How Much Does It Cost To Buy A Gas Station?

Last Updated on December 5, 2021 by

Are you planning to open your own gas station but are interested in knowing the cost breakdown? If yes then here are 15 variables that affect the price of creating the gas station. It is crucial to mention that there are a variety of variables that determine the exact costs of starting this kind of business.

It is possible that some of these factors could not apply to you, as the business model and type of business one plans to create will impact the overall cost of the company. These variables are specific to each person and this article might not be able to cover these. But below are some of the variables that affect the price of opening the gasoline station in the United States of America;


Estimated Cost Breakdown for Starting an gas Station by Scratch in 2022

These are the main costs you will have to pay when you start a small size but normal gas station business within America. United States of America;

  1. The total cost of registration of the business within the United States of America – $750.
  2. Legal expenses to obtain licences, permits and licenses (Health department’s business license as well as departmental license) along with permit (Fire department license, air as well as water pollution permit and Sign permit,) along with Accounting solutions ( CRM software payroll software P.O.S equipment and various other programs) between $15,300 and 15300 dollars.
  3. Costs for marketing and promotion in connection with the grand opening ceremony of the gas station amount to $3,500 . This includes the printing of flyers (2,000 flyers priced at $0.04 each copy) to a total of $3,580.
  4. The cost of hiring a business consultants (including writing a business plan) is 2500 dollars.
  5. The cost of insurance (general liability theft, general liability workers’ comp and personal casualty) coverage with an annual premium of $33,400.
  6. The price for leasing a typical facility located in a desirable and centrally located area on a major road or expressway is $250,000
  7. The cost for re-designing the facility for gas stations and construction of underground tanks for gasoline — $340,000.
  8. Other expenses for starting up, such as office supplies ( $500) telephone and utility (gas and water, sewer and electricity) and deposits ( $6,500).
  9. The operating cost for the initial 3 month (salaries of staff, the payment of bills and other expenses) — $60,000
  10. The price for starting-up inventory (supply of non-automotive fuel as well as automobile fuel (e.g. gasoline and diesel) cooking gas, and other automotive-related items) and fuel dispensing equipment and machinery (automobile repair equipment, tools for vulcanizing tools along with wheel alignment instruments) between $550,000 and $550,000
  11. The cost of the purchase of a tanker for gasoline is $45,000
  12. The cost of the store’s apparatus ( cash register and security equipment, as well as ventilation signage) $13,750 – $13,750
  13. The price for the purchase of furniture and other gadgets (Telephone printing machines, computers, tables , chairs) $12,000 – $14,000.
  14. The price for the creation and hosting of a website is $600
  15. The cost of the opening event is $8,000
  16. Miscellaneous: $10,000
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It is recommended to have an estimate of 2 million fifty thousand dollars ( $2.5 million) for the establishment of the medium-sized, but traditional gas station located in the United States of America. Be aware that this figure covers the salary of all employees for the initial 3 months of operation, and also a company with several outlets at crucial places within the same city.

The idea of starting a small but normal gas station firm that is able to only sell auto fuel (e.g. gasoline and diesel) selling cooking gas and selling other automotive-related products etc. in one place located in the United States of America will cost between four fifty thousand dollars up to fifty thousand dollars ( $500,000). Note that this price includes the wages of all employees for the first three months of the operation.

In the event of starting the standard, a large-scale gas station that has several outlets in major cities of the United States of America, one that is a gas station with the goal of selling franchises and providing complementary services, you need to budget more than seven million 5 hundred and a half dollars ( $7.5 million).


1. The Type of Gas Station

A key element that will determine the cost of opening a gas station in the United States of America is the kind of gas station that the owner is planning to open. Gas stations provide three kinds of services to their customers that include full service, minimum service, or self-service.

2. The Choice of Location

Another important aspect that determines the price for opening a gas station within the United States is the location. For business, location is crucial to the effectiveness of the business. There are business advisors who are experts in helping businesses pick the ideal place for their business an area that can guarantee the business’s profitability.

Leasing or renting a facility in an area that is far from the city’s center or off an important road is cheaper than leasing or renting a facility in a high-end area. an area close to a major highway with significant traffic for both vehicles and pedestrians. 247WS 559750 vintage gas pump

3. The Required Licenses and Permits

Within the United States of America, it is not possible to open a gasoline station without first obtaining the required license and permit. You will require an operational license as well as building licenses zonal permits and retailer of the motor-fuels permit, fire certificates, and commercial vehicle operator’s registrations for tankers of gasoline, among others. The licenses and permits for advertising cost money and will affect the costs of opening your fuel station.

4. The Type of Facility

The type of facility that you will use for the gas station you are operating is one of the major factors that determine the total cost of starting a business in the gas industry within the United States of America. Regarding the facility, you can choose between leasing, renting, or building your own gasoline station facility from start.

When leasing or renting you may require additional money for the modification of the facility to match the vision of the vision you have in your mind, including the number of pumps, reservoirs, tanks as well as any other amenities you would like to connect to your gas station like the convenience shop. Let’s suppose that you’re planning to build your gasoline station from start.

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