Reliance Petrol Pump Dealership Profit, reliance is one of the most reputed brands out there in India and if you want to get into a reliance oil segment business then reliance petrol pump dealership is the best option.
before getting started, lets see what is covered in this article:
- reliance petrol pump Dealership profit.
- petrol pump dealership profit.
- petrol pump dealership investment.
- reliance petrol pump dealership commission.
- jip bp petrol pump dealership.
- petrol pump income per month.
- petrol pump license cost.
- how to open a petrol pump.
Reliance Petrol Pump Dealership Profit:
- 1 Reliance Petrol Pump Dealership Profit:
- 2 Petrol Pump Dealership Investment:
- 3 Things Required To Start Petrol Pump Business:
- 4 How To Apply For Petrol Pump Dealership License:
- 5 Application Fees:
- 6 Legals For Reliance Petrol Pump Dealership:
- 7 Loan For Petrol Pump:
- 8 Risk In Petrol Pump Business:
- 8.1 Common Eligibility Criteria:
- 8.2 FAQs For Reliance Petrol pump dealership:
- 8.3 Is petrol pump dealership profitable?
- 8.4 How much money do I need to open a petrol pump?
- 8.5 How can I get HP petrol pump dealership?
- 8.6 Which petrol pump dealership is best?
- 8.7 What is my petrol pump dealer code?
- 8.8 How do I get permission to open a petrol pump?
- 8.9 How much money does petrol pump owner make in India?
opening petrol requires a large investment such as 15-20 lakhs, but if you open it with proper planning and in the proper area, it easy to make around 4-5 lakhs per month without a doubt.
the income depends on how many liters you are selling per month, generally, you get commission cut pay per liter.
the commission per liter vary from Rs 3.0/litre or sometimes Rs 5.0/litre except for the commission per liter they also earn from overprices sandwiches.
petrol pump owners make around 205/- per KL (kilo-litre) with 0.89% extra on retail petrol where the diesel varies from 1502.13 per KL (kilo-litre) and 0.27% retail price.
Your earning also depends on your pump’s locality and how far it is from the main road because you want to fill the maximum number of vehicles as possible to maximize your income.
but somehow if you are not able to manage a large place or not able to manage to get a place near to the main road, then you can make around 1-1.5 lakh per month.
for example, you sell around 400-liter petrol Kilo-litre petrol and able to generate a revenue of a minimum of 10 lakhs.
so with that, you know how to make money or gain maximum Reliance Petrol Pump Dealership Profit.
Related : Aloe Vera farming profit.
Petrol Pump Dealership Investment:
opening a petrol pump is not a small investment business idea, it requires a minimum of 10-15 lakhs of rupee to get started, it also varies from different areas.
in some urban area it can go upto 50 lakhs, but if you do not have cash then don’t worry you can use following types of fund to get started:
- fixed deposit.
- shares or mutual funds.
- Postal Scheme.
Things Required To Start Petrol Pump Business:
Land Requirement For petrol pump dealership business:
to get started with the petrol pump business, you must have a minimum area available so that you can set up your petrol pump.
you can use your own property or you can lease an area for a longer period of time.
you follow two kinds of outlet in petrol pump business such as:
- Regular Retails Outlets: on urban areas, or near national highways or state highways.
- rural retail outlets: near rural areas or near small highways.
generally, for reliance petrol pump Dealership, you need a minimum of 800 sq. meters – 1200 sq of land.
you can visit reliance official website to know more.
before you make the decision of opening a petrol pump, beware of the location and planning.
just like the land, the machines are equally important to start a reliance petrol pump business.
as we know in petrol pump two machines are available, one is for diesel and another one is for petrol, these machines are not cheap or affordable each can reach up to 10 lakhs.
This is really important and without underground take it is almost impossible for you to operate a petrol pump.
you need to set up two different tanks, one is for petrol and another is for diesel just like the machines. The cost can vary but most probably one tank setup can go up to 5 lakhs each.
canopy is a kind of shed that is been placed above the petrol pump to get protection against sunlight and rain.
the price of a canopy can go beyond 10 lakhs which is for 700+ square feet, if you want two canopies to cover more area, you need to spend almost 20 lakhs.
Salesroom or staffs room:
The presence of salesroom is mandatory for every petrol pump because that is for billing and purchase-related quarries.
the price of building one sales room can vary from 5-10 lakhs of rupee.
starting a business doesn’t always mean you can have a fixed budget to start with, you never know when your business will ask for extra money.
in reliance petrol pump dealership business you will require some extra money for documentation and paper works, license costs, getting authority, and also some other expenses that vary from location to location.
How To Apply For Petrol Pump Dealership License:
As of now, you know that a License and other documents are required to start a reliance petrol pump dealership.
License is a must for your company to get started with petrol pump business because while you are dealing with hazardous chemicals and other risky substances you need to have a valid license legally.
to apply for a reliance petrol pump dealership license you have to check for the advertisement or the notice published by the oil companies in India.
with the advertisement itself the company will provide you the eligibility and the documents required to start the business.
after you go through the advertisement or the notice you will get to know you should apply online or offline.
