Right Service, Right Price. Right Opportunity. Make an investment in your future with a Meineke franchise. A trusted brand name that's recognized by over 92% of Americans. Meineke has been a strong presence in the market for over 30 years and supplies a proven business system to nearly 900 franchisees. Why Choose the Auto Repair Industry? The automotive aftermarket is huge! Annual sales in North America are nearly $193 BILLION dollars... and growing! Plus, people are keeping their cars longer, and that increases opportunities for repair and maintenance. You don’t need automotive experience – just a passion for cars. Join Meineke To Take Advantage Of: Exceptional Brand Recognition, Growth-Focused Business Model, Comprehensive Advertising Program, Nationally Recognized Spokesperson, In-Depth Market Analysis, Site Location Assistance, Protected Territories, Extensive Training & Ongoing Support.
3. 01 Paving the way for entrepreneurs like you PRESENTATION OVERVIEW • In The News • Franchising Facts • Meineke – Our History • The Dynamic Auto Repair Industry • Why Meineke? • Investment Criteria? • How Do I Proceed, and What Is the Typical Process? • Questions and Answers
4. 02 Paving the way for entrepreneurs like you IN THE NEWS The 2009 closing of as many as 2,000 car dealers in the U.S., mostly domestic auto outlets, can provide the independent (non-dealer) automotive aftermarket with an unprecedented $7 billion annual growth opportunity in parts and service volume. “This is part of the greatest restructuring of the automotive aftermarket competitive landscape since World War II, which will extend over a number of years” Lang Marketing Resources Press Release “Automotive Aftermarket $7 Billion Sales Boom Created by 2,000 Car Dealer Closings in 2009” -March 17, 2009
5. 03 Paving the way for entrepreneurs like you IN THE NEWS “Hard Times Rev Up Car Repairs” 76% of automotive mechanics expect to see more work in 2009 than 2008. USA Today “Hard Times Rev Up Car Repairs” -Feb. 9, 2009
6. 04 Paving the way for entrepreneurs like you IN THE NEWS “People are coming in and wanting repairs” The Automotive Service Association reports an overall increase in auto repair customer count Wall Street Journal “The Hot New Car is Your Old Car” -Feb. 26, 2009
7. 05 Paving the way for entrepreneurs like you IN THE NEWS “As more cash-strapped Americans turn to do-it-yourself projects and bargain shopping, car repair shops […] are feeling the boom. Drivers are choosing to keep their old cars longer, and often they’re willing to put in the money to do so, observers say. “ CNN.com “U.S. Car Repair Shops Getting Mileage Out of Thriftier Times” -March 14, 2009
8. 06 Paving the way for entrepreneurs like you FRANCHISING FACTS 41% Percentage Growth of Franchise Units from 2001 - 2005 1 Million Plus Number of Franchise Units in the US 2.3 Trillion Total Annual US Economic Output 21 Million The Number of Jobs Contribute to Franchising
9. 1972 Meineke Discount Muffler is Founded by Sam Meineke 1996 Ken Walker Joins Meineke as it’s President and CEO 2003 Meineke Changes it’s Name to Meineke Car Care Centers Meineke (Driven Brands) Acquires Econo Lube N’ Tune and Opens First Co-Brand Store 2006/07 2008 Driven Brands Acquires MAACO 07 Paving the way for entrepreneurs like you OVER 35 YEARS OF SUCCESS 2008 IFA Female Franchisee of the Year
10. 08 Paving the way for entrepreneurs like you DRIVEN FOR SUCCESS Nearly 1 Billion Dollars in Combined Annual Sales.
