Earnings Potential for Gas Station Owners in Canada
Owners of successful gas stations in Canada can make between $40,000 and $100,000 annually. The industry is expected to grow with more cars on the road each year. Most gas stations manage an average profit of 3 cents per litre after expenses.
Gas stations typically have thin profit margins, with net profit per gallon ranging from $0.03 to $0.07 after expenses like labor, utilities, and fees. The initial costs of opening even a small gas station range from $250k to $2 million. Unless you have access to large gasoline stockpiles, you must enter an agreement with a supplier.
Gas station owners make most profits on sales of food, drinks, and alcohol where legal. Stations aim to have competitive gas prices so customers will come inside and make additional purchases.
Operating Costs and Considerations for Gas Station Ownership in Canada
With an average profit margin around 1.7 percent, private gas stations operate on a razor-thin margin after costs like credit card fees. Ethanol-gasoline blends sold include E10, E15, and E85.
You can become an independent Petro-Canada gas station owner by owning a property to build on, buying an existing station for sale, or entering a dealer agreement where Shell provides fuel, training, and ongoing support. Required investment varies greatly.
Buying a Toronto gas station provides good profit potential. Canadians consume about 40 billion litres of gasoline yearly. Canadian gas prices per litre are much higher than in the U.S. Handle currency conversion before gassing up.