Own A
FranchiseGas Station Franchise:
Is It a Good Investment?
Gas Station Franchise: Is It a Good Investment?
Curious about the viability of gas station franchise opportunities? It’s important to weigh the pros and cons. Sure, these types of businesses are in high demand, but they can be very costly to start. Learn the ins and outs of owning a gas station and whether it’s the right investment for you.
What is a Gas Station Franchise?
A gas station franchise is defined as a business that provides essential services and products to travelers and people on the go. Often located in high-traffic areas like main roads, intersections, and highways, gas stations offer more than just fuel, providing a range of products such as snacks, beverages, and basic household items. With brand recognition and customer loyalty at the forefront, gas station franchises tap into consistent demand, making them a lucrative investment opportunity.
Pros and Cons of Owning a Gas Station Business
As with all things, there are advantages and disadvantages to owning a gas station business. As you research different opportunities, keep the following points in mind to help guide your decision.
Benefits of owning a gas station:
- Stable demand: At the end of 2023, there were almost 300 million vehicles on the road across the U.S. – and they all need fuel. With so many cars on the road, gas stations benefit from a constant, reliable customer base, making fuel an essential commodity.
- Diverse revenue streams: More than gasoline or diesel, gas station businesses typically have convenience stores or even fast-food restaurants attached to them. This allows customers grab everything they need and continue on their way.
- Established customer loyalty: When you choose to invest in a gas station franchise for sale, you’ll likely see a dedicated consumer base come with your purchase. People tend to be more comfortable spending money with brands they know.
Drawbacks of owning a gas station:
- High initial investment: Building a gas station – depending on the size, market, and type – can be a multi-million dollar investment. Costs include real estate, construction, fuel tanks, pumps, and convenience store equipment. You’ll also need to consider your operating expenses (i.e. payroll) once you launch the business.
- Environmental regulations: Gas stations must adhere to strict environmental regulations, which vary by state. Compliance requires regular inspections, equipment maintenance, and even costly upgrades on occasion.
- Fuel price fluctuations: Gas station revenue can be impacted by ever-changing fuel prices. This is especially frustrating for franchisees, because they are bound to the franchisor’s established fuel supplier and cannot shop around for more economical options.
- Security concerns: With such a high amount of foot traffic, there’s an increased risk of theft, vandalism, or other security concerns. As a potential owner, you’ll likely need to invest in surveillance systems, secure payment options, and ongoing staff training to ensure everyone’s safety.
Consider an Alternative
If a gas station doesn’t feel like the right fit for you, consider something different. Trampoline park franchises are a high-growth alternative with multiple revenue streams and a diverse range of attractions. Franchisees can grow their business and customer base by offering fun, family-friendly experiences. From birthday parties and group events to open jump sessions and memberships, trampoline parks generate consistent revenue year-round.
However, partnering with the right franchise makes all the difference. With Altitude Trampoline Park, you’ll get access to our proven business blueprint, extensive training, and ongoing support. Plus, our concept works, just last year our franchisees saw an average unit volume (AUV) of $2.11 million.*
Franchise with Altitude Trampoline Park
Ready to learn more? We’ve got territories available for investment across the country. Interested franchise candidates should have a net worth of $1.5 million and at least $500,000 in liquidity to qualify for an Altitude Trampoline Park franchise.
To learn more about our investment opportunity, request information today, and a member of our team will be in touch.
*Please refer to Item 19 of our latest FDD.