag.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Pending: Scott Moore putative class action (California) alleging misrepresentation about 3,000-mile/3-month oil change interval necessity, unspecified damages, motion to dismiss pending as of disclosure date. Concluded: 2018 Washington State AG action over no-poach provisions in license agreements, resolved via Assurance of Discontinuance (no admission of liability).
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Ernst & Young LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 8 states the franchisor's own total revenue as $86,493,241 (FY ending 2025-09-30 ('prior fiscal year')); the statements above are the parent's.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
- Can negotiate own supplier terms: No
Score breakdown · what drove the 98 / 100 verdict
- 01HIGH2 litigation matters vs 2,039 units — low relative to size
- 02MINORPending CA putative class action (Moore) on oil-change interval claims
- 03MINORVery strong financials: $210.7M net income, $338.5M net worth
- 04MEDItem 19 disclosed; no bankruptcy/going-concern
Severity inferred from the FDD text · not a regulatory classification
Litigation case detail2 matters · Item 3
Litigation cases
The franchisor
Pending (1)
Scott Moore on behalf of himself, those similarly situated and the general public v. Valvoline Inc.; Valvoline Instant Oil Change Franchising, Inc.; and DOES 1-50, inclusive
pendingThird-party plaintiff · filed 2025-06-04 · Superior Court of the State California for the County of Riverside; removed to the United States District Court for the Central District of California on September 18, 2025 · 5:25-cv-02469-JGB (DTBx)
“This civil case was filed as a class action in the Superior Court of the State California for the County of Riverside on behalf of all persons who paid for an oil change at a Valvoline location in California alleging that defendants misrepresented consumers regarding the need to change engine oil at 3,000 mile / 3-month intervals.”Page 15 of the 2026 FDD, Item 3
Concluded (1)
In Re: Franchise No Poaching Provisions
concludedGovernment or regulatory action · filed 2018-10-16 · State of Washington, King County Superior Court · 18-2-25830-8 SEA
“In Re: Franchise No Poaching Provisions, State of Washington, King County Superior Court, No. 18-2- 25830-8 SEA, Assurance of Discontinuance, dated October 16, 2018. The Attorney General of the State of Washington brought an action against VIOCF regarding the inclusion in its license agreements of certain no-poach provisions that limited a franchisee’s ability to solicit or hire workers”Page 15 of the 2026 FDD, Item 3
Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 15 years |
|---|---|
| Renewal term | 15 years |
| Allowed renewalsℹ | 2 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Kentucky |
| Litigation count | 2 |
View Item 3 litigation summary
Pending: Scott Moore putative class action (California) alleging misrepresentation about 3,000-mile/3-month oil change interval necessity, unspecified damages, motion to dismiss pending as of disclosure date. Concluded: 2018 Washington State AG action over no-poach provisions in license agreements, resolved via Assurance of Discontinuance (no admission of liability).
Items 10, 11
Training & Operations
- Classroom training
- 70 hrs
- On-the-job training
- 288 hrs
- Training location
- Franchisor's facility and on-site at Restaurant
- Ongoing training
- Required
- Time to open
- 24 mo
- From signing to launch
- Site selection
- franchisor_approves
- Franchisor financing
- Offered
- Item 10
- POS system
- VIOC POS System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: VIOC POS System
Item 20 · call current owners
Franchisee Contacts
1,061 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Valvoline Instant Oil Change franchise?
The total investment to open a Valvoline Instant Oil Change franchise ranges from $192K – $640K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Valvoline Instant Oil Change franchise owners earn?
According to Item 19 of the Valvoline Instant Oil Change FDD, the average gross sales per unit is $1.8M. The median is $1.7M. Important context: Reported as net sales, not gross sales. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Valvoline Instant Oil Change?
Valvoline Instant Oil Change is franchised by Valvoline Instant Oil Change Franchising, Inc.. Its parent company is Valvoline US LLC. The ultimate parent named in the FDD is Valvoline Inc.. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Valvoline Instant Oil Change FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Valvoline Instant Oil Change FDD and qualifies whose outlets they describe.
What is Valvoline Instant Oil Change's franchise failure rate?
Based on SBA 7(a) loan data, Valvoline Instant Oil Change has a charge-off rate of 5.4% across 61 loans, meaning 5.4% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Valvoline Instant Oil Change franchise locations are there?
As of their most recent FDD filing, Valvoline Instant Oil Change has 2,039 total units in the United States, including 1,063 franchised units and 976 company-owned units. 101 new units were opened in the latest reporting year.
Is Valvoline Instant Oil Change a good franchise to buy?
FranchiseVerdict rates Valvoline Instant Oil Change as a A-grade franchise with a verdict score of 98 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.