PlanBuildr Logo

Gas Station Business Plan Template

Written by Dave Lavinsky

Gas Station Business Plan

You’ve come to the right place to create your Gas Station business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their gas stations.

Below is a sample business plan for a gas station to help you create each section of your gas station business plan.

Executive Summary

Business overview.

Accelerate Station is a startup gas station located in Dallas, Texas. The company was founded by Bill Johnson, an experienced gas station manager who has gained valuable knowledge on how to run a gas station during the past ten years while working at GAS&GO MART. Now that Bill has experienced managing a gas station, he is ready to start his own company, Accelerate Station. Bill is confident that his business management skills, combined with his understanding of the gas station industry, will enable him to run a profitable gas station of his own. Bill is recruiting a team of gas station personnel to help manage the day-to-day complexities of running a gas station business – sales and marketing, supplier relations, financial management, and customer support.

Accelerate Station will provide gasoline, diesel, electric vehicle charging, automotive parts and accessories, and a small snack assortment. Accelerate Station will be the go-to gas station in a busy intersection located in the heart of the Dallas metropolitan area. The company will be the ultimate choice for convenience and customer service while offering the lowest prices in the area.

Product Offering

The following are the products and services that Accelerate Station will offer:

  • Electric Vehicle Charging
  • Air (for tires)
  • Automotive Parts Assortment (lights, batteries, etc.)
  • Automotive Accessories (license plate holders, air fresheners, etc.)
  • Snacks & Beverages (vending machine access)

Customer Focus

Accelerate Station will target private and commercial vehicle drivers in Dallas. The company will target individuals that need to refuel as part of their commute to work and commercial drivers fueling up for a long trip. No matter the customer, Accelerate Station will deliver fast and courteous service and the lowest prices in the area.

Management Team

Accelerate Station will be owned and operated by Bill Johnson. Bill is a recent graduate of Texas University with a degree in business administration. He also has over ten years of experience working as a gas station manager for another local company. Bill will be the chief executive officer for the gas station. He will oversee the staff’s activities and day-to-day operations.

Bill has recruited a fellow business school graduate, Stephen Smith, to be the company’s chief operating officer and help oversee the gas station’s business operations. Stephen will handle supplier relationships, logistics, and budgeting for the business.

Bill and Stephen have hired a marketing professional, Mary Miller, to become a member of the Accelerate Station management team. Mary is a graduate of the University of Maine with a bachelor’s degree in marketing. Bill and Stephen rely on Mary’s expertise to execute the company’s marketing plan and advertising strategies.

Success Factors

Accelerate Station will be able to achieve success by offering the following competitive advantages:

  • High-traffic location that is visible and accessible to passersby from multiple major streets and highways.
  • Accelerate Station uses the latest technology to make it easy and convenient for customers to gas up quickly. Customers can pre-pay using the company’s app, at the pump, or in person at the central kiosk. Providing multiple payment options gives more customers an opportunity to use their preferred method of payment easily.
  • The company’s leadership team has built a network of supplier relationships that will allow Accelerate Station to purchase gasoline for lower prices than their competitors. Accelerate will then be able to pass this cost-savings on to customers.

Financial Highlights

Accelerate Station is seeking $880,000 in debt financing to launch its gas station business. The funding will be dedicated towards securing the location and purchasing gas station equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff and marketing expenses. The breakout of the funding is below:

  • Gas station build-out: $480,000
  • Gas station equipment, supplies, and materials: $220,000
  • Three months of overhead expenses (payroll, utilities): $160,000
  • Marketing costs: $10,000
  • Working capital: $10,000

The following graph below outlines the pro forma financial projections for Accelerate Station.

Company Overview

Who is accelerate station.

Accelerate Station is a newly established gas station company in Dallas, Texas. Accelerate will be the first choice for drivers in Dallas for its convenient location, top-notch customer service, and low prices on gasoline, diesel, and electric vehicle charging. The company will serve drivers of private and commercial vehicles of all types and sizes.

Accelerate Station will be able to guarantee the lowest prices in the area thanks to its leadership team members’ existing supplier network connections. The company offers customers the option to pay using a convenient app, at the pump, or through the central kiosk. Customers can also purchase automotive parts and accessories, and grab a quick snack for the road at the station’s convenient vending machines.

Accelerate Station History

Accelerate Station is owned and operated by Bill Johnson, an experienced gas station manager who has gained valuable knowledge during his ten year tenure working at another local gas station. In addition to his hands-on experience, Bill has recently graduated from Texas University with a degree in business administration. Now that Bill has gained the experience and know-how he needs to manage a gas station, he is ready to start one of his own. Bill has begun recruiting a team of gas station personnel to help manage the day-to-day complexities of running a gas station business – sales and marketing, supplier relations, financial management,  and customer support.

Since incorporation, Accelerate Station has achieved the following milestones:

  • Registered Accelerate Station, LLC to transact business in the state of Texas
  • Has begun negotiations to purchase the property and reached out to potential builders to construct the station
  • Reached out to numerous contacts to include gasoline and diesel suppliers and electric vehicle charging station providers to begin obtaining supplier contracts
  • Began recruiting a staff of gas station attendants to work at Accelerate Station

Accelerate Station Services

  • Automotive Accessories (license plate holders, air freshener, etc.)

Industry Analysis

The gas station industry in the United States is valued at an estimated $138B with over 13,800 businesses in operation and more than 162,000 employees nationwide. Included in the gas station industry are businesses that sell automotive fuels such as gas and diesel, automotive parts and services (such as car washes), and other non-automotive goods and services. Many gas stations also co-locate with a convenience store to drive more traffic to their business. These gas stations are part of the larger industry of “gas stations with convenience stores”, which is valued at $649B in the U.S. with over 122,000 operating businesses and 1.0M employees across the country. In addition to gasoline and automotive services, these businesses also sell groceries and other convenience goods.

Gas station market demand is dependent on the volume of drivers on the road (both personal and commercial). Profitability typically depends on industry operators’ ability to secure high traffic locations and purchase their gas for the lowest prices possible.

A growing challenge for gas station industry operators is the rise in electric vehicles. To remain competitive, many industry operators have begun offering electric vehicle charging options in addition to traditional gasoline.

Customer Analysis

Demographic profile of target market.

Accelerate Station will target private and commercial vehicle drivers in Dallas. The company will target individuals that need to refuel as part of their commute to work and commercial drivers fueling up for a long trip. Accelerate will be able to accommodate vehicles of all types and sizes including diesel, hybrid, and electric vehicles. No matter the customer, Accelerate Station will deliver fast and courteous service and the lowest prices in the area.

The precise demographics for Dallas, Texas are:

Customer Segmentation

Accelerate will primarily target the following customer profiles:

  • Drivers of private vehicles
  • Drivers of commercial vehicles
  • Drivers of gasoline vehicles
  • Drivers of diesel vehicles
  • Drivers of electric vehicles

Competitive Analysis

Direct and indirect competitors.

Accelerate Station will face competition from other companies with similar business profiles. A description of each competitor company is below.

GAS&GO MART

GAS&GO MART is one of the largest and oldest commercial gas stations based in Dallas, Texas. Established in 1955, the company currently operates twenty stations throughout the Dallas-Fort Worth metropolitan area. GAS&GO MART sells gasoline and diesel, automotive parts, and snacks. GAS&GO MART aims to deliver quick service for customers on the go. The company uses a stringent inspection process to ensure all of its products are the best quality. GAS&GO MART’s team of experienced gas station attendants are available to assist customers as needed.

Speedy Gas Station

Speedy Gas Station is a small gas station catering to local drivers in Dallas, Texas. Speedy Gas Station operates one location in a busy retail district. The company provides gasoline, diesel, and a self-service car wash. Speedy Gas Station is family owned and operated by former race car drivers who know the importance of fast service. The gas station attendants are able to help customers check their oil, tires, and other small automotive issues. The company prides itself on providing the fastest service and quality products.

Express Gas Station

Express Gas Station is a trusted Dallas, Texas-based gas station that provides superior gasoline to drivers in Dallas. The company offers a spacious layout that can accommodate the largest of commercial vehicles and is equipped with an electric vehicle charging station. Express Gas Station operates a single location near the outskirts of Dallas and is in the process of opening two additional locations within the city.

Competitive Advantage

Accelerate Station will be able to offer the following advantages over their competition:

Marketing Plan

Brand & value proposition.

Accelerate Station will offer the unique value proposition to its clientele:

  • Customers can pre-pay using the company’s app, at the pump, or in person at the central kiosk. Providing multiple payment options gives more customers an opportunity to use their preferred method of payment easily.

Promotions Strategy

The promotions strategy for Accelerate Station is as follows:

Social Media Marketing

The company’s marketing director will create accounts on social media platforms such as LinkedIn, Twitter, Instagram, Facebook, TikTok, and YouTube. She will ensure Accelerate maintains an active social media presence with regular updates and promotional content to incentivize customers to use the company’s services.

Professional Associations and Networking

Accelerate Station will become a member of professional associations such as the American Gas Station Association, Dallas Gas Station Managers Society, and the Texas Diesel Association. The leadership team will focus their networking efforts on expanding the company’s supplier network.

Print Advertising

Accelerate Station will invest in professionally designed print ads to display in programs or flyers at industry networking events. The company will also send direct mailers to local residents and businesses that are likely to frequent the gas station.

Website/SEO Marketing

Accelerate Station will utilize the in-house marketing director that designed the print ads to also design the company website. The website will be well organized, informative, and list the products and services Accelerate is able to provide. The website will also list information on discounts and promotional giveaways.

The marketing director will also manage the company’s website presence with SEO marketing tactics so that when someone types in a search engine “Dallas gas station ” or “gas station near me”, Accelerate Station will be listed at the top of the search results.

The pricing of Accelerate Station will be moderate and lower than its competitors so customers feel they receive value when purchasing the company’s products and services. Accelerate will also offer discounts to regular customers.

Operations Plan

The following will be the operations plan for Accelerate Station.

Operation Functions:

  • Bill Johnson will be the CEO of the company. He will oversee the gas station staff and day-to-day operations. Bill has spent the past year recruiting the following staff:
  • Stephen Smith – Chief Operating Officer who will manage the budgeting, supplier relationships, and logistics.
  • Jennifer Willams – Bookkeeper who will provide all accounting, tax payments, and monthly financial reporting.
  • Mary Miller – Marketing Director who will oversee all marketing strategies for the company and manage the website, social media, and print advertising campaigns.
  • Micheal Jones – Quality Control Manager who will oversee all inspections of products, equipment, and processes.

Milestones:

Accelerate Station will have the following milestones complete in the next six months.

12/1/2022 – Finalize contract to purchase property

12/15/2022 – Finalize employment contracts for the Accelerate Station management team

1/1/2023 – Begin build-out of the gas station and purchase equipment, materials, and supplies

1/15/2023 – Begin networking at industry events and implement the marketing plan

2/15/2023 – Finalize contracts with suppliers

3/15/2023 – Accelerate Station officially opens for business

Bill has recruited a fellow business school graduate, Stephen Smith, to be the company’s chief operating officer and help oversee gas station’s business operations. Stephen will handle supplier relationships, logistics, and budgeting for the business.

Financial Plan

Key revenue & costs.

The revenue drivers for Accelerate Station are the fees charged to customers in exchange for the company’s products and services. When it comes to pricing, the station will monitor supply costs, average prices charged by competitors, and product availability in the market to ensure its prices will generate a healthy profit margin.

The cost drivers will be the overhead costs required in order to staff a gas station. The expenses will be the product itself, payroll cost, utilities, equipment and supplies, and marketing materials.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and in order to pay off the startup business loan.

  • Average sales per month: 2,000
  • Average fees per month: $15,000
  • Overhead costs per year: $640,000

Financial Projections

Income statement, balance sheet, cash flow statement, gas station business plan faqs, what is a gas station business plan.

A gas station business plan is a plan to start and/or grow your gas station business. Among other things, a fuel station business plan outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections. You can easily complete your Gas Station business plan using our Gas Station Business Plan Template here .

What are the Main Types of Gas Stations?

There are a number of different kinds of gas stations, some examples include: Franchise Gas Station, Full Service Gas Station, or Quick Service Gas Station.

How Do You Get Funding for Your Gas Station?

After you complete your filling station business plan, you can start to seek financing.

Gas Stations are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Gas Station Business?

Starting a Gas Station business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Gas Station Business Plan - The first step in starting a business is to create a detailed fuel station business plan pdf or doc that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your Gas Station business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your Gas Station business is in compliance with local laws.

3. Register Your Gas Station Business -Once you have chosen a legal structure, the next step is to register your Gas Station business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your Gas Station business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees -There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Gas Station Equipment & Supplies - In order to start your Gas Station business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your Gas Station business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.

Learn more about how to start a successful Gas Station business: How to Start a Gas Station

  • Credit cards
  • View all credit cards
  • Banking guide
  • Loans guide
  • Insurance guide
  • Personal finance
  • View all personal finance
  • Small business
  • Small business guide
  • View all taxes

You’re our first priority. Every time.

We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Here is a list of our partners .

How to Open a Gas Station: A Step-by-Step Guide

Dan Marticio

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

Have you ever wanted to open a gas station but kept delaying it because you didn’t even know where to start? While starting a business can be a complex process, and opening your own gas station does have a few unique challenges you should be aware of, this shouldn’t discourage you from feeding your entrepreneurial spirit.

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, learning how to open a gas station could be a lucrative business move.

business plan for opening a gas station

How to open a gas station

1. write your business plan.

If you’re looking into how to start a gas station, be aware that the initial costs are quite high⁠ — this financial entry barrier may necessitate a loan. Writing a comprehensive business plan will be key in convincing lenders to approve your loan application or getting investors interested in funding you. When writing a business plan for a gas station, here are some points to research:

List your products and services

Gas stations are rarely limited to motor fuel. You’ll often notice how many gas stations also operate as convenience stores. In addition to recording the number of gas pumps and fuel options will be available at your gas station, you should research additional products and services to boost your profit margins. Common products and services you’ll see at a gas station include:

Car washes.

Air stations.

Lottery tickets.

Market analysis

The gas industry has a competitive market. It’s critical that you research the competition when looking into starting a gas station so that you can adjust your own marketing strategy to maximize traffic and profit. In your market analysis, here are some questions you want to answer:

What are your competitors’ strengths?

What are your competitors’ weaknesses?

How can you eliminate those weaknesses in your own business?

How can you solve the same problems better or differently than your competitors?

Will your competitors be a significant threat if you opened your business?

How can you use location to drive traffic to your business?

Your gas station location will influence how much traffic you attract, so it should be a priority when you’re brainstorming how to open a gas station. Reference back to your market analysis and how your chosen location is advantageous to your business. Will you choose a location where there is a fierce competitor across the street from you? Or will you choose an isolated location along a populated highway and cater to truck drivers and traveling families?

One tip when choosing a business location is to research up-and-coming neighborhoods. These neighborhoods will likely be further out from major cities and they’ll be in need of gas stations to fuel their longer commutes. Another tip is to avoid locations where wholesale retailers like Sam’s Club or Costco offer deeply discounted gas prices.

How much do you need?

with Fundera by NerdWallet

We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

2. Register your business

Register a business entity

Every business operates as some kind of business entity or business structure. Business owners may start out as sole proprietorships since there’s no paperwork required to register as one. However, when starting a gas station, we do not recommend operating as a sole proprietor. A gas station can be exposed to many risks, like burglaries and leaks, and you want to ensure that your personal assets will be protected.

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.

Business owners who operate as LLCs get to choose whether they’d like to be taxed as a sole proprietor or corporation. Also, they tend to pay lower annual fees. This business structure tends to be attractive to gas station owners who choose to stay small, especially if they own only one gas station. However, LLCs usually experience more difficulty raising money from investors.

Corporations tend to attract business owners who expect to raise capital from investors. If you expect to own a chain of gas stations or grow your gas station brand to compete with industry leaders, like Shell of Chevron, then a corporation may be the business structure for you.

To register as an LLC or corporation, you’ll need to consult your state’s Secretary of State office, either online or in person. Typically, you’ll have to fill out paperwork called either the articles of organization (if filing as an LLC) or articles of incorporation (if filing as a corporation) and pay a fee. In some states, you may also have to publish a notice in a local paper.

Choose a unique business name

When it comes to how to open a gas station, you want to ensure that your business name is unique so that it is not confused with another company. Conduct a quick search with your state’s Secretary of State business search and the United States Patent and Trademark Office to verify the availability of your desired name. Also, you’ll want to confirm that the domain name is available with sites like Name.com or GoDaddy.com.

Register for taxes

As a small business owner, you’ll also require an employer identification number to operate your business. An EIN is a nine-digit number used when filing your business taxes. You can apply for an employer identification number online with the IRS. You should receive your EIN within minutes after applying.

Depending on tax regulations in your state, you may also need to register for a state tax ID when starting a gas station.

Buy a franchise

If you’re looking into how to open a gas station, you may have considered buying into an existing gas station franchise, like Chevron or Mobil. Many drivers opt to buy gas from a familiar national brand, even if a competitor offers a lower price. There are several advantages to buying a franchise, like using an existing trademark and operating within a proven business model. However, you would need to pay royalties to the parent company.

If you decide to buy a franchise, make sure you have a business attorney review the legalities of any franchise agreement before signing.

3. Secure funding

Starting a gas station requires a significant amount of money when you factor in purchasing property, stocking up on supplies, paying employees, and keeping up with regulations. We’ll go over what specifically you’ll need to finance your gas station in this section. However, with all the costs involved in starting a gas station, we recommend opening a separate bank account to keep your business and personal finances separate.

How much does it cost to start a gas station?

As we mentioned before, starting a gas station has a high financial entry barrier. You should expect to secure at least $300,000 to cover the following startup costs:

Purchasing the location.

Business insurance.

Registering your business.

Licenses and permits.

Marketing materials.

Initial inventory (gas, consumables).

Setting up your gas station.

Setting up your convenience store.

Securing a gas supplier.

Paying employees.

Royalties per your franchise agreement.

Also, there will be ongoing costs following the startup costs. If your gas station will be operating 24 hours, you will need to pay for employee wages, utilities, and replenishing inventory. Also, the cost of replenishing your fuel reserves can rack up quickly. You can expect to pay at least $50 to $70 per 20-gallon barrel of fuel.

Financing your gas station

To cover these high initial costs, you should consider applying for a business loan through your bank. Unfortunately, slim profit margins tend to characterize gas station businesses. According to the National Association of Convenience Stores, “the average privately held gas station made only 0.02 cent of profit on each dollar of sales.”

You’ll need to rely on a stellar business track record and a comprehensive business plan to convince lenders that your business is a worthwhile investment. Even still, traditional lenders don’t usually lend money to new businesses. Some other financing options include:

SBA loans .

Equipment leasing.

Crowdfunding.

Angel investors.

4. Buy the property

When purchasing the location for your gas station, it's important to discuss ownership rights to any existing tanks and pumps that may already be there.

This is an important step when it comes to how to open a gas station: Before finalizing the purchase agreement, first confirm whether the sale transfers ownership rights of the pumps and tanks to your name. Also, you should research the equipment’s repair history to determine the remaining “shelf life.” This will verify whether you should reuse or replace the existing equipment.

When outlining your purchase agreement, remember to include an environmental contingency clause . This clause allows you to conduct more research on the property’s environmental history after the purchase agreement is signed. If an environmental site assessment yields unfavorable findings, you can withdraw from the sale and get your deposit refunded.

5. Secure a gas supplier contract

It’s important to understand how you will regularly replenish your gas tank reserves. You’ll have to research different local wholesale providers to supply fuel for your station. Gas suppliers often earn a percentage of your sales, so you should do a thorough rate comparison to ensure you are maximizing your own profit margins.

If you are operating a franchise, review your franchise agreement to determine if they already have a preferred vendor for gas supply.

Again, have an attorney review your franchise agreement and gas supplier contract to ensure you are maximizing profit and avoiding any hidden fees.

6. Obtain necessary permits and licenses

When it comes to how to open a gas station, the necessary permits and licenses will vary from state to state. Be sure to research your respective state’s business requirements. Generally, you would be required to obtain permits for the following:

Fire inspections.

Tank inspections.

Water discharge.

Sale of alcohol and tobacco.

Restaurant codes and regulations.

Motor fuel outlet license.

Certificate of occupancy.

7. Get business insurance

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.

8. Market yourself

Use pole signs and highway exit signs

When seeking a gas station, many drivers just want to find the nearest one, fill up, and then leave. As a gas station owner, it’s often worth buying tall pole signs and highway exit signs to market your business. Capturing drivers’ attentions while they’re already driving can boost traffic to your gas station.

Get active on 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.

Create a loyalty program

Did you know that it’s often more expensive to acquire new customers than it is to retain existing customers? Smart marketers know this and that’s why big-brand gas stations, like Chevron and Exxon, offer loyalty programs to their driving customers. Create a loyalty program when you’re starting a gas station and you can slowly build a loyal customer base.

Partner with food franchises

You might notice nowadays that 7/11 isn’t the only franchise you’ll find at a gas station. More gas stations are partnering with food franchises, like McDonald’s and Subway. This can be great for business because it transforms your business from a gas stop to a rest stop. This creates more opportunities for customers to also enter your convenience store and buy consumer goods.

Consider lowering your gas price

You might be surprised that many gas stations don’t make a significant profit from selling fuel. Many gas station owners increase their profit margins through their convenience stores. Lowering your prices, even by a cent, can attract more drivers to your location, increasing the likelihood that customers will leave the pump and enter your store to buy a drink or other goods.

Install more gas pumps

The reality is that refilling your gas tank isn’t fun. It’s an errand that people have to do to get them from Point A to Point B. This chore becomes more of an annoyance when people drive into a fully-packed gas station. Adding more gas pumps makes the gas-filling process as convenient as possible. Just the availability of gas pumps can attract drivers to your gas station.

ZenBusiness

Start Your Dream Business

9. Familiarize yourself with your day-to-day responsibilities

Establish hours of operation

Many gas stations are open 24 hours a day. If you want to keep up with the competition, your own gas station might have to operate 24 hours as well. Should you do this, you’ll need to hire more employees to cover the graveyard shift.

Punctuality

Punctuality is essential when operating a gas station. Often, drivers will stop by for gas in the early morning before work. If they have to wait for you, drivers will bring their business to a competitor and you’ll probably lose those customers for good.

Since your gas station will likely sell a variety of consumer goods, like snacks and drinks, you must keep your inventory organized. Running inventory every day will help you identify when your reserves are low and you need to restock. Make sure you also get estimated delivery dates on vendor delivers to better coordinate when you need to resupply.

Set up security measures

Gas stations, especially 24-hour operations, are particularly vulnerable to crime. It’s important that you and your employees are safe. Consider installing cameras and shatter-proof windows as an additional security measure. Also, daily bank deposits will help keep your cash assets safe from burglaries.

On a similar note...

One blue credit card on a flat surface with coins on both sides.

Upmetrics AI Assistant: Simplifying Business Planning through AI-Powered Insights. Learn How

Entrepreneurs & Small Business

Accelerators & Incubators

Business Consultants & Advisors

Educators & Business Schools

Students & Scholars

AI Business Plan Generator

Financial Forecasting

AI Assistance

Ai Pitch Deck Generator

Strategic Planning

See How Upmetrics Works  →

  • Sample Plans
  • WHY UPMETRICS?

Customer Success Stories

Business Plan Course

Small Business Tools

Strategic Planning Templates

E-books, Guides & More

  • Sample Business Plans
  • Retail, Consumers & E-commerce

Gas Station Business Plan

business plan for opening a gas station

Although fuel prices are shooting up, we all know that it is one of the most essential commodities there is.

And in the absence of a proper alternative, people are forced to use fuel. If you have the right experience and knowledge about running a gas station, you must have thought of having your own gas station business at least once.

Reading sample business plans will give you a good idea of what you’re aiming for. Also, it will show you the different sections that different entrepreneurs include and the language they use to write about themselves and their business plans.

We have created this sample for you to get a good idea about how perfect a gas station business plan should look and what details you will need to include in your stunning business plan.

Industry Overview

In October 2021, the monthly retail fuel sales in the US amounted to a whopping 55 billion dollars, significantly higher than the past month. And although the industry experienced a slowdown due to the pandemic, it is recovering to its pre-pandemic levels at a fast pace.

The major reason for the growth of the fuel industry is increasing scarcity, rising prices, and lack of an alternative mode of conveyance.

And although there might be no impact in the shorter run, gas station owners should keep in mind that alternatives to fuel might come up in the future, and they’ll need to prepare their business for the impact.

It can either be by an exit strategy or by preparing their business to serve those alternative methods of transport.

Say goodbye to boring templates

Build your business plan faster and easier with AI

Plans starting from $7/month

CTA Blue

Things to Consider Before Writing Your Gas Station Business Plan

Pick a legal structure for your business.

The legal structure of your business decides the amount you’ll pay in taxes, the amount of paperwork you’ll have to go through, and the liability on your assets. Hence, it is essential to go through all of your options and choose the one that fits the best for your business.

Get the necessary licenses and permits

The next step would be to get all the necessary licenses and permits to operate a gas station. This helps you stay on the right side of the law and avoid unnecessary legal hassles. It also helps you avail yourself of any possible benefits that the permit holders get from the government or private institutions.

Get a gas supplier contract

A gas supplier contract is essential to set up your business. It makes having a proper supply in your gas station easier. It also gives you a chance to go through all the possible options of suppliers for your business and choose the one that can offer you the highest profitability margin.

Select a good location

Location matters more than anything for you as a gas station owner. A gas station located on a highway, around a residential or commercial area has a higher chance to be successful as these are the most convenient places for people who’d want access to a gas station. And depending on your location, you can also decide the additional services your gas station would offer to make it more profitable and a preferred location for your customers.

Chalking out Your Business Plan

If you are planning to start a new gas station, the first thing you will need is a business plan. Use our sample Maxwell – Gas Station Business Plan created using Upmetrics business plan software to start writing your business plan in no time.

Before you start writing your business plan for your new gas station business, spend as much time as you can reading through some examples of services-related business plans .

After all, having your business gives you a sense of independence and can turn extremely profitable too.

All you need is a gas station business plan to help you get started the right way.

Gas Station Business Plan Outline

This is the standard gas station business plan outline, which will cover all important sections that you should include in your business plan.

  • Keys to Success
  • 3 Year profit forecast
  • Startup cost
  • Industry Analysis
  • Market Trends
  • Market Segmentation
  • Advertising Strategy
  • Pricing Strategy
  • Sales Strategy
  • Sales Forecast
  • Service Functions
  • Administrative Functions
  • Important Assumptions
  • Brake-even Analysis
  • Profit Yearly
  • Gross Margin Yearly
  • Projected Cash Flow
  • Projected Balance Sheet
  • Business Ratios

After getting started with Upmetrics , you can copy this sample business plan into your business plan and modify the required information and download your gas station business plan pdf or doc file.

It’s the fastest and easiest way to start writing your business plan.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

crossline

Download a sample gas station business plan

Need help writing your business plan from scratch? Here you go;  download our free gas station business plan pdf  to start.

It’s a modern business plan template specifically designed for your gas station business. Use the example business plan as a guide for writing your own.

Related Posts

Cost to Start a Gas Station

Cost to Start a Gas Station

How to Start a Gas Station

How to Start a Gas Station

Car Dealership Business Plan

Car Dealership Business Plan

 Vending Machine Business Plan

Vending Machine Business Plan

400+ Business Plan Examples

400+ Business Plan Examples

Eye-Catching Business Plan Cover Designs

Eye-Catching Business Plan Cover Designs

About the Author

business plan for opening a gas station

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

Plan your business in the shortest time possible

No Risk – Cancel at Any Time – 15 Day Money Back Guarantee

Popular Templates

bpb AI Feature Image

Create a great Business Plan with great price.

  • 400+ Business plan templates & examples
  • AI Assistance & step by step guidance
  • 4.8 Star rating on Trustpilot

Streamline your business planning process with Upmetrics .

Download Gas Station Business Plan

We earn commissions if you shop through the links below.  Read more

Gas Station

Back to All Business Ideas

How to Start a Gas Station

Written by: Carolyn Young

Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.

Edited by: David Lepeska

David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.

Published on June 3, 2022 Updated on May 10, 2024

How to Start a Gas Station

Investment range

$253,550 - $357,100

Revenue potential

$1.095 million - $2.19 million p.a.

Time to build

6 – 12 months

Profit potential

$109,000 - $219,000 p.a.

Industry trend

Gas stations are essential to any community, and most are also convenience stores where people can grab a drink or snack. The US gas station industry suffered during the pandemic, but has come back in a big way, up 34% from its 2020 low. 

That means now is a good time to get in on the action and become a gas station owner. It requires significant investment, but gas stations provide a valuable service and can be very lucrative — you might even build a gas station franchise! 

But before you turn on those pumps, it’s important to know how to start a business. Luckily, this step-by-step guide is filled with all the information you need to launch a successful gas station. 

Looking to register your business? A limited liability company (LLC) is the best legal structure for new businesses because it is fast and simple.

Form your business immediately using ZenBusiness LLC formation service or hire one of the Best LLC Services .

Step 1: Decide if the Business Is Right for You

Pros and cons.

Starting a gas station has pros and cons to consider before deciding if it’s right for you.

  • High Demand – Most cars need gas
  • Good Money – Hundreds of people will shop your gas station daily
  • Multiple Revenue Sources – Sell gas, food, beer, other items
  • Investment Required – Starting a gas station is not cheap
  • Long Hours – Most gas stations are open 24 hours

Gas station industry trends

Industry size and growth.

gas station industry size and growth

  • Industry size and past growth – The US gas station and convenience store industry is worth $469.8 billion in 2022 after expanding 34% in the last two years.(( https://www.ibisworld.com/industry-statistics/market-size/gas-stations-with-convenience-stores-united-states/ ))
  • Growth forecast – The US gas station and convenience store industry is projected to grow by 2.7% in 2022. 
  • Number of businesses – In 2022, 66,598 gas station and convenience store businesses are operating in the US.
  • Number of people employed – In 2022, the US gas station and convenience store industry employs 843,890 people.(( https://www.ibisworld.com/industry-statistics/employment/gas-stations-with-convenience-stores-united-states/ )) 

Trends and challenges

gas station Trends and Challenges

Trends in the gas station industry include:

  • Contactless payments and services like curbside pickup are becoming more and more common in gas stations and convenience stores. 
  • Electric car plugs are an opportunity for gas stations to increase their customer base and revenue.

Challenges in the gas station industry include:

  • The number of people working from home is increasing, decreasing gas demand. 
  • Gas stations must be up to date with requirements for chip credit cards or they will not be protected by credit card companies from fraud. This is an added expense for gas stations. 

