How To Start A Filling Station Business in Nigeria


Also known as a gas station, a filling station is a place where motorbikes, cars, and other vehicles buy fuel for the filling of their pumps. Filling stations are usually positioned by the roadside so as to ensure easy accessibility.

Due to the ever-increasing number of vehicles in the country, and much more because of the sad state of electricity supply in the country, many people depend on the filling station fuel to run their businesses and to make life easy for them at home.
As a result of this, when speaking of the most profitable businesses in Nigeria, the petrol station business is one of them.

With the huge crude oil deposits situated in the south-south region, South- West region, and the South- East area of Nigeria, Without doubts, when speaking of the most reputable oil-producing countries in the world, Nigeria is one of them.

Are you aware that virtually every part of oil gives a good amount of money?

Right from the point of exploration to the mining process and then to its exportation.
Asides these, other parts of the oil business that gives good money is the marketing of crude oil and it’s several processed products.

Not only does Nigeria produce oil, but the nation of Nigeria is also one of the highest consumers of oil products as far as Africa is concerned. Following the research of previous years, Nigeria consumes over 40 million liters of oil products on a daily basis.

Are you still in doubt, there are millions of vehicles in Nigeria that used petrol or diesel on a daily basis? Asides petrol and diesel, the aviation fuel normally used to fly airplanes, jets, etc also emanates from crude oil.

To the main purpose of this study, we will be sharing with you the basic steps you need to follow in starting your own filling station business.

1. Make a Business Plan

The decision about the type of oil marketer you want to be is quite crucial and mandatory.
Wondering why? This is because it is like modeling a business plan at the very early stages, which includes specific information and techniques that you as the intended marketer will employ.
However, there are two types of vendors in Nigeria today: dependent and independent vendors.

The dependent marketers are those who have gotten the approval to sell using the name of a major oil marketer. Under this type of oil marketing, the facility of the intended oil marketer will be branded by the major marketer.
If you have interest in this type of oil marketing, be very sure of the benefits and the terms and conditions before going into it fully so you will be able to the make right decisions.

On the contrary, an independent marketer is someone who runs a petrol station as his own business enterprise with the use of his own name.
One of the benefits of being an independent marketer is that you will be able to make your own policies and laws.

Also, as an independent marketer, you will be able to buy directly from NNPC

2. Register Your Enterprise

Another important procedure you must follow in starting your own petrol station business is that you have to register your enterprise with the Corporate Affairs Commission and other relevant associations in your locality. You need to obtain your license as it is a crucial thing and make sure you abide by the rules guiding this line of business.

3. Let The Construction Commence

The next thing after determining the above is to go ahead with the erection of the building for the filling station.
The very first step here is to do a feasibility study as to where the filling station should be situated, this will help you decision. It is also important that you do proper documentation of the property to avoid future troubles.

Meanwhile, it is quite advisable that you situate your petrol station in an area motorists and vehicles can gain access easily. You can also decide to locate your filling station close to a major market or close to a motor park, this way you will have greater patronage.

4. Placement of Oil product Tanks

As soon as you are through with step three, you will need to acquire land which should not be less than two plots. Note that the storage tanks are meant to be kept underground.

These tanks will contain oil products like petro,l, diesel, and kerosene. Although the sizes of tanks vary, advised advice that you get thliters00 litres or more.
And as soon as you notice the last supplied is almost exhausted, you should demand another.

5. Hire Expert Engineers

The construction engineer is responsible for much of the work, but typically it consists of:

A bungalow:
Here you will have to create the space for car wash, an office, canopy-like structure.
However, the bungalow’s size depends mainly on the preference of the owners.

Gas Pumps: This is another important tool you will need, there are approximately six gas pumps at a typical filling station used to sell petrol to prospective buyers.

Canopy: the canopy is what acts as a roof for oil pumps, shielding workers from sun and rain in the station and oil pumps.

Fencing of the perimeter: A fuel station must have fencing at least on three sides of the ground where it is situated.

Strong core concrete: it is understood that many cars and trucks will be visiting the filling stations on a daily basis,so the flooring has to be performed correctly to avoid any damage to the floor or vehicles.

Standby Generator: You need this because electric power supply in Nigeria can be really discouraging, So ensure that you make an effort to acquire a capable generator that can power the fuel pumps.

6. Staffing

As soon as you are OK with the procedures outlined above, the next step is to employ staff for the filling station, well as the owner of the business, you can decide to employ by yourself or hire those who have experience in the filling station business to help to interview the intending staff while you decide the amount to be said as salary.

As it is for most filling stations, you will need attendants for the pumps, you will also need security guards. Another important staff is Cashier, Supervisors, Manager.


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