How much does it cost to start a petrol station?

How much does it cost to start a petrol station?

A local petrol station business set up costs range in the region of R15 million and R100 million depending on the size and site. Further to this the operation payable to the oil company ranges between R2. 5 million and R15 million, depending on the cost to develop, projected volumes and profitability.

How much is a petrol station franchise in South Africa?

“To date, the asking price of a service station business can vary from R1 million to R35 million. In addition, the average working capital requirement of a service station can fluctuate between R1. 2 million and R1. 5 million,” noted Absa.

How much is Engen franchise?

Engen is currently selling a relatively small franchise in Gauteng for R2. 6 million, excluding stock and assets. It has no convenience store, and pumps an average of 267,000 litres of fuel per month. Engen requires 20% of this selling price in unencumbered cash and a working capital stash of R1.

Is owning a petrol station profitable?

On average, a petrol bunk business owner or dealer earns a profit margin of Rs. 1.2 for every litre of petrol sold, whereas he earns Rs 1.8 for every litre of diesel. So, a petrol pump is a low-margin business, where you can generate good revenue and become profitable.

How do I start a petrol station?

To open a petrol pump business, you must have a good investment capacity to start with. There are two types of charges for opening petrol pumps in India: Rs 12 lakhs for ROs for rural areas and Rs 25 lakhs for ROs in urban areas, though the amount may vary from company to company.

How much is a Caltex franchise?

Here are more Caltex Franchise Numbers and Details: P5 Million to P7 Million. Operating Capital required: Approx. P2 Million to P3 Million. Lot Size/Layout requirements: This must meet a minimum design layout of 1,200 sqm.

Which franchise makes the most money in South Africa?

Which franchise makes the most money in South Africa?

  • KFC – from R6 million.
  • Nando’s – from R7 million.
  • Debonairs – from R2 million.
  • Steers – from R1.7 million.
  • McDonald’s – from R4 million.
  • Chicken Licken – from R4.8 million.
  • Roman’s Pizza – from R2.4 million.

How do petrol stations make money?

Petrol stations don’t make much money Retailers try to make about 4-5p per litre, but out of that they have to pay staff, business rates and corporation tax. Fuel stations often depend heavily on sales from the shop – a retailer can make more on selling a Costa coffee than on 40 litres of fuel. ‘

How much profit do petrol stations make per Litre?

The ACCC estimates that over the last 12 years, after deducting those expenses, the wholesale sector made an average annual net profit across all fuels of 1.7 cents per litre.

Are there any petrol station franchises for sale in South Africa?

Petrol Station Franchise In South Africa. Petrol Station Franchise For Sale. Petrol station franchise for sale, a lot of people are looking at petrol stations for sale in South Africa. The industry seems to always be making money during good times or bad. No special knowledge is really needed.

How much does it cost to start a gas station franchise?

At present, it has a network of hundreds of gas stations and convenience stores spread across different areas of the United States. The initial cost to start an AMPM gas station franchise will vary from around $431,00 to $11,000,000 depending on the location and size of the unit.

How much does it cost to open a petrol station?

Engen requires 20% of this selling price in unencumbered cash and a working capital stash of R1.2 million. A larger Engen petrol station in Johannesburg pumping close to 200,000 litres of fuel per month, with a forecourt Quickshop, is currently selling for just over R4 million. The working capital required for this location is R1.3 million.

How is a petrol station franchise kept clean?

Making sure the petrol station franchise is kept clean, your stock levels are maintained. Make sure the convenience store is well maintained and that the shelves are clean and well-stocked. If you have a takeaway section this to will need specialized attention. Add a car wash to that and you have quite a lot of work to do constantly.

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