HP Lubricants Distributorship/CFA Selection: Advertisement, Requirements, Cost, Profit, Applying Process
Hello Friends! Today we’ll discuses about the HP Lubricants Distributorship, that how you can apply for the HP Lubricants Distributorship, Advertisement, Investment, Documents & Licence, Profits and requirements and many more in this article.
- HP Lubricants is Hindustan Petroleum Corporation Limited’s (HPCL) umbrella brand for manufacturing and marketing various lubricants and specialty products.
- HP Lubricants is India’s largest lubricant marketer.
- More than 350 grades of lubricants, specialties and greases manufactured in state-of-the-art blending plants spread across India.
- HP Lubricants find applications in automotive, industrial, mining and construction, agriculture, fishing, defence and railways among others.
- It is trusted brand in India.
- It provide good profits and margin.
HPCL Company Overview:
|Headquarters||New Delhi, New Delhi|
|Industry||Oil & Energy|
|Company size||10,001+ employees|
HP Lubricants manufactures and distributes oils, which cater to a wide array of special applications. These applications range from metal cutting to metal drawing, rust preventives, orchid sprays oils and rubber process oils, among others. HP Lubricants excels in providing ongoing solutions for such special requirements.
Our marketers [distributors] represent our company and products to the public. They drive new product development and provide valuable insights into customers’ needs.
Here are a few powerful advantages to becoming an HP Lubricant Marketer:
- Partnership with HP Lubricants means an association with the country’s largest lubricant marketer.
- Access to a wide array of marketing events and programs
- Support from technical and sales personnel at HP Lubricants
- Extensive online and offline training for sales team
- Award-winning Distribution Systems
- Lubricants for a comprehensive list of applications in the Automotive and Industrial sectors
Eligibility Criteria For HP Lubricants Distributorship:
Who can apply?
An applicant can be an individual, a proprietorship firm, a partnership firm, a registered co-operative society or a Limited company (both public and private).
The eligibility criteria for starting Indian Oil Petrol Pump Dealership retail outlet is explained in detail below:
- Should have Indian Citizen.
- Applicants should have not less than 21 years and not more than 60 years.
- Minimum pass in Matriculation(10th).
- An applicant can be an individual, a proprietorship firm, a partnership firm, a registered co-operative society or a Limited company (both public and private).
- Have an experience of managing a Distribution Network in the field of Lubricants / FMCG / Tyres / Batteries / Auto Spares or any other related business.
- Applicants should have capability of managing sales force, ability to generate leads, selling skills, technical competence, etc.
- Applicant should not have any criminal record.
- Candidates who have their own Lubricants or Greases manufacturing facility are not eligible to apply.
Also Read: Kisan Seva Kendra Petrol Pump Dealership
Applicable for Individual / Proprietorship firm Applicants:
- Indian by Nationality.
- Not less than 21 years and not more than 60 years of age as on the 1st day of the month of advertisement.
- Minimum pass in Matriculation / SSC or recognized equivalent.
- Preference for qualified professionals.
Applicable for Partnership Firm applicants:
- Partnership firms having maximum four partners are eligible to apply.
- In case you belong to such a Partnership firm, every partner should submit separate application form giving cross reference of the partners’ application form number.
- Partnership deed is required to be submitted along with the application form.
- Indian by Nationality.
- Not less than 21 years and not more than 60 years of age as on the 1st day of the month of advertisement.
- Minimum pass in Matriculation / SSC or recognized equivalent. Preference for qualified professionals
Requirements for the HP Lubricants Distributorship:
- Proper Space(Shop/Godown)
- Proper Investment
- Equipment for the office
- Vehicle Required(Tempos / Trucks)
- Manpower Required
Infrastructure facilities and manpower required for operating the HP Lubricants Distributorship:
- Covered Godown (min. 500 Sq. Ft) – Either owned or rented or
- Office space (min. 150 Sq. Ft) – Either owned or rented or leased. For both Godown & Office space, the applicant needs to submit
- Owner-ship details if owned by applicant.
- In case owned by any of the family members (Family as defined in the selection guidelines), a willingness letter from the said family member in whose name the site is available to provide the same for use of Lubricants Distributorship, if the applicant is selected along with land ownership documents.