In the eligibility criteria you will be required with following documents:
- your property/land papers should be legal and should not be outdated, you can have your own land or leased one but it must have valid papers.
- you must have enough funds in your bank account for the License approval or you can also show your annual turnover or so if you already own a business.
- with all those, you must have ITR ( income tax return ), GST registration papers, and VAT registration papers as well.
- once you are ready with all these document papers you are ready to apply for the license and you have to issue a DD ( Demand draft ) to the company.
after you meet all the requirements mentioned above or in the official website you can apply for the further process.
Reliance Petrol Pump Dealership Profit is a profitable business idea we know but it can come expensive specially if you have no previous business background, and must be aware of reliance petrol pump dealership cost.
well, now if you talk about the application fees for reliance petrol pump dealership profit, that is totally depends on whether you choose rural or urban area.
Rural area: for rural area the application fees is much cheaper than urban areas and the fees starts ranges between 50-100 rupees.
Remember one person can apply once for dealership.
Urban Area: in urban area the application fees is much higher then anywhere else that ranges between 500-1000 rupee.
except for application fees, you will be also required for licence fees that also ranges for Rs.18 per kilo-liter for petrol and Rs.16 per kilo-liter for diesel.
Legals For Reliance Petrol Pump Dealership:
VAT ( Value added tax )- If you seriously considering opening a petrol pump business then you should go for VAT registration for your business.
The VAT is very crucial for petrol pump business because, petrol pump is a highly liquid business hence the VAT paid by the individual must be high.
You can apply for VAT here.
GST, just like VAT, GST is equally important, except for GST, CGST, and vat the owner must pay income tax to the government.
Loan For Petrol Pump:
before applying for a loan you must have all the legal documentations cleared.
Getting a loan for a petrol pump business might be easy, fortunately, many banks provide loans to petrol pump businesses but you need to meet certain criteria such as:
- the land must be owned by the applicant or rented in the applicant’s name.
- all the legal documentations must be filled from government bodies.
- must have licenses and tax papers with the applicant.
- enough money must be there in the applicant bank for security reasons.
- applicant must have a guarantor with high net income.
if you all these documents ready mentioned above, then you are good to go with no worries.
the loan amount can vary from 1 lakh to 1 crore rupee with a loan tenure of 9 to 12 months and make sure you have the allotment from the reliance petrol pump dealership.
Risk In Petrol Pump Business:
if something comes with great income source then that can cause bankruptcy as well if you do not maintain it properly.
you need to very alert and careful while running a petrol pump business, if someone raise complain against your startion or get hurt in your petrol pump they can sue you easily.
high cashflow business always comes with robbery risks, specially of you deal in cash.
so with that you need to be very careful and alert while running a petrol pump business.
these are some of the best ways for Reliance petrol pump dealership profit and the risk factors available as well.
Common Eligibility Criteria:
There are certain rules set by the government that one must follow if he/she wants to start a petrol pump business in India:
- the applicant must have a valid birth certificate.
- the applicant’s age limit must range between 21-55 years of old to open a petrol pump business.
- the applicant must be a citizen of India, if he/she is NRI then they must live in India for more than 182days.
- minimum 15 lakhs required in the bank account with land for petrol pump ( owned/leased) for rural area.
- minimum 2 crores must be available in the bank of applicants for the urban areas.
- the petrol pump area must not be under the blacklisted zone by the government.
FAQs For Reliance Petrol pump dealership:
Is petrol pump dealership profitable?
of course yes, you can easily make a profit of around 2lakhs in rural areas, if you manage to get a good location near the city side then you will be able to make around 3-4lakhs easily.
How much money do I need to open a petrol pump?
around 15-25 lakhs in rural areas, and upto 1 crore near urban/city areas needed to open a petrol pump.
How can I get HP petrol pump dealership?
you have to submit non-refundable Rs. 5 lakhs for Rural HPCL retail outlet and a regular 15-20lakhs to regular retail outlet.
to know more, you can visit their official website at www.hindustanpetroleum.com/retailpetrolpumpdealership
Which petrol pump dealership is best?
There are some of the best petrol pump dealerships are:
What is my petrol pump dealer code?
to know the petrol price of your city/town just SMS “RSP <space>Dealer Code of Petrol Pump” to 92249 92249.
How do I get permission to open a petrol pump?
if can visit their website and apply when they provide the offer to reliance petrol pump franchise, we mentioned all the eligibility criteria for getting permission such as:
Must have passed 10th ( SC/ST ).
Must have passed 12th ( OBS/General).
How much money does petrol pump owner make in India?
Overall starting a petrol pump in india is a high investment business ideas in india, but at the same time it is very profitable business to start, in general petrol pump owners make around 3.5 lakhs monthly profit, if they able to sell 400000 Litre of petrol at a commission rate of 3.0/litre.