Consumer spending

gas station consumer spending

  • Average consumer spend – The average US household spends nearly $5,000 per year on gas. (( https://www.cnbc.com/2022/05/18/households-are-spending-the-equivalent-of-5000-a-year-on-gasoline.html )) 

Price differences across the country

gas station price differences in the US

  • More expensive – Gas prices are the most expensive in California, Nevada, and Hawaii.(( https://www.cnbc.com/2022/03/14/most-and-least-expensive-states-to-buy-gas.html ))
  • Less expensive – Gas prices are the least expensive in Kansas, Missouri, and Oklahoma.

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

Startup costs for a gas station range from $250,000 to $350,000 and could be much higher. Costs include a 30% down payment on land and gas station construction, as well as the inventory of gas and convenience store items.

How much can you earn from a gas station business?

gas station earnings forecast

Gas prices obviously fluctuate, and convenience store item prices vary. The average person who visits your gas station might spend $30. Your profit margin after all costs will be about 10%. 

In your first year or two, you might have 100 customers a day, bringing in $1,095,000 in annual revenue. This would mean $109,000 in profit, assuming that 10% margin. As you begin to get regular customers, those numbers could double. With annual revenue of $2,190,000, you’d make an outstanding profit of $219,000.

What barriers to entry are there?

There are a few barriers to entry for a gas station. You biggest challenges will be:

  • The significant startup costs
  • Beating rivals in a very crowded market

Related Business Ideas

How to Start a Gas Station

How to Start an Oil Change Business

How to Start a Gas Station

How to Start a Car Wash Business

How to Start a Gas Station

How to Start a Parking Lot Business

Step 2: hone your idea.

Now that you know what’s involved in starting a gas station, it’s a good idea to hone your concept in preparation to enter a competitive market. 

Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.

Why? Identify an opportunity

Research gas stations in your area to examine their products, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a gas station with electric car plugins, or a gas station with a convenience store that offers fresh sandwiches. 

business plan for opening a gas station

You might consider targeting a niche market by specializing in a certain aspect of your industry, such as diesel fuel or premium fuel.

This could jumpstart your word-of-mouth marketing and attract clients right away. 

What? Determine your products and on-site services

Your products will be your gas and convenience store items. You could add additional revenue by having an air machine for tires or an ATM machine. 

How much should you charge for gas and convenience items?

Gas prices will be determined by the market, as will your convenience store items. You should aim for a profit margin of about 10%. 

Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.

Who? Identify your target market

Your target market will be anyone with a car, so you should spread out your marketing to include sites like TikTok, Instagram, and Facebook. 

Where? Choose a gas station location

When choosing a gas station location, it’s essential to consider several factors.

First, analyze the area’s traffic flow and identify high-visibility locations with easy access for vehicles.

Second, research local competition to ensure your station will not be overshadowed by a more dominant player.

Third, examine the demographics of the surrounding community to gauge demand for fuel and convenience store items.

Finally, review local zoning laws and environmental regulations to ensure the site can be developed for a gas station.

gas station idea rating

Step 3: Brainstorm a Gas Station Name

Here are some ideas for brainstorming your business name:

  • Short, unique, and catchy names tend to stand out
  • Names that are easy to say and spell tend to do better 
  • Name should be relevant to your product or service offerings
  • Ask around — family, friends, colleagues, social media — for suggestions
  • Including keywords, such as “gas station” or “convenience store”, boosts SEO
  • Name should allow for expansion, for ex: “QuickFuel Stop” over “Commercial Vehicle Fueling”
  • A location-based name can help establish a strong connection with your local community and help with the SEO but might hinder future expansion

Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these. 

Find a Domain

Powered by GoDaddy.com

Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.

Step 4: Create a Gas Station Business Plan

Here are the key components of a business plan:

what to include in a business plan

  • Executive Summary: A concise summary outlining the gas station business plan, highlighting key aspects such as mission, objectives, and potential for profitability.
  • Business Overview: A brief introduction to the gas station business, including its location, facilities, and the value it offers to customers.
  • Product and Services: Explanation of the fuel and convenience products offered, emphasizing any unique features or services provided by the gas station.
  • Market Analysis: Examination of the target market, customer demographics, and trends in the area to justify the demand for a gas station in that location.
  • Competitive Analysis: Assessment of existing and potential competitors, identifying strengths, weaknesses, and strategies to gain a competitive edge in the market.
  • Sales and Marketing: Strategies for promoting the gas station, attracting customers, and increasing sales, encompassing advertising, promotions, and customer loyalty programs.
  • Management Team: Overview of the individuals responsible for the gas station’s day-to-day operations, highlighting their relevant skills and experience.
  • Operations Plan: Detailed plan outlining the daily operations, from fuel procurement to staff management, ensuring efficiency and customer satisfaction.
  • Financial Plan: Projections of the gas station’s financial performance, including startup costs, revenue forecasts, and profit margins, providing a comprehensive outlook for potential investors.
  • Appendix: Supplementary materials, such as permits, licenses, market research data, or any additional information supporting the gas station business plan.

If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.

Step 5: Register Your Business

Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.

Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business! 

Choose where to register your company

Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you’re planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to gas stations. 

If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state. 

Choose your business structure

Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your gas station will shape your taxes, personal liability, and business registration requirements, so choose wisely. 

Here are the main options:

types of business structures

  • Sole Proprietorship – The most common structure for small businesses makes no legal distinction between company and owner. All income goes to the owner, who’s also liable for any debts, losses, or liabilities incurred by the business. The owner pays taxes on business income on his or her personal tax return.
  • General Partnership – Similar to a sole proprietorship, but for two or more people. Again, owners keep the profits and are liable for losses. The partners pay taxes on their share of business income on their personal tax returns.
  • Limited Liability Company (LLC) – Combines the characteristics of corporations with those of sole proprietorships or partnerships. Again, the owners are not personally liable for debts.
  • C Corp – Under this structure, the business is a distinct legal entity and the owner or owners are not personally liable for its debts. Owners take profits through shareholder dividends, rather than directly. The corporation pays taxes, and owners pay taxes on their dividends, which is sometimes referred to as double taxation.
  • S Corp – An S-Corporation refers to the tax classification of the business but is not a business entity. An S-Corp can be either a corporation or an LLC , which just need to elect to be an S-Corp for tax status. In an S-Corp, income is passed through directly to shareholders, who pay taxes on their share of business income on their personal tax returns.

We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization , and answer any questions you might have.

Form Your LLC

Choose Your State

We recommend ZenBusiness as the Best LLC Service for 2024

business plan for opening a gas station

Step 6: Register for Taxes

The final step before you’re able to pay taxes is getting an Employer Identification Number , or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN. 

Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.

business plan for opening a gas station

The IRS website also offers a tax-payers checklist , and taxes can be filed online.

It is important to consult an accountant or other professional to help you with your taxes to ensure you’re completing them correctly.

Step 7: Fund your Business

Securing financing is your next step and there are plenty of ways to raise capital:

types of business financing

  • Bank loans: This is the most common method but getting approved requires a rock-solid business plan and strong credit history.
  • SBA-guaranteed loans: The Small Business Administration can act as guarantor, helping gain that elusive bank approval via an SBA-guaranteed loan .
  • Government grants: A handful of financial assistance programs help fund entrepreneurs. Visit Grants.gov to learn which might work for you.
  • Friends and Family: Reach out to friends and family to provide a business loan or investment in your concept. It’s a good idea to have legal advice when doing so because SEC regulations apply.
  • Crowdfunding: Websites like Kickstarter and Indiegogo offer an increasingly popular low-risk option, in which donors fund your vision. Entrepreneurial crowdfunding sites like Fundable and WeFunder enable multiple investors to fund your business.
  • Personal: Self-fund your business via your savings or the sale of property or other assets.

Bank and SBA loans are probably the best option, other than friends and family, for funding a gas station business. 

Step 8: Apply for Gas Station Business Licenses and Permits

Starting a gas station business requires obtaining a number of licenses and permits from local, state, and federal governments.

Check with your state for specific gas station license and permit requirements. 

Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration ( OSHA ), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits. 

You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more. 

You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package . They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.

This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.

If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.

Step 9: Open a Business Bank Account

Before you start making money, you’ll need a place to keep it, and that requires opening a bank account .

Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your gas station business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.

Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account. 

Step 10: Get Business Insurance

Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.

Here are some types of insurance to consider:

types of business insurance

  • General liability: The most comprehensive type of insurance, acting as a catch-all for many business elements that require coverage. If you get just one kind of insurance, this is it. It even protects against bodily injury and property damage.
  • Business Property: Provides coverage for your equipment and supplies.
  • Equipment Breakdown Insurance: Covers the cost of replacing or repairing equipment that has broken due to mechanical issues.
  • Worker’s compensation: Provides compensation to employees injured on the job.
  • Property: Covers your physical space, whether it is a cart, storefront, or office.
  • Commercial auto: Protection for your company-owned vehicle.
  • Professional liability: Protects against claims from a client who says they suffered a loss due to an error or omission in your work.
  • Business owner’s policy (BOP): This is an insurance plan that acts as an all-in-one insurance policy, a combination of the above insurance types.

Step 11: Prepare to Launch

As opening day nears, prepare for launch by reviewing and improving some key elements of your business. 

Essential software and tools

Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks. 

You may want to use industry-specific software, such as  LS Retail , SSCS , or PDI , to manage your inventory, fuel supplies, purchasing, and reporting.

  • Popular web-based accounting programs for smaller businesses include Quickbooks , Freshbooks , and Xero . 
  • If you’re unfamiliar with basic accounting, you may want to hire a professional, especially as you begin. The consequences for filing incorrect tax documents can be harsh, so accuracy is crucial.

Develop your website

Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.

You can create your own website using website builders . This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.

They are unlikely to find your website, however, unless you follow Search Engine Optimization ( SEO ) practices. These are steps that help pages rank higher in the results of top search engines like Google. 

Here are some powerful marketing strategies for your future business:

  • Professional Branding — Ensure your branding reflects reliability and efficiency. Maintain consistent branding across signage, staff uniforms, and the appearance of your gas station.
  • Website Optimization — Develop a straightforward website detailing your location, services, and promotions.
  • Local SEO — Optimize your site for local searches related to gas stations and convenience services. Regularly update your Google My Business and Yelp profiles to strengthen your local search presence.
  • Social Media Engagement — Use platforms like Facebook and Instagram to promote special offers, share new product updates, and engage with customers.
  • Content Marketing — Establish a community blog to share car care tips and local event information, helping to build local connections. Distribute regular newsletters to update customers on new services and special offers.
  • Direct Outreach and Partnerships — Network with local businesses and community groups to offer special deals and loyalty programs. Collaborate for cross-promotions to enhance customer value.
  • Experiential Marketing — Run promotions on fuel, car washes, or in-store products. Participate in local community events to boost visibility and brand goodwill.
  • Customer Loyalty Programs — Implement a rewards program to offer benefits to frequent patrons, encouraging repeat visits.
  • Customer Feedback and Engagement — Foster customer relationships through regular feedback opportunities, demonstrating your dedication to service improvement.
  • Targeted Local Advertising — Advertise in community newspapers, on local radio, and online to reach a broader local audience.
  • Signage and Visual Marketing — Maintain prominent, well-lit signage to attract passing motorists and enhance station visibility.

Focus on USPs

unique selling proposition

Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your gas station meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire. 

Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your gas station business could be: 

  • Your one-stop shop when you’re on the go
  • Gas up and grab a hot coffee for the road
  • Gas, pastries, coffee and much more! 

You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a gas station business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in gas stations for years and can offer invaluable insight and industry connections. 

The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in gas stations. You’ll probably generate new customers or find companies with which you could establish a partnership. 

Step 12: Build Your Team

If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a gas station business include:

  • Gas Station Clerks – make sales, customer service
  • General Manager – scheduling, ordering, accounting
  • Marketing Lead – SEO strategies, social media

At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need. 

Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed , Glassdoor , or ZipRecruiter . Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent. 

Step 13: Run a Gas Station – Start Making Money!

Gas stations provide an essential product, along with snacks and drinks. Even with the emergence of electric cars, gas stations are not going away anytime soon. If you want to serve your community and make good money at the same time, starting up your own gas station could be just the ticket!

You know what’s involved now, so it’s time to find the perfect location and launch your successful gas station. 

  • Gas Station Business FAQs

The key to having a profitable gas station is volume. You’ll need a location that has a large amount of traffic. A convenience store connected to your gas station also significantly improves profitability.

To ensure that your gas station is accessible and meets the needs of different types of customers, you can provide a range of fuel options, such as regular, mid-grade, and premium gasoline, as well as diesel and alternative fuels like ethanol and biodiesel. It’s also important to ensure that the gas station is accessible to customers with disabilities, including wheelchair ramps, handicapped parking spaces, and accessible restroom facilities .

A successful gas station should provide quality fuel and a range of convenient services to customers. It should also have a clean and well-maintained facility, a professional and friendly staff, and competitive pricing. Location is also important.

The amount of gas a gas station can hold varies depending on the size of the station and the number and size of the underground storage tanks. A small gas station may hold up to 10,000 gallons of fuel, while a larger station may hold up to 50,000 gallons or more.

The amount of energy it takes to run a gas station can also vary depending on the size and services offered. Some of the energy needs include lighting, heating and cooling, and running equipment such as pumps, compressors, and refrigeration units.

To ensure that your gas station business complies with safety and environmental regulations, you should stay up-to-date with any local, state, and federal laws and regulations related to the operation of a gas station. This may include regulations related to the installation and maintenance of underground storage tanks, handling, and disposal of hazardous materials, fire safety, and employee training. 

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

  • Decide if the Business Is Right for You
  • Hone Your Idea
  • Brainstorm a Gas Station Name
  • Create a Gas Station Business Plan
  • Register Your Business
  • Register for Taxes
  • Fund your Business
  • Apply for Gas Station Business Licenses and Permits
  • Open a Business Bank Account
  • Get Business Insurance
  • Prepare to Launch
  • Build Your Team
  • Run a Gas Station - Start Making Money!

Subscribe to Our Newsletter

Featured resources.

57 Best Service Business Ideas

57 Best Service Business Ideas

David Lepeska

Published on December 1, 2022

The services sector is undoubtedly the biggest economic sector in the US as it accounts for nearly 70% of the country’s gross domestic product. It ...

9 Best Trading Business Ideas

9 Best Trading Business Ideas

Esther Strauss

Published on August 12, 2022

Are you a born trader? If so, you’ve come to the right place. Countless businesses involve trade, from import-export to stock trading, from online ...

17 Business Ideas that Help the Community

17 Business Ideas that Help the Community

Published on July 29, 2022

Just about everybody wants to live in a warm, welcoming close-knit community, and you can help build one by starting a business that helps peopleliv ...

No thanks, I don't want to stay up to date on industry trends and news.

  • 212 best farm names

Opening a Gas Station: The Ultimate Guide (2024)

September 24, 2020

Opening a Gas Station: The Ultimate Guide (2024)

Owning a gas station is a business we think of when we imagine an entrepreneur realizing the American Dream .

According to the National Association of Convenience Stores , there are over 120,000 gas stations that double as a convenience store in the U.S. (out of over 150,000), and 62% of convenience stores are operated by a single-store operator.

That means most gas stations are not owned by multi-store corporations. They’re owned by individual proprietors who invested their own money into their business.

Have you ever thought about realizing your own American Dream and starting a gas station?

To guide you, we interviewed Punardeep Sandhu, who left his job as an IT Consultant 8 years ago to open a Chevron gas station. He helped us break down the process, so we can show you how to do it step-by-step.

Before we break it down, note that the terms gas stations and convenience stores (or “c-stores”) are sometimes used interchangeably. In this article, we’re focusing on opening a gas station that also includes a convenience store. You can read our article on How to Open a Convenience Store for great tips on that subject if you’re not interested in selling fuel.

1. Initial Planning

Man creating business plan

Like any small business, opening a gas station business begins with careful planning. A business plan is more than just an outline of your ideas and dreams; it’s the blueprint for your business and the key to securing the funds you’ll need to get things going. Your plan must include and account for things like:

  • Initial and Ongoing operating costs
  • Tanks, Pumps and Fuel
  • Products and Inventory
  • Location costs
  • Accountant and Legal Fees
  • Licenses and Permits

You can visit the U.S. Small Business Administration’s site for some great tools that will help you write a business plan. It’s important to get familiar with the SBA now as you’ll see them again in Step 3: Funding.

How much does it cost to open a gas station?

Speaking of funding, getting into the gasoline station business isn’t cheap. The initial costs of opening a gas station ranges on average from $250k to $2 million even for a small gas station.

Also, unless you have access to large stockpiles of motor grade gasoline , you must enter into an agreement with a gasoline supplier. And that’s the X-factor in figuring the initial price of a gas station.

Do you have the funds to open an independent location with your own supplier or do you need to leverage your funds by entering into an agreement with a gas station franchise?

Instead of opening a brand new gas station, you could buy one that’s up and running. Just make sure to research the area first so you know what kind of customer volume to expect in the location.

How to Open a Gas Station Franchise

Arco gas station franchise

Most station owners, including Punardeep, get into the business through buying a gas station franchise. Partnering with a franchise can ease some of the financial burden (but not all!), and an established brand can serve as your key marketing tool. Punardreep explains,

Luckily for me the Chevron brand in itself doesn’t need much marketing, people recognize Chevron and are loyal even if that means paying a few extra cents per gallon.

However, each gas station franchise has different financial requirements for opening a location (some in excess of $1 million!) and some mandate a background in management or entrepreneurship before they’ll consider you.

Here’s a list of some of the top gas station franchises (there are many more), so you can check the qualifications based on your business plan:

  • ConocoPhillips

Gas Station Products and Services

Gas station products

When planning your gas station, you need to consider the products and services you want to offer beyond gasoline. Gas stations have gasoline as revenue to keep the business in operation, but it’s the sales inside the convenience store that make the business profitable. Punardreep says,

Inside the store sales is where you make your real money, gas margins are very competitive, so it’s a good way to attract the customers at the pump, but the ring inside when they come in for a soda, or candy or chips is where you make that money

Also assess services other than food and drinks that gas stations typically offer such as:

  • Air Stations
  • Lottery Tickets

Each of these services have their own costs (permits and maintenance), but have become fixtures at gas stations around the country.

Your gas station franchise agreement can also directly affect the list products and services you provide. It’s best to work with a lawyer who specializes in franchise law in this situation.

2. Choose Your Gas Station Location Carefully

Open a Gas Station 101: Your location is the prime determiner of the amount of traffic you will attract.

Business location

It’s so important that when we asked Punardreep, “What are the top 3 tips you have for others who are opening a gas station business?” He answered,

Location, location, location.

Choosing the location of a gas station isn’t exactly like choosing the location of a used car dealership, though we covered that in section 3 of our article on How to Start a Used Car Dealership .

You need to invest a lot of time and perhaps even some money into market research about a potential location of your gas station. Here are some factors that help determine whether a location is prime for a gas station business:

  • Easy accessibility from a highway or main intersection
  • Is it located on a main route for general work commute?
  • Is there a lot of competition?
  • Are there wholesalers around like Sams Club or Costco?
  • Is there existing construction or future construction in the area that would affect your permits or accessibility?
  • Assessment of state and federal location and environmental laws for a gas station

You can read more detailed information from ConocoPhillips regarding these factors, but it’s ultimately up to you, the business owner, to carefully assess your location.

A great tip is to find a gas station location in a new and developing neighborhood. Ideally, try to find a spot just outside the city before the area is fully established.

Many people in this type of neighborhood will have to commute to the city and need gas to get to their jobs. Plus, you should be able to find cheaper real estate in these areas.

Who Owns the Tanks and Pumps?

Gas Station pump

Study this section as it is the most important element can make or break your gas station business aside from the actual location.

Obviously, gas is the life blood of gas stations. It’s the core revenue source and marketing tool you need to stay in operation and generate profits. That means you must assess the ownership of the tanks and pumps at a potential location before you purchase or lease.

Many gas station owners don’t own these assets and instead lease them from a franchise or the owner of the property. If you’re buying a gas station, check whether or not the tanks and pumps are included in the sale. If you’re leasing a station, have a lawyer thoroughly review the terms of the tanks and pumps agreement.

And most importantly, check the history of the gas station tanks and pumps. Many owners have lost their business because of purchasing or leasing tanks and/or pumps that are defective or not in compliance with state regulations.

Environmental Assessment

Business owners looking to open a gas station need to obtain a Phase 1 Environmental Assessment of their location. This assessment must be completed by an Environmental Professional (geologist or engineer) who will determine the environmental history of your location and adjacent properties.

Here is an example of a real assessment .

This document is essential for two key reasons:

  • The Phase 1 Assessment is a requirement of the SBA (pg 384) if you want to obtain a loan for a gas station business.
  • It will allow you to back out of a purchase agreement if the assessment is unfavorable and your agreement includes an environmental contingency clause .

A qualified real estate attorney with experience in dealing with gas station agreements should know this clause . However, it’s up to you to make sure it’s in the purchase agreement as it is the only way you’ll be able to legally withdraw from a sale and keep any deposits.

3. Registering the Gas Station Business

Forming a business entity is the next step in starting a gas station. However, before forming your business structure, make sure and consult with your attorney to see which type of business is best for you (limited partnership, sole proprietorship, limited liability company, or corporation).

It’s not recommended to operate as a sole proprietor if you’re going to open a gas station. There are many legal risks that would be tied to you personally if something happens at your location (robbery, leaks, accidents, etc…).

Most gas station owners opt to form a Limited Liability Company (LLC) because it gives them the some of the tax and business advantages used by a sole proprietorship and a corporation. Plus, they usually play lower fees. However, it may be more difficult to get a loan.

Last, you need to choose a business name and apply for an employer identification number with the IRS and your state.

4. Funding Your Gas Station

Gas station funds

To start a gas station, you need money, and lots of it. Construction of a gas station alone can run over $350k (and that’s in Idaho!), and if you’re going to buy a gas station, the price tag can run the same or more based on the location.

When asked how he funded his gas station Punardreep said,

My life savings and family helped me with the down payment, and I also got an SBA loan to start the gas station business.

The Small Business Administration has loan programs to help small businesses, like gas stations, get started. They won’t lend money directly to you, the business owner. Instead they work with other institutions to reduce their risk on a loan by backing it by as much as 85%.

The benefit of taking a loan for your gas station from the SBA is that it has low down payments and lengthy payment terms with reasonable interest rates. However, you may be required to put down a substantial amount of collateral on the loan, and the loans can be difficult to secure and include a lot of paperwork and a long wait time for approval.

Business Loan from a Bank (Conventional)

With good credit, you could apply for a traditional business loan from a bank. However, because the bank takes on the entire risk of the loan, so they have high standards with their requirements.

This means you’ll need around 15 to 20% of the initial funds to start with a credit score over 700, or be willing to put up other personal assets (property, equipment, etc…) as collateral.

The good news is that small business loan approvals at large financial institutions hit an all-time high last year .

How Profitable are Gas Stations?

Your ability to pay back these loans will be contingent on the profitability of your operation. And a quick search may show horror stories about gas station profitability that can seem off putting.

However, we spoke with Punardreep about his margins and he said,

We make anywhere from 30-40 % margin on average.

So, two things determine gas station profitability: you and your location.

There are many owners out there who didn’t do their due diligence when they went into the gas station business and are now suffering the consequences of margins in the 1-2% range. However, many others, like Punardreep, are making anywhere from 5 to 30% profit each month.

Gas stations can be profitable if they’re set up for success.

5.  Setting up for Success: Gas Supplier Contracts, Technology, and Employees

Knowing the elements that will either increase or decrease your gas station’s profitability are key to starting a gas station. You will need to negotiate supplier contracts, outfit and update your location with the latest technology, and continually assess your ongoing costs to set your station up for success.

Business technology

Gas Stations Supplier Contracts

We mentioned suppliers earlier, but it’s important to understand how to manage refilling your gas supplies and the factors that determine gas prices .

It’s up to you to research local wholesale fuel suppliers (or petroleum marketers ) in your area to see who has the best prices for your fuel because gas suppliers often make money from the percentage of your sales. You need to compare rates to maximize profits.

For example, if your location is near Dallas you might contact SEI Fuels or Martin Eagle Oil .

However, if you’re in a franchise agreement, you may be required to purchase from select vendors because they have a prior agreement. Punardreep owns a Chevron location and therefore has to supply it with Chevron gas at their set rates.

Gas is more of a revenue stream for gas stations and is not your key profit maker, but if you can bump your margins from $.01 per dollar to $.03 or $.05, it will add up in the long run.

Punardreep explained to us,

Technology: it’s your best friend. Whether it’s the best camera systems, POS systems, use the best in the industry because investing in good technology will not only give you real time data on what’s happening in your stores, you have access to all that data in the palm of your hand.

Before you start a gas station, remind yourself that technology isn’t going away, and it’s best to use it to your advantage rather than skim on cheap devices and software in your location. Eventually, it will start to negatively affect your profit margins.

Here’s a list of the top POS systems for gas stations:

  • Harbortouch

This is a list of the top camera system providers, but work with a trusted security camera company to help set everything up.

Employees and Customer Service

Payroll and rent are my biggest ongoing expenses,

says Punardreep. If one of your biggest expenses is on the front line interacting with customers every day, be sure you hire someone who is going to reflect your values and provide amazing customer service.

In fact, it’s one mistake Punardreep said he wished he avoided when he first started.

Employee hiring is a critical piece as they represent your business. Having good customer service is important. I had hired some people that didn’t represent my values, and they were not good for the face of the business; so I had to get rid of them.

If someone isn’t willing to help and take care of your customers, then you have to be ready to make some cuts. Otherwise, you could see a direct affect on your profit margins.

6.  Permits, Licenses and Insurance

Now that you know the aspects of opening a gas station, let’s look at the permits, licenses, and insurance coverage you need when actually starting a gas station.

Business permits

How Do I Start a Gas Station?

Permits and licenses for a gas station differ from state to state. However, gas station business owners are responsible for making sure everything is in compliance. Some standard permits and licenses include:

  • Building and Fire Inspection
  • Tank and pump inspections (Also, each state actively inspects them at random, usually conducted by a state’s Department of Agriculture .)
  • Water discharge permit if required by your state. You don’t need an NPDES Permit.
  • Alcohol , tobacco , and lottery ticket licenses
  • Food and Beverage distributor licenses
  • Certificate of Occupancy
  • Health Inspection

Each state —and sometimes county and/or city— has its own licensing laws and fees. A quick search of your state and/or county with the desired license should direct you to the correct page.

Most importantly, each state requires that you apply for a Motor Fuels Retail Outlet License when starting a gas station. It’s the tax license you need to sell motor fuel in your state. The title may differ a little by state (it’s just called a Motor Fuel License in Massachusetts ), but check on your state’s government website for the proper application.

Here’s Michigan , Virginia , and New Jersey if you live there!

Last, you want to check with a qualified insurance agent about business insurance before you begin gas station operations. A gas station is a business known for having a lot of financial risks like robbery, injury (employee or customer), equipment malfunction and property damage. In any of those unfortunate situations, you want your gas station to be covered to protect your assets.

7.  Marketing

Getting your gas station noticed by customers is essential to growing your business. Even with a prime location, gas stations need lots of marketing and promotions to keep their profit margins high.

Marketing strategy

Get Noticed!

A great way to get your gas station noticed is through signage. You’ve seen the giant gas station billboards all over the country, and there’s a reason for it. Many potential customers just drive to the nearest gas station, so you want them to know that your gas station is near and ready for business.

Here’s a list of the top Outdoor Advertising Companies in the U.S.

  • Clear Channel Outdoor
  • Outfront Media

Offer Promotions

As you know, just because you stop at the gas station, it doesn’t mean you’re going to purchase anything other than gas. But as we learned, your highest profit margin is not on your gas. It’s in the convenience store. To entice potential customers, offer promotions to get them to spend more money. Punardreep suggests,

One of the things we do is offer deals to customers like ‘2 for$4’ on sodas, energy drinks etc… Whatever that is, this always gets people to buy more. It’s an effective strategy, offering multiple promotions all the time.

Online and SEO for Maps

Most people don’t think of having an amazing website when opening a gas station. But the primary goal of having a website isn’t to be visually appealing (though it helps!); the goal is to rank as high as you can on google maps searches.

When someone searches for a gas station on their phone, you want your store to be the one that appears first and most prominently. It may be in your interest to work with a qualified webmaster if you’re not knowledgeable on things like web marketing and SEO.

Finding a webmaster who specializes in Google Maps is easy nowadays through the power of the internet. Use this guide to help with your search. It lays out all of the steps and helps you determine a fair rate.

8.  How Much Does a Gas Station Owner Make?

Man counting profits

Once you develop a business plan, secure the funding, and secure all of your permits, your gas station is ready for action! We already spoke about the profitability of the gas station, but you may wonder how much of that profit is going into your pocket.

Most gas station business owners understand that they’re the last person to be paid after expenses and their salary is contingent on how well the business does. Because of that, there isn’t much data tied directly to the title of gas station owner.

However, Salary.com has statistics on the salary of a gas station manager . The good news is that they make over $100k annually on average from their gas station. You can use that information accordingly with your ideal profit margins to make a rough estimate of your potential earnings.

Whether you intend to buy a gas station or open a gas station through a franchise, opening a gas station is one of the classic entrepreneurial endeavors that has provided many Americans with their path to realizing the American Dream.

On that, we’ll leave you with one last piece of advice on gas stations from Punardreep :

Be open to explore your offerings. Offer new products that other people are not carrying. Ask the customers what they are looking for and get it in the store for them to buy.

Do you have any experience with gas station operations to share?

80% of businesses fail... Learn how not to.

Learn from business failures and successes in 5 min or less. The stories, frameworks, and tactics that will make you a 10x better founder.

business plan for opening a gas station

Related articles

How to Start a Charter Boat Business: The Complete 12-Step Guide

Step 1: Write a Business Plan

Several sticky notes and a laptop on a desk

  • Sizes and types of boats you plan on leasing or buying 
  • Destinations
  • Preferred clientele
  • Services offered (fishing equipment rental shop, parasailing, jet ski rentals, etc.) 
  • Price of services 
  • Where you’re going to be docking your boat
  • If you need to build a dock 
  • How you plan to market your business 

Step 2: Mentorship

A sketch pad, pencils and a laptop on a desk

Step 3: Licensing

  • A current copy of the boat’s registration is required when a vessel is being designated on a license.
  • An angler permit specifying the maximum number of persons who may fish from the charter boat per trip. Only a person who holds a salmon charter license may hold an angler permit.
  • A non-salmon charter license is required if you accept a fee to take a person fishing for shellfish and fish other than salmon or albacore tuna. 
  • A food fish guide license is required if you accept a fee to take a person fishing for salmon, sturgeon, or other food fish species in freshwater rivers and streams. 

