How much do you need to own a petrol station?

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

How much does it cost to set up a fuel 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

Is a petrol station a good investment?

The country’s continued reliance on fossil fuel means that petrol stations represent fairly low-risk investments, delivering a steady flow of rent over a typically long lease. But would-be investors need to approach potential purchases with caution, as fuel leaks can be costly

Do petrol stations make profit?

A small local petrol station is likely to make more per litre than the large supermarket ones though. There is a good reason why nearly all filling stations are shops as well; profit margins on petrol are, according to the industry, around 2%, so they make most of their profits from overpriced sandwiches and drinks.

How do fuel stations make money?

Petrol stations don’t make much money

Retailers try to make about 4-5p per litre, but out of that they have to pay staff, business rates and corporation tax. Fuel stations often depend heavily on sales from the shop – a retailer can make more on selling a Costa coffee than on 40 litres of fuel.

How to buy a petrol station in Namibia??

Most of these petrol stations that are ready to be sold get listed online for buyers to contact the owners or agencies mediating for the firm.