Shell gas station franchise cost

Shell dealer programme costs, as published

Three ways to work with Shell

Shell's page describes three routes: Company Owned Dealer Operated (CODO), where Shell owns the station and you run it; Dealer Owned Dealer Operated (DODO), where you own the station; and leasing your lot to Shell. The Php 5-8 Million figure and the no-franchise-fee line apply to the CODO model. Shell's page gives no figure for the DODO route, so ask Shell directly.^[1]

For the lot-lease route, Shell lists an approximate lot area of 600 to 1000 square meters and a frontage of 35 to 60 meters. It asks for a letter of intent, the lot title, lot plan, vicinity map and recent real property tax, sent to its new business email.^[1]

Who can apply

Shell's stated qualifications include being not more than 55 years of age, a Filipino national with an established residence in the Philippines, and having a family business, your own business, or experience managing a business or several staff. Applicants must not have been an oil industry employee or retailer for at least 2 years. The legal entity should be a sole proprietorship; for a corporation, the nominated principal should own at least 50.1% of shares.^[1]

The selection steps are: submit requirements, take an exam and interview, get retailer pool accreditation, go through retailer selection, sign the contract, and take over the station.^[1]

What to plan for beyond the published figure

Ask Shell what the initial capital covers, and how much working capital you need on top of it for fuel stock, staff on shifts and any shop or car services at the station. Ask too how often you pay for fuel deliveries and on what terms.

Ask Shell which permits and clearances the dealer must hold, including fire safety and any environmental clearance, and which ones Shell secures as station owner. Read the fire safety inspection certificate guide and see other brands under fuel station franchises. Petron's dealer route is covered on our page of brands with no published cost.

Questions people ask

Is there a franchise fee for a Shell station?

Shell Pilipinas' dealership page states "No Franchise Fees." for the Company Owned Dealer Operated model.

How much do you need to run a Shell station?

For the CODO model, Shell's page says dealers should be able to invest an average Php 5-8 Million initial capital for a station.

Is there an age limit for Shell dealers?

Yes. Shell's page says applicants must not be more than 55 years of age.

Can I lease my lot to Shell?

Shell lists lot leasing as a route, for lots of about 600 to 1000 square meters with 35 to 60 meters of frontage.