Step 4: Target Market

A man holding an iPad with a cup of coffee on his desk

Step 5: Have a Unique Selling Proposition (USP)

  • EMOTIONAL CONNECTION: An excellent USP imprints itself on the minds of your prospects so when they need the kind of service you provide, they’ll automatically think of you. 
  • INCREASED REVENUE: If you communicate a strong USP to customers, you'll invariably boost your revenue.
  • LOYAL CUSTOMERS: When your USP delivers a compelling value proposition, you won’t only get customers to buy something from you today, but you’ll win them over for life. 

How to Create a USP

Entrepreneurs discussing about unique selling proposition for their business

  • Analyze data from social media marketing campaigns
  • Talk directly to your customers
  • Talk to your customer service team

Step 6: Name Your Business

Brainstorming, check for availability, register with state authorities.

A man doing online registration on his iPad

Step 7: Choose a Business Structure

Sole proprietorship, partnership.

Two business men shaking hands for a partnership venture

Step 8: Secure Funding 

  • BOOTSTRAPPING: Bootstrapping refers to scraping together your own financial reserves. This could include accumulated savings, credit cards, and home equity lines. 
  • FRIENDS AND FAMILY: One of the best sources of startup funding is friends and family. If you have a rich uncle who always wanted you to start your own business, now is the perfect time to see if he’ll loan you the money. He’ll probably give it to you with little-to-no interest. 
  • CROWDFUNDING: You can try using the internet to raise small amounts of money from a large number of people. This is known as crowdfunding, and it’s the way many companies get funded these days. Try sites such as AngelList or Crowdfunder . 
  • TAKE OUT A LOAN: You might qualify for a traditional bank loan. An encouraging sign for small business owners is that banks seem to have a renewed interest in helping out small businesses. In addition to your local bank, Bank of America and Wells Fargo are two banks you might want to try.  

Ongoing Expenses

Step 9: docking your fleet.

A charter boat parked on a dock waiting for passengers

Renting a Slip 

Water traffic, step 10: hire your crew.

A board and a cup of coffee on a table

Hiring Fishing Charter Employees 

Step 11: insurance.

  • Damage to your vessel
  • Injury to your guests or employees 
  • Liability coverage

Step 12: Market Your Business

Man on is laptop doing marketing for his business

Marketing Channels 

Best Networking Groups for Small Business Owners

Are you curious about the best networking groups for small business owners?

We looked for all the places a small business owner can network with other entrepreneurs to share knowledge. Whether you’re looking for in-person events or small business communities online, you’ll find a small business group that’s perfect for you as you start or grow your business.

[su_note note_color="#dbeafc"] Check out the links below to jump straight to a professional networking group that looks interesting to you.

American Marketing Association (AMA)

Linkedin groups, network after work, facebook groups, local trade associations, women in business, local development associations, the national association for the self-employed (nase), global entrepreneurship network (gen), minority business development agency (mbda), chamber of commerce, entrepreneurs’ organization (eo), business networking international (bni), young entrepreneur council (yec), social enterprise alliance (sea), 4networking, federation of small businesses, consider volunteering, how to network effectively, how to find the right small business networking group.

  • Go Out and Sharpen Your Networking Skills [/su_note]

Get ready to learn about the best business networking groups.

We’re creating a business networking and mentorship group to bring together successful business owners, consultants, and prospective business owners to help everyone succeed.

Given we’ve interviewed hundreds of successful business owners and have over a million people who look to us for business insights, we think you’ll love our online networking group. Make sure you’re signed up for updates.

The American Marketing Association’s membership page on a laptop

Let’s be real here: Every business owner needs to be educated on marketing for business success. One of the best small business networking organizations for marketing is the American Marketing Association .

Network with professional marketers, learn from online and in-person meetups, and get certified on the most updated marketing strategies.

A tablet with LinkedIn loading on it surrounded by wooden businessmen figures, 3D letters that read "in," and the LinkedIn app icon

LinkedIn is a great place to network online, interact with other professionals, and learn skills in your industry. You can join community groups for free or you can subscribe to LinkedIn Premium to get advanced insights and online courses.

The Network After Work community offers four levels of networking opportunities:

  • Basic: Virtual networking events and three 1-to-1 meetings per month for free.
  • Connection Builder: For $9 per month or $49 annually, you’ll get in-person networking events, 1:1 community messaging, and masterclasses on marketing and business growth.
  • Community Builder: The $29 monthly plan includes curated peer groups and member profiles to help small business owners network and improve their business strategies.
  • Lead Finder: Small business owners can use the $99 monthly plan to help find leads. It includes everything in the lower-level plans and provides contact information to turn professional networking into lead generation.

Meetup on a tablet

Meetup is a platform where people can create local meetups and join groups of like-minded people. The networking opportunities are mostly in your physical location (or somewhere you’re visiting). It’s free for both personal and small business networking groups, too (unless you wish to host your own events, in which case, you will need to invest in a paid membership).

Eventbrite is best known in the event management industry because it helps concert promoters and other event planners manage their ticket sales. Like Meetup, it also has a directory of business events you can check out.

Business leaders can network with customers, other business professionals, and vendors in local and industry-specific Facebook online networks. Remember your messaging will need to be slightly different for each group.

There are thousands of local trade associations you can join to improve your business network, improve your knowledge of your field, and meet possible mentors. Check out this directory of associations for some ideas of where you can meet like-minded individuals.

A smartly dressed woman holding a binder and gesturing to a screenshot of Women in Business’s membership page

Women in Business is a networking group that supports women by offering masterclasses, features about your business, mentoring groups, and other materials. Lifetime membership is $397, or you can pay $47 per month.

The Small Business Administration provides leadership development through local chapters. Many small business owners find the Small Business Development Centers a valuable resource for learning more about:

  • Business planning
  • Capital investments
  • Financial management
  • Human resources
  • New technology

Chief is a women’s-only organization of executives and founders of small businesses. Entry requirements vary depending on the size of your organization, your position, and business revenue. Those with fewer than 30 employees need:

  • $2 million in annual revenue
  • Prior experience at larger-sized companies
  • Reporting levels under CEO in previous roles

Chief provides mentor relationships and professional development on inclusionary practices, media interactions, and technology disruption. There are also other networking groups inside the group. Learn more about Chief membership .

A screenshot of the National Association for the Self-Employed’s membership benefit webpage

The National Association for the Self-Employed is for self-employed people and offers monthly grants, discounts, business profiles, expert advice on a range of subjects, and even life insurance. They have a variety of plans ranging from $25 annually for students to $540 a year for the most life insurance and other benefits.

This international organization helps people who are building businesses understand the entrepreneurial process, including ways to get different types of funding. You also get a member profile and can compete in global awards competitions for business. Check out GEN .

The MBDA helps minorities, women, and formerly incarcerated individuals grow as entrepreneurs by providing access to information, grants, and events. This is a government agency; as such, you may require some assistance to best navigate the resources it offers for entrepreneurs.

The Chamber of Commerce Directory page on a desktop computer

The U.S. Chamber of Commerce is the largest business networking group in the States. The organization has thousands of local Chamber of Commerce groups across the country to help you meet other business owners and develop your business.

You’ll benefit from in-person and online networking groups hosted by SCORE , plus you can use the platform to find a mentor and even volunteer opportunities. Check out their site to learn more.

Entrepreneurs’ Organization has 18,000 members across 220 local chapters in 78 countries. They offer local and regional events, education, and mentorship. You’ll have to apply and get approved to join the network.

A woman perusing BNI’s website on a laptop

There are over 318,000 people in more than 11,000 local BNI chapters . Members create economic activity equal to $22 billion each year. One of the most notable things about these business networking groups is that they are referral-based, meaning the small business owners who suggest new members are already part of the organization.

Small business owners under the age of 45 who make over $1 million in revenue, have received more than $1 million in funding, or have sold a business for more than $2 million in the last three years should apply for the Young Entrepreneur Council . You’ll be able to network with other young business professionals who are at the top of their game.

If you’re trying to make the world a better place, joining this vetted community shows your business is committed to placing the good of the world over your business profits. There are three membership levels with fees that range from $150 to $275 per year. All the plans get you included in the member database so you can network with other members. Learn more about SEA .

Vistage is a mentorship group that is over 65 years old and claims more than 45,000 members and an average of 4.6% increased revenue during 2020. There are applications for guest speakers, chairpeople, sponsors, and licensees as well.

If you’re looking to build business networks in the United Kingdom, check out 4N . They have online and local networking groups, plus a free online directory you can use to help your business grow.

A business woman holding up FSB’s business banking app on a smart phone

The Federation of Small Businesses is another UK small business group. There are more than 500,000 members and rates range from £ 97.5 to £ 1,195 depending on the size of your organization. It gives access to:

  • Business banking
  • Business insurance quotes
  • Debt recovery service
  • Free networking and events
  • Legal, tax, and employment advice
  • Legal templates
  • Payroll and pensions
  • Tax investigation protection
  • Training courses

Organizations like the Rotary Club (focused on doing good in the local community and internationally) and the Kiwanis Club (an international nonprofit organization that helps kids) offer great opportunities for business owners. Contribute to the cause financially or volunteer with a local chapter.

While volunteer events aren’t technically local business networking groups, as a small business owner, they can provide a great opportunity to build your professional network and meet potential clients. Doing good in the community never hurt a small business!

Networking is an essential part of business success. It can help you build relationships, generate leads, and learn from others. Here are a few tips to help you network effectively:

  • Set goals for your networking activities. What do you hope to achieve by networking? Do you want to generate leads, find a job, or learn about a new industry? Having specific goals in mind will help you focus your efforts and make the most of your time.
  • Identify your target audience. Who do you want to network with? Potential customers, clients, or referral partners? Once you know your target audience, you can tailor your networking activities accordingly.
  • Choose the right networking events. There are many different types of networking events, so it's important to choose the ones that are right for you. Consider the goals of the event, the target audience, and the cost.
  • Be prepared. Before you attend a networking event, take some time to prepare. This includes researching the other attendees, practicing your elevator pitch, and bringing plenty of business cards.
  • Be yourself. When you're networking, it's important to be yourself. People can spot a fake from a mile away, so don't try to be someone you're not. Just be genuine and let your personality shine through.
  • Listen actively. When you're talking to someone, really listen to what they have to say. Ask questions and show that you're interested in their perspective and experience. This will help you build rapport and make a lasting impression.
  • Follow up after the event. After you attend a networking event, follow up with the people you met. Send them a thank-you note or connect with them on LinkedIn. This will help you stay in touch and build relationships.

Networking can be a great way to grow your business and achieve your goals. By following these tips, you can network effectively and make the most of your time.

Pro Tip: Want to take your business to the next level? In addition to participating in networking events, you might want to commit to a mastermind group, too. New to the idea? Learn what you need to know in our blog on Best Mastermind Groups & Mastermind Pro Tips .

A young man in a suit and dark rimmed glasses using a tablet to search for best networking groups

Once you’ve performed the steps from the previous section, there are a variety of terms you can search to find the best networking groups in your area. Try some of these search terms:

  • Business networking groups near me
  • Business networking near me
  • Business clubs near me
  • Business network near me
  • Marketing groups near me
  • Entrepreneur groups near me
  • Small business networking events near me
  • Networking events near me
  • Free networking events near me
  • Networking events today near me
  • Professional networking events near me
  • Networking opportunities near me
  • Networking meetings near me
  • Small business groups near me
  • Local networking events near me

Go Out and Sharpen Your Networking Skills

We’ve provided you with a list of business network groups where you can interact with hundreds of thousands of people. It won’t always come easy building your small business network, but if you follow our networking tips and keep building relationships, you’ll get there.

What networking events for entrepreneurs have you gone to? Did you like them?

How to Start a Woodworking Business (and Make $15K/Month)

  • You are your own boss when opening a woodworking business
  • Starting a woodworking business provides an amazing revenue stream
  • Opening a woodworking business connects you with your community and other business owners.

Step 1: Develop your woodworking skills

Step 2: ideas for starting a woodworking business.

Employees creating great ideas for business

  • Custom Furniture Business - Building furniture that is more ornate in design
  • Cabinetry Business - Building storage spaces for a home
  • Craft Business - building artistic trinkets, jewelry, and other items out of wood
  • Carpentry Business - Building frames of house, windows, and doors according to local code.
  • Business Focused on Finishing Work - Working on floorboards, baseboards, and other decorative parts of houses.
  • A Woodworking Incubator - IsGood is basically a woodworking incubator. It provides tools and wood for other creators who need a space to start a woodworking business. If your area doesn't already have a woodworking incubator, this may be a perfect opportunity for small business owners.
  • Check out Medium's Woodworking Blogs for other ideas about opening a woodworking small business.

Who are the major players in woodworking?

  • Ashley Furniture Industries Inc. - $6.32B Furniture
  • Steelcase Inc - $3.724B Furniture and Interior Architecture Products
  • Andersen Corp - $2.5B Millwork, Windows, and Doors
  • Herman Miller - $2.486B Commerical and Residential Furniture and Storage Systems.
  • Jeld-Wen Inc - $2.475B Wood Windows and Doors, Millwork, Exterior, and Interior Doors
  • Top 15: $1B
  • Top 25: $400m
  • Top 100: $75m
  • Top 300: $10m

What is the industry outlook?

Step 3: identify the ideal target market.

A man holding an iPad with a cup of coffee on his desk

Step 4: Create a Woodworking Business Plan

  • One-page business plan  template
  • Template for a plan generator  by state
  • Our Blog: How to Write A Business Plan (Plus Examples and Templates)

Identify Potential Challenges You’ll Face as a Business Owner

Step 5: figure out your funding sources and budget (i.e., fund your woodworking business).

A lady drawing on a white notebook

  • Costs associated with business licensing
  • Costs of any tools and equipment you need
  • Costs of liability insurance to protect your business if something goes wrong.
  • Employee costs
  • Costs of daily operations
  • Paying yourself

Budgeting resources:

  • A complete guide to creating your  business budget  and managing expenses
  • A breakdown of the  necessary costs  for a woodworking business
  • Personal funds/personal assets - Most common way business owners start a business.
  • A loan from family or friends - If your family can afford to help and believes in the business plan, they may be willing to.
  • Funds from a business partner - A business partner can help with the funding but will get a percentage of the earnings. In addition, multiple business owners may complicate decision-making.
  • Government programs - There are often government grants for minorities, women, and economically disadvantaged areas. Check the SBA site to see if you qualify.
  • Crowdfunding - Pitching your idea and getting retail investors to fund your company.
  • Credit cards - Be careful because of high-interest rates, but if you can pay the balance each month, this may be a great way of funding.
  • Home equity loan - Taking equity from your home is another option to fund a business especially if current interest rates are lower than your current interest rate.
  • Business loan - check out our partners
  • Rollover for business startups (ROBS)

Step 6: Pick a Woodworking Business Name

An orange and a black business card

  • Does the Name explain the products a woodworking business makes?
  • Does the name hint at the business location?
  • Does the name make the business easy to remember?
  • Is the business name easy to spell?

Keep it Simple

Stay true to yourself, register a domain, step 7: create a legal structure for a woodworking business, develop a legal structure, sole proprietorship, limited liability company.

LLC blocks and a laptop on a desk

Corporation

Obtain business licenses, permits, tax forms, and insurance, sales tax permit, unemployment insurance.

  • General Liability Insurance

Business Insurance/ Liability Insurance

  • Business General Liability Insurance - For when costly damage occurs to a person or their property.
  • Professional Liability Insurance - If you do the structural analysis for a home and then the structure collapses you might need this type of business insurance.
  • Cybersecurity insurance - if your woodworking business handles sensitive data like credit cards, social security numbers, and other information hackers might want you might want this type of business insurance.

Step 8: How to Start a Woodworking Business

  • Find a Location
  • Purchasing tools and equipment
  • Materials costs
  • Implementing the business systems
  • Following safety and ethical business practices
  • Establishing a pricing structure

Find a Location for your Woodworking Business

Acquire tools and materials for woodworkers, orbital sander, circular saw, dust collector.

Chisels and mullets with a wooden handle on a table

Measuring Tape

Thickness planer, material costs.

  • The cost of wood
  • The cost of dowels
  • The cost of wood glue
  • The cost of screws and nails
  • Cost of stain/paint and other types of wood coloring
  • Cost of sealants
  • Other wood materials and accessories

Hire Woodworkers and Other Employees

Pay the employees of your woodworking business., get an ein for your workshop, maintain tax filing requirements for your woodworking business.

An iPad, calculator, and notebook on a desk

Follow Federal Employment and Labor Laws

Other requirements.

  • The  Federal Unemployment Tax Act  (FUTA) requires any business with employees to pay a payroll tax.
  • Employment Eligibility Verification (Form I-9) allows business owners to verify the identity and employment clearance of every person they hire.
  • Meeting Occupational Health and Safety Administration ( OSHA ) standards enforce workplace safety and are necessary for any business (and highly relevant in an industry as physical as woodworking).
  • Worker’s Compensation Insurance is a must in woodworking, as it helps businesses avoid the cost of an employee’s medical bills and lost wages following a workplace injury.

Implementing the Business Systems for A Woodworking Business

Sell your products (typically a website), manage customers information, accept payments, keep track of inventory.

  • Manage human resources.

Marketing Systems

Ecommerce: sell products online, websites to maintain a web presence.

  • Through website
  • Through a Point-of-Sale System (POS)
  • Through a mobile card reader
  • Purchased materials
  • Scrap that will go to waste (Unless you are running a business like John that lets other craftsmen use the scraps in exchange for their membership dues).
  • Finished products.
  • Hand counting
  • Using scales to detect changes in weight
  • Connection to POS so that every time a sale is made changes are counted.

Manage human resources

Man on is laptop doing marketing for his business

  • Google My Business - Shows a listing on Google Search and Google Maps for your business
  • Google Analytics - Data analytics that you can connect to all your web assets. ( Make sure to exclude your network IPs from the tracking)
  • Facebook Pixel - Facebook's data tracking. If you are good with development, you can include a separate pixel for each product or service your woodworking business offers to have more detailed analytics.
  • Open Broadcaster Software - Great software for creating videos, podcasts, and live streams.
  • Social Media - Facebook, LinkedIn, YouTube, Instagram, Tiktok, Pinterest

Follow Safety and Ethical Guidelines for Woodworking Businesses

  • Severed fingers
  • Skin and respiratory diseases (from wood dust and chemical exposure for finishing)
  • The development and implementation of written safety and emergency response procedures
  • Providing thorough worker orientation, training, and supervision
  • Executing a process for identifying, evaluating, and controlling any workplace safety hazards
  • Regularly inspect your workplace, all equipment, and work procedures to help identify any potential hazards
  • Investigating accidents (or close calls) to pinpoint causes and prevent recurrences
  • Holding regular health and safety meetings for your workers
  • Keeping useful records related to workplace health and safety (training processes, safety discussions and inspections, and incident investigations)
  • Determining the extent of on-hand first aid required for your shop

Establish a Pricing Structure

Competitors, cost and labor, step 9: have a solid brand and marketing strategy.

An I-Pad with a white and a white illustration board on a desk

  • Create a social media following (Facebook, Twitter, LinkedIn, maybe even Instagram). Start a woodworking blog and invite those in your network to read it. Advertise it to your target audience.
  • Design a showroom in your shop, even if your shop is your own home. Build some of your key pieces and display them in a way that showcases their utility to customers.
  • Send direct mail with shop information to new homeowners in your area. Invest in creating a booklet with samples of your best work to send out.
  • Rent space at trade shows, and make sure to choose those that your target audience is most likely to attend (e.g. home remodeling shows).
  • Brand Identity – Develop a strong brand identity by defining your brand, establishing clear company values to humanize your business, and differentiating yourself from other woodworking shops.
  • Brand Strategy – Perform a  SWOT analysis  of your business to better understand yourself and identify industry threats, produce a clear narrative (where your business is at now versus where it’s headed), and construct a strong visual brand.
  • Brand Loyalty – Be transparent with your customers; provide authentic customer service, listen to and engage with them regularly (on social media and in-person), and always deliver high-quality products.

Step 10: Make Your Business Stand Out

Find a niche, help others, what’s next.

A man typing on his iPad at his desk

  • Do I have the required skills to start a woodworking business?
  • Do I understand the basics of this process?
  • Do I know how to create a business plan?
  • Will I be able to acquire funding to make a profit/make this business lucrative?
  • What are the costs?
  • Where will my business be located?
  • Will I be able to acquire the tools and materials needed?
  • Will I be comfortable communicating with clients?
  • Can I afford to hire employees when necessary?
  • Why am I starting a woodworking business?
  • Do I need any additional help or advice?
  • How can I develop a working brand and marketing strategy?
  • What exactly must I do to be successful?
  • Buy a business through our Businesses for Sale
  • Learn about starting a food truck
  • Consider starting a screen printing shop .

business plan for opening a gas station

I've been primarily doing gas station loans for 20+ years. You cite an example of a gas station / convenience store owner named Punardreep and he says "We make anywhere from 30-40 % margin on average."... he can't be referring to outside or fuel sales, only inside sales. Hot food sales has the highest margin, which should be in excess of 40%, if not closer to 50%. Other than that, excellent article.

business plan for opening a gas station

I am interested in having a gas station one day

business plan for opening a gas station

Onela, Start saving money, networking, and building a great credit score. You can do it!

business plan for opening a gas station

I've appreciated, how you breakdown the steps to operate a gas station business. I'm top viewers of your youtube channel. Thanks a lot !

Become a business owner in less than 90 days

Start your 10-day free trial of the UpFlip Academy and learn how to start your own business from scratch.

Get business advice straight to your   Inbox 

business plan for opening a gas station

SharpSheets

500+ business plans and financial models

Gas Station Business Plan PDF Example

Avatar photo

  • March 5, 2024
  • Business Plan

the business plan template for a gas station

Creating a comprehensive business plan is crucial for launching and running a successful gas station. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your gas station’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a gas station business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the retail industry, this guide, complete with a business plan example, lays the groundwork for turning your gas station concept into reality. Let’s dive in!

Our gas station business plan is meticulously designed to cover all critical aspects necessary for a comprehensive operational strategy. It outlines the gas station’s operational framework, marketing strategies , industry landscape, competitive analysis , organizational management, and financial projections.

  • Executive Summary : Provides a concise overview of the gas station’s business model, market evaluation, leadership structure, and financial strategy.
  • Facility & Location: Describes the gas station’s strategic positioning, layout, and accessibility to potential customers, emphasizing convenience and high-traffic location advantages.
  • Operations & Prices: Lists the services offered by the gas station, including fuel types, pricing strategy , and additional amenities such as a convenience store.
  • Key Stats: Provides important statistics on the size and growth of the gas station industry, underscoring the business’s potential within the market.
  • Key Trends: Highlights significant trends influencing the gas station sector, such as the rise in electric vehicle charging stations and the focus on convenience and retail offerings.
  • Key Competitors: Examines primary competitors in the vicinity, outlining how the gas station differentiates itself from them.
  • SWOT: A thorough Strengths, Weaknesses, Opportunities, and Threats analysis, offering strategic insights for business growth.
  • Marketing Plan : Outlines marketing strategies aimed at building brand visibility, attracting customers, and enhancing customer loyalty.
  • Timeline : Sets forth key milestones and objectives, charting the path from the initial setup through the first year of operation.
  • Management: Details the team leading the gas station, highlighting their roles, expertise.
  • Financial Plan: Projects the gas station’s financial performance over the next five years, including revenue streams, profit margins, and anticipated expenses.

the business plan template for a gas station

Gas Station Business Plan

business plan for opening a gas station

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your gas station’s business plan, providing a concise overview of your station and its offerings. It should detail your market positioning, the range of fuel options, convenience store products, and any additional services such as car washes or auto maintenance that you offer, along with its location, size, and a summary of daily operations.

This section should also delve into how your gas station will fit into the local market, including an analysis of the number of direct competitors within the area, identifying who they are, along with your station’s unique selling points that set it apart from these competitors.

Furthermore, you should include information about the management and co-founding team, outlining their roles and contributions to the station’s success.

Additionally, a summary of your financial projections, including revenue and profits over the next five years, should be presented here to offer a clear view of your gas station’s financial strategy.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Gas Station Business Plan executive summary

Dive deeper into Executive Summary

Business Overview

For a Gas Station, the Business Overview section can be effectively organized into 2 main slides:

Facility & Location

Briefly describe the gas station’s physical setup, focusing on its functionality, ease of access, and the overall environment that caters to customers’ needs.

Mention the station’s location, emphasizing its accessibility and the convenience it offers to customers, such as proximity to major roads or highways and ample parking space. Explain why this location is beneficial in attracting your target customer base, such as travelers, local commuters, or commercial vehicles.

Operations & Prices

Detail the range of services and products offered, from various fuel types (like regular, mid-grade, premium gasoline, and diesel) to convenience store items and additional services (such as car washes, air pumps, and auto maintenance).

Outline your pricing strategy for fuel and in-store products, ensuring it is competitive and reflects the quality and convenience of your offerings. Highlight any special promotions, loyalty programs, or discount schemes that provide added value to your customers, encouraging repeat visits and customer loyalty.

Make sure to cover here _ Facility & Location _ Operations & Prices

Gas Station Business Plan PDF Example facility and location

Market Overview

Industry size & growth.

In the Market Overview of your gas station business plan, begin by evaluating the size of the fuel retail industry and its growth prospects. This analysis is essential for grasminating the market’s magnitude and spotting opportunities for expansion.

Key Market Trends

Continue by addressing recent market trends , such as the growing consumer preference for convenience services, the shift towards alternative fuels and electric vehicle (EV) charging stations, and the integration of advanced technologies for payment and service. For instance, spotlight the demand for multi-service stations that offer not just fuel, but also convenience store products, car washes, and EV charging points, in line with the increasing focus on sustainability and convenience.

Key Competitors

Next, assess the competitive landscape, which spans from large chain gas stations to independent operators, as well as emerging trends in alternative fuel services and online fuel delivery. Highlight what sets your gas station apart, be it through superior customer service, diverse service offerings, or innovation in sustainable fuel options.

Make sure to cover here _ Industry size & growth _ Key competitors _ Key market trends

Gas Station Business Plan market overview

Dive deeper into Key competitors

First, conduct a SWOT analysis for the gas station , identifying Strengths (such as strategic location and diverse service offerings), Weaknesses (like high operational costs or stiff competition), Opportunities (for instance, the expanding market for alternative fuels and EV charging), and Threats (such as fluctuations in fuel prices or economic downturns that may reduce consumer travel).

Marketing Plan

Next, formulate a marketing plan that delineates strategies to attract and retain customers through targeted advertising, promotional offers, a compelling social media presence, and community engagement activities.

Finally, establish a detailed timeline that pinpoints crucial milestones for the gas station’s launch, marketing initiatives, customer base expansion, and growth goals, ensuring the business progresses with definitive objectives and direction.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Gas Station Business Plan strategy

Dive deeper into SWOT

Dive deeper into Marketing Plan

The Management section focuses on the gas station’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the gas station towards its financial and operational goals.

For your gas station business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Gas Station Business Plan management

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your gas station’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs and capital expenditures.

For your gas station business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

Gas Station Business Plan financial plan

Privacy Overview

A Touch of Business

How to Start a Gas Station Using This Guide

Main Sections In This Post Steps To Starting A Gas Station Points to Consider Knowledge Is Power Featured Video

This comprehensive guide offers a step-by-step roadmap for starting and managing a successful gas station business.

It includes valuable examples, templates, and access to up-to-date resources.

Bookmark this resource for ongoing reference during your gas station venture, and consider sharing it with others in your network.

business plan for opening a gas station

It’s a valuable tool for both startup and established businesses in the industry.

Let’s get started with the steps.

The Steps to Take To Start Your Gas Station

Below are the steps to starting a gas station.

Each step is linked to a specific section, allowing you to jump to your desired section or scroll to follow the steps in order.

  • An Overview of What You’re Getting Into
  • Gas Station Overview
  • Researching Your Gas Station
  • Looking at Financials
  • Creating Your Mission Statement
  • Creating A Unique Selling Proposition (USP)
  • Choose a Gas Station Name
  • Register Your Company
  • Create Your Corporate Identity
  • Writing a Business Plan
  • Banking Considerations
  • Getting the Funds for Your Operation
  • Software Setup
  • Business Insurance Considerations
  • Supplier and Service Provider Considerations
  • Setting Your Prices
  • Physical Setup
  • Creating a Website
  • Create an External Support Team
  • Hiring Employees
  • Getting Customers Through the Door

1. An Overview of What You’re Getting Into

Passion is undeniably a driving force in business. It fuels your determination, commitment, and resilience when facing challenges.

When you’re passionate about your gas station business, it becomes more than just a way to make money; it becomes a fulfilling pursuit.

Passion influences your decision-making process. Instead of seeing problems as insurmountable obstacles, passionate business owners view them as opportunities for growth and improvement.

They are more likely to seek innovative solutions and persevere through tough times.

Furthermore, passion can be contagious. When customers and employees sense your enthusiasm for your gas station, it can positively impact their experiences.

Satisfied customers are more likely to return, and motivated employees can contribute to a more productive and pleasant work environment.

However, it’s essential to align your passion with a realistic business plan. While passion is a potent motivator, it must be complemented by strategic thinking, financial management, and a well-defined business model.

Starting and running a gas station involves various operational, financial, and regulatory aspects that require careful consideration.

In conclusion, passion is a vital component of business success . It drives your dedication and creativity, but it should be combined with practical planning and a thorough understanding of the gas station industry.

Passion alone is not a guarantee of success, but when harnessed effectively, it can significantly contribute to achieving your business goals.

For More, See How Passion Affects Your Business . Also, see Considerations Before You Start Your Business to identify key points for a new business owner.

2. Gaining an Overview of Owning a Gas Station

Next, let’s spend some time on key issues to give you an overview of what to expect from owning and running your business.

a.) A Quick Overview of Owning a Gas Station

A gas station, also known as a petrol station or fueling station, is a retail facility that primarily sells motor fuels such as gasoline, diesel, and alternative fuels like compressed natural gas (CNG) or electricity to vehicles.

These establishments also often offer convenience store items, automotive services, and amenities like car washes and restrooms.

Gas stations play a crucial role in ensuring vehicles have access to fuel, making them a fundamental part of the transportation infrastructure.

