How To Open A Gas Station Franchise — The Franchising Process
- 1. Make A Business Plan One of the first steps in opening any franchise is creating a business plan. Creating a business strategy will greatly influence the success of your gas station. ...
- 2. Find A Franchise ...
- 3. Register The Franchise ...
- 4. Find A Location ...
- 5. Purchase Or Lease The Property ...
- 6. Obtain Necessary Licenses And Permits ...
- 7. Create A Marketing Plan ...
- 8. Hire Employees ...
Full Answer
What to know before buying a gas station franchise?
So, when buying a gas station, some of the important factors to evaluate include:
- The results of an environmental site assessment evaluating the environmental history of the gas station property and, if needed, a sampling and study of the underground property;
- The need to have mandatory double-lined tanks;
- State-specific laws concerning gas stations;
Can you make money from a gas station?
You can still make money from a gas station, but these opportunities are not related to gas selling at all. Here's how you can make money from a gas station. The first option is to have a convenience store. Since motorists on the road run out of supplies at some point, they will certainly decide to replenish their stores when they pass by your ...
What to know about buying a gas station?
What to Know Before Buying a Gas Station
- Are there any environmental issues? Environmental issues can affect a gas station’s chances of success. ...
- Are there any tanks and pumps issues? The tanks should be reviewed as part of the environmental assessment, and you should ask the seller about the pumps’ status as ...
- Are the financial statements accurate? ...
- Are sales diversified? ...
How much cost to buy a gas station?
How much does it cost to buy a gas station franchise? Buying a petrol station ranges from roughly $90,000 to as much as $3.5 million, depending on a number of factors, including the location, size and profitability of the business.
Why do you need tall pole signs at gas stations?
Capturing drivers’ attentions while they’re already driving can boost traffic to your gas station.
Why do people use Yelp?
Drivers often use Yelp to find the nearest gas station. If they have to choose between your gas station and your competitor across the street, they’ll likely choose the gas station with superior Yelp ratings. Boost your rating by offering stellar customer service, clean facilities, and responding to reviews.
What are the products and services that you can see at a gas station?
Common products and services you’ll see at a gas station include: Snacks. Drinks. Car washes.
Why do you need business insurance for gas stations?
We highly recommend that you buy business insurance to protect your business. Operating a gas station can expose you to several risks on a daily basis: burglary, employee injury, equipment breakdown, property damage, and more. Insurance helps to keep you and your assets protected.
How much did the oil and gas industry make in 2018?
Familiarize yourself with your day-to-day responsibilities. After all, the oil and gas industry has soared to over $180 billion in 2018. With millions of licensed drivers but just over 100,000 gas stations in the United States, you’re likely to find a slice of the market to carve out for yourself.
What are the two most common business structures for gas stations?
The two most common business structures for gas stations to consider are limited liability companies and corporations. You may want to consider consulting a business attorney to determine which legal structure is best for your needs.
What to do if you decide to buy a franchise?
If you decide to buy a franchise, make sure you have a business attorney review the legalities of any franchise agreement before signing.
What Do I Need to Know to Start a Gas Station Franchise?
To buy a gas station franchise, you don't need any specific education. However, many franchises want to work with professionals they believe will have the best chance at building a successful gas station. Therefore, those who have some experience with business ownership will have the best chance at being approved to buy a gas station franchise.
How Do I Create a Business Plan for a Gas Station Franchise?
As a franchise owner, you'll need to consider a variety of costs and fees required to keep your business running. A business plan can help you organize your finances, make a plan, and ensure that you have what you need to run a profitable business.
Do I Need to Create a Legal Business Entity for My Gas Station?
All business owners want to make sure they establish a separate business entity for their new company. Creating a separate entity can provide several benefits, including:
What Should I Expect to Do Day to Day as a Gas Station Franchise Owner?
As a gas station owner, you'll spend a significant portion of the day helping customers, either at the pump or in the convenience store. Managing your employees will also be an important undertaking as a business owner.
What happens if a business falls into debt?
If your business falls into debt, you don't want your personal assets viewed as potential ways to pay off the debt. It will make it easier to manage your taxes. It will help you keep your finances organized, including being able to make payments and accept payments as the business itself.
What are the expenses associated with setting up a gas station?
The expenses involved in setting up the station, such as putting in the gas pumps or setting up the convenience store (or C-store) The cost of occupancy certificates or business licenses you need from your state. However, you might be able to save money by starting your business at an existing gas station.
How to secure a business loan?
To secure a business loan, you'll often need to present your business ideas and a business plan to the lender. This business plan should include: The steps you have now outlined, including the franchise you will work with. The market research you have gathered.
Is this Business Right For You?
Anyone who has an acumen for business and enjoys interacting with people may be well-suited for running a gas station business. Understanding how to operate a business will help ensure that a gas station is run efficiently, and it helps to be a people person because gas stations often serve hundreds of customers in a single day.
How much does it cost to open a gas station?
The startup costs associated with opening a gas station business are substantial. According to JUX Law Firm, business owners should expect to spend around $300,000, which breaks down as follows:
How do gas stations attract customers?
Gas station businesses attract customers by selling gasoline, which most people need for their vehicle. Gasoline is just one of the many products that gas stations may sell to travelers, though. Many stations also offer foods, drinks and convenience store items. According to IBISWorld, the gas station industry brings in $89 billion annually ...
How many employees do gas stations need?
Most gas station businesses need at least a few employees to help run the station. Even a small gas station will require several people to cover all the hours that the station is open. Employees, however, often aren’t paid very much. In many cases, they make minimum wage or just slightly more.
How do gas stations keep customers coming back?
Gas station businesses can keep customers coming back by providing low fuel prices and clean facilities. In many cases, these traits alone can set a gas station apart from much of the competition.
How to market a gas station?
How to promote & market a gas station. The most effective way to promote and market a gas station business is through onsite signage. Highly visible signs are the best way to attract passing drivers, and people aren’t likely to go far out of their way for fuel.
How do gas stations make money?
A gas station business makes money by selling products to drivers and passengers. Stations are named for their primary product: gasoline. This is just one of many products that gas stations sell though. Most gas stations also offer:
What to do if gas station is marked by crime?
Whether or not it’s warranted, gas stations have a reputation for theft and burglary, and if you’re in an area marked by crime you might need to shell out for extra cameras or lights to deter nefarious activity .
Which states have the highest gas sales?
This is not to say that gas stations outside of the metropolitan sprawl are destined to fail — in fact, rural states such as Wyoming, Nebraska and Iowa actually have the highest gasoline sales in the country. So what’s the secret? What is the ideal gas station location?
