Door to Door Diesel Delivery Tender Apply Basic Criteria, Requirements, Investment, Profit | SkillsAndTech

Door to Door Diesel Delivery is a start by the Govt of India initiative now Oil marketing Companies (OMCs) are considering recognised Startups to apply for “DDD Resellers” by signing an Agreement with the concerned OMC (ex- IOCL or BPCL or HPCL). Such start-ups is also called as “FuelEnts” (Fuel + Entrepreneurs). So, today in this article you’ll read about Door to Door Diesel Delivery Tender Applying Process Requirements, Documents & Licence and many more.

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Door to Door Diesel Delivery Tender Wiki

Door to Door Diesel Delivery is a new business idea that is approved by the government of India. This will increase the industry and internal trade. Ministry of commerce and industry has now promoted this and they are now liking this concept which is doorstep delivery of diesel.

Eligible Start-ups registered as “DDD Resellers” will be able to procure HSD directly from supply locations of the OMC or its Retail Outlets, having facility for loading of such Mobile Dispensers. Hence the Startup must have their own PESO compliants Dispenser. This is B2B Business only.

IOCL, BPCL and HPCL recently starts a new initiative that is door-to-door delivery of high-speed Diesel all over India. As we all know that if you want to refuel your car, truck, two-wheeler for any other vehicle which is running on diesel. So, we have to visit our nearest diesel filling station for Diesel Pump.

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To do that you have to waste your time as well as money. So, now the Oil Marketing company IOCL, BPCL or HPCL fuel at the doorstep is now started. There is a fuse and considerable demand of stationary comments like generator seeds, earth moving equipment’s also heavy machinery which is used in construction sites and mobile towers. They do not have the resources to store 4 high-speed Diesel. So consumers are demanding to deliver high-speed Diesel at their doorstep.

Door to Door Diesel Delivery Tender Benefits

There is a considerable demand of HSD for stationary equipment like generator sets, earth moving equipment, heavy machineries used in construction sites, mobile towers, etc. Such Start-ups shall be called “FuelEnts” (Fuel + Entrepreneurs). Capsule advertisement shall be brought by OMCs, seeking application from the interested Start-ups for registration/enrolment as “FuelEnts”.

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Door to Door Diesel Delivery Tender Cost

1. Company Formation, Startup Registration, EOI Submission= 30,000/-
2. Application Fee= 11800/- (with GST)
3. Security Deposit = 1,00,000/-

Mobile Bowser of 6000 Liter capacity (Mobile Tanker)

1. Cost of Tanker (Truck with chasis)= Rs 15,00,000/-
2. Fabrication Work with 18%GST= Rs 8,85000/- (including 1 Year PESO License)
3. Vehicle Registration + Insurance= Rs 1,00,000
4. Diesel Purchase for 6000 liter tanker= Rs 86 per liter in Jharkhand (Rs 5,16,000)
5. License/ NOC/ Permission= Rs 1,00,000/-
6. Total Expenditure = Rs 32, 42,800/-

If you want to invest some money and rest will be funded by financial institute.

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1. Vehicle Loan = 13,00,00
2. Own fund = 19,42,800

Expenses

1. Staff Salary (2 Nos. including driver)= Rs 30,000/-
2. Monthly EMI (Loan tenure 7 years@9%) = Rs 20916
3. Monthly Tanker maintenance & Fuel = Rs 10,000
4. Parking rent area = Rs 6000

Total Expenses= Rs 66,916 /-

Total Monthly Net Profit = Rs 1,71,600 – Rs 66,916 = Rs 1,04,684 (This Profit may variable every month)

Door to Door Diesel Delivery Tender Requirements

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Basic Criteria

1. Should be Indian.
2. Age between 21 years to 60
3. Should able to Invest 30 Lac
4. Should have Business entity like Private Limited, LLP, and Registered Partnership firm.
5. Firm Entity registered under Startup India (DPIIT).
6. Start-ups will be required to register themselves as “DDD Resellers” of Oil Marketing Companies (OMC) and will also be required to sign an Agreement with the concerned OMC.
7. Should have own Vehicle where mobile dispenser will load.

License

1. License for operation of the mobile dispensers from PESO License.
2. Certificate for dispensing of fuel from Department of legal Metrology.
3. Statutory clearance like Vehicle fitness certificate from RTO as per motor vehicle ACT.
4. GST/VAT as applicable under state/central govt. regulations.
5. License from Weight & Measurements departments.