Running and managing a gas station involves a range of day-to-day tasks and responsibilities to ensure the smooth operation of the business. Some key tasks include:

  • Fuel Dispensing: The primary function of a gas station is to dispense fuel to customers. Staff must monitor fuel levels in underground storage tanks, operate fuel pumps, and assist customers with fueling if it’s a full-service station.
  • Inventory Management: Gas station owners need to maintain an adequate inventory of fuels and other products like motor oils, windshield washer fluid, and convenience store items. Regularly restocking and managing inventory levels is crucial to meet customer demand.
  • Customer Service: Gas station attendants are often the first point of contact for customers. Providing excellent customer service, answering questions, and addressing concerns are essential to ensure customer satisfaction.
  • Safety and Compliance: Gas stations must adhere to strict safety and environmental regulations. Staff must regularly inspect equipment, monitor for fuel leaks, and follow safety protocols to prevent accidents and environmental hazards.
  • Payment Processing: Gas station employees handle payments from customers, whether through cash, credit/debit cards, or mobile payment apps. Accuracy in handling transactions is vital.
  • Store Operations: For gas stations with convenience stores, managing the store is a significant part of daily operations. This includes restocking shelves, pricing items, and ensuring a clean and organized environment.
  • Maintenance: Routine maintenance tasks, such as cleaning fuel pumps, restrooms, and the store area, are essential to provide a safe and pleasant experience for customers.
  • Record Keeping: Keeping accurate records of fuel sales, inventory, expenses, and revenue is essential for financial management and compliance with tax regulations.
  • Security: Gas stations need security measures like surveillance cameras, alarms, and well-lit areas to deter theft and ensure the safety of customers and employees.
  • Marketing and Promotion: Gas station owners may engage in marketing initiatives to attract customers, such as offering loyalty programs , promotions, or partnerships with local businesses.
  • Compliance and Licensing: Ensuring that the gas station operates with the necessary permits, licenses, and meets all legal requirements is crucial to avoid legal issues.

Running a gas station requires careful coordination of these tasks to ensure efficient operations and meet customer demands while complying with regulatory standards.

Successful gas station owners prioritize safety, customer service, and effective management to thrive in this competitive industry.

b.) Gas Station Models

Gas stations come in various setups and business models to cater to diverse customer needs. Here are some common types:

  • Traditional Gas Station: This is the standard model where the primary focus is on selling fuel. It may have a convenience store offering snacks, drinks, and basic amenities, but fuel sales remain the core revenue source.
  • Convenience Store Gas Station: In this setup, the gas station features a well-stocked convenience store as its primary attraction. Fuel sales complement the store’s offerings, and the store generates higher profit margins.
  • Full-Service Gas Station: These stations offer services beyond fueling. Attendants pump gas, clean windshields, and may even provide minor vehicle services. Full-service stations often charge slightly higher fuel prices to cover additional labor costs.
  • Truck Stop: Designed to cater to long-haul truck drivers, truck stops offer amenities like showers, laundry facilities, rest areas, and extensive parking for big rigs. They may also provide restaurants and services specifically tailored to truckers.
  • Hybrid or Alternative Fuel Station: These stations focus on providing alternative fuels such as electric vehicle charging , hydrogen, or compressed natural gas (CNG) in addition to traditional gasoline and diesel. They target eco-conscious customers and support sustainable transportation.
  • Highway Service Plaza: Typically located along major highways, these plazas include a cluster of services, including gas stations, restaurants, restrooms, and convenience stores. They aim to serve travelers during long journeys.
  • Travel Center: Larger than traditional gas stations, travel centers offer a broad range of services, including multiple dining options, gift shops, trucker amenities, and ample parking. They target both travelers and local customers.
  • Urban Gas Station: Found in densely populated areas, these stations may have limited space for pumps but focus on convenience. They cater to commuters, residents, and nearby businesses.
  • Ethnic or Specialty Gas Station: These stations target specific ethnic communities or niche markets by offering specialized products, ethnic foods, or cultural goods in their convenience stores.
  • Unmanned or Automated Gas Station: These stations operate with minimal staff, relying on self-service pumps and automated payment systems. They are cost-effective but may offer limited services.

Choosing the right business model from the beginning is crucial, as switching your model later is more challenging.

Banner Free Report No 2.

Identify a profitable and high-demand niche for your gas station based on location, customer preferences, and market trends.

Conduct thorough market research and consider local demographics to tailor your gas station’s offerings to meet the specific needs of your target audience.

By aligning your business model with market demand, you can increase your chances of success in the competitive gas station industry.

c.) Making Your Gas Station Stand Out

  • Clean and Inviting Atmosphere: Maintain a spotless and well-lit station with clean restrooms. A welcoming environment encourages customers to stop.
  • Unique Architecture: Consider distinctive architectural elements or design themes that set your station apart visually.
  • Branding: Develop a strong brand identity with a memorable logo and color scheme. Consistent branding creates recognition.
  • Exceptional Customer Service: Train staff to provide excellent service, including pumping gas, windshield cleaning, and assisting with car troubles.
  • High-Quality Fuel: Ensure top-grade fuel quality, emphasizing additives and detergents for engine care.
  • Fuel Discounts: Offer loyalty programs or discounts for frequent customers to keep them returning.
  • Convenience Store Variety: Stock a wide range of products, including snacks, beverages, and convenience items. Offer fresh and healthy options.
  • Local Products: Feature locally sourced products, promoting community ties and supporting local businesses.
  • Digital Signage: Utilize digital displays for promotions, advertising, and real-time fuel prices.
  • Car Wash Services: Provide car wash facilities or partner with nearby car wash businesses for added convenience.
  • Mobile App: Develop a mobile app for easy payment, loyalty rewards, and location-based promotions.
  • Alternative Fuels: Offer alternative fuel options, such as electric vehicle charging stations or E85 ethanol.
  • Clean Energy: Invest in renewable energy sources like solar panels to reduce environmental impact.
  • Community Engagement: Host events or sponsor local initiatives to foster community involvement.
  • Promotions and Rewards: Run promotions like “Fuel-Up Fridays” or loyalty programs with fuel discounts.
  • Outdoor Seating: Create a comfortable outdoor seating area for customers to relax.
  • Safety Measures: Implement robust security and safety measures to ensure customer well-being.

d.) Add-ons for a Gas Station

  • Car Maintenance Services: Offer oil changes, tire rotations, and basic vehicle maintenance in partnership with local mechanics.
  • Food Services: Add a café or deli serving fresh coffee, sandwiches, and hot meals for busy travelers.
  • Propane Refill: Provide propane tank refilling services for RVs, grills, and campers.
  • Package Lockers: Install package lockers for convenient package pickup and drop-off for online shoppers.
  • ATM and Banking Services: Partner with banks to offer ATMs and basic banking services.
  • Electric Vehicle Charging: Install electric vehicle charging stations to cater to eco-conscious customers.
  • RV and Truck Services: Offer services like RV dumping, truck parking, and large vehicle maintenance.
  • Beer and Wine Sales: Secure the necessary permits to sell alcohol, including craft beer and wine.
  • Proximity to Amenities: Locate your station near hotels, restaurants, and popular attractions for added convenience.
  • Car Rentals: Collaborate with car rental agencies to provide vehicle rental services.
  • RV Dump Stations: Accommodate RV travelers with dump stations for waste disposal.
  • Truck Stop Amenities: Cater to truck drivers with designated trucker lounges, showers, and laundry facilities.
  • Pet Services: Offer a pet-friendly environment with designated pet areas and pet supplies.
  • Health Services: Install automated health check kiosks or partner with local healthcare providers for health services.
  • Tire Inflation Stations: Provide free tire inflation stations with pressure gauges for customer use.
  • Wi-Fi and Charging Stations: Offer free Wi-Fi and charging stations for electronic devices.
  • Small Grocery Store: Convert part of your convenience store into a mini-grocery store with fresh produce and groceries.
  • Outdoor Activities: Provide outdoor picnic areas, play structures for children, and walking paths.
  • Local Art Displays: Showcase local artwork, enhancing the station’s aesthetics and supporting local artists.
  • Live Entertainment: Host live music or entertainment events to draw in customers and create a vibrant atmosphere.

Remember that the success of add-ons depends on your location, target audience, and market demand.

Conduct thorough market research and consider customer feedback to determine which add-ons will best serve your gas station’s clientele.

e.) Pros and Cons of Owning a Gas Station

When starting a business, it’s crucial to acknowledge both the advantages and disadvantages.

While the benefits are appealing, being aware of potential challenges ensures better preparation and fewer surprises along the entrepreneurial journey.

For more, see Pros and Cons of Starting a Small Business.

f.) Challenges You Could Face When Starting and Operating a Gas Station

Challenges When Starting a Gas Station:

Starting a gas station comes with a unique set of challenges that aspiring entrepreneurs should be aware of:

  • High Initial Costs: One of the most significant hurdles is the substantial initial investment required for land acquisition, construction, equipment, permits, and fuel inventory. Securing financing can be challenging.
  • Location Selection: Finding the right location with adequate traffic flow, visibility, and accessibility is critical. Competition analysis and zoning regulations must be considered.
  • Environmental Regulations: Gas stations are subject to strict environmental regulations regarding underground fuel storage, leak detection, and cleanup. Compliance can be costly and time-consuming.
  • Fuel Supply: Establishing reliable fuel supply agreements with suppliers can be challenging, especially for new operators without established relationships.
  • Permitting and Licensing: Navigating the complex web of permits and licenses, including environmental, health, and safety permits, requires time and attention to detail.
  • Market Competition: Entering a market with established competitors can be tough. Differentiating your station and attracting customers is a constant challenge.

Challenges When in Full Operation:

Once your gas station is up and running, a new set of challenges emerges:

  • Customer Retention: Ensuring that customers return and become loyal patrons is an ongoing challenge. This requires exceptional customer service and competitive pricing.
  • Staff Management: Hiring and retaining qualified staff, including attendants, cashiers, and maintenance personnel, can be challenging in a competitive labor market.
  • Inventory Management: Monitoring fuel inventory levels to prevent running out of gas while minimizing overstock requires precise inventory management.
  • Fuel Price Volatility: Fluctuating fuel prices can impact profit margins. Managing pricing strategies to remain competitive and profitable is essential.
  • Maintenance and Repairs: Keeping fuel dispensers, underground storage tanks, and other equipment in optimal condition is crucial. Repairs and maintenance can be costly.
  • Security Concerns: Gas stations are vulnerable to theft, vandalism, and safety issues. Implementing security measures is essential to protect both customers and the business.
  • Regulatory Compliance: Ongoing compliance with environmental, health, and safety regulations is critical. Violations can result in fines or closure.
  • Technology Integration: Adopting and managing technology, such as point-of-sale systems, inventory tracking, and payment processing, is essential for efficient operations.
  • Marketing and Promotion: Constantly promoting your gas station and convenience store to attract new customers and maintain visibility is a continual effort.
  • Economic Factors: Economic downturns, fuel price spikes, and shifts in consumer behavior can affect business performance .
  • Competition Adaptation: Adapting to changing market conditions and competitive pressures is vital for long-term success.

While starting and running a gas station can be rewarding, it requires a deep understanding of the industry, planning, and a proactive approach to address the numerous challenges that arise at each stage of the business.

g.) Questions You Need to Consider for Your Gas Station

Before starting your gas station, it’s crucial to address several fundamental questions to ensure you’re adequately prepared for the challenges and opportunities ahead:

  • Gas Station Model: What type of gas station model are you considering? Determine whether you want a traditional fuel-only station, a combination of fuel and a convenience store, or other service offerings.
  • Skills and Operations: Do you possess the necessary skills to manage and operate a gas station effectively? Consider your strengths and weaknesses in areas such as finance, operations, and customer service.
  • Staffing: Will you handle all the work independently, or do you plan to hire employees? Decide on your approach to staffing and consider the roles required.
  • Management: Will you actively manage your business, or are you planning to hire a manager to oversee day-to-day operations?
  • Customer Acquisition: How will you attract customers to your gas station? Develop a marketing and customer acquisition strategy to reach your target audience.
  • Customer Retention: What strategies will you implement to keep customers coming back? Consider loyalty programs and exceptional customer service.
  • Financing: How will you finance your startup costs? Explore options such as loans, investors, or personal savings.
  • Profitability Timeline: Have you estimated how long it will take for your gas station to become profitable? Create a realistic timeline for achieving profitability.
  • Financial Support: During the initial stages, when profitability may be challenging, how will you support yourself financially?
  • Product and Service Offerings: Define the products and services your gas station will offer, aligning them with market demand.
  • Market Demand: How do you know there is demand for the products and services you plan to offer? Conduct market research to validate your offerings.
  • Competitive Advantage: Determine what sets your gas station apart from the competition and how you will differentiate your business.

By addressing these critical questions, you can better prepare for the complexities of starting and operating a successful gas station business.

3. Research

Inside information gas station research.

Starting a gas station requires extensive research to gain a comprehensive understanding of the business landscape.

Quality information is invaluable in preparing for the venture, as it helps you anticipate challenges and make informed decisions. Seeking advice and insights from experienced gas station owners is a practical approach.

Experienced individuals possess valuable knowledge and years of industry-specific insights. Their guidance can provide priceless perspectives, helping you navigate the complexities of running a gas station.

To connect with these experts, it’s essential to approach them professionally and respectfully.

For detailed strategies on finding and approaching the right people in the industry, I recommend reading the following article.

See An Inside Look Into the Business You Want To Start for all the details.

Supply, Demand, and Your Location

Assessing market demand for your gas station in your chosen location is crucial to ensure a successful venture. Here are some simple strategies to gauge this demand:

  • Market Research: Conduct thorough market research to understand the local demographic and economic conditions. Look for data on population density, income levels, and commuting patterns. Government census reports and local business directories can be valuable sources of information.
  • Competitor Analysis: Analyze existing gas stations and convenience stores in your chosen area. Identify their strengths, weaknesses, and the unique offerings they provide. This will help you determine if there is room for your business to stand out.
  • Surveys and Questionnaires: Create surveys or questionnaires to gather insights from potential customers in the area. Ask about their fueling habits, convenience store preferences, and any specific services they would like to see. Distribute these surveys online, in local businesses, or through social media.
  • Talk to Local Businesses: Establish relationships with neighboring businesses. They can provide valuable insights into the local market and whether there’s demand for specific products or services.
  • Traffic Analysis: Analyze traffic patterns and volume around your potential location. A high volume of passing vehicles can indicate a good location for a gas station, especially if there are limited alternatives nearby.
  • Online Tools: Utilize online tools and platforms like Google Trends, keyword research, and social media listening to understand what people are searching for and discussing in your target area.
  • Feasibility Study: Consider conducting a feasibility study, which can provide a detailed analysis of the market, competition, and potential profitability of your gas station in the chosen location.

By employing these strategies, you can gather valuable insights into market demand and make informed decisions about the viability of your gas station business in your selected location.

For more, see the Demand for Your Products and Services and Choosing The Best Location for Your Business.

Target Audience

Understanding your target audience is essential for tailoring your offerings to meet their specific needs and preferences. Benefits include the ability to:

  • Adapt products and services to customer interests.
  • Streamline your offerings for more efficient operations.
  • Develop targeted marketing strategies to reach potential customers effectively.

Target Market Ideas for a Gas Station:

  • Commuters and Daily Drivers
  • Long-Haul Truckers
  • Local Residents
  • Tourists and Travelers
  • Eco-Conscious Consumers
  • Business Fleet Operators
  • Convenience Store Shoppers
  • Health-Conscious Individuals
  • Families on Road Trips
  • Motorcycle Enthusiasts

Understanding these potential customer segments enables a gas station to cater to their unique needs and preferences, enhancing customer satisfaction and business success.

For more, see How To Understand Your Target Market.

business plan for opening a gas station

4. Looking at Financials:

Starting a gas station requires careful consideration of startup costs, monthly expenses, revenues, and profits to ensure a successful launch and sustainable operation.

Startup Costs:

Accurately estimating startup costs is crucial. Underestimation can lead to financial difficulties, while overestimation may deter potential investors.

Factors affecting costs include location, equipment choices (new or used), hiring employees, and leasing options.

Begin by listing all necessary items and researching their prices. Be prepared for unforeseen expenses that may arise during the planning phase.

For more detailed information, refer to my article on Estimating Startup Costs.

Sales and Profit:

Your gas station’s success hinges on factors like customer service, product popularity, demand, and effective marketing. Profitability simplifies to the relationship between profit per sale, sales volume, and monthly expenses.

For instance, if you make $300 profit per sale but only achieve one sale per month, it won’t cover expenses. Similarly, high-volume sales with minimal profit margins can also lead to financial challenges.

To gain a comprehensive understanding of your gas station’s financial outlook, consider:

  • Profit per Sale: Calculate the profit you earn from each transaction, accounting for both fuel and convenience store sales.
  • Sales Volume: Estimate the number of sales you can generate monthly based on your location, marketing efforts, and customer base.
  • Overhead: Sum up all monthly expenses, including rent, utilities, employee wages, and loan payments.

For More, See Estimating Profitability and Revenue.

Balancing these factors is essential to ensure your gas station’s profitability.

Continuously monitor and adjust your business strategies to optimize revenue while managing expenses effectively.

Simple Sample: Financial Lists to Consider As a Starting Point

Note: Focus on the list items more than the numbers. The numbers are samples. Your estimates will differ due to how you set up your business, location, expenses, and revenues.

Sample Estimated Startup Costs for a Gas Station in the USA:

  • Lower Value: $300,000
  • Upper Value: $1,500,000
  • Lower Value: $200,000
  • Upper Value: $1,000,000
  • Lower Value: $50,000
  • Upper Value: $200,000
  • Upper Value: $300,000
  • Lower Value: $10,000
  • Upper Value: $50,000
  • Lower Value: $5,000
  • Upper Value: $20,000
  • Upper Value: $30,000
  • Lower Value: $20,000
  • Upper Value: $100,000
  • Upper Value: $15,000

Total Estimated Startup Costs (Lower Value): $650,000 Total Estimated Startup Costs (Upper Value): $3,215,000

Sample Estimated Monthly Expenses for a Gas Station in the USA (Including Loan Payments):

  • Lower Value: $1,000
  • Upper Value: $3,000
  • Lower Value: $6,000
  • Upper Value: $12,000
  • Lower Value: $2,000
  • Upper Value: $5,000
  • Upper Value: $8,000

Total Estimated Monthly Expenses (Lower Value): $37,000 Total Estimated Monthly Expenses (Upper Value): $96,000

Sample Examples of Profit Per Sale:

  • Profit Margin: $0.10 to $0.30
  • Profit Margin: 20% to 40%
  • Profit Margin: 50% to 70%
  • Profit Margin: 30% to 50%

These profit per sale examples provide an estimate of potential profit margins for various revenue streams within a gas station.

Actual profitability can vary based on factors such as location, pricing strategy, and operational efficiency.

Consider revisiting Step 3. Researching your gas station , where there is a technique to get inside information, will benefit you in this step.

5. Create Your Mission Statement

A mission statement serves as a compass for your gas station business, helping to clarify its purpose and the primary benefit it offers to customers and the community.

It articulates the fundamental reason your business exists and sets the tone for its actions and values.

A well-crafted mission statement not only keeps you on track but also resonates with customers, employees, and stakeholders, reinforcing your commitment to your core values.

Examples of Mission Statements for a Gas Station:

  • “To provide convenient and reliable fueling solutions, supporting our community’s mobility needs with exceptional service and eco-friendly options.”
  • “Our mission is to offer safe and clean refueling experiences, ensuring customer satisfaction and promoting sustainability in every gallon.”
  • “We are dedicated to delivering quality fuels and products while fostering a sense of trust, convenience, and environmental responsibility within our neighborhood.”
  • “To be the preferred choice for motorists, offering top-tier fuels, innovative services, and a commitment to making every journey hassle-free.”
  • “Our mission is to empower drivers with cost-effective, efficient, and environmentally conscious fueling solutions while actively participating in local community initiatives.”

These mission statement examples reflect the dedication of gas stations to their customers, communities, and core values, emphasizing convenience, sustainability, and customer satisfaction.

Tailor your mission statement to your gas station’s unique identity and goals.

For more, see How To Create a Mission Statement.

6. Creating A Unique Selling Proposition (USP)

A Unique Selling Proposition (USP) is a powerful tool that can help your gas station stand out in a competitive market by identifying and creating something unique and special about your business.

It sets you apart from competitors and communicates a clear message to potential customers about why they should choose your gas station over others.

Examples of USPs for a Gas Station:

  • 24/7 Convenience : Offer round-the-clock service, ensuring customers can fill up or purchase items at any time.
  • Eco-Friendly Fuel : Provide eco-friendly or alternative fuel options, catering to environmentally conscious customers.
  • Rewards Program : Implement a loyalty program that rewards frequent customers with discounts or freebies.
  • Clean and Safe Facilities : Emphasize a commitment to cleanliness and safety, making your station a preferred choice.
  • Local and Fresh Snacks : Stock locally sourced and fresh snacks, promoting a unique selection.
  • Free Air and Water : Offer complimentary tire inflation and water services, enhancing customer convenience.
  • Community Involvement : Actively engage in local community initiatives, demonstrating your commitment to the area.
  • Advanced Technology : Install cutting-edge fuel pumps and payment systems for a hassle-free experience.
  • Premium Amenities : Provide amenities like free Wi-Fi, clean restrooms, and well-lit facilities for customer comfort.
  • Competitive Pricing : Guarantee consistently competitive fuel prices, ensuring value for money.

These USP examples showcase various strategies to differentiate your gas station and attract a specific target audience.

Banner Free Report No 4.

Tailor your USP to your gas station’s unique strengths and market demands for maximum impact.

7. Choose a Business Name

Selecting the right business name is a significant decision, as it’s often a long-term commitment.

It should be catchy, industry-appropriate, easy to pronounce, and memorable. Additionally, consider securing a matching domain name for your online presence.

It’s crucial to ensure the chosen name isn’t already registered by another business to avoid legal complications. Here are 30 ideas for gas station names to inspire your creativity:

  • Fuel Haven Express
  • Roadrunner Fuels
  • Gasmart Oasis
  • Rapid Refuel Hub
  • EcoFill Energy
  • StarDrive Fuels
  • QuickFlow Petroleum
  • GreenWave Gas
  • SpeedyFuel Depot
  • DriveWay Fuels
  • FuelWise Express
  • PowerPump Petro
  • ClearPath Fuels
  • PrimeFuel Station
  • RoadMaster Refills
  • TurboTank Stops
  • SwiftFill Junction
  • EnergyEdge Gas
  • DriveRight Fuels
  • HighwayStar Petro
  • UrbanFuel Express
  • EcoDrive Energy
  • CruiseFuel Corner
  • FastLane Petro
  • PeakFlow Pitstop
  • OnTrack Fuels
  • CitySprint Stations
  • GlobeTrek Fuels
  • Sunrise Fuel Mart

These name ideas can serve as a starting point for crafting a unique and memorable business name that suits your gas station’s identity and goals.

For more, see the following articles:

  • How To Register a Business Name
  • Registering a Domain Name For Your Business

8. Register Your Company

Ensuring the legality of your gas station business is paramount.

Consulting with a professional can help establish the right legal structure for tax benefits and liability protection. Common registrations for a gas station typically include:

  • Business Structure : Choose a legal structure such as a sole proprietorship, partnership, LLC, or corporation.
  • Business Name Registration : Register your business name with the appropriate government authorities.
  • Employer Identification Number (EIN) : Obtain an EIN from the IRS for tax purposes.
  • State and Local Permits : Acquire necessary state and local permits, such as a business license and zoning permits.
  • Health Department Permits : If you sell food or beverages, ensure compliance with health department regulations.
  • Environmental Permits : Due to fuel storage, gas stations often require environmental permits.
  • Alcohol and Tobacco Permits : If you sell alcohol or tobacco products, obtain the required permits.
  • Signage Permits : Comply with local regulations for signage and advertising.
  • Fuel Retailer Licenses : Obtain licenses related to fuel retailing and storage.
  • Fire Department Permits : Ensure fire safety compliance and obtain any necessary permits.
  • Sales Tax Permit : Register for a sales tax permit if applicable in your jurisdiction.
  • Employment and Labor Compliance : Adhere to labor laws and acquire necessary employment-related permits.
  • Federal and State Excise Tax : If selling fuel, comply with federal and state excise tax regulations.
  • Environmental Protection Agency (EPA) Compliance : Meet EPA requirements related to fuel storage and environmental impact.
  • Transportation Department Permits : If providing towing services, secure transportation department permits.

Ensuring legal compliance by addressing these permits and licenses is essential for the smooth and lawful operation of your gas station business.

Consulting with legal professionals can provide valuable guidance in this complex area.

Registration:

  • How to Register Your Business
  • How To Register a DBA
  • How to Register a Trademark
  • How to Get a Business License

Business Structures:

  • How to Choose a Business Structure
  • Pros & Cons of a Sole Proprietorship
  • How To Form an LLC
  • How To Register a Business Partnership
  • How To Form a Corporation
  • How To Choose a Business Registration Service

9. Create Your Corporate Identity

A Corporate ID is a visual representation of your business, encompassing elements like your logo, business cards, website, signage, stationary, and promotional materials.

Maintaining a consistent, professional design across these components is crucial to making a positive impression on both new and existing customers, enhancing brand recognition and credibility.

You can see our page for an overview of your logo , business cards , website , and business sign , or see A Complete Introduction to Corporate Identity Packages.

10. Writing a Business Plan

A business plan is a crucial document used for financing and investor engagement. It serves as a guiding blueprint during both the startup and operational phases of your business.

Creating an effective business plan demands time and effort, as it involves painting a comprehensive picture of your business’s future.

Despite the initial effort, the outcome is worth it. A well-crafted plan provides clarity and direction for startup and operational phases.

When creating your business plan, remember the flexibility of options. You can write it from scratch, seek professional assistance, use templates, or employ business plan software.

Regardless of your approach, active participation in the process ensures effective communication of your business’s nature and management strategies.

Furthermore, it’s vital to acknowledge that your business plan and operations can evolve over time.

Experience, changing market conditions, and operational improvements may necessitate modifications. Regularly reviewing and optimizing your business plan and operations is a prudent practice for sustained success.

Business Plan Template for a Gas Station

Creating a comprehensive business plan is crucial when starting a gas station. Below is a detailed business plan template, along with suggestions on what each part should contain:

1. Executive Summary:

  • Business name, location, and ownership structure.
  • A concise overview of your gas station business, its mission, and vision.
  • Key highlights, such as anticipated profitability, market opportunity, and competitive advantage.

2. Business Description:

  • Detailed description of your gas station concept, including fuel types offered and additional services (convenience store, car wash, etc.).
  • Target market analysis, including demographics and location factors.
  • A brief history of the gas station industry and market trends.

3. Market Research:

Banner Free Report No 5.

  • Industry analysis, including size, growth potential, and major players.
  • Market segmentation, identifying your primary and secondary customer segments.
  • Competitive analysis, highlighting key competitors, their strengths, and weaknesses.

4. Marketing and Sales Strategy:

  • Marketing plan , detailing your promotional strategies, pricing, and advertising efforts.
  • Sales strategy, outlining sales channels, customer acquisition, and retention plans.
  • Customer relationship management and loyalty programs.

5. Organization and Management:

  • Organizational structure, including ownership, management roles, and responsibilities.
  • Bios of key team members, highlighting their qualifications and experience.
  • Human resource plan, addressing hiring, training, and retention strategies.

6. Product and Service Line:

  • Detailed description of the types of fuel you offer, including any unique offerings.
  • Explanation of additional services like convenience stores, car wash, or auto maintenance.
  • Pricing strategy for different products and services.

7. Financial Projections:

  • Income statement projections, including revenue, expenses, and profit margins.
  • Cash flow statement, outlining expected cash inflows and outflows.
  • Balance sheet projections, reflecting assets, liabilities, and equity.

8. Funding Request:

  • If seeking external financing, specify the amount, purpose, and terms.
  • Explain how the funds will be used to grow and operate the gas station.

9. Operations Plan:

  • Location and facility details, including lease or ownership arrangements.
  • Operational processes, such as fuel procurement, inventory management, and safety protocols.
  • Supplier and vendor relationships.

10. Risk Analysis: – Identification of potential risks and challenges in the gas station business. – Strategies for mitigating risks, including contingency plans.

11. Appendices: – Supporting documents, such as market research data, legal documents, permits, and licenses. – Resumes of key team members and any additional relevant information.

12. Exit Strategy: – Outline potential exit strategies, such as selling the business or passing it on to family members.

A well-crafted business plan provides a roadmap for your gas station’s success and is essential for securing financing and effectively managing your business.

Tailor each section to your specific gas station concept and market.

See How to Write a Business Plan for information on creating your business plan.

11. Banking Considerations

Select a local bank with a small business focus to open a dedicated business account.

Separating personal and business transactions simplifies expense tracking, accurate reporting, and tax filing. Building a professional relationship with your banker offers valuable financial advice and streamlines banking services.

Ensure you have a merchant account or online service to accept card payments, enhancing sales and customer convenience at your gas station.

For more, see How to Open a Business Bank Account. You may also want to look at What Is a Merchant Account and How to Get One.

12. Getting the Funds for Your Operation

When seeking a loan to start your gas station, explore various funding options including traditional lenders, private loans, investor partnerships, and potentially selling assets you own.

Additionally, investigate the availability of government grants that may assist in starting your gas station.

Considerations When Meeting with a Loan Officer:

  • Business Plan : Have a comprehensive business plan outlining your gas station’s goals, financial projections, and market analysis.
  • Loan Purpose : Clearly communicate how you intend to use the funds and how it aligns with your business objectives.
  • Creditworthiness : Assess your credit score and financial history to anticipate potential concerns.
  • Collateral : Be prepared to discuss any assets or collateral you can offer to secure the loan.
  • Repayment Plan : Outline a feasible repayment plan and demonstrate your ability to meet financial obligations.

Sample List of Documents for a NEW Business Loan Application:

  • Business Plan.
  • Personal and Business Financial Statements.
  • Credit Reports.
  • Business and Personal Tax Returns.
  • Legal Documents (e.g., business licenses, contracts).
  • Bank Statements.
  • Resumes of Key Team Members.
  • Collateral Documentation.
  • Cash Flow Projections.
  • Loan Application Form.

Meeting these requirements and preparing a compelling loan application increases your chances of securing financing for your gas station startup.

For more, see the following:

  • Getting a Small Business Loan
  • SBA Small Business Grants
  • Gas Station Start-up Loans
  • Grants For a Gas Station

13. Software Setup

Researching software solutions is crucial for your gas station’s management and operations.

It’s easier to implement a program from scratch than switch systems once your data is already in another program.

Opt for a reputable company with a track record to ensure reliable support in the future.

Demos provide an opportunity to try before committing, while software reviews and forums offer valuable insights from other users.

