How to Start a Gas Station Business

by Kelly Banaski-Sons - Updated September 26, 2017

Gas station businesses are always a profitable endeavor because of society’s unwillingness to give up the privilege of driving. Even the rising cost of gasoline hasn’t harmed the profit index of gas station businesses. The guide below is designed to help you through the process of starting a gas station business.

Make a choice to either buy an existing gas station or build one from the ground up. Your decision should be based on several things. Location should be considered. Is there a gas station for sale in a high-traffic area at a price you can handle? Perhaps you have the perfect location in mind but it is currently a vacant lot. Call a Realtor or business broker to inquire about available gas stations or vacant property. Tour each property, and ask questions about why the property is vacant and ask to see any available financial records.

Write a detailed business plan for starting a gas station. Include financing options, marketing plans, future goals and how you will manage employees. You should also include ways to deal with theft as well as natural disasters and how you will deal with competitors. You can hire a professional business plan writer for this task.

Gather funds to buy a gas station. You can begin by talking with financial institutions. Take your business plan, and talk with loan officers about business loans. Consider taking on investors. A business broker can help you with additional options in your state.

Talk with the company whose gas you plan to sell about franchising options. You will be selling another company's gas and thereby be required to negotiate a franchise contract and pay a franchise fee. Contact several gas companies to find the best options for your particular situation.

Obtain all necessary licenses and permits. Contact your local city hall to inquire about fees for the permits you will need. You will need a business license, and if you plan to sell cigarettes, lottery tickets or beer you will need additional permits. You are also required to register with the local fire department.

Plan a spectacular grand-opening. Decorate in engaging colors using banners and balloons. Advertise opening specials, give-aways and other tactics to invite customers. Hand out flyers, and advertise in local papers.

Tips

  • Be very thorough with your business plan. It can ensure success.

About the Author

Kelly Banaski-Sons has been a writer since 1991. Her work has been seen in print publications like "The Sacramento Bee," "PREP Magazine," "The Manchester Times" and on websites like Divorce360 and AOL. She is a featured expert for Bizymoms.com and other websites. She has a Bachelor of Science in criminal justice from Kaplan University.

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