How to Apply for Petrol pump Dealership in India?

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One of the greatest and most successful businesses in India is the petrol pump company. However, applying for a petrol pump dealership is not an easy task. There is a slew of rules and procedures to follow. There are certain steps you must follow to apply for petrol pump dealership in India. In this article, you will learn about the detailed procedure to apply for petrol pump dealership in India.

Eligibility Criteria to Apply for Petrol Pump Dealership

  • If you want to open a petrol pump in India, you must have valid Indian citizenship and be a permanent resident of India.
  • A person must have spent at least 182 days in India during the preceding financial year in order to get the residency of Country document.
  • In addition, the candidate must be at least 21 years old and not more than 55 years old to be eligible for consideration.
  • Candidates for urban fuel station openings must be college-educated.
  • Freedom warriors are exempt from the standard of minimum qualification.
  • When filing an application, you must provide proof of your age, such as a copy of your high school diploma, your birth certificate, your passport, or an affidavit stating your exact age, such as one given by the state’s Election Commission.

Stepwise Procedure to apply for Petrol Pump Dealership

Stepwise Procedure to apply for Petrol Pump Dealership

tasks_2021_2xApply for Company Formation

The first step to start any business is to legally register it. Company Formation or Company Registration is the first step that you should do while you apply for petrol pump dealership in India.

Company Formation allows you to legally register your business with MCA(Ministry of Corporate Affairs). Furthermore, Oil Marketing Companies only prefer to work with registered firms.

You can have Company Registration for your Petrol Pump Business from any of the following:

tasks_2021_2xProvide Land Related Documents

When it comes to choosing a petrol pump dealership station, the location matters a lot.

You’ll need to own property in the region or be able to get a long-term lease for the time period specified in the notice if you’re renting.

A variety of documentation is required to verify the land’s ownership. In addition, the candidates are initially categorized into two groups:

  1. The land is located near the National Highway.
  2. Applicants that have a suitable piece of land in the mentioned location/area, either having ownership or long-term lease.
  3. Prospective buyers and long-term renters who have a firm offer on a suitable piece of land.

tasks_2021_2xFill out the Application form for a Petrol Pump Dealership

Many oil companies, such as Essar Group, IOC, Hindustan Petroleum, and others, provide an application form for the retail outlet franchisee on their official website.

Lottery selection is used if a high number of applicants are submitted by the oil marketing firm.

Within the allotted time frame, the chosen candidate must submit all required documentation to the oil business.

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tasks_2021_2xOpen a Current Bank Account Online

You must be aware of the fact that the transactions happen frequently in Petrol Pump Station. Hence, a current account becomes the number one requirement to operate a petrol pump business.

tasks_2021_2xAcquire a Business Loan

The Petrol Pump Dealership Business requires a good amount of capital. Hence, if you need to invest a huge amount of capital in one go, it’s best to get a  business loan. You can acquire business loans from banks only if you have a well-made Business Plan & Project Report from professional experts.

tasks_2021_2xGST Registration

As lubricants and distilled water are not excluded from the GST, petrol stations will be subject to the tax as well.

Consequently, a petrol pump merchant must have  VAT and GST Registration and do GST Return Filing.


The above mentioned is the process to apply for petrol pump dealership in India. To understand the process even better or get assistance in any step, you may contact our business advisors.

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Moreover, If you want any other guidance relating to Company Formation. Please feel free to talk to our business advisors at 8881-069-069.

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