In addition to management software, consider solutions for tracking expenses and preparing financial documents for tax filing.

Consulting with your bookkeeper or accountant can aid in making the right software choices tailored to your gas station’s needs.

Types of Software for Gas Station Management and Operations:

Banner Free Report No 6.

  • Point of Sale (POS) System : For fuel and convenience store sales.
  • Inventory Management Software : To track stock levels and automate restocking.
  • Accounting Software : For financial management and tax preparation.
  • Security and Surveillance Software : To monitor and secure premises.
  • Fuel Management System : To manage fuel inventory and distribution.
  • Customer Relationship Management (CRM) Software : To maintain customer data and loyalty programs.
  • Employee Scheduling Software : To manage staffing and shifts.
  • Maintenance Management Software : To track equipment maintenance and repairs.
  • Marketing and Promotion Software : For advertising and customer engagement.
  • Security and Alarm Systems : To protect against theft and unauthorized access.

Each of these software types plays a crucial role in running a successful gas station business, streamlining operations, enhancing security, and ensuring financial accuracy.

Check out Google’s latest search results for software packages for a gas station.

14. Get The Right Business Insurance

Prioritize insurance coverage for your gas station business to safeguard against unforeseen incidents. Adequate insurance is essential to protect customers, employees, yourself, and anyone on the premises, as well as your property.

Professional liability insurance is worth considering, providing protection against potential lawsuits.

Interruption insurance is another vital aspect. It can serve as a lifeline in case of unforeseen incidents that lead to an involuntary shutdown, helping to sustain your business during challenging times.

To navigate the complex landscape of insurance, collaborate with a competent insurance broker.

They can guide you in assessing your needs and ensure you have sufficient coverage in place.

The right insurance provides peace of mind and financial security, making it a crucial investment for your gas station’s sustainability.

For more, see What to Know About Business Insurance . You can also browse the latest Google search results for gas station insurance .

15. Suppliers and Service Providers

Selecting suppliers and service providers is critical for a gas station’s success. You may require the following from them:

  • Fuel Supply : Reliable and consistent fuel deliveries to meet customer demand.
  • Inventory : Convenience store products, snacks, beverages, and automotive supplies.
  • Maintenance Services : Equipment servicing, repairs, and upkeep.
  • Security Services : Surveillance systems, alarms, and security personnel.
  • Cleaning Services : Regular station cleaning and upkeep.
  • Advertising and Marketing : Promotion and advertising services to attract customers.
  • Accounting and Financial Services : Bookkeeping, tax services, and financial advice.
  • Legal and Regulatory Compliance : Legal counsel for compliance with regulations.

Maintaining strong relationships with these suppliers and providers is essential.

They can offer competitive pricing, ensuring cost savings for you and better profits.

Moreover, dependable suppliers ensure a consistent supply of essentials, enabling smooth operations.

Treating them respectfully and ensuring mutual financial benefits fosters positive working relationships, contributing to your gas station’s overall success.

For More, See How To Choose a Supplier.

16. Setting Prices

Benefits of Researching Pricing for Your Gas Station:

  • Impact on Profitability : Pricing directly affects your bottom line, making it crucial to set competitive rates.
  • Customer Attraction : Proper pricing can attract a steady customer base, boosting sales and revenue.
  • Risk of High Prices : If your prices are too high, you may deter potential customers, leading to lost sales.
  • Risk of Low Prices : Conversely, setting prices too low can result in an influx of customers initially but may not cover expenses, affecting profitability.
  • Balancing Act : Achieve a balance where your pricing aligns with the current market while highlighting the value you provide.
  • Customer Perceptions : Customers are willing to pay more if they perceive added benefits, such as excellent service or quality products.
  • Market Research : Thoroughly research your market and target audience to determine the optimal pricing structure.
  • Flexibility : Regularly review and adjust prices in response to market changes to maintain competitiveness and profitability.

Proper pricing strategy is pivotal for the success of your gas station business, influencing both customer acquisition and financial stability.

See the following for more:

  • Setting the Price of Your Products and Services
  • Search Results for Pricing Strategies for a Gas Station.

17. Physical Setup

One of the initial steps in setting up your gas station is managing inventory. Focus on offering products your customers want, enhancing variety, and adding value.

However, controlling inventory is crucial – having too much ties up funds, while too little leads to lost sales.

Strategic product placement is essential, and experimenting with different displays can help determine the most effective arrangement.

Expiry Dates:

When dealing with inventory, consider expiry dates, especially for perishable items.

Balancing stock levels while ensuring products don’t approach expiration is essential. This minimizes waste and ensures customer safety.

Though primarily an online business, physical layout still matters. Gas stations should have clearly defined areas for fuel pumps, convenience stores, and other services.

Efficient traffic flow, including entry and exit points, should be a priority. Adequate space for vehicles, including parking and queuing areas, is essential.

Effective signage is integral to a gas station’s success. A prominent main business sign ensures visibility from a distance.

Moreover, clear directional signs for parking, exits, restrooms, and special areas enhance the customer experience.

Well-designed signs convey professionalism and ease navigation.

Office Setup:

Managing a gas station involves various administrative tasks. An organized office equipped with the necessary tools and resources is vital for efficient operations.

Ensure you have essential office supplies, computers, communication systems, and record-keeping tools.

A well-structured office layout facilitates productivity, streamlining tasks like inventory management, accounting, and customer service.

In summary, managing inventory efficiently, considering expiry dates, maintaining a thoughtfully designed layout, investing in effective signage, and establishing an organized office are crucial aspects of running a successful gas station.

These elements contribute to operational effectiveness, customer satisfaction, and overall business professionalism.

See Here are Considerations for The Setup of Your Office for tips and ideas to make your office work for you. Also, have a look at our article About Company Signs.

18. Creating a Website

  • A website is an essential asset for your gas station business.
  • It serves as the main point of contact for potential customers and provides key information about your services.
  • Unlike a social media account, a website is entirely owned and controlled by you when you host and register a domain name.
  • Having a website allows you to have a central hub for all your online activities.

Additionally, your website can serve as a potent marketing tool:

  • You can use it to create and share valuable content.
  • Blogging about industry trends, offering tailored tips, and sharing insights with your customers can help build trust and credibility.
  • By positioning yourself as an industry expert through your website, you can attract more customers and establish lasting relationships.

In summary, a website is a critical asset for your gas station business, offering a platform for information dissemination, customer engagement, and effective marketing.

For more, see How to Build a Website for Your Business .

19. Create an External Support Team

An external support team for your gas station comprises professionals you can turn to for advice and services, without them being on your payroll.

You can engage them for specific projects, tasks, or on a contract, hourly, or retainer basis.

While you might already collaborate with some individuals, recognizing them as part of your team underscores their importance and opens the door to adding more members as needed.

You don’t need to assemble your entire team before starting, as building professional relationships takes time. However, it’s an ongoing effort.

A strong team may include an accountant, lawyer, financial advisor, marketing specialist, technical experts, and consultants.

When you have a dependable team, they can provide crucial support when necessary, enhancing the efficiency and success of your gas station business.

For more, see Building a Team of Professional Advisors for Your Business.

20. Hiring Employees

The following are job positions or outsourced services you may want to consider as your gas station grows:

  • Station Manager : Oversees daily operations, staff management, and customer service.
  • Cashier : Handles transactions and provides customer assistance.
  • Fuel Attendants : Responsible for fueling vehicles, cleaning pumps, and ensuring safety.
  • Convenience Store Clerk : Manages sales, inventory, and customer inquiries.
  • Maintenance Technician : Performs routine maintenance on fuel dispensers, equipment, and facilities.
  • Security Personnel : Ensures the safety of customers and premises, especially during nighttime hours.
  • Marketing Specialist : Develops and executes marketing strategies to attract customers.
  • Bookkeeper/Accountant : Manages financial records, payroll, and tax-related responsibilities.
  • Human Resources Manager : Handles employee recruitment, training, and HR matters.
  • Environmental Compliance Officer : Ensures adherence to environmental regulations and safety standards.
  • Car Wash Attendants : If you offer car wash services, these personnel handle operations.
  • Supply Chain Coordinator : Manages fuel and inventory procurement and distribution.
  • Customer Service Representatives : Assist customers with inquiries and complaints.
  • Janitorial Services : Outsourced or in-house staff for cleaning and maintenance.

Selecting the right personnel for these roles and ensuring they align with your business values is essential for efficient gas station management and growth.

For more, see How and When to Hire a New Employee.

21. Getting Customers Through the Door

When you have reached this step, your business is set up and ready to go, with one more final step, which is important: getting customers through the door.

There are numerous ways to do this, like advertising, having a grand opening , word of mouth, etc.

Let’s dig a little deeper into the following sections.

Marketing Considerations

A gas station’s success hinges on attracting customers, especially when it’s new and relatively unknown. Building a good reputation over time and gaining marketing experience can make it easier.

Marketing should be a continuous effort, as it directly impacts revenue. You don’t always need an expert; simplicity is key. Here are some straightforward methods to promote your gas station:

  • Social Media Presence : Create profiles on platforms like Facebook, Instagram, and X to engage with potential customers.
  • Local SEO : Optimize your online presence for local search, ensuring your station appears in local listings and maps.
  • Discounts and Promotions : Offer special deals on fuel, snacks, or car washes to attract price-conscious customers.
  • Community Engagement : Participate in local events or sponsor community activities to increase visibility and goodwill.
  • Customer Reviews : Encourage satisfied customers to leave positive reviews on platforms like Google and Yelp.
  • Attractive Signage : Eye-catching outdoor signage helps draw attention to your station.
  • Referral Programs : Reward loyal customers for referring others to your gas station.
  • Collaborations : Partner with nearby businesses for cross-promotions or joint marketing efforts.
  • Customer Loyalty Programs : Create a loyalty program to encourage repeat visits.
  • Online Advertising : Use targeted online ads to reach potential customers in your area.
  • Charity Initiatives : Support local charities and publicize your involvement.
  • Word of Mouth : Encourage satisfied customers to recommend your station to friends and family.

Remember that consistency and adaptability are key in marketing.

Continuously assess which methods are most effective for your gas station and adjust your strategy accordingly.

See How To Get Customers Through the Door and our marketing section to provide ideas to help you bring awareness to your business.

Sample Ad Ideas:

Headline: “Fuel Your Journey with Us!”

Ad: “Discover top-quality fuel, clean facilities, and friendly service at our gas station. Stop by today for a smooth ride.”

Headline: “Eco-Friendly Fueling, Every Visit Counts!”

Ad: “Join us in reducing emissions! Choose our eco-friendly fuels and contribute to a greener tomorrow. Fuel up now!”

Headline: “24/7 Convenience, Always Open for You!”

Ad: “No matter the hour, we’re here for your fuel and convenience needs. Visit us 24/7 for a hassle-free experience.”

Headline: “Save Big at the Pump!”

Ad: “Fuel up and keep your wallet happy! Enjoy competitive prices and discounts at our gas station today.”

Headline: “Clean, Safe, and Committed to Your Well-Being!”

Ad: “Your safety matters. Experience a clean and secure environment while fueling at our station. Your peace of mind is our priority.”

Headline: “Rewards Galore! Join Our Loyalty Program”

Ad: “Get more from every fill-up! Join our loyalty program and earn rewards, discounts, and exclusive perks with every visit.”

Headline: “More Than Fuel – We’re Your Pit Stop!”

Ad: “Fuel, snacks, car wash, and friendly faces – we’ve got it all. Your one-stop solution for all things on the road.”

Collaborating with other businesses through referrals can be mutually beneficial. Here are some potential partners and how you can create symbiotic relationships:

  • Auto Repair Shops : Refer customers to each other; they may need fuel and car repairs simultaneously.
  • Convenience Stores : Offer cross-promotions or discounts for customers who visit both your gas station and their store.
  • Car Dealerships : Refer customers who purchase new cars to your station for their fueling needs, and in return, suggest their dealership to your customers.
  • Local Restaurants : Partner for discounts or promotions. Customers can receive discounts at the restaurant when they fuel up.
  • Car Washes : Offer package deals for fuel and car wash services, benefiting both businesses.
  • Towing Companies : Refer customers in need of towing to each other’s services.
  • Hotels and Motels : Suggest each other’s services to travelers who may need accommodations or fuel.
  • Local Garages : Collaborate to provide customers with comprehensive auto services.
  • Delivery Services : Refer businesses that require delivery services to each other for fuel and deliveries.
  • Rental Car Agencies : Recommend each other’s services to customers in need of temporary transportation.
  • Travel Agencies : Suggest each other to customers planning trips who might need fuel and travel assistance.
  • Car Rental Services : Collaborate on package deals or refer customers in need of rental cars.

When forming these partnerships, consider referral fee agreements, reciprocal referrals, or joint marketing efforts.

Ensure the collaboration benefits not only your businesses but also enhances the customer experience, making it a win-win for everyone involved.

Points To Consider

Next, let’s review essential points for more tips, insights, and considerations before starting your gas station.

We will cover sections, including skills to consider, points to focus on, and equipment.

Then you’ll reach the “Knowledge Is Power,” section, where you will want to use the resources for valuable information.

Hours of Operation:

Gas station hours of operation typically range from 6 AM to 10 PM, but some operate 24/7.

Tasks that require additional time before or after hours may include restocking inventory, fuel tank maintenance, equipment servicing, and cleaning.

These tasks may add an extra 1-2 hours before opening and after closing, depending on the station’s size and service offerings.

Adjusting hours may be necessary to accommodate these essential activities.

A List of Equipment and Supplies to Consider for a Gas Station:

Equipment needs for a gas station business vary depending on the scale and services offered, but here’s a comprehensive list of common equipment:

  • Fuel Dispensers : Essential for dispensing various types of fuel efficiently.
  • Underground Fuel Storage Tanks : To store gasoline and diesel safely.
  • Canopy : Provides shelter for customers while refueling and protects equipment.
  • Point-of-Sale (POS) System : Manages fuel sales, tracks inventory, and handles transactions.
  • Fuel Management System : Monitors fuel levels, detects leaks, and ensures compliance.
  • Tank Gauges : Measures fuel levels in storage tanks for inventory control.
  • Payment Terminals : Card readers and payment processing equipment for customer transactions.
  • Security Cameras : Surveillance cameras to monitor the station and deter theft or vandalism.
  • Fuel Price Signs : Displays current fuel prices to attract customers.
  • Air and Water Dispensers : For customers to inflate tires and access potable water.
  • Cash Register or Register Console : For non-fuel sales, like convenience store items.
  • Fuel Dispenser Nozzles and Hoses : Essential components for fuel dispensing.
  • Car Wash Equipment : If offering car wash services, including wash bays, brushes, and drying systems.
  • Fuel Filters and Dispenser Filters : Ensure fuel quality and prevent contaminants.
  • Signage : Exterior and interior signs, including branding, safety, and directions.
  • Fire Suppression System : Protects against fuel fires at the pump.
  • Fuel Tank Monitoring System : Continuously tracks tank levels and prevents overfilling.
  • Inventory Management Software : Tracks convenience store inventory and reordering.
  • Coolers and Refrigerators : For storing perishable items in the convenience store.
  • Coffee Machines and Dispensers : If serving hot beverages.
  • Shelving and Display Racks : Organize and showcase products in the store.
  • Security Alarm System : Protects against break-ins and unauthorized access.
  • Office Equipment : Computers, printers, and office supplies for administrative tasks.
  • Exterior Lighting : Illuminates the station for safety and visibility.
  • Trash Bins and Recycling Containers : For proper waste disposal.
  • Safety Equipment : Fire extinguishers, first-aid kits, and safety signage.
  • Generator : Backup power source in case of outages.
  • HVAC System : Heating, ventilation, and air conditioning for the store.
  • Pumps and Tanks for Air and Vacuum Services : If offering these services.
  • ATM Machine : For customer convenience and potential fee income.
  • Lubrication Equipment : If providing oil change or vehicle maintenance services.
  • Propane Dispensing Equipment : If selling propane for vehicles or grilling.
  • Car Care Products : Automotive products like windshield wipers, motor oil, and cleaning supplies.
  • Restroom Facilities : If the station has public restrooms.
  • Safety Barriers : To control traffic and prevent accidents around the fueling area.
  • Signage Maintenance Equipment : Equipment to maintain and replace signage.
  • Storage and Warehousing : Space and equipment for storing inventory.

The specific equipment needed may also depend on local regulations, the size of the gas station, and the range of services offered.

It’s essential to consult with industry experts and regulatory agencies to ensure compliance and efficient operation.

Key Points To Succeeding in a Gas Station

Operating a successful gas station requires a strategic approach and attention to several key points:

  • Niche Focus : Consider specializing in a niche within the gas station industry, such as offering unique fuel additives or eco-friendly options. This can set you apart from competitors.
  • Customer Base : Building a loyal customer base takes time, especially in the startup phase. Offer incentives, promotions, and exceptional service to attract and retain customers.
  • Relationships : Foster strong connections with customers, suppliers, and employees. Happy employees provide better service, satisfied customers return, and reliable suppliers ensure smooth operations.
  • Customer-Centric Offerings : Provide products and services that align with customer demands and preferences. Regularly gather feedback and address credible issues to enhance your offerings.
  • Customer Service : Prioritize excellent customer service. Your customers are the lifeblood of your business, and their satisfaction drives repeat business and positive word-of-mouth.
  • Value Delivery : Always focus on delivering value to your customers, whether through competitive pricing, loyalty programs, or exceptional service quality.
  • Team Building : Hire the right individuals for each role and manage staff effectively. A harmonious, motivated team contributes to a healthy work environment and enhances employee retention.
  • Financial Management : Carefully manage cash flow , control costs without compromising quality, and adapt to fluctuations in revenue.
  • Adaptability : Stay updated with industry trends, business processes, and technology to adapt to change effectively.
  • Competition : Handle both new and existing competition by continually assessing your strengths and weaknesses.
  • Effective Marketing : Invest in marketing strategies to raise awareness of your gas station. Whether through in-house efforts or hiring professionals, effective marketing is essential for success.

Focusing on these key aspects will help you navigate the challenges and seize opportunities in the gas station business.

It’s crucial to assess and enhance your skill set when considering gas station ownership.

Running a gas station demands a diverse range of skills, from financial management and customer service to maintenance and compliance with safety regulations.

If you lack a vital skill, there are options:

  • Learning : You can acquire new skills through training, courses, or self-study. This might involve financial management courses, customer service workshops, or industry-specific training.
  • Hiring : Alternatively, you can hire individuals with expertise in areas where you’re deficient. This could include hiring a financial manager or a maintenance technician.

Essential skills for a gas station owner:

  • Financial Management : Proficiency in budgeting, accounting, and financial planning.
  • Customer Service : Ensuring excellent customer experiences to build loyalty.
  • Operations Management : Overseeing daily operations efficiently.
  • Compliance and Safety : Knowledge of safety regulations and compliance with environmental standards.
  • Marketing and Promotion : Strategies to attract and retain customers.
  • Inventory Management : Efficient stock control and ordering.
  • Maintenance : Basic understanding of equipment maintenance.
  • Problem Solving : Quick decision-making in unexpected situations.
  • Communication : Effective communication with employees and customers.
  • Adaptability : Ability to adapt to industry changes and market trends.

Evaluating and honing these skills can greatly enhance your chances of success in the gas station business.

Knowledge Is Power if You Use It!

Harness the power of knowledge by exploring abundant industry information. The provided links offer valuable insights for both startup and operational phases of your business.

Trends and Statistics

Analyzing gas station industry trends and statistics offers crucial insights for informed decision-making and staying competitive in the market.

See the latest search results for trends and statistics related to the gas station industry.

Gas Station Associations

Trade associations provide industry updates and valuable networking opportunities, benefiting professionals and businesses.

See the search results related to gas station associations and the benefits of Joining the Chamber of Commerce.

The Top Gas Stations

Analyzing established gas stations can inspire innovative ideas, reveal industry gaps for competitive advantages, and uncover overlooked opportunities from other successful businesses.

See the latest search results for the top gas stations.

The Future of the Gas Station

Researching the gas station industry’s future provides valuable insights for potential business owners, aiding in informed decision-making and strategic planning.

See the search results for the future of the gas station industry.

Find a Gas Station For Sale

Buying an existing business, like a gas station, has its pros and cons.

  • Immediate Revenue: You start earning from day one, bypassing the challenging startup phase.
  • Proven Success: The business has a track record of profitability, known expenses, and an established customer base.
  • Reputation: You inherit the business’s reputation and customer trust, which can be advantageous.

Disadvantages:

  • Higher Cost: Purchasing an existing business often comes with a higher price due to its goodwill and existing customer base.
  • Change Challenges: Altering the business’s operations can risk losing existing customers, posing a challenge.
  • Mixed Reputation: The business’s reputation, good or bad, becomes part of the deal.

Even if you don’t find an exact gas station match for sale, exploring similar industry opportunities through the provided link is a prudent step.

The latest search results for a gas station for sale and others in the same category.

Franchise Opportunities Related to a Gas Station

Owning a gas station franchise has its pros and cons, making it worth exploring before starting a business.

  • Proven Business Model: Franchisees can follow a well-established plan created by the corporate office, reducing the uncertainty of starting from scratch.
  • Existing Reputation and Marketing: Benefit from the franchise’s existing reputation and marketing efforts, which can attract customers more effectively.
  • Comprehensive Knowledge: Franchisees receive comprehensive knowledge about the business and industry from the franchisor, ensuring they are well-prepared.
  • Corporate Support: Franchisees typically receive ongoing support from the corporate office, including training and operational assistance.
  • Expensive: Acquiring a gas station franchise can be costly, including initial fees and ongoing expenses.
  • Limited Autonomy: Franchisees often require approval from the corporate office for major changes, limiting their independence.
  • Product and Service Restrictions: Franchises typically have strict guidelines on approved products and services.
  • Contractual Restrictions: Franchise agreements can impose restrictions on how the business can be operated beyond the established framework.
  • Ongoing Franchise Fees: Franchisees are usually required to pay ongoing fees to the franchisor.

Exploring related opportunities:

Even if a perfect gas station franchise match isn’t available, consider searching for franchises in the same industry using the provided link.

This approach can leverage your industry knowledge and potentially lead to other promising ventures.

See the latest search results for franchise opportunities related to this industry.

Customer Expectations

Examining search results on customer expectations for gas station services grants a customer-centric view and the chance to exceed expectations.

It unveils potential unaddressed issues and opportunities for comprehensive service.

See the search results related to customer expectations for gas station services.

Expert Tips

Expert tips benefit both novices and experts by offering fresh perspectives and skill enhancements, fostering continuous growth in the gas station industry.

See the latest search results for gas stations to gain tips and insights.

Gas Station Insights

Reviewing tips and insights can spark ideas, help avoid pitfalls, and enhance your gas station knowledge, contributing to industry success.

See the latest search results about insights into running a gas station.

Gas Station Publications

Publications are a vital source for the latest gas station information and ideas, keeping you up-to-date with industry trends.

See the search results for gas station publications.

Gas Station Forums

Engage in gas station forums to foster relationships and gain customer insights, enhancing your understanding of their perspectives.

See the latest search results related to gas station forums.

Courses, whether online or local, are excellent for skill and knowledge enhancement, benefiting your gas station operations.

See the latest courses that could benefit a gas station owner . Also, see our management articles for tips and insights for managing your business.

Gas Station Blogs

Subscribe to industry blogs for ideas and updates.

Regularly assess and unsubscribe from inactive or unhelpful ones to curate a valuable collection for a steady flow of insights.

Look at the latest search results for gas station blogs to follow.

Gas Station News

News serves as a vital source to stay updated on media-covered gas station stories, providing current and relevant information.

See the latest results for gas station news.

YouTube sees daily uploads of new videos, including valuable content about gas stations. Take a moment to explore and gain valuable insights.

YouTube videos related to gas stations.

Privacy Overview

Why you’ll never succeed online.

This controversial report may shock you but the truth needs to be told.

If you’ve been struggling online this report will open your eyes.

Click Here to download this Free Report While it’s available!

Free Report Cover.

Growthink logo white

How to Start a Gas Station

open a gas station

  On This Page:

Steps to Open a Gas Station

How big is the gas stations industry, what are the key segments of the gas stations industry, what external factors affect the gas stations industry, who are the key competitors in the gas stations industry, what are the key customer segments in the gas station market, how much does it cost to open a gas station, is a gas station business profitable, what are the keys to launching a new gas station business, how to start a gas station faqs, helpful videos, additional resources, other helpful business plan articles & templates.

Starting a gas station is a lot like opening any other business: you’ll need a comprehensive business plan and the right resources.

In this article, we will discuss the things you’ll need to start a successful gas station.

Importantly, a critical step in starting a gas station is to complete your business plan. To help you out, you should download Growthink’s Ultimate Business Plan Template here .

Download our Ultimate Business Plan Template here

1. Research gas station business opportunities.

Start by doing research to see how many gas stations already exist in your area and what kind of competition you’ll be facing. This will help you determine whether starting a station is commercially viable and where it can be located. To be successful, the nearest gas station to your property should be at least one mile away or on the opposite side of a high-traffic street or highway.

2. Decide if you are going to start a new gas station or buy an existing gas station.

Next, you need to decide whether you’re going to start a gas station from scratch or buy an existing gas station. If you want to invest less money and time, buying an already established gas station may be for you.

3. Write a gas station business plan .

Writing a gas station business plan will help you know how much money you’ll need to start the gas station and how much gas you should buy to meet gas demand. You should include your gas supplier in the plan.

Incorporate Your Business at the Guaranteed Lowest Price

We are proud to have partnered with Business Rocket to help you incorporate your business at the lowest price, guaranteed.

Not only does BusinessRocket have a 4.9 out of 5 rating on TrustPilot (with over 1,000 reviews) because of their amazing quality…but they also guarantee the most affordable incorporation packages and the fastest processing time in the industry.

4. Open a business bank account.

Open a business bank account in which you deposit all of your gas station’s earnings. You can then use the money deposited into that account to buy what you need for the gas station’s operation. Always keep your gas station business separate from your personal assets.

5. Get financing.

When you start a gas station, you’ll need to get financing. Sources of funding for a gas station include personal savings, a business loan, and gas station franchising.

6. Find a place to open your gas station.

When choosing a gas station location, you’ll need at least 2,100 square feet for fuel pumps and about 1,350 square feet of office space attached to the gas station. Consider gas station laws and zoning requirements before choosing a location. These estimates are for a minimum service gas station, but if you plan to add on any other services or food options, you will need more space.

7. Register your business with the state and federal government.

Registering a gas station is mandatory before selling gas to the public. You must register as a corporation or an LLC with the Secretary of State to do business as a gas station.

8. Get the proper permits.

Before you can open your gas station, you’ll need to get gas station permits from the Department of Transportation (DOT). The DOT regulates gas stations that are registered with them to ensure safety measures are being followed. You will also need to meet equipment and design requirements.

9. Buy necessary equipment.

You’ll need to buy gas station equipment before opening for business. Gas stations require gas pumps, convenience store cash registers, gas station scales, garbage cans, debris containers, restroom supplies, and hot beverage machines. You must also buy gas-related safety items including gas-dispensing nozzles, gas pump hoses, gas can regulators, and fire extinguishers.

10. Order initial inventory.

Before you open your gas station, make a list of supplies and equipment you’ll need to complete your regular inventory. Order these items well in advance of opening a gas station since gas-related equipment like gas pumps can take several weeks to arrive. This may also include food, beverage, and travel inventory for a small gas station and convenience store.

11. Hire employees.

Gas stations require gas station attendants to work the gas pumps and cashiers to run the convenience store. You should also hire a gas station manager to handle daily operations like buying gas station supplies, hiring/firing employees, and maintenance.

12. Open for business.

Once you get all your gas station permits, order equipment, and hire employees, you can open for business. Keep your gas station well-stocked with gas at all times, and always remember to check gas pumps for leaks.

Finish Your Business Plan Today!

The gas station industry is worth $109.8 billion in revenue and is expected to grow by 1.8% in the next five years.

Most stations operate in metropolitan areas where people drive cars to work or school. Gas stations provide essential products and services to their customers while collecting a large amount of revenue during peak driving times.

The industry can be segmented into three key categories:

  • Franchise Gas Station : this type of gas station is operated by a company that owns the site. The franchise sales include all profits and expenses, but they also must pay royalties to the owner of their location’s brand name.
  • Full Service Gas Station : this type of gas station is owned and operated by the same company that owns the property. It may also includes additional amenities such as a convenience store, auto repair shop, and/or coffee shop.
  • Quick Service Gas Station : this type of gas station offers fast service, which can include a single-pump island that only serves a few customers at a time. Customers usually pay for fuel at a pump and then leave the area without going inside.

The price of gas, the economy, and the availability of gas are just a few of the factors that can affect a gas station’s business. To be successful, it’s important to understand how these factors can impact your business.

  • Gas Price – The price of gas has a direct impact on the amount people are willing to pay for it. If gas prices increase, more people will try to conserve their usage and look for ways to cut back.
  • Economy – When the economy is thriving, people are more likely to spend money on gas-related activities. However, when the economy is struggling people are less willing to purchase unnecessary items, like gas.
  • Availability of Gas – If gas stations are not located near populated areas, it will be difficult to sell gas and make a profit. The key to success in the industry is being located in a densely populated area that has a high demand for fuel.

The gas station and convenience store industry is highly competitive. Some of the most notable competitors in the market include:

While these three companies are some of the largest competitors, there are hundreds of smaller competitors in the space.

The gas station industry is a highly competitive market with several key customer segments. The most important customer segments are individual consumers, commercial businesses, and government organizations.

Individual consumers are the most important customer segment for gas stations. This is because gas stations are in the business of selling gasoline, and it is individuals who buy gas regularly. They account for the majority of gas station sales, and they are the most price-sensitive customers.

Commercial businesses are the second most important customer segment for gas stations. This is because commercial companies operate fleets of trucks and other vehicles that require fuel to run. Commercial businesses account for a majority of gas station sales during peak business hours.

Government Agencies

Government agencies are the third most important customer segment for gas stations. Even though they are not the largest customer segment, government agencies are important because they represent stable revenue for many gas station owners. This is especially true during natural disasters when gas prices can triple.

On average, initial costs to open a gas station range from $300,000 to $500,000. The price ranges are determined by location and the type of gas station you plan to operate. However, you should expect to pay the following startup costs when opening a gas station:

Cost of Property – The price of land is typically the highest expense associated with the startup of a gas station. For example, if you choose to lease property you will be required to sign a long-term agreement that could span more than 10 years. At that point, you can expect your monthly payment to range from $2,000 to $5,000 depending on the location of the property.

Cost of Construction – Building out a gas station can be costly, especially if there are permits and other construction requirements that need to be met.

