The price of a 7-Eleven franchise varies according to the store’s location. However, the initial investment required to own a 7-Eleven franchise can range from $50,000 to more than $1 million. This comprises the $10,000–$1 million franchise fee as well as the price of supplies, equipment, and other costs. Franchisees of 7-Eleven must also possess a minimum of $100,000 in non-borrowed personal assets.
A royalty fee of 50% of gross revenues, a marketing fee of 1% of gross profits, and a technology fee of 1.5% of gross profits are included in the continuing costs of owning a 7-Eleven franchise. Franchisees must also buy their goods from 7-Eleven, which may be a costly endeavor.
Gas station franchises are not available from Exxon. Exxon instead employs independent dealers who rent the property from Exxon and buy fuel from them to operate their gas stations, as well as company-owned and operated stores. Depending on the area and the state of the market, leasing a property and buying fuel from Exxon have different costs. What will happen to gas-powered vehicles in 2035?
Gavin Newsom, the governor of California, issued an executive order in 2021 prohibiting the sale of new gas-powered cars in the state by 2035. Massachusetts and New Jersey are two additional states that have made plans to gradually phase out gas-powered vehicles. It’s crucial to remember that these plans have not yet been finalized and that the fate of gas-powered vehicles is still up in the air.
Gas stations may need to change their business strategies if gas-powered cars are phased out because there would be less of a need for it. While some gas stations might decide to become electric vehicle charging stations, others might decide to concentrate on convenience store goods or other services. Will gas be a thing of the past?
There is a growing movement toward alternative fuels and renewable energy sources as people throughout the world become more ecologically concerned. Although the use of gasoline may not fully disappear in the near future, it is expected that as more people switch to electric or hybrid vehicles, demand for gasoline will eventually decline. In addition, as rules and levies are implemented to discourage the usage of gas, gas prices may rise.
Depending on elements including location, competition, and expenses, a gas station’s monthly profit might vary substantially. In 2019, the average profit margin for a gas station was 2.7 cents per gallon of gasoline sold, according to a research by the National Association of Convenience Stores. For a petrol station that sells 100,000 gallons of fuel every month, this corresponds to about $22,500 in profits. The money from other sources, such as sales at convenience stores or from vehicle wash services, which can greatly boost earnings, is not included in this figure.