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13. 11 Paving the way for entrepreneurs like you CONSUMER SPENDING • Annual Miles Driven was Estimated at 12,375 in 2008 • Consumers Spend $495.00 to $680 on Vehicle Maintenance Annually • Highest Repair Spending on Vehicles 4 - 7 Years Old • Meineke Provides 100% of All Services Measured by the AAIA
14. 12 Paving the way for entrepreneurs like you WHY MEINEKE? Meineke Is Without a Doubt the Leader in Automotive Franchising • US Brand Recognition is 94% • 95% Success Rate • Territory Protection • Corporate Fleet Accounts DIVE LET’S DEEPER • Unlimited Service Potential • Comprehensive Marketing and Advertising •Strong Unit Economics•Meineke University •Operations Support•Software and Technology Support • Unparallel Purchasing Power
15. 13 Paving the way for entrepreneurs like you UNLIMITED SERVICE POTENTIAL • Air Conditioning Service • Alignments • Batteries • Belts • Brakes • Exhaust • Fluid Exchanges • General Repair • Maintenance Packages •Tires • Tune Ups • Lube Oil Filter Service • Shocks and Struts
16. 14 Paving the way for entrepreneurs like you MEINEKE UNIT ECONOMICS Average 6 Bay Meineke * See Item 19 & Exhibit Y in FDD for complete details ROYALTY • 3 - 7% Varies Per Service ADVERTISING • .5% Creative • 3.0% National • 4.5% Local
17. 15 Paving the way for entrepreneurs like you EFFECTIVE MARKETING & ADVERTISING Local Print Ads Comprehensive Advertising Program $30M+ Annual Expenditure Yellow Pages Meineke Car Care Bowl CRM Direct Mail Systems National Television Point of Sales Materials
18. 16 Paving the way for entrepreneurs like you INTRODUCING MEINEKE MIKE Meineke Commercial
19. “ “ At Meineke, our commitment to you begins with me 17 Paving the way for entrepreneurs like you OPERATIONS SUPPORT • Managers Conventions •Annual Conventions • Field Visits •Weekly Webinars •Online Training • Publications •Tech Support Phone Line • National Warranty Program •Dealer Association
20. 18 Paving the way for entrepreneurs like you 3 MONTHLY NEWSLETTERS Meineke Insight Meineke Protech Manager’s Toolbox
21. 19 Paving the way for entrepreneurs like you FRANCHISEE INTRANET 100’s of Recorded Webinars and Online Courses Buying Power Weekly Sales by Class of Service Current Promotion
22. 20 Paving the way for entrepreneurs like you OUR FOCUS Our Training Focuses on Key Drivers. Franchisees Who Successfully Follow the System and Reach Their Key Driver Goals Typically Operate Well Above the Chain Average. Center #745 44% Customer Retention Rate 33 Fluid and Filter Services 1.95 Jobs Per Ticket
23. Equipment Working Capital Other Franchise Fee Inventory 21 15,000.00 Paving the way for entrepreneurs like you INVESTMENT CRITERIA 30,000.00 130,000.00 Estimated $275,000 Investment 50,000.00 Requirements • Credit Score of 675 or better • Cash Injection 25 - 30% • Net Worth Requirement $200,000 Special Programs • Vet Fran Discount - 25% off License Fee • 401K Rollover – We Can Help You Access (Tax Free) 401k Dollars to Be Used for Your Acquisition
24. • Inquiry and Introductory Phone Call • Review Information Package • Fill Out Questionnaire • Preliminary Approval • Review Franchise Disclosure Document • Meineke Presentation and Discussion • Due Diligence • Final Approval • Go / No Go Decision • Receive Franchise Agreement • Sign Franchise Agreement Introduction Week 1 - 2 Research Week 3 - 4 Purchase Week 5 - 6 22 Paving the way for entrepreneurs like you FRANCHISE PURCHASE TIME FRAME 30 - 45 DAYS
25. 23 Paving the way for entrepreneurs like you AFTER THE LICENSE IS PURCHASED Project Coordinator Assigned Real Estate Expert Assigned Financial Partner Introduced Purchase License Training and Opening Support Open Center with Operations Manager Equipment and Inventory Purchased and Installed
26. 24 Paving the way for entrepreneurs like you WHAT OUR FRANCHISEES ARE SAYING • Strong System • Family Values • Genuine Support • Not Reinventing the Wheel • Exciting Business • Great Industry •No Automotive Experience Required
27. This presentation does not constitute an offer of sale of a Meineke Franchise Opportunity. For more information ask for a copy of the Meineke Franchise Disclosure Document 25 Paving the way for entrepreneurs like you QUESTIONS Meineke Car Care Centers, Inc. 128 S. Tryon St, Suite 900 Charlotte, NC 28202 800.275.5200