Cost of Equipment – Gas station equipment is used to store and dispense gas and other fuels. This equipment must meet certain safety and environmental regulations. To ensure you’re fully compliant with all regulations, it’s advised that you work with a design consultant who knows the industry inside and out. The cost of this equipment can range from $25,000 to $100,000.

Cost of Inventory – To sell gas and other fuels you will need to purchase enough inventory for your total projected sales during the next year. The cost of this inventory can range from $3 million to $4 million depending on demand and local competition in an area.

Cost of Marketing : Advertising and marketing a gas station can be expensive, but is essential for attracting customers to the gas station. This may include billboards along the local section of the highway and other signage.

Legal Fees – Before you can begin selling gas at a new location, you need to establish that your business is up-to-date on all necessary licenses and permits. Your attorney will usually charge around $1,000 to help you acquire these documents.

Business Insurance : Insurance for a gas station can be expensive but is necessary to provide personal asset protection and general liability insurance to cover any onsite injuries that may arise.

Utilities : Gas stations typically require a lot of power, water, and gas supplies which can cost a significant amount depending on how much gas will be sold at the gas station.

Other Startup Costs – Other startup costs associated with opening a gas station include bank fees, building improvements or renovations, and utility connections. Bank fees and building improvements typically range from $100,000 to $200,000. Utility connection costs range from $2,500 to $10,000 depending on which ones you plan to use.

The profitability of gas station businesses depends on which type you purchase. For example, if you buy a small neighborhood gas station with only one pump and few employees, chances are it’s not going to be profitable. On the other hand, if you have a large gas station that sells high quantities of gasoline per day, then your business is likely to generate a large profit.

If you buy a gas station that’s already established, then there’s a good chance that it will generate money. You can also increase your chances of success by purchasing an area with high traffic and sales volume.  

A gas station is a great investment opportunity, but it’s important to know what you need to do to make your gas station successful. Here are the keys to launching a new gas station:

1. Have a Well-Written Business Plan

Your gas station business plan should be well-written and well-researched. It should include information about your business model, your target market, your marketing strategy, your financial projections, and more.

2. Choose the Right Location

Location is key when starting gas station businesses. You need to find a business location that is in high traffic areas and that has ample parking.

3. Offer Competitive Prices

You need to offer competitive prices if you want to attract customers away from the gas stations already in business.

4. Hire High-Quality Employees

You can’t be successful if you don’t have high-quality employees working for you. Make sure that your gas station has well-trained, professional employees on staff.

5. Include Variety in Your Product Offerings

People visit most gas stations for more than just gas; they also buy snacks, cigarettes, lottery tickets, and other products at stations while they fill up their tanks or cars with gas. Make sure to include a variety of products when starting so that your customers will keep coming back for more.

How to Finish Your Ultimate Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your gas station business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

What services should a gas station offer if it wants to attract customers?

If a business owner wants to attract more customers, they can add any of the following services:

  • Car wash - Car washes help attract more customers and increase the chances of having a high volume of people visit your station.
  • Convenience store - Convenience stores are another way to bring in more business. Offering snacks, cigarettes, lottery tickets, and other products can help drive traffic to your gas station.
  • Coffee shop - If the gas station is open for a long time such as 24 hours, having a coffee shop will help attract more customers during the day and night.
  • Service station - Some auto repair services such as oil changes may need some training so it’s practical to offer them in-house.
  • Fast food restaurant - If the gas station has a restaurant within it, customers will likely stay longer in line waiting for their gas. This can help increase gas station profits.

How do gas station owners price their products?

Most gas station owners opt to price their products to remain competitive and to maximize profitability. When it comes to determining prices, there are many options available including the following:

  • Cost-Plus Pricing - Gas stations that use this pricing model base their product price on cost plus an additional amount for profit. This method is based on the assumption that all competitors are using it, and it takes into account the industry's average markup.
  • Target Costing - Gas stations that use this pricing model base their product price on the cost of producing or acquiring the product plus a target gross profit margin that takes into account both fixed and variable expenses.
  • Promotional Pricing - Small business owners often use promotional pricing to attract customers at different times of the day, week, or year. Promotional pricing can be effective because it tends to lower the customer's per-unit cost and incentivizes them to purchase more than one unit at a time.
  • Psychological Pricing - Gas stations use psychological pricing to convey status and quality via prices that end in $0.99, $9.99, and $199.99. This strategy works by leveraging the power of relative comparison to influence customer purchase decisions.

The Association for Convenience & Fuel Retailing

Preventing Leaks and Spills at Service Stations

Business Plan Template & Guide For Small Businesses

How to Open a Gas Station

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 through selling products like these.

Learn how to start your own Gas Station and whether it is the right fit for you.

Ready to form your LLC? Check out the Top LLC Formation Services .

Gas Station Image

Start a gas station by following these 10 steps:

  • Plan your Gas Station
  • Form your Gas Station into a Legal Entity
  • Register your Gas Station for Taxes
  • Open a Business Bank Account & Credit Card
  • Set up Accounting for your Gas Station
  • Get the Necessary Permits & Licenses for your Gas Station
  • Get Gas Station Insurance
  • Define your Gas Station Brand
  • Create your Gas Station Website
  • Set up your Business Phone System

We have put together this simple guide to starting your gas station. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

  • What are the startup and ongoing costs?
  • Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is important and challenging. If you don’t already have a name in mind, visit our How to Name a Business guide or get help brainstorming a name with our Gas Station Name Generator

If you operate a sole proprietorship , you might want to operate under a business name other than your own name. Visit our DBA guide to learn more.

When registering a business name , we recommend researching your business name by checking:

  • Your state's business records
  • Federal and state trademark records
  • Social media platforms
  • Web domain availability .

It's very important to secure your domain name before someone else does.

Want some help naming your gas station?

Business name generator, what are the costs involved in opening 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:

  • $2,000 for legal fees
  • $2,000 for insurance premiums
  • $3,000 for state permits
  • $5,000 for promotional signage
  • $10,000 for initial inventory
  • $20,000 for setting up a convenience store
  • $100,00 for setting up the gas station
  • $150,000 for purchasing a building

Depending on the location of a gas station and what buildout is involved, the startup costs for a particular station may be more or less. In some cases, the startup expenses can be much more than noted here.

What are the ongoing expenses for a gas station?

The ongoing expenses for gas station businesses are high. Gas stations must pay for the fuel they sell, which alone often runs over $1 million annual for many stations. They must also purchase other products that are sold, and pay employees’ wages, utilities, taxes and permit fees.

Who is the target market?

A gas station business’ ideal customer is either a family that’s traveling or a long-haul truck driver. Traveling families won’t purchase a lot of fuel, but they’ll frequently get snacks or beverages for everyone in the family. Long-haul truck drivers will also frequently purchase some food or a beverage, and they’ll also often spend hundreds of dollars filling up their truck’s tank.

While these are ideal customers, gas station business owners aren’t picky about whom they serve. Anyone who comes into a gas station is a likely customer and will probably spend at least a few dollars on an item.

How does a gas station 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:

  • Pre-made food (e.g. pizza and hot dogs)
  • Beverages (e.g. such as coffees, teas and sodas)
  • Snacks (e.g. ice cream, candy and chips)
  • Grocery staples (e.g. milk, bread and eggs)
  • Basic automotive supplies (e.g. windshield washer fluid and tire pressure gauges)
  • Beer and wine (if permitted by law)
  • Tobacco products and lottery tickets

The price of gasoline fluctuates on a daily basis, but most gasoline station businesses don’t try to make a lot on the fuel they sell. Instead, they use low fuel prices to attract drivers -- and then sell other products that have higher markups. Most gasoline stations have many pre-made foods, snacks, beverages and convenience items available for less than $5. Each sale may be small, but lots of sales over the course of a day can generate a significant revenue.

How much profit can a gas station make?

Gas stations can generate millions of dollars in revenue, but much of this is often consumed by ongoing expenses. In an example that JUX Law Firm provides, a gas station that earns $2.4 million annually might have ongoing expenses of $2.1 million, and that doesn’t take into account all the salaries and some other fees the gas station must pay. According to The Nest , gas station owners make around $70,000 each year. (Profits may increase once a station’s loan is paid off.)

How can you make your business more profitable?

Gas stations can add revenue streams and increase their profit margins by incorporating sideline businesses. Car washes, auto shops and restaurants are popular side businesses to add.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your gas station is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

  • Separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

  • Separate personal and business expenses by putting your business' expenses all in one place.
  • Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

State & Local Business Licensing Requirements

Certain state permits and licenses may be needed to operate a gas station. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits .

Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses .

Certificate of Occupancy

A gas station is usually run out of a storefront. Businesses operating out of a physical location typically require a Certificate of Occupancy (CO).  A CO confirms that all building codes, zoning laws and government regulations have been met.

  • If you plan to lease office space :
  • It is generally the landlord’s responsibility to obtain a CO.
  • Before leasing, confirm that your landlord has or can obtain a valid CO that is applicable to a gas station.
  • After a major renovation, a new CO often needs to be issued. If your place of business will be renovated before opening, it is recommended to include language in your lease agreement stating that lease payments will not commence until a valid CO is issued.
  • If you plan to purchase or build office space :
  • You will be responsible for obtaining a valid CO from a local government authority.
  • Review all building codes and zoning requirements for you business’ location to ensure your gas station will be in compliance and able to obtain a CO.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

FInd out what types of insurance your Gas Station needs and how much it will cost you by reading our guide Business Insurance for Gas Station.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

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 to 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.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

  • All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
  • Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
  • Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

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.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a gas station?

On a day-to-day basis, a gas station business owner or their employees will need to:

  • Accept shipments
  • Restock inventory
  • Prepare pre-made food and drinks (if offered)
  • Ring up sales for customers
  • Clean the gas station (e.g. empty trashes and clean the restrooms)

When not working on these tasks, business owners must also schedule and manage employees, place orders for products and pay bills.

What are some skills and experiences that will help you build a successful gas station?

Running a gas station business requires knowledge of many different aspects of business. Business owners must identify and source products that customers will want to purchase, hire and manage employees, place service orders when equipment malfunctions, and follow permitting laws in their area.

Business owners may want to take some business classes before opening a gas station, or they might want to work as a manager for another gas station first. Joining professional organizations, such as The Association for Convenience & Fuel Retailing , can also help business owners learn about the industry.

What is the growth potential for a gas station?

A gas station business owner may operate a single gas station, or they may have several in a region. Owners who have one station can operate as an independent business or a franchise, while those who have multiple stations in a region often elect to get franchises. Pronto Food Mart in Austin, Texas is an example of an independent station. Chevron is one gas company that has franchises available around the country.

TRUiC's YouTube Channel

For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a gas station?

Many business owners opt to purchase an existing gas station rather than open a brand new one. Purchasing an existing station provides more stable and predictable revenue, and it can make the permitting process easier because the station is already operating. A current list of gas stations for sale, which are priced from tens of thousands of dollars to well over $1 million, is available at BizBuySell .

How and when to build a team

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.

Useful Links

Industry opportunities.

  • Chevron Franchise
  • National Association of Convenience Stores

Real World Examples

Further reading.

  • Find more  Business Ideas  perfect for Small Towns!
  • Advice on Starting a Gas Station
  • Profile on a Small Gas Station

Have a Question? Leave a Comment!

How to Open a Gas Station: Everything You Need to Know

The gas station is sector is primarily defined by the station's location. When a motorist is running low on fuel on a long road trip, he or she doesn't have the option to choose between an independent station or a larger chain store. 3 min read updated on January 01, 2024

What Is a Gas Station?

Wondering how to open a gas station? Owning a gas station can be a smart business decision. But it's important to know how to open a gas station before you start. A gas station, also called a service station, offers all types of fuel products for motorists, including:

  • Liquid petroleum gas (LPG)

Some gas stations also offer electricity hookups for electric cars.

The typical fuel station has at least two and up to six pumps with 20 to 30 hoses for pumping fuel. A moderate fuel station typically pumps 325,000 to 350,000 liters of fuel every month, although the amounts vary based on usage. A gas station should offer more than just fuel. Most have an attached convenience store with products such as:

  • Automotive accessories
  • Other items for sale 

Add-on businesses offering niche services are more common at fuel stations, such as lodging or landscaping tools. A fuel station owner should double up with additional services to increase the chances of success.

The gas station is sector is primarily defined by the station's location. When a motorist is running low on fuel on a long road trip, he or she doesn't have the option to choose between an independent station or a larger chain store. The motorist will simply go wherever is closest to fuel up. 

Profit margins have been steadily increasing for gas stations, making for a good investment. While more secure fuel station owners own their own tanks and pumps, many owners lease their equipment as a conventional option.

Although a gas station can be unique in what it offers in addition to gas, it must also provide reliable service and make sure the tanks are filled so customers can get gas. Legal regulations also apply to service stations. Therefore, the owner should invest in liability insurance.  Fuel station owners can run their businesses in unique, individual ways. But they must always adhere to health and safety policies .

People rely on fuel across the globe for vehicles, including:

  • Lawn equipment
  • Recreational vehicles 

To achieve success when opening and operating a fuel station, the owner must plan carefully and have money available to invest. For most fuel stations, the owner must invest hundreds of thousands of dollars to enter into a  franchise agreement for a specific brand of fuel.

Opening a gas station in California requires more money upfront, as the state requires permits for:

  • Fire inspections
  • Underground operation of the tanks
  • Water discharge
  • Other health and safety concerns

In California, another regulation is double-walled tanks, even if the fuel will be stored far from a water supply. It is one of the only states to require these types of tanks. Regulations can make it challenging to open a business. But each state government offers a list of requirements so owners know what is needed. 

Although the cost of fuel is on the rise, this hasn't impacted the profit index for fuel stations.

Making A Business Plan for Your Gas Station

Before opening a gas station, the first step is to get a professional opinion from an accountant who can help you understand your income and estimated expenses. When you develop a business plan for your gas station, it should include detailed information instead of just including a basic outline. With a detailed, fleshed-out business plan, investors and lenders will be more interested in being part of the business.

The business plan should also include a full description of:

  • Additional amenities (e.g., car wash, vacuum, or air stations)

For example, the description should include the number of planned gas pumps, how many restrooms will be available for customers, and any types of food that will be sold in the convenience store. The business plan must also include a detailed analysis of the competition and local market.

Make sure to detail the locations of any similar businesses and how your station will succeed among the competition. Include detailed information in the plan about the management and organization of the service station. This information should include detail about the management, including who will:

  • Be responsible to manage the inventory and convenience store
  • Manage the financial aspects
  • Take care of legal issues

If you need help with how to start a gas station, you can  post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work on behalf of companies like Google, Menlo Ventures, and Airbnb.

Hire the top business lawyers and save up to 60% on legal fees

Content Approved by UpCounsel

  • Local Marketing Agreement
  • Oil and Gas Patents
  • How to Get Delivery Contracts
  • Royalty Law
  • How to Start a Convenience Store
  • Kansas LLC Search
  • Writing a Demand Letter That Gets Results
  • Best State to Start a Trucking Company
  • New Technology Patents
  • Kansas Business Entity Search

How to Write a Business Plan for a Gas Station

  • Small Business
  • Business Planning & Strategy
  • Write a Business Plan
  • ')" data-event="social share" data-info="Pinterest" aria-label="Share on Pinterest">
  • ')" data-event="social share" data-info="Reddit" aria-label="Share on Reddit">
  • ')" data-event="social share" data-info="Flipboard" aria-label="Share on Flipboard">

Frozen Food Business Plan

How to write a simple dry cleaner drop-off business plan, how to write a wedding planning business plan.

  • How to Write a Business Plan for an Animal Shelter
  • How to Add Polish Locale to Your Android

A business plan gives you a daily guide on how to run your gas station. It also comes in handy when you’re seeking financing to lease or buy a station and stock it with fuel and products. Once you complete the business plan you’re ready to write an executive summary that outlines how your gas station will provide a much-needed fueling resource while standing out from competitors and making a profit.

Describe the products and services your gas station will provide, including different grades of gas and types of oil. If you want customers to come inside, explain what products you plan to sell, such as snacks, chips, beverages, souvenirs, groceries or automotive products. To increase profits, you might also want to offer mechanical repairs or a car wash.

Discuss the market for opening a gas station in the area, and provide details about your competitors, including their pricing strategy, target market, strengths and weaknesses. Explain how there is a need for another gas station and how you will differentiate your station from the others, such as by offering convenience goods, automotive repairs or the lowest prices. Your competitive advantage might focus on selling gas on a busy street where no other gas stations exist. Or you might want to explain the benefits of adding another station to the mix since so many cars travel through the area because of a busy highway, an airport or a business complex.

Develop a sales and marketing strategy that draws customers and keeps them coming back each time they need to fill their tank. Your strategy might include offering a rewards program and erecting signs to let drivers know your gas prices. Mention advertising food and beverages at the pump if you plan to sell products inside the station. If your station is part of a franchise, provide details on the marketing and advertising the parent company provides.

Explain your background as an owner so investors know you’ve got the skills and experience to build a profitable station. If you lack experience, explain how the other businesses you’ve worked for or owned will help you make this venture successful. If you lack personal experience managing a gas station, find and detail the background of a manager to bring on board who knows the industry.

Prepare financial projections to determine the startup costs of leasing or buying a gas station and making the pumps operational. Your financial documents also need to show the cost of required licenses, payroll, utilities and environmental services. Calculate the revenues you anticipate from the sale of fuel, automotive products and concessions in your revenue projections.

  • Brooklyn College: How to Create an Effective Business Plan
  • Bplans: Convenience Store Gas Station Business Plan
  • Apex Petroleum: Service Station Plan
  • Write the one- to three-page executive summary after you finish the rest of the business plan.
  • Don’t leave out any weaknesses in your plan, such as the fact that there’s too much competition or not enough traffic in the area to sustain business, as investors usually discover these things. Then, they’ll wonder why you didn’t figure this out for yourself.

Nancy Wagner is a marketing strategist and speaker who started writing in 1998. She writes business plans for startups and established companies and teaches marketing and promotional tactics at local workshops. Wagner's business and marketing articles have appeared in "Home Business Journal," "Nation’s Business," "Emerging Business" and "The Mortgage Press," among others. She holds a B.S. from Eastern Illinois University.

Related Articles

How to write a business plan for car valeting, how to make a business plan for charter buses, how to make a haunted house business plan, how to make a business plan for a pool hall, owning an automotive service shop, how to make money with golf simulators, how to write a business plan for churches, how to open up a garage to work on cars, how to write a business plan for retail designer hats, most popular.

  • 1 How to Write a Business Plan for Car Valeting
  • 2 How to Make a Business Plan for Charter Buses
  • 3 How to Make a Haunted House Business Plan
  • 4 How to Make a Business Plan for a Pool Hall

BusinessPlanTemplate.com - The World's Leading Business Plan Template Directory

Gas Station Business Plan Template [Updated 2024]

 width=

Gas Station Business Plan

If you want to start a new gas station business or expand your current gas station, you need a business plan.

The following gas station business plan template gives you the key elements to include in a winning business plan for all types of gas stations including a petrol station, automotive services, filling stations and other gas stations.

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

Gas Station Business Plan Example

Below are links to each of the key sections of a sample business plan. Once you create your plan, download it to PDF to show banks and investors.

I. Executive Summary II. Company Summary III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

Comments are closed.

Gas Station Business Plan Home I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

download business plan template

Gas Station Business Plan Template & Guidebook

Starting a gas station business can seem like an intimidating journey, but with the right template and guidance, anyone can become a successful business owner. Get the ultimate #1 Gas Station Business Plan Template & Guidebook to help you understand the process and create a plan that will get you on the road to success.

Nick

Get worry-free services and support to launch your business starting at $0 plus state fees.

  • How to Start a Profitable Gas Station Business [11 Steps]
  • 25 Catchy Gas Station Business Names:
  • List of the Best Marketing Ideas For Your Gas Station Business:

How to Write a Gas Station Business Plan in 7 Steps:

1. describe the purpose of your gas station business..

The first step to writing your business plan is to describe the purpose of your gas station business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers’ problems. It also helps you identify what makes your business different from others in its industry.

It also helps to include a vision statement so that readers can understand what type of company you want to build.

Here is an example of a purpose mission statement for a gas station business:

The mission of XYZ Gas Station is to provide a reliable, friendly and convenient fuel source for our customers in the local community, while ensuring safe and secure transactions, competitive prices and a variety of product offerings.

Image of Zenbusiness business formation

2. Products & Services Offered by Your Gas Station Business.

The next step is to outline your products and services for your gas station business. 

When you think about the products and services that you offer, it's helpful to ask yourself the following questions:

  • What is my business?
  • What are the products and/or services that I offer?
  • Why am I offering these particular products and/or services?
  • How do I differentiate myself from competitors with similar offerings?
  • How will I market my products and services?

You may want to do a comparison of your business plan against those of other competitors in the area, or even with online reviews. This way, you can find out what people like about them and what they don’t like, so that you can either improve upon their offerings or avoid doing so altogether.

Image of Zenbusiness business formation

3. Build a Creative Marketing Stratgey.

If you don't have a marketing plan for your gas station business, it's time to write one. Your marketing plan should be part of your business plan and be a roadmap to your goals. 

A good marketing plan for your gas station business includes the following elements:

Target market

  • Who is your target market?
  • What do these customers have in common?
  • How many of them are there?
  • How can you best reach them with your message or product?

Customer base 

  • Who are your current customers? 
  • Where did they come from (i.e., referrals)?
  • How can their experience with your gas station business help make them repeat customers, consumers, visitors, subscribers, or advocates for other people in their network or industry who might also benefit from using this service, product, or brand?

Product or service description

  • How does it work, what features does it have, and what are its benefits?
  • Can anyone use this product or service regardless of age or gender?
  • Can anyone visually see themselves using this product or service?
  • How will they feel when they do so? If so, how long will the feeling last after purchasing (or trying) the product/service for the first time?

Competitive analysis

  • Which companies are competing with yours today (and why)? 
  • Which ones may enter into competition with yours tomorrow if they find out about it now through word-of-mouth advertising; social media networks; friends' recommendations; etc.)
  • What specific advantages does each competitor offer over yours currently?

Marketing channels

  • Which marketing channel do you intend to leverage to attract new customers?
  • What is your estimated marketing budget needed?
  • What is the projected cost to acquire a new customer?
  • How many of your customers do you instead will return?

Form an LLC in your state!

business plan for opening a gas station

4. Write Your Operational Plan.

Next, you'll need to build your operational plan. This section describes the type of business you'll be running, and includes the steps involved in your operations. 

In it, you should list:

  • The equipment and facilities needed
  • Who will be involved in the business (employees, contractors)
  • Financial requirements for each step
  • Milestones & KPIs
  • Location of your business
  • Zoning & permits required for the business

What equipment, supplies, or permits are needed to run a gas station business?

  • Gasoline Dispening System
  • Payment Processing System
  • Computers, Cash Registers and/or Point of Sale (POS) System
  • Security Cameras and Related Equipment
  • Air and Water Dispensers
  • Advertising Signage
  • Fuel Storage Tanks and Related Equipment
  • Fuel Delivery Truck and Accessories
  • Permits for Storage, Dispensing, and Selling of Gasoline/Petroleum Products from Local or State Government Authorities.

5. Management & Organization of Your Gas Station Business.

The second part of your gas station business plan is to develop a management and organization section.

This section will cover all of the following:

  • How many employees you need in order to run your gas station business. This should include the roles they will play (for example, one person may be responsible for managing administrative duties while another might be in charge of customer service).
  • The structure of your management team. The higher-ups like yourself should be able to delegate tasks through lower-level managers who are directly responsible for their given department (inventory and sales, etc.).
  • How you’re going to make sure that everyone on board is doing their job well. You’ll want check-ins with employees regularly so they have time to ask questions or voice concerns if needed; this also gives you time to offer support where necessary while staying informed on how things are going within individual departments too!

6. Gas Station Business Startup Expenses & Captial Needed.

This section should be broken down by month and year. If you are still in the planning stage of your business, it may be helpful to estimate how much money will be needed each month until you reach profitability.

Typically, expenses for your business can be broken into a few basic categories:

Startup Costs

Startup costs are typically the first expenses you will incur when beginning an enterprise. These include legal fees, accounting expenses, and other costs associated with getting your business off the ground. The amount of money needed to start a gas station business varies based on many different variables, but below are a few different types of startup costs for a gas station business.

Running & Operating Costs

Running costs refer to ongoing expenses related directly with operating your business over time like electricity bills or salaries paid out each month. These types of expenses will vary greatly depending on multiple variables such as location, team size, utility costs, etc.

Marketing & Sales Expenses

You should include any costs associated with marketing and sales, such as advertising and promotions, website design or maintenance. Also, consider any additional expenses that may be incurred if you decide to launch a new product or service line. For example, if your gas station business has an existing website that needs an upgrade in order to sell more products or services, then this should be listed here.

7. Financial Plan & Projections

A financial plan is an important part of any business plan, as it outlines how the business will generate revenue and profit, and how it will use that profit to grow and sustain itself. To devise a financial plan for your gas station business, you will need to consider a number of factors, including your start-up costs, operating costs, projected revenue, and expenses. 

Here are some steps you can follow to devise a financial plan for your gas station business plan:

  • Determine your start-up costs: This will include the cost of purchasing or leasing the space where you will operate your business, as well as the cost of buying or leasing any equipment or supplies that you need to start the business.
  • Estimate your operating costs: Operating costs will include utilities, such as electricity, gas, and water, as well as labor costs for employees, if any, and the cost of purchasing any materials or supplies that you will need to run your business.
  • Project your revenue: To project your revenue, you will need to consider the number of customers you expect to have and the average amount they will spend on each visit. You can use this information to estimate how much money you will make from selling your products or services.
  • Estimate your expenses: In addition to your operating costs, you will need to consider other expenses, such as insurance, marketing, and maintenance. You will also need to set aside money for taxes and other fees.
  • Create a budget: Once you have estimated your start-up costs, operating costs, revenue, and expenses, you can use this information to create a budget for your business. This will help you to see how much money you will need to start the business, and how much profit you can expect to make.
  • Develop a plan for using your profit: Finally, you will need to decide how you will use your profit to grow and sustain your business. This might include investing in new equipment, expanding the business, or saving for a rainy day.

business plan for opening a gas station

Frequently Asked Questions About Gas Station Business Plans:

Why do you need a business plan for a gas station business.

A business plan is necessary when starting any type of business, including a gas station. A business plan helps to define the scope and objectives of the venture, identify target markets, set detailed financial goals, and create a roadmap for achieving those goals. Additionally, a business plan serves as a valuable tool for seeking capital from potential investors or lenders.

Who should you ask for help with your gas station business plan?

You should start by consulting a business adviser, accountant or small business specialist to get expert advice on how to create an effective business plan. You may also want to seek the advice of people in the industry who are familiar with the gas station business. They can provide insights into successful strategies and best practices.

Can you write a gas station business plan yourself?

Yes, it is possible to write a business plan for a gas station yourself. However, it can be quite a complex and time-consuming process. It is recommended to consult with experts who specialize in the subject and have experience in business plan writing. An expert can work with you to identify the key elements of your business plan, develop strategies, and complete the necessary financial projections. Additionally, they can provide guidance on any relevant regulations or requirements that may apply in your area.

Related Business Plans

image of Home Inventory

Home Inventory Business Plan Template & Guidebook

image of Home Inspection

Home Inspection Business Plan Template & Guidebook

image of Home Decor

Home Decor Business Plan Template & Guidebook

image of Health And Wellness

Health And Wellness Business Plan Template & Guidebook

image of Hauling

Hauling Business Plan Template & Guidebook

image of Hardware

Hardware Business Plan Template & Guidebook

image of Handyman

Handyman Business Plan Template & Guidebook

image of Hair Extension

Hair Extension Business Plan Template & Guidebook

image of Handbag

Handbag Business Plan Template & Guidebook

I'm Nick, co-founder of newfoundr.com, dedicated to helping aspiring entrepreneurs succeed. As a small business owner with over five years of experience, I have garnered valuable knowledge and insights across a diverse range of industries. My passion for entrepreneurship drives me to share my expertise with aspiring entrepreneurs, empowering them to turn their business dreams into reality.

Through meticulous research and firsthand experience, I uncover the essential steps, software, tools, and costs associated with launching and maintaining a successful business. By demystifying the complexities of entrepreneurship, I provide the guidance and support needed for others to embark on their journey with confidence.

From assessing market viability and formulating business plans to selecting the right technology and navigating the financial landscape, I am dedicated to helping fellow entrepreneurs overcome challenges and unlock their full potential. As a steadfast advocate for small business success, my mission is to pave the way for a new generation of innovative and driven entrepreneurs who are ready to make their mark on the world.

  • Skip to main content
  • Skip to footer

Additional menu

Vaisus Consulting

Vaisus Consulting

Welcome to Vaisus Business Plans

Gas station business plan guideline

How to write a gas station business plan: Step-by-step guide

posted on 6:23 am

If you want to start a new gas station business, the first thing you will need is a comprehensive gas station business plan. A business plan will give you clarity on what you will need for your business, and the operational requirements. A business plan is also an important tool for acquiring financing from lenders or investors. This post outlines the important sections with a summary of the key points to capture when writing a gas station business plan.

At the end of this post, you can download a complete gas station financial forecast tool with 3-year financial projections including income statement, start-up costs, break-even analysis, and cash flow statement. This template has been used by gas station business owners to plan their business finances and apply for funding from banks and other lending institutions. 

Overview of a Business Plan  

A well-written business plan should include the following sections:

  • An executive summary

Introduction

  • Business industry and overview
  • Marketing strategy and analysis
  • Risks and significant opportunities

Location and assets

  • Management and human resource

Financial plan and budget

Executive summary  .

Your executive summary should outline how your gas station will provide fuel for motorists and at the same time stand out from competitors. It should be short and precise and appealing enough to capture the attention of your audience. The executive summary motivates the reader to read the entire plan. Its, therefore, important to highlight the key points for each so that the reader can grasp briefly what you intended to put across. Among the important points to articulate are your gas station business objectives, fuel business industry environment, fuel products and services, location, target market, competitive advantage (unique selling point), and the specific gap you will be filling.

This section introduces your gas station business by briefly describing the company profile,  mission, vision, core values, organizational structure, and strategic objectives. The profile gives a brief history of the business, the fuel products and services you will be offering, the location of the gas station, and your projected growth. The vision should include your long-term and short-term goals and how you will achieve them. Also, include the organizational structure, your daily workflow, and other operational activities that will make your business achieve your desired goals.