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1. Pollution license
2. Hazardous goods endorsements on Driver’s license.
3. Public Liability loss Insurance covered by FuelEnt.
4. Availability of Parking Permission.

Required Documents

1. Copy of Self attested Aadhar card, Voter ID, PAN Card.
2. Copy of Business registration
3. Authorization declaration.
4. DSC declaration and Integrity agreement
5. MSME Registration/Trade license.
6. DPIIT License Number
7. GST
8. SC/ST Certificate

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Door to Door Diesel Delivery Tender Profit

Franchise revenue depends on a wide range of factors, as does profit. How much money you can make from any franchise depends on a number of specific factors such as franchise location, labor costs, commercial lease rates and a number of other factors.

If you fill your tanker at Depot the margin will be Rs 2.5 per liter.

1. If your Per day selling = 3000 liter
2. Working days in a month= 26 days
3. Total monthly sales capacity= 78,000 liters
4. Buying & selling trip diesel expenses of tanker= Rs 0.30
5. Consider average profit margin per day= Rs 2.20
6. Total monthly gross profit per day will be= 3000 x 2.20 = Rs 6,600/-
7. Total Monthly gross profit = 6,600 x 26 = Rs 1, 71,600/-

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Process for Becoming Fuel Entrepreneurs(Door to Door Diesel Delivery)

1. Register a company- Pvt Limited/LLP (Limited Liability Partnership)/Partnership.
2. Obtain PAN, TAN, GST, Udhyam Registration. (Documents required for GST reg.: Certificates of incorporation/Registration certificates and PAN card of the company/LLP/Firm, All directors Photo,PAN, Aadhar email and mobile no., Address proof of business place(Electricity bill with NOC from the owner), Rent agreement if premises on rent)
3. Register your company at startupindia.gov.in under DDD reseller category.(Certificates of incorporation/Registration certificates and PAN card of the company/LLP/Firm, PAN Card, Working Website, All directors Photo,PAN, Aadhar email and mobile no., Number of Employees including Directors/Partners working, Details Of Business)
4. Obtain the recognition from Department for Promotion of Industry and Internal Trade (DPIIT).
5. Participate in the expression of Interest (EOI) issued by OIL marketing Company.
6. The non-refundable application fees for EOI is Rs 10000+ 18 %GSTe. Rs 11800/-
7. During the EOI, the startup has to select the loading point i.e. company depot/Retail outlet from the list provided in EOI.
8. On clarifying the EOI, sign provisional agreement with the respective oil marketing company.
9. Procure the mobile refueller as per the Peso Guidelines and obtain all necessary license like PESO, Legal metrology, Motor vehicle Act, Tax related, Food and civil supplies etc. within 90 days from the date of provisional agreement.
10. The total expenditure will be 30 Lakh – 32 Lakh.
11. On completion of all formalities the FuelEnt Agreement will be signed with 1 lakh security deposit for a period of 10 years.
12. Start loading the mobile Refueller from designated retail outlet/depot for onward supply at door step.

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FAQ

Is it profitable or not?

Ans: It is fast moving products, so there is fewer margins but your sale is too high. So, obviously you can make more profit from this business.

Who can apply for Diesel Delivery Tender?

1. A company registered under Startup India under category of “DDD Resellers”.
2. Having participated in Expression of Interest (EOI) of Oil Company.
3. Full-filled the requirement of oil company and statutory.

What to decide before you start Door to Door Diesel Delivery Business ?

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• Name of Directors and Share holders. Directors and shareholders can be same person. Minimum 2 Directors/Shareholders in case of Pvt Ltd or LLP and 1 only in case of OPC.
• Decide Proposed name of the Company. Name approval is subject to availability of the ROC and as per Company’s name approval guidelines. We assist here to choose name.
• Decide Share Capital amount and % of Share holding among Shareholders. Standard capital we recommend Rs 1 Lakh.
• Decide the place of Business for Registering your Company.

Conclusion

So far we have shared the basics for this franchise. It is the most profitable franchise. You will never doubt your decision to start this franchise. Go ahead and achieve your goal. If you find more information please feel free to share with us. Share your thoughts and we will definitely contact you with new franchise and opportunities. Stay Tuned for more franchise. Thank you

Disclaimer: The information given in this article like investment may vary from place to place, so we are not sure about the investment part.

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