Business industry and overview 

In this section, you talk about industry trends and the external factors that affect the gas station business, both positively and negatively. Also, state the major players in the gas station with convenience stores business both nationally and your direct local competitors that influence your business. The major players in Canada you may mention include Suncor (Petro-Canada), Imperial Oil Limited (Esso), Shell, 7-Eleven, Superstore (Mobil), Co-op etc. Locally you can mention businesses at most five to ten kilometers from your desired location. Additionally, describe the products and services your gas station will offer, including the grades of gas and types of oil for instance regular gasoline, midgrade gasoline, premium gasoline, diesel fuel, automotive services, etc.

To increase your customer base, you may want to include other complementary products and services such as a convenience store that sells snacks, chips, alcoholic and non-alcoholic beverages, tobacco and lottery products, groceries, souvenirs, mechanical repair service, and automotive services such as car wash. Finally, mention the government and industry policies and regulations, permit requirements i.e. health, safety, and environment. Other than regulations, you can talk about your initiative of innovation and investment in the environment to show your interest in protecting communities, people, and the environment as a whole.

Market strategy and analysis  

A marketing strategy describes your overall game plan for reaching prospective. Talk about the marketing strategies you will use to introduce your gas station to the market and how you plan to attract and retain customers. One thing to note is that marketing in the gas station industry is highly dependent on your supplier’s brand name. Most customers are loyal to specific brands. You therefore have to choose your supplier diligently and brand your station to reflect your supplier’s brand image and standard of service. This way you will benefit from increased business due to their larger marketing efforts and customer loyalty programs, such as rewards programs with grocery stores.

Also, discuss in detail your specific target market list down your direct competitors, and write down a summary of their product/service offering, pricing strategy, target market, strengths, and weaknesses. Mention how you plan to differentiate your gas station from your competitors i.e., by offering in-demand convenience goods, automotive repairs, after-sale services (e.g. windscreen cleaning), your supplier’s brand image, etc. Your unique selling point may focus on your choice of location which can be an area with high traffic with no other existing gas station.

SWOT analysis

In your SWOT analysis, explain how you will maximize on your strengths and take advantage of the business opportunities. Also, indicate how you will minimize your weaknesses and threats. These points can touch on your target market, the location of the gas station, the fuel options, and industry trends. Some of the strengths as a result of industry trends you can mention include low capital requirements, low imports, high revenue per employee, and low product/ service concentration. Weaknesses on the other hand may include high competition and high customer class concentration. You may also want to mention the opportunities presented by the industry such as high revenue growth and high per capita disposable income. Threats majorly facing the industry that you will want to address in your mitigation strategies include the world oil price, which is expected to decrease, heavy regulation of the industry, low demand for fuel due to the pandemic, etc.

Mention where you plan to set up your gas station and indicate why you selected that area. If you have any future growth plans list down the locations, where you plan to open other gas stations. State your equipment and fuel procurement plans indicating where you plan to buy or lease your gas station and convenience store and oil depot solution which are necessary for the operation of the business.

Gas station business plan

Management and human resources

This section identifies the personnel responsible for the running and management of the business. Here you talk about the founders, team leader, or manager of your business, the entire employee workforce, their roles, and employee benefits. Also, discuss their profiles pointing out how suitable they are for the running of the business.

Insurance for a Gas Station Business

From leaky fuel tanks to burglaries, running a gas station can be a risky endeavor. Insurance will secure the business in the event of unanticipated circumstances. You therefore should state the insurance packages you will be having.

This is the most important section of your business plan to your audience. The investor or lender will want to know how your business is going to perform financially. Prepare financial projections for the next five years to determine the start-up costs of leasing or buying a gas station and making the pumps operational. Your financial documents should show the cost of required licenses, insurance, payroll, interest expense for servicing the loan or return to the investor, utilities, and environmental services. Calculate the revenues you anticipate from the sale of fuel, automotive products, and concessions in your revenue projections

Conclusion  

In summary, a gas station business plan document is a requirement in the business planning process. It enables you to realize your vision and achieve your goals. A well-crafted, comprehensive, and appealing plan for your gas station will enable you to capture all aspects of your business in an enticing manner. You can get in touch with us at Vaisus Consulting to help you prepare an exhaustive, funding-ready gas station business plan that is customized to meet your needs. To speak with one of our consultants,  schedule an appointment  with us.

Barbershop Excel Financial Forecast Template: Financial Projections Calculation | Barbershop Bookkeeping Template |  Profit Analysis

Barbershop Excel Financial Forecast Template: Financial Projections Calculation | Barbershop Bookkeeping Template | Profit Analysis

Barbershop Excel Financial Forecast Template: Financial Projections Calculation | Barbershop Bookkeeping Template |  Profit Analysis

Gas Station Financial Template | Gas Station Excel Spreadsheet for Budgeting | Gas Station Excel Financial Forecast Tool

Restaurant Financial Planner Excel Template | Profit Analysis, Budgeting, Financial Management l Restaurant Financial Template

Restaurant Financial Planner Excel Template | Profit Analysis, Budgeting, Financial Management l Restaurant Financial Template

Trucking Company Excel Financial Forecast Template: Financial Projections Calculation Excel Template | Trucking Profit Analysis l Trucking Financial Forecast

Trucking Company Excel Financial Forecast Template: Financial Projections Calculation Excel Template | Trucking Profit Analysis l Trucking Financial Forecast

Barbershop Excel Financial Forecast Template: Financial Projections Calculation | Barbershop Bookkeeping Template | Profit Analysis

Product categories

  • Financial Projections
  • Small Business - Business Plans

ProfitableVenture

Gas Station Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » Oil & Gas Industry » Gas Station

Gas Station Business

Are you about starting a gas station with convenience store ? If YES, here is a complete sample gas station business plan template & (petrol filling station) feasibility report for starting a gas station .

Starting a gas station or filling station or petroleum station as it is typically called in some parts of the world is indeed one of the means of owning a business portfolio in the oil and gas industry. This is for sure one business that has made a lot of people millionaires or even billionaires.

It is true that playing in the gas industry might require loads of funds, but in the long run it sure does pay. If you are looking to start a gas station business, the care has to be taken in deciding on the area you want to delve into. You will also be required to carry out various market researches.

Why is this important, you may ask? This is especially important because of the level of knowledge about the trade that you will be required to garner. Knowledge is indeed very important in the gas industry.

Yet another thing that you would have to take really seriously is the writing of a business plan. The business plan is one manuscript that has continued to be important. This is because it serves as a good blueprint on top which every business should be built.

On the other hand, not everyone knows how to write a business plan. This is because of the technicality which is involved in the activity. That said now here is a sample gas station business plan;

A Sample Gas Station Business Plan Template

1. industry overview.

A gas station which also called a petrol station, filling station, fueling station, or service station is a business facility which retails gasoline (petrol), diesel and lubricants for motor vehicles. Gas stations offer one of three types of service to their customers: full service, minimum service or self-service.

A full service gas station has attendants who operates the pumps, often wipes the windshield, and sometimes checks the vehicle’s oil level and tire pressure, then collects payment and perhaps a small tip and a minimum service gas station has attendants that operates the pumps.

This is often required due to laws in some cities that prohibit customers from operating the pumps themselves. While in self – service gas stations the customer performs all required service. Instructions informing the customer of filling procedures and cautions are clearly displayed on each pump.

Customers are expected to go to the store or go to a booth to give payment to an employee of the station and lastly we have the unmanned gas station that make use of card – lock (or pay-at-the-pump) system, these gas station are completely unmanned.

The Gas Stations industry over the years has experienced a modest amount of volatility. As a matter of fact, as more Americans acquire automobiles, the total vehicle miles increased and this gives room to increase in the demand of gasoline.

So also, as per capita disposable income continued to increase, some automobile owners would choose to go for premium fuel, which is priced higher than lower-octane fuel.

Just like other industry, the Gas Stations industry has also experienced its fair share of ups and downs over the last five years. As a result of strengthening domestic economy and improvement in employment over the early part of the last five years, the Gas Station Industry also experienced improvement in performance.

The Gas Station industry is indeed a very large industry and pretty much thriving in all the parts of the world. Statistics has it that in the united states of America alone, there are about 10,719 licensed Gas Station businesses responsible for employing about 120,226 employees and the industry rakes in a whopping sum of $106bn annually.

The major breakthrough in the gas station industry came as a result of the increase in automobile ownership which can be attributed to Henry Ford when he started to sell automobiles that the middle class could afford resulted. The gas industry therefore, experienced a great boom that has continued to affect nearly all economies of the world.

In the bid to stay afloat in the highly competitive gas station industry, owners of gas stations now go the extra mile to ensure that they make their facility welcoming and conducive for customers. Gas stations now have vulcanizing services, car wash, convenience stores, coffee bars, snack bars, and cigar lounge within their facility so as to leverage on the opportunities around them to generate more income.

Although the gas station industry can be said to be a competitive industry, but it does not in any way stop entrepreneurs who are creative and financially capable to still make headway in the industry. It is indeed a profitable industry especially when the business is well located.

No doubt busy highways and busy cities with growing population is highly suitable for gas stations. The catch is that if there are automobile users in any city, then the city would have need for a gas station.

2. Executive Summary

Sunny Star® Gas Station is a fully registered and licensed standard gas station that will be located along a busy highway in Miami – Florida, U.S. Our chains of gas stations that will be scattered all around major cities in the United States of America will adopt full service, minimum service and self-service as it suits the location

Our basic services and products offering to our highly esteemed customers as a standard gas station are retailing of gasoline (petrol), diesel and lubricants for motor vehicles. We will make sure that we give our consumers nothing short of the very best.

We will also run a convenience store, car wash, vulcanizing services, wheel balancing services, wheel alignment services and other related automobile repair services.

We are quite aware that in order to become the number one choice for automobile owners who ply the route where our gas stations will be located, we must continue to make our gas station welcoming, easy to operate and that is exactly what we will do.

We are open to the use of latest technology in the gas station industry. No doubt our excellent customer service and the range of additional complementary services we offer will position us to become one of the most preferred gas stations in Miami – Florida.

At Sunny Star® Gas Station, we are passionate in the pursuit of excellence and financial success with uncompromising services and integrity.

We are in the industry to make a positive mark. We are quite optimistic that our values and quality of products and service offering will help us drive our gas station business to enviable heights and also help us attract the numbers of clients that will make the business highly profitable.

We are a company that will be dedicated to establishing and maintaining the best practices as it relates to the gas station industry. Sunny Star® Gas Stations will ensure that all our customers are given first class treatment whenever they visit our gas stations. Customer care is one of the tools that we plan to have in order to charm our clients and turn them to loyalists.

We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large the numbers of our customer base may grow to. We will ensure that we get our customers involved when making some business decisions that will directly or indirectly affect them.

Sunny Star® Gas Stations is owned and managed by Mr. Craig McCarthy and family. The business will be financed by the Mr. Craig McCarthy family and they will be actively involved in the day to day operation of the Gas stations. Mr. Craig McCarthy has a B.Sc. in Business Administration and Management and he has well over 15 years of experience in the service industry.

3. Our Products and Services

Sunny Star® Gas Station is a fully registered and licensed standard gas station that is positioned in the gas station industry in the United States of America to maximize profits. Aside from the point that we will be retailing gasoline and diesel, we will also engage in other complimentary services that will help us maximize profits.

We have designed products and services that will not only help to meet the demands of the people, but also to put good money in our pockets. These are the products and services that will be made available to our customers;

  • Automotive services (e.g. repairs, car washes and general parts)
  • Non automotive fuel
  • Retailing automotive fuels (e.g. diesel fuel and gasoline)
  • Selling automotive-related goods
  • Providing automotive-repair services
  • Providing Wheel Alignment, Wheel Balancing and Vulcanizing Services
  • Retailing of Groceries and soft drinks et al

4. Our Mission and Vision Statement

  • Our Vision is to operate chains of gas stations in major cities in the United States of America.
  • Our mission is to develop a highly successful and profitable chains of gas station business with state of the art facility and latest technology; a business that will not only meet the needs of her clients but also supersede their expectations.

Our Business Structure

Sunny Star® Gas Stations is set to become one of the leading gas station business in the whole of Florida and other cities where our chains of gas stations will be located hence the need for us to build a solid business foundation and business structure that will enable us achieve our aims and objectives.

Excellent customer service and efficiency are top priority for us which is why we will ensure that we look for applicants that match the picture of the business who want to build before hiring them. Although we will provide trainings in areas such as excellent customers services et al, but we will ensure that we shortlist applicants that are customer centric.

In essence, we want to build a team, a dedicated workforce that will work together to help the organization achieve its set targets. We will not only hire attendants that will help supervise our gas stations and attend to customers need when they patronize our services.

But we will also hire employees that will manage our convenience store, cash wash, coffee café, cigar lounge, snacks bar, vulcanizing services, wheel balancing, wheel alignment and other automobile repair and maintenance services. Sunny Star® Gas Stations will employ customer centric and skilled people to occupy the following position;

  • Chief Executive Officer

Gas Station Manager

Accountant / Cashier

  • Human Resource and Admin Manager
  • Pump Attendant
  • Convenience Store, Coffee Café, Snacks Bar, Cigar Lounge Manager

Vulcanizing Services, Wheel Balancing, Wheel Alignment and Automobile Repairs and Maintenance Manager

  • Carwash Manager
  • Security Guard

5. Job Roles and Responsibilities

Chief Executive Officer – CEO (Owner):

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization
  • Responsible for overseeing the smooth running of the gas station
  • Map out strategy that will lead to efficiency amongst workers
  • Responsible for training, evaluation and assessment of workers
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Ensures that the gas station meets the expected safety and health standard at all times.

Human Resources and Admin Manager

  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
  • Defines job positions for recruitment and managing interviewing process
  • Carrying out staff induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Oversee the smooth running of the daily office and factory activities.

Convenience Store, Coffee Café, Snacks Bar, and Cigar Lounge Manager

  • Interact with customers; take orders for coffee and snacks.
  • Responsible for preparing different flavor and style of coffee for customers
  • Make lists of supplies in conjunction with the bar manager
  • Ensure that each cup of coffee that leaves the kitchen is tailor made and meet the request of each customer
  • Responsible for quality control
  • Assess customers’ needs and preferences and make recommendations
  • Make lists of supplies in conjunction with the management
  • Prepare inventory or purchase requisitions as needed to replenish supplies.
  • Ensure that the assigned bar area is fully equipped with tools and products needed for Mixing beverages and serving guests.
  • Responsible for managing the cigar lounge
  • Prepare inventory or purchase requisitions as needed to re – stock the lounge.
  • Clear ashtrays regularly
  • Ensure that the assigned lounge area is fully equipped with tools and products needed to by our clients
  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risks analysis.
  • Performs cash management, general ledger accounting, and financial reporting
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for the organization
  • Serves as internal auditor for the organization

Pump Attendants

  • Mans the various gas pump machines (in fully services gas stations)
  • Assists customers as required by them especially on how to operate our gas pump machines (in self – service gas stations)
  • Provides change for customers
  • Handle any other duty as assigned by the gas station manager
  • Responsible for running our vulcanizing services, wheel balancing services, wheel alignment services and automobile repairs maintenance services
  • Assists customers as required by them especially when it relates to choosing the right lubricants to use and the right time to service their automobiles
  • Handles any other duty as assigned by the gas station manager

Car wash Manager

  • Wash and thoroughly clean cars (exterior car washing, interior cleaning, and waxing services), trucks and bikes et al
  • Handle and move objects, such as glasses, dish and bottles, using hands and arms.
  • Cleans up after customers and clean work area.
  • Clears ashtrays as and when required.
  • Washes glassware and utensils after each use.
  • Maintains a clean working area by sweeping, vacuuming, dusting, cleaning of glass doors and windows, etc. if required.
  • Ensures that toiletries and supplies don’t run out of stock
  • Handle any other duty as assigned by the gas station manager.

Security Guards

  • Ensures that the facility is secured at all time
  • Controls traffic and organize parking
  • Gives security tips to staff members from time to time
  • Patrols around the building on a 24 hours basis
  • Submits security reports weekly

6. SWOT Analysis

Knowing the strength and weakness of any business is one of the right steps to take in business. No doubt starting a gas station is indeed capital intensive especially for aspiring entrepreneurs who may not have huge sum of money saved up in a bank.

We are aware that it will require loads of cash to set up a standard gas station in Miami – Florida which is why we decided to do all that is required to build a profitable business; we don’t intend to invest our hard earn money in a business that we know we are not truly cut out for.

One of the tools that is required to position us in building a successful gas station business is SWOT Analysis . We hired the services of Dr. Memphis Iverson, an HR and Business consultant who is based in Miami Florida to help us conduct SWOT analysis for our company and he did a pretty good job for us.

Here is a of the result we got from the SWOT analysis that was conducted on behalf of Sunny Star® Gas Stations, Miami – Florida;

Sunny Star® Gas Stations is centrally located along one of the busiest highways in Miami – Florida; our location is in fact one of our major strength. Aside from the basic service that we offer, we also offer complimentary services that most of our competitors are not offering.

So also the vast experience of our management team, we have people on board who are highly experienced and understands how to grow business from the scratch to becoming a national phenomenon and our attendants are well groomed to handle various classes of customers; our excellent customer service culture will definitely count as a strong strength for the business.

Our perceived weakness could be the fact it is a new gas station business which is owned by an individual (a small family), and we may not have the financial capacity to sustain the kind of publicity that can give us leverage and start operating chains of gas stations in various cities in the United States as planned.

  • Opportunities:

We are centrally located in one of the busiest highways in Miami – Florida and we are open to all the available opportunities that the city has to offer.

Our business concept also positioned us to attract people who like doing their shopping, washing and servicing their automobile in gas stations. Miami is one of the densely populated cities in Florida, and indeed populations translate to opportunities.

One of the major threats that confront businesses all over the world is economic downturn; when the economy is bad it affects consumers spending which in turn impacts businesses negatively. Another threat that we are likely going to face to confront us is the emergence of a new gas station within the same location where ours is located.

7. MARKET ANALYSIS

  • Market Trends

There is hardly anyone who doesn’t have a need for gas, this is why it is really vital that one keys into this industry. One of the trends in the gas station industry is that, in the bid to stay afloat in the highly competitive gas station industry, owners of gas stations now go the extra mile to ensure that they make their facility welcoming and conducive for customers.

Gas stations now have vulcanizing services, car wash, convenience stores, coffee bars, snack bars, and cigar lounge within their facility so as to leverage on the opportunities around them to generate more income.

Another trend is the adoption of the underground modular gas station model. The underground modular gas station is a construction model for gas stations that was developed and patented by U-Cont Oy Ltd which is based in Finland in 1993.

Subsequently the same system was used in Florida, USA. While the Above-ground modular gas stations were built in the 1980s in Eastern Europe and especially in Russia Federation, but they were not adopted in other parts of Europe because of the stations’ lack of safety in case of fire outbreak.

8. Our Target Market

Before choosing a location for our gas station business, we conducted our feasibility studies and market survey and we were able to identify the location that will benefit greatly from our products and service offerings which is why we deiced to settle for Miami – Florida.

Essentially those who will benefit from our service offering are automobile owners / drivers and they are of course busy corporate executives, business owners, households, students and travelers / visitors / tourist et al. They are the category of people that we intend marketing our gas station services to.

Our Competitive Advantage

From our recently concluded feasibility studies and market survey, we observed that there are several gas station businesses spread all over the city of Miami – Florida, as a matter of fact, there are about 3 standard gas stations close to same locations as ours. This goes to show that there is stiffer competition in the industry.

Before launching our gas station we have critically studied the market and we know that we have some form of competitive edge. Our competitive advantage is that we have a standard gas station facility that offers additional complementary services that will definitely help us attract and retain customers.

Another competitive advantage that we have is the vast experience of our management team, we have people on board who are highly experienced and understands how to grow business from the scratch to becoming a national phenomenon.

So also the wide varieties of other complimentary services and products that we offer and of course our excellent customer service culture will definitely count as a strong strength for the business. One thing is certain, we will ensure that in future, we open our gas stations in various cities in the United States of America and also sell our franchise. With that our brand will be well communicated and accepted nationally.

9. SALES AND MARKETING STRATEGY

Sources of Income

Sunny Star® Gas Station is established with the aim of maximizing profit in the gas station industry in the United States of America and we are going to go all the way to ensure that we do all it takes to generate enough incomes from both our basic product and services offerings and our complimentary services. Sunny Star® Gas Station will generate income by offering the following services and products;

10. Sales Forecast

It is important to state that our sales forecast is based on the data gathered during our feasibility study and also some of the assumptions readily available on the field with reference to similar business in Miami – Florida. We know that we are well positioned and we will definitely attract clients that will not only patronize our gas station but will also patronize our complimentary services which will help increase our income.

Below is the sale projection for Sunny Star® Gas Station, it is based on the location of our gas station and the type of services and products that we will be offering;

  • First Year-: $500,000
  • Second Year-: $1,500,000
  • Third Year-: $2,500,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any gas station offering same additional services like us within 4.5 miles radius from our gas station facility.

  • Marketing Strategy and Sales Strategy

The marketing strategy for Sunny Star® Gas Station is going to be driven basically by making available standard and safe gasoline and diesel et al, excellent customer service and provision of complementary services. We will work hard to build a loyal customer base; customers that will always patronize us over and over again and as well help us use word of mouth publicity to get their friends and acquaintance to patronize us.

We want to drive sales via making available easy to use fuel pumping machines (for self – services) et al. We are quite aware of how satisfied customers drive business growth especially businesses like gas station which is why we will always ensure that our customer service and facility are top notch.

Over and above, our unique selling proposition is that we have various complementary service offerings such as convenience store, coffee café, snacks bar, cigar lounge, vulcanizing services, wheel balancing, wheel alignment, carwash and automobile repairs and maintenance services. We will also retail lubricants and other related products.

In view of that, we are going to adopt the following strategies to ensure that we do not only attract customers but ensure that they become loyal customer. Part of the marketing and sales strategies that we will adopt are;

  • Introduce our gas station by sending introductory letters to residence, transport companies, merchants and other stakeholders both in Miami and in other cities in the State of Florida
  • Open our gas station with a party so as to capture the attention of residence who are our first targets
  • Advertise our gas station on national dailies, local TV stations and local radio station
  • Promote our gas station online via our official website and all available social media platforms
  • Continuously Improving the performance of our brands
  • Hire the services of experts to make our brands the first choice for in Miami and other cities where we will open a gas station
  • Delivering consistent customer experiences to all our clients; making our first impression count positively
  • Make use of attractive handbills to create awareness and also to give direction to our gas station
  • Adopt direct mailing coupon marketing approach
  • Position our signage / flexi banners at strategic places
  • Create a loyalty plan that will enable us reward our regular customers
  • Engage on road shows within our neighborhood to create awareness for our Laundromat business.

11. Publicity and Advertising Strategy

Despite the fact that our gas station is a standard one with a wide range of other complimentary services and products that can favorably compete with other leading brands in the gas station industry, we will still go ahead to intensify publicity for all our products and brand. We are going to explore all available means to promote Sunny Star® Gas Station.

Sunny Star® Gas Station has a long term plan of opening our gas stations in various locations all around key cities in the United States of America which is why we will deliberately build our brand to be well accepted in Miami – Florida before venturing out.

As a matter of fact, our publicity and advertising strategy is not solely for selling our products and services but to also effectively communicate our brand. Here are the platforms we intend leveraging on to promote and advertise Sunny Star® Gas Station;

  • Place adverts on both print (community based newspapers and magazines) and electronic media platforms
  • Sponsor relevant community programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, et al to promote our brand
  • Install our BillBoards on strategic locations in Miami – Florida and all around major cities in the United States of America
  • Engage in road show from time to time in targeted communities
  • Distribute our fliers and handbills in target areas
  • Position our Flexi Banners at strategic positions in the location where we intend getting customers to start patronizing our products and services.
  • Ensure that all our staff members wear our customized clothes, and all our official cars, fuel tankers and trucks are customized and well branded.

12. Our Pricing Strategy

It is the wish of all businesses to have a pricing system that will yield loads of profits for them; as such we are working on having very competitive pricing.

At Sunny Star® Gas Station, our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more (except for premium and customized services) and we don’t intend to charge less than our competitors are offering in Miami – Florida.

Be that as it may, the management of Sunny Star® Gas Station have put plans in place to offer discounts for our complimentary services and products once in a while and also to reward our loyal customers especially when they refer clients to us.

The prices of our products (snacks, cup of coffee, cigar, detergents et al) and services (vulcanizing, wheel balancing, wheel alignment, car wash, and automobile repair and services) will be same as what is obtainable in any part of the United States of America.

  • Payment Options

At Sunny Star® Gas Station, our payment policy is all inclusive because we are quite aware that different people prefer different payment options as it suits them. We will work really hard to make sure that all our clients are given payment methods that suit them. Here are the payment options that will be available in every of our outlets;

  • Payment by cash
  • Payment via Point of Sale (POS) Machine
  • Payment via online bank transfer (online payment portal)
  • Payment via Mobile money

In view of the above, we have chosen banking platforms that will help us achieve our payment plans without any itches.

13. Startup Expenditure (Budget)

When it comes to starting a gas station business, loads of factors influences the amount that will be required to successful launch the business.

Factors like the location you intend starting the business, the size of gas station business you want to start i.e. the number of complimentary services you want to add to the business, and of course the state of the economy as at when you intend start the business. This is the key areas where we will spend our start – up capital on;

  • The Total Fee for Registering the Business in Miami – Florida – $750.
  • Legal expenses for obtaining licenses (Health department license and business license) and permits (Fire department permit, Air and water pollution control permit, and Sign permit et al) – $4,500.
  • Marketing promotion expenses (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
  • Cost for hiring Business Consultant – $2,000.
  • Insurance (general liability, theft, workers’ compensation and property casualty) coverage at a total premium – $30,800.
  • Cost of accounting software, CRM software and Payroll Software – $3,000
  • Cost for leasing facility for the gas station – $70,000.
  • Cost for facility remodeling – $50,000.
  • Other start-up expenses including stationery – $1000
  • Phone and Utilities (gas, sewer, water and electric) deposits – ($3,500).
  • Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $40,000
  • The cost for Start-up inventory – $250,000
  • Storage hardware (bins, utensil rack, shelves, glasses case) – $2,720
  • The cost for Washer hook-up fees (sewer connection) – $800
  • Cost for serving area equipment for coffee café and snacks bar ( glasses, flatware) – $5,000
  • Cost for fuel dispensing machines and equipment (automobile repair tools, vulcanizing tools, and wheel alignment tools- $250,000
  • The cost for the purchase of furniture and gadgets (Printers, Telephone, TVs, Sound System, vacuum cleaner, tables and chairs et al) – $30,000.
  • The cost of Launching a Website – $600
  • The cost for our grand opening party – $5,500
  • Miscellaneous supplies (cleaning supplies, soap, invoices for wash-and-fold, bathroom supplies, etc.) – $10,000

We would need an estimate of $1 million to successfully launch our gas station business in Miami – Florida. Please note that the startup cost is higher than the average startup cost for a gas station business simply because we intend adding coffee café, snacks bar, cigar lounge, car wash, convenience store and other complimentary services.

Generating Funding / Startup Capital for Sunny Star® Gas Station

Sunny Star® Gas Station is a family business that is owned and financed by Mr. Craig McCarthy and family. They do not intend to welcome any external business partner which is why he has decided to restrict the sourcing of the start – up capital to 3 major sources.

These are the areas we intend generating our start – up capital;

  • Generate part of the start – up capital from personal savings and sell of stocks
  • Source for soft loans from family members and friends
  • Apply for loan from my Bank

N.B: We have been able to generate about $250,000 (Personal savings $200,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $750,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.

14. Sustainability and Expansion Strategy

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If any of these factors is missing from a business (company), then it won’t be too long before the business close shop.

Sunny Star® Gas Station will ensure that all the factors listed above are reinforced on a regular basis, we will continue to improvise with our products and services and also we will engage in continuous capacity building of our workforce. As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of five years or more.

We will make sure that the right foundation, structures and processes are put in place to ensure that staff welfare is well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.

Check List / Milestone

  • Business Name Availability Check: Completed
  • Business Registration: Completed
  • Opening of Corporate Bank Accounts: Completed
  • Securing Point of Sales (POS) Machines: Completed
  • Opening Mobile Money Accounts: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of Insurance for the Business: Completed
  • Leasing of facility and construction of our gas station: In Progress
  • Conducting Feasibility Studies: Completed
  • Generating capital from family members: Completed
  • Applications for Loan from the bank: In Progress
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents and other relevant Legal Documents: In Progress
  • Design of The Company’s Logo: Completed
  • Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
  • Recruitment of employees: In Progress
  • Purchase of fuel dispensing machines (pumps) and equipment (automobile repair tools, vulcanizing tools, and wheel alignment tools: Completed
  • Purchase of the Needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business both online and around the community: In Progress
  • Health and Safety and Fire Safety Arrangement (License): Secured
  • Opening party / launching party planning: In Progress
  • Establishing business relationship with vendors – wholesale suppliers / merchants: In Progress
  • Purchase of fuel tankers and trucks: Completed.

Related Posts:

  • Natural Gas Distribution Business Plan [Sample Template]
  • Diesel Distribution and Supply Business Plan [Sample Template]
  • How to Do SWOT Analysis for a Gas Station
  • How Much Do You Tip Gas Station Attendants? Is It Ethical?
  • 3 Best Led Canopy Light for Gas Station

Need a business plan? Call now:

Talk to our experts:

  • Business Plan for Investors
  • Bank/SBA Business Plan
  • Operational/Strategic Planning
  • L1 Visa Business Plan
  • E1 Treaty Trader Visa Business Plan
  • E2 Treaty Investor Visa Business Plan
  • EB1 Business Plan
  • EB2 Visa Business Plan
  • EB5 Business Plan
  • Innovator Founder Visa Business Plan
  • UK Start-Up Visa Business Plan
  • UK Expansion Worker Visa Business Plan
  • Manitoba MPNP Visa Business Plan
  • Start-Up Visa Business Plan
  • Nova Scotia NSNP Visa Business Plan
  • British Columbia BC PNP Visa Business Plan
  • Self-Employed Visa Business Plan
  • OINP Entrepreneur Stream Business Plan
  • LMIA Owner Operator Business Plan
  • ICT Work Permit Business Plan
  • LMIA Mobility Program – C11 Entrepreneur Business Plan
  • USMCA (ex-NAFTA) Business Plan
  • Franchise Business Planning 
  • Landlord Business Plan 
  • Nonprofit Start-Up Business Plan 
  • USDA Business Plan
  • Cannabis business plan 
  • eCommerce business plan
  • Online Boutique Business Plan
  • Mobile Application Business Plan
  • Daycare business plan
  • Restaurant business plan
  • Food Delivery Business Plan
  • Real Estate Business Plan
  • Business Continuity Plan
  • Buy Side Due Diligence Services
  • ICO whitepaper
  • ICO consulting services
  • Confidential Information Memorandum
  • Private Placement Memorandum
  • Feasibility study
  • Fractional CFO
  • How it works
  • Business Plan Examples

Gas Station Business Plan Sample

Mar.26, 2018

Average rating 3.8 / 5. Vote count: 6

No votes so far! Be the first to rate this post.

business plan for opening a gas station

Table of Content

Do you want to start gas station business?

Are you thinking of starting a gas station ? A gas station was also known as a petrol station is a business that retails diesel, gasoline and various types of motor vehicle lubricants. The increase in the number of automobiles has pushed up the demand for gasoline and diesel which makes the  gas station business plan a lucrative venture. The oil and gas industry has in recent times gone through various challenges, but it still remains one of the most lucrative business sectors. Investing in a gas station requires a significant amount of investment, but with a sound business strategy , you can be assured of recovering your entire investment.

Executive Summary

2.1 the business.

The gas station will be registered under the name Savoy Gas and will be located in Princeton, New Jersey on Exit 2 off the New York Philadelphia interstate highway. This is an excellent location considering the high amount of vehicular traffic that uses the highway on a daily basis. Savoy gas station will be owned and managed by Mike Wall who is a Petroleum Engineer.

2.2 Management Team

Mike Wall is an expert Petroleum Engineer who has had a successful career spanning over twenty-five years. Mike has worked for large and reputable international organizations in the oil and gas industry. He has overseen numerous large-scale industry projects that have earned him respect and recognition in the industry.

2.3 Customer Focus

Savoy Gas Station aims to offer a fully equipped gas station facility for motorists using the busy Interstate highway. Identifying potential customers is a critical step of starting your own gas station business plan .

2.4 Business Target

To succeed in its mandate, the gas station intends to focus on harnessing the latest technologies in the oil and gas industry to offer quality and reliable services to motorists.

Company Summary

3.1 company owner.

Mike Wall is a Petroleum Engineer who has worked for several high profile oil and gas companies across the United States. He is credited for his professionalism and spearheading of numerous technical projects. Mike has worked in various senior capacities in different organizations, as well as participated in numerous local, regional and global petroleum conferences.

3.2 Aim of Starting the Business

Starting your own gas station requires a good understanding and knowledge of the oil and gas industry. Having been in the industry for almost three decades, Mike was deeply involved in policy making and technical implementation of gas station projects. Working closely with gas station stakeholders, Mike thought it would be a great idea to transfer his expertise to entrepreneurship.

3.3 How the Business will be Started

As a Petroleum Engineer, Mike Wall already has the technical knowhow of the infrastructure and technologies required to start a gas station. However, he has closely worked with financial experts to formulate a sound financial plan to support the business model. The following is key financial information for Savoy Gas station.

Services for Customers

Savoy Gas station is focused on offering a professional service in line with the growing demand for well-equipped gas station facilities in Princeton, New Jersey. Opening a gas station requires great innovation in service delivery. Savoy Gas station will offer the following diversified services.

  • Provision of retail gasoline and diesel
  • Selling automotive related products such as oil and lubricants
  • Automotive repair services i.e. Wheel Balancing, Wheel Alignment and Vulcanizing
  • Selling soft drinks, snacks, groceries and selected household items.

Marketing Analysis for Gas Station Business

For Savoy Gas station to be successful, a comprehensive market analysis was carried out to pinpoint areas of focus that will drive business development.

This gas station business plan sample explains the strategy the gas station intends to follow to meet its targets. Using this strategy, the business intends to get a good amount of revenue considering it lies on a main interstate highway that is used by thousands of commuters on a daily basis. Currently, commuters don’t have a well-equipped shop where they can get adequate food supplies while travelling since the nearest gas station is over 15 miles away.

Operational and Strategic Planning

5.1 market segmentation.

After realizing there are few gas stations around Princeton area off the interstate highway, Savoy Gas has found a market it can effectively explore and provide a critical service for its customers. Based on market research and findings, the business is targeting the following customers for inclusion in its gas station marketing plan . Anyone looking for gasoline and diesel as well as a well-stocked food and drinks outlet is a potential customer for the business.

5.1.1 Automobile Owners

Automobile engines rely on gasoline and fuel in order to operate efficiently. Savoy Gas station will be located on the main New York to Philadelphia Interstate highway at Princeton, New Jersey. This is an extremely busy highway with thousands of vehicles using the highway on a daily basis. The nearest gas station is about fifteen miles away and Savoy gas station knows it’s located in a strategic location to offer key services to vehicle owners. In addition, the business intends to sell automotive products such as oil and different types of lubricants which are essential products to car owners. Given the scarcity of gas stations in the area, Savoy gas station intends to capitalize on the untapped market by setting up a fully equipped and professionally managed gas station. Motorists are the key customer target included in this gas station business plan template.

5.1.2 Commuters and Travellers

Because of the gas station’s strategic location on a main highway, services and products offered will help regular commuters, as well as long distance travellers using the interstate highway. With the wide range of services offered by the gas station, the business intends to rely on the high number of people using the highway to stop and buy food, snacks, drinks and other products at the facility.

5.1.3 Households

Princeton, New Jersey has nearby residential households that will benefit a great deal when the gas station is set up. The gas station business plan has focused on stocking a wide variety of foodstuffs, drinks and other products that primarily cater for household consumers. Starting a gas station business plan should include a strategy that incorporates the local community as customers. Local communities living around the gas station are excellent customers because the gas station business plan will get steady revenue from them. Savoy gas station is expected to be nearest shopping facility that stocks basic items.

5.1.4 Students

The vicinity of the gas station has many educational facilities including the famous Princeton University. Savoy gas station plans to market its products especially drinks and snacks to students from nearby high schools, colleges and universities.

5.2 Business Target

Savoy gas station intends to open in an area with a lot of business potential. There is no doubt one of the greatest strengths and advantages outlined in this gas station business plan is the strategic location. The plan is to implement a unique business model that focuses on an exemplary customer service approach and provision of topnotch products and services. Savoy gas station will recover its entire startup capital after three years in operation. There is a projection of annual sales growth of between 20-25%.

5.3 Product Pricing

A good gas station business plan & startup guide should always give guidance on how product pricing will be implemented. In the case of Savoy gas station, prices for various products and services have been determined using a competitive approach. After considering price ranges from nearby gas stations, the business has carefully priced its products.

High Quality Business Plan and Professional Support

It was amazing to work with OGS Capital for our business plan. They promptly responded our enquires and delivered document on time.The document was well organized high quality and content.We succeded with Alex and his team support. We thank you guys again for professional approach and easy communication.

In order to understand how to open a gas station and be successful, there must be a well-defined sales strategy. Mike Wall has cooperated with business startup and strategy gurus to find a creative and smart way of boosting business revenue. The following is a detailed sales strategy for Savoy gas station.

6.1 Competitive Analysis

Savoy gas station is located in an excellent location off a busy interstate highway and near a large residential area. This is the only gas station within a fifteen mile radius, the demand for gas station business plan and products is expected to be high.

6.2 Sales Strategy

To ensure Savoy gas station captures the intended market, the gas station business model will rely on the following sales strategy to increase customer numbers and boost sales.

  • Create awareness of the gas station by distributing introductory letters to local residents, merchants, transport companies and other interested parties.
  • Conduct a grand opening party of the gas station to capture the attention of residents who are a priority customer segment for Savoy gas station.
  • Advertise the gas station business plan on various media channels i.e. local TV stations, newspapers and popular radio stations.
  • Invest in a search engine-friendly website and market using various social media platforms such as Facebook, Twitter and Instagram.
  • Hire expert marketing firms to formulate innovative sales strategies that will be used on a continuous basis to attract customers.
  • Always meet customer expectations and learn to listen to what customers are saying to better understand their needs.
  • Erect billboards on the highway and within strategic locations in the neighborhood to let potential customers know about the gas station.
  • Come up with an exciting loyalty program to reward regular clients.

6.3 Sales Forecast

Savoy gas station is keen to implement its sales strategies to achieve its targets. Below is a summary of sales forecasts for the gas station.

Personnel Plan

Savoy gas station has diversified its product range and service niche meaning the business requires staff of different expertise and backgrounds to run the gas station business plan . When determining how much does it cost to start a gas station business , the issue of staff and their salaries has to be considered.

7.1 Personnel Plan

Savoy gas station is owned by Mike Wall, a Petroleum Engineer who will also be the Chief Executive of the gas station. The gas station business plan will employ the following staff to work in various departments.

  • Gas Station Manager
  • Assistant Manager
  • Convenience Store Manager
  • Three Pump Attendants
  • Two Marketing Executives
  • One Cashiers
  • Two Security guards
  • Two Automobile Repair Technicians

Successful applicants will undergo an intensive training and induction session before the gas station opens to the public.

7.2 Average Staff Salaries

Savoy gas station intends to pay its staff the following salaries for the first three years after launching operations.

Financial Plan

Savoy gas station has an elaborate financial plan that will serve as the business roadmap towards attaining success. Opening a gas station cost must be known and other key financial variables that will steer the gas station business plan to prosperity identified. The gas station startup capital will come from Mike’s personal savings as well as a loan to supplement initial capital. Two investors will also contribute to the initial business startup capital. Aside from determining how much does a gas station cost to open , other important financial variables have been captured in the sections below.

8.1 Important Assumptions

Savoy gas station’s financial forecasts are based on the assumptions shown below.

8.2 Brake-even Analysis

Savoy gas station Brake-even Analysis is illustrated in the graph below.

8.3 Projected Profit and Loss

Profit and Loss information for Savoy gas station calculated on a monthly and annual basis is shown below.

8.3.1 Monthly Profit

8.3.2 yearly profit, 8.3.3 monthly gross margin, 8.3.4 yearly gross margin.

Below is Savoy gas station’s Profit and Loss Analysis.

8.4 Projected Cash Flow

The diagram below shows pro forma cash flow, subtotal cash received, subtotal cash from operations, subtotal cash spent on operations and subtotal cash spent.

8.5 Projected Balance Sheet

Depicted below is Savoy gas station Projected Balance Sheet that shows capital, assets, liabilities, long term assets and current liabilities.

8.6 Business Ratios

Business Rations, Business Net Worth and Ratio Analysis for Savoy gas station have been show below.

Download Gas Station Business Plan Sample in pdf

OGS capital professional writers specialized also in themes such as creating a franchise business plan , service business marketing plans , plumbing company business plan , locksmith business plan , business plan for horse training , handyman business plan , church business plan and many others.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

business plan for opening a gas station

Vegetable Farming Business Plan

Vegetable Farming Business Plan

Trading Business Plan

Trading Business Plan

How To Write A Textile Manufacturing Business Plan

How To Write A Textile Manufacturing Business Plan

Start a Vending Machine Business in 2024: A Detailed Guide

Start a Vending Machine Business in 2024: A Detailed Guide

Oil and Gas Business Plan

Oil and Gas Business Plan

What Is Strategic Planning: Definition and Process

What Is Strategic Planning: Definition and Process

Any questions? Get in Touch!

We have been mentioned in the press:

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

Search the site:

Don't bother with copy and paste.

Get this complete sample business plan as a free text document.

Convenience Store Gas Station Business Plan

Start your own convenience store gas station business plan

Allensburg's Food and Gas

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Allensburg is a small town with a population 3,400. Located on rural Highway 310, the town is 30 miles south of the city of Kent and 34 miles north of the city of Willard. Highway 310 connects Kent and Willard that both have universities and a cumulative population of 200,000 residents. The highway is the main road through town and is used daily by thousands of commuters between the two cities. These commuters sustain a number of road side businesses on Highway 310 that sell flowers, produce and bakery products.

In order to get gas in the Allensburg area, commuters currently have to leave the highway and drive three miles into the edge of town. Robert Cole, the owner of Allensburg’s Food and Gas has the opportunity to rent a plot of land just off the Allensburg exit of Highway 310.

Allensburg’s Food and Gas will offer these commuters gas, organic produce, and a deli. On the way to work, a commuter could stop for gas and pick up a sandwich. On the way home, the same commuter could stop again to pick up something for dinner.

The aim of this plan is to be a guide for this start-up business. Researching and defining our markets, strategies, mission and financials will provide insight and prepare the owner to successfully run Allensburg’s Food and Gas.

1.1 Objectives

  • To capture an increasing share of the commuter traffic passing through Allensburg.
  • To offer our customers superior products, at an affordable price.
  • To provide customer service that is second to none.

Convenience store gas station business plan, executive summary chart image

1.2 Mission

The mission of Allensburg’s Food and Gas is to offer commuters on Highway 310 competitive gas prices and great food. The company will make a healthy profit for its owners and provide a rewarding work environment for its employees.

1.3 Keys to Success

  • Good quality products at competitive prices.
  • Excellent customer service that will promote customer loyalty.
  • A location that will assure that commuters will stop.

Company Summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">

Allensburg’s Food and Gas is a new convenience store and gas station in Allensburg. Robert Cole, owner of Allensburg’s Food and Gas, has seven years of experience in managing gas stations. Robert will focus on the commuters that pass through the town daily. Allensburg’s Food and Gas will offer its customers the best gas prices and quality food products.

2.1 Company Ownership

Allensburg’s Food and Gas is wholly owned by Robert Cole.

2.2 Start-up Summary

Robert Cole will invest $60,000 in Allensburg’s Food and Gas. Robert aims to secure an SBA of $150,000 to finance the remainder of the start up costs.

The following chart and table show projected initial start-up costs for Allensburg’s Food and Gas.

Convenience store gas station business plan, company summary chart image

Allensburg’s Food and Gas sells the following products:

  • Gasoline and diesel fuel;
  • Oil, de-icer, car accessories, etc.;
  • Deli items;
  • Bakery goods;
  • Organic produce.

Market Analysis Summary how to do a market analysis for your business plan.">

Located on rural Highway 310, Allensburg is 30 miles south of the city of Kent and 34 miles north of the city of Willard. Highway 310 connects Kent and Willard that both have universities and a cumulative population of 200,000 residents. The highway is the main road through town and is used daily by thousands of commuters between the two cities. The closest gas station in either direction is over 20 miles away.

These commuters currently have no convenient shop in which to buy food to or from work once they are on Highway 310; more importantly, eighty percent of Highway 310 commuters fits the demographic profile of customers of upscale organic/natural food stores:

  • Age: 25 – 45 years of age;
  • Gender: 60% women;
  • Average income: $40,000+;
  • Education: college graduate;
  • Employment: professionals in business and education.

4.1 Market Segmentation

The target customers of Allensburg’s Food and Gas are the commuters that use Highway 310.

Strategy and Implementation Summary

Allensburg’s Food and Gas will focus on becoming a routine stop for the commuter traffic on Highway 310, not just for those people who need gas, but for those who are looking for a healthy, tasty snack on their drive, or need to pick up some small grocery item on their way home. Allensburg’s Food and Gas will aim to be more than a gas station to its customers, it will be a friendly place to stop for tired commuters.

5.1 Competitive Edge

The competitive edge for Allensburg’s Food and Gas is the following:

  • Location: Allensburg’s Food and Gas is located on Highway 310. The closest competitor is three miles into the town of Allensburg.
  • Quality Deli and Organic Produce : While buying gas, commuters will now be able to pick up lunch, or buy something to take home. The commuter will soon regard Allensburg’s Food and Gas as an invaluable time saver in their day.

5.2 Sales Strategy

Allensburg’s Food and Gas will keep its gas prices competitive with other stations in a fifty mile radius of the station in order to attract commuters. Customers that purchase more than $10 worth of gas will be given 15% coupon on purchases in the store during the first month of operation, to encourage purchases and to introduce them to the concept of buying quality organic foods at the gas station.

5.2.1 Sales Forecast

In order to maintain competitive gas prices, the cost of gas to the consumer will never exceed 15% of wholesale cost. Allensburg’s Food and Gas will focus on increasing food sales in order to meet total sales forecast goals.

The following is the sales forecast for three years.

Convenience store gas station business plan, strategy and implementation summary chart image

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Robert Cole, owner of Allensburg’s Food and Gas, has seven years of experience in managing gas stations/convenience stores. Robert has a reputation as an excellent staff supervisor. From 1993 to 1996, Robert was the manager of Higgins Texaco, one of the largest gas station/convenience stores in Willard. At Higgins, Robert supervised a staff of seven. In 1997, Robert became manager of the Barger Chevron, located at the southern tip of Kent, near Highway 310.

6.1 Personnel Plan

The Allensburg Food and Gas will have a staff of five:

  • Store/deli staff (2)
  • Gas attendants (2)

Financial Plan investor-ready personnel plan .">

Brought to you by

LivePlan Logo

Create a professional business plan

Using ai and step-by-step instructions.

Secure funding

Validate ideas

Build a strategy

7.1 Break-even Analysis

The monthly break-even point is approximately $49,500.

Convenience store gas station business plan, financial plan chart image

7.2 Projected Profit and Loss

The following table and charts highlight the projected profit and loss for three years.

Convenience store gas station business plan, financial plan chart image

7.3 Projected Cash Flow

The following table and chart highlight the projected cash flow for three years.

Convenience store gas station business plan, financial plan chart image

7.4 Projected Balance Sheet

The following table and chart highlight the projected balance sheet for three years.

7.5 Business Ratios

Business ratios for the years of this plan are shown below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 5541, Gasoline Service Station, are shown for comparison.

Garrett's Bike Shop

The quickest way to turn a business idea into a business plan

Fill-in-the-blanks and automatic financials make it easy.

No thanks, I prefer writing 40-page documents.

LivePlan pitch example

Discover the world’s #1 plan building software

business plan for opening a gas station

Gas Station Business Plan Template

Develop a successful gas station business with our comprehensive template designed for entrepreneurs. Covering essential aspects like market analysis and financial projections, this template provides a robust foundation for your gas station business plan. Download now to start your journey.

business plan for opening a gas station

Download the template today!

Features of the gas station business plan template.

  • Market Analysis : Conduct an in-depth review of the gas station industry, identify your potential customers, and study their behavior. Our template provides a systematic process for carrying out market analysis in the gas station sector.
  • Business Model: Determine the unique value proposition of your gas station, select appropriate operational techniques, and identify your customer base. Our template guides you in choosing an effective business model for your gas station.
  • Financial Projections : Calculate your potential revenues, costs, and profitability using our detailed financial projections section. This will assist you in making informed decisions and setting achievable financial targets for your gas station business.
  • Marketing Strategy: Formulate a marketing plan that efficiently advertises your gas station and draws in regular customers. Our template aids you in devising a strategic marketing plan, including brand positioning, promotional campaigns, and customer engagement strategies.

Benefits of Using Our Template

By utilizing our Gas Station Business Plan Template, you can enjoy several benefits:

  • Time and Effort Saving: Our pre-designed template streamlines the planning process, allowing you to focus on refining your gas station's business strategy instead of starting from the ground up.
  • Clarity and Direction : OThe template provides a clear roadmap, ensuring all crucial aspects of your gas station business plan are addressed. This aids in keeping you on track and prevents overlooking essential business components.
  • Increased Success Potential: A well-structured and thorough business plan boosts your chances of success in the competitive gas station industry. Our template equips you with the necessary tools to professionally present your gas station concept to potential investors or lenders.

Gas Station Business Plan Frequently Asked Questions

Q: why do i need a gas station business plan.

A: A gas station business plan is essential as it allows you to study the market, set your business objectives, and create a strategic roadmap for success. It serves as a guide for your gas station, aiding in decision-making and appealing to potential investors or lenders.

Q: What are the key elements of a gas station business plan?

A: Key components of a gas station business plan include a market analysis, business model, financial projections, marketing strategy, and operations plan. These elements enable you to understand your market, evaluate profitability, plan your finances, and develop effective promotional and growth strategies.

Q: How can a gas station business plan help secure funding?

A: A detailed gas station business plan showcases to potential investors or lenders your thorough understanding of the industry, a viable business model, and a plan for profitability. The gas station financial projections section is crucial in demonstrating potential return on investment. A compelling business plan enhances your chances of acquiring necessary funding for your gas station.

We Know a Good Business Plan When we See One

Collectively, our team has reviewed thousands of business plans and has nearly 20 years of experience making SBA loans. We've also helped more than 50,000 businesses create financial projections across many industries and geographies.

business plan for opening a gas station

Adam served as Executive Director for a SBA microlender in Indiana for over 10 years helping businesses and reviewing thousands of business plans.

business plan for opening a gas station

Grace has built hundreds of custom financial models for businesses as well as our projection templates which are used by thousands of businesses every year.

business plan for opening a gas station

Kyle served as an SBA loan officer for 7 years working directly with startups and business owners to review their business plans, projections, and prepare their loan package.

Lorem ipsum dolor sit amet, consectetur adipiscing elit.

Elon Musk really wants you to think Tesla still has a Supercharger plan

  • Elon Musk isn't done with Superchargers yet.
  • Despite firing Tesla's Supercharger team last week, the CEO committed to the network on Friday.
  • "Tesla will spend well over $500m expanding our Supercharger network," Musk wrote on X.

Insider Today

Apparently, Elon Musk really is still game for Superchargers.

On Friday, the billionaire Tesla chief took to X to clarify that he was, in fact, still very committed to building out Tesla's Supercharger business.

"Just to reiterate: Tesla will spend well over $500m expanding our Supercharger network to create thousands of NEW chargers this year," Musk wrote . "That's just on new sites and expansions, not counting operations costs, which are much higher."

Just to reiterate: Tesla will spend well over $500M expanding our Supercharger network to create thousands of NEW chargers this year. That’s just on new sites and expansions, not counting operations costs, which are much higher. — Elon Musk (@elonmusk) May 10, 2024

You may recall that just a week ago, Musk suddenly decided to fire nearly all the 500 employees on Telsa's Supercharger team .

Tesla's Supercharger network, a collection of fast-charging plug-in stations spread over more than 50,000 sites globally, was seen by investors as a vital cornerstone in the company's ambitions to lead the EV market.

Rivals like Ford and GM have been scrambling to gain access to it. The spread of chargers was also seen as a key strategy to offset concerns potential EV buyers might have around range anxiety too.

Related stories

So as news broke that Musk was axing the Supercharger team, it's safe to say Tesla investors were left more than a little puzzled. As Tesla investor Ross Gerber put it: "Any retreat from this part of the business will have a negative impact on the EV industry."

At the time, Musk tried to offset some concerns by saying Tesla still "plans to grow" the network, just "at a slower pace for new locations and more focus on 100% uptime and expansion of existing locations."

Tesla still plans to grow the Supercharger network, just at a slower pace for new locations and more focus on 100% uptime and expansion of existing locations — Elon Musk (@elonmusk) April 30, 2024

But with his comments on Friday, it looks like Musk has set out to shake off any lingering doubts about his commitment to a business that analysts have estimated could generate almost $7.5 billion in revenue and $730 million in profit a year for Tesla by 2030.

The thing is, with Tesla still without a functioning Supercharger team, the logistics of implementing Musk's plans remain a bit of a mystery.

Musk, who has driven a big shake-up at Tesla recently following the decision to cut more than 10% of the company's workforce in March, seems to be focusing on robotaxis as he looks to boost Tesla's AI and autonomous driving capabilities.

Two days before firing the Supercharger team, the billionaire wrote on X : "Tesla will spend around $10B this year in combined training and inference AI, the latter being primarily in car. Any company not spending at this level, and doing so efficiently, cannot compete."

At a time when companies are plowing billions of dollars into AI, there seems to be some logic here. But Musk also has a stated goal of selling 20 million Teslas a year by 2030.

He'll definitely want to amp up his Supercharger network too if he plans on achieving that.

Watch: How Elon Musk makes and spends his billions

business plan for opening a gas station

  • Main content

COMMENTS

  1. Gas Station Business Plan Template (2024)

    Develop A Gas Station Business Plan - The first step in starting a business is to create a detailed fuel station business plan pdf or doc that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.

  2. How to Open a Gas Station: A Step-by-Step Guide

    Again, have an attorney review your franchise agreement and gas supplier contract to ensure you are maximizing profit and avoiding any hidden fees. 6. Obtain necessary permits and licenses. When ...

  3. Gas Station Business Plan Template and Guide [Updated 2024]

    Gas Station Business Plan Template. If you want to start a new gas station business or expand your current one, you need a business plan. Over the past 20+ years, we have helped over 5,000 entrepreneurs and business owners create business plans to start and grow their gas stations.

  4. Gas Station Business Plan Template: A Step-by-Step Guide (2024)

    Before you start writing your business plan for your new gas station business, spend as much time as you can reading through some examples of services-related business plans. After all, having your business gives you a sense of independence and can turn extremely profitable too. All you need is a gas station business plan to help you get ...

  5. How to Start a Profitable Gas Station in 2024

    Step 8: Apply for Gas Station Business Licenses and Permits. Starting a gas station business requires obtaining a number of licenses and permits from local, state, and federal governments. Check with your state for specific gas station license and permit requirements.

  6. Opening a Gas Station: The Ultimate Guide (2024)

    Opening a Gas Station: The Ultimate Guide (2024) September 24, 2020. Owning a gas station is a business we think of when we imagine an entrepreneur realizing the American Dream. According to the National Association of Convenience Stores, there are over 120,000 gas stations that double as a convenience store in the U.S. (out of over 150,000 ...

  7. Gas Station Business Plan PDF Example

    March 5, 2024. Business Plan. Creating a comprehensive business plan is crucial for launching and running a successful gas station. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your gas station's identity, navigate the competitive market, and secure funding for growth.

  8. How to Start a Gas Station: Key Considerations and Steps

    Business Plan Template for a Gas Station. Creating a comprehensive business plan is crucial when starting a gas station. Below is a detailed business plan template, along with suggestions on what each part should contain: Business Plan Template for a Gas Station. 1. Executive Summary: Business name, location, and ownership structure.

  9. Free Gas Station Business Plan Template

    Add a chart with a breakdown of relevant financial factors for the next three to five years. [Owner.Company] is seeking total funding of $ (amount) of debt capital to launch its gas stations. The capital will be used for (expenses). Specifically, these funds will be used as follows: Store design and build: $150K. (Purpose): $ (amount)

  10. How to Start a Gas Station

    4. Open a business bank account. Open a business bank account in which you deposit all of your gas station's earnings. You can then use the money deposited into that account to buy what you need for the gas station's operation. Always keep your gas station business separate from your personal assets. 5.

  11. How to Open a Gas Station

    Start a gas station by following these 10 steps: Plan your Gas Station. Form your Gas Station into a Legal Entity. Register your Gas Station for Taxes. Open a Business Bank Account & Credit Card. Set up Accounting for your Gas Station. Get the Necessary Permits & Licenses for your Gas Station.

  12. How to Open a Gas Station: Your Ultimate Step-by-Step Guide

    As we've already established, opening a gas station can cost anywhere between $250,000 to $2,000,000, so outside funding will be inevitable for most people. If you've done your homework in your business plan, you are well set up to request a loan. There are several avenues available for small businesses to get a loan.

  13. How to Start a Profitable Gas Station Business [11 Steps]

    2. Draft a gas station business plan. 3. Develop a gas station brand. 4. Formalize your business registration. 5. Acquire necessary licenses and permits for gas station. 6. Open a business bank account and secure funding as needed. 7. Set pricing for gas station services. 8. Acquire gas station equipment and supplies. 9.

  14. How to Start a Gas Station Business

    1718 State Road 16. La Crosse, WI 54601. 24/7 Dispatch: 608.783.9516. Breaking into the gas station industry can be daunting, but we cover the key steps to take, from making a business plan to finding a wholesale fuel supplier.

  15. How to Open a Gas Station

    Making A Business Plan for Your Gas Station. Before opening a gas station, the first step is to get a professional opinion from an accountant who can help you understand your income and estimated expenses. When you develop a business plan for your gas station, it should include detailed information instead of just including a basic outline ...

  16. How to Write a Business Plan for a Gas Station

    2. Discuss the market for opening a gas station in the area, and provide details about your competitors, including their pricing strategy, target market, strengths and weaknesses.

  17. Gas Station Business Plan Template + Example (Updated 2024)

    Gas Station Business Plan. If you want to start a new gas station business or expand your current gas station, you need a business plan. The following gas station business plan template gives you the key elements to include in a winning business plan for all types of gas stations including a petrol station, automotive services, filling stations and other gas stations.

  18. The #1 Gas Station Business Plan Template & Guidebook

    1. Describe the Purpose of Your Gas Station Business. The first step to writing your business plan is to describe the purpose of your gas station business. This includes describing why you are starting this type of business, and what problems it will solve for customers. This is a quick way to get your mind thinking about the customers' problems.

  19. How to write a gas station business plan: Step-by-step guide

    This post outlines the important sections with a summary of the key points to capture when writing a gas station business plan. At the end of this post, you can download a complete gas station financial forecast tool with 3-year financial projections including income statement, start-up costs, break-even analysis, and cash flow statement.

  20. Gas Station Business Plan [Sample Template]

    Cost for hiring Business Consultant - $2,000. Insurance (general liability, theft, workers' compensation and property casualty) coverage at a total premium - $30,800. Cost of accounting software, CRM software and Payroll Software - $3,000. Cost for leasing facility for the gas station - $70,000.

  21. Gas Station Business Plan Sample

    The plan is to implement a unique business model that focuses on an exemplary customer service approach and provision of topnotch products and services. Savoy gas station will recover its entire startup capital after three years in operation. There is a projection of annual sales growth of between 20-25%.

  22. Convenience Store Gas Station Business Plan Example

    Convenience Store Gas Station Business Plan Start your plan. Start my business plan. Start your own convenience store gas station business plan. Allensburg's Food and Gas Executive Summary. Allensburg is a small town with a population 3,400. Located on rural Highway 310, the town is 30 miles south of the city of Kent and 34 miles north of the ...

  23. Gas Station Business Plan Template

    By utilizing our Gas Station Business Plan Template, you can enjoy several benefits: Time and Effort Saving: Our pre-designed template streamlines the planning process, allowing you to focus on refining your gas station's business strategy instead of starting from the ground up. Clarity and Direction: OThe template provides a clear roadmap ...

  24. Union Station expansion blueprint unveiled

    The plan is meant to keep on track an $8.8 billion expansion plan for the station. A nonprofit group focused on public infrastructure projects has completed a yearlong study meant to streamline a ...

  25. Elon Musk Really Wants You to Think Tesla Has a Supercharger Plan

    May 10, 2024, 5:11 AM PDT. Elon Musk is CEO of Tesla. Grzegorz Wajda/SOPA/Getty Images. Elon Musk isn't done with Superchargers yet. Despite firing Tesla's Supercharger team last week, the CEO ...