- If leased/rented, the same should be for a minimum period of five years. Submit copy of registered agreement.
- Any other lease/rent document on minimum infrastructure will be considered for five marks.
- In case not available, indicate capability to arrange for same within 45 days from the date of Selection/Issuance of LOI.
3. Computer with software
4. Broadband Internet
8. Two Tempos / Trucks for locations from all states except locations
from Tamil Nadu / Pondicherry / Odisha / Bihar / Jharkhand / North East States / Madhya Pradesh / Chhattisgarh & Uttar Pradesh wherein minimum one tempo / truck is required to be owned by applicant or leased.
- 3-4 Salesmen for applicants from all states (except locations from Tamil Nadu / Pondicherry / Odisha /Bihar / Jharkhand / North East States / Madhya Pradesh / Chhattisgarh & Uttar Pradesh wherein minimum 1-2 Salesman) is required.
- 1-2 Office Staff
- 1-2 Loading Persons
Investment For the HP Lubricants Distributorship:
Provision of minimum* financial requirement for operating the Distributorship :
As mentioned earlier, an applicant has to be able to provide minimum* of Rs 50 Lakhs (For locations with expected volume of > 15 KL per month) and Rs 25 Lakhs (For locations with expected volume of up to 15 KL per month) in working capital on continuous basis for operating the Distributorship. In order to establish this, the applicant has to produce details along with specified documentary evidence as per below format:
*Note: The above is minimum requirement for meeting the minimum volume criteria for the location. In case of further growth in market potential, the distributor is expected to increase the working capital as per requirement.
|Fund Type||Fund Details||Amount (Rs. Lakhs)||Attachment|
|Liquid Funds||Liquid Funds (Savings /Current|
Account / FD/RD/ / Matured PF
account (PPF/EPF) / Any other
without mandatory lock-in period
or with lock-in period having
maturity period within 60 days
from the date of advertisement)
|Documents of ownership|
|Other than Liquid|
Interview & Evaluation Criteria:
I. Those candidates found eligible after scrutiny & PQC evaluation will be called for interview, intimation of same will be sent through the registered email id of the candidate. Applicants found ineligible, will be informed through a regret letter on their registered email id.
II. Interview will be conducted on an online medium like Zoom, WebEx, and Google Meet etc. or in Offline mode. Eligible Candidates will be suitably informed about same through their registered email.
III. All eligible candidates will be evaluated on following parameters as per below evaluation guidelines:
|Sr. No||Description||Weightage (Marks)|
|3||Professional Experience / Business Ability||30|
|4||Capability to provide Infrastructure||15|
|5||Capability to arrange Finances||35|
|Grand Total||100 Marks|
IV. The minimum qualifying marks for a candidate to be considered is 50
Capability to arrange Finances (Max marks 35)
Evaluation is basis declared financial resources and investible funds meeting minimum requirement as per eligibility criteria ( Either Rs. 50 Lakhs or Rs. 25 Lakhs depending on the Expected monthly volume for the location advertised) and supported by all relevant documents / appendix of application form as under:
|Fund Type||Fund Details||Amount (Rs. Lakhs)||Maximum Marks||Marking Criteria|
|Liquid Funds (Savings /Current Account / FD/RD/ / Matured PF account (PPF/EPF) / Any other liquid investments/securities without mandatory lock-in period or with lock-in period having maturity period within 60 days from the date of advertisement)|| |
If > = Rs. 30 Lakhs; marks = 20
|If > = Rs. 20 Lakhs and < Rs. 30 Lakhs; marks = 15|
|If > = Rs. 10 Lakhs and < Rs. 20 Lakhs; marks = 10|
Other than Liquid Funds
|Un-encumbered Fixed Assets for raising Loans|| |
For Balance 15 marks please refer section below
|Loans from Family members with commitment letter & details of assets|
|Commitment Letter from Bank/Financial Institution with Loan amount|
|Any other funds viz. shares/mutual funds/Stock-in Trade with documentary|
Total Funds (Liquid + Other Than Liquid)
|Total funds >= Rs. 65 Lakhs; Marks 15|
|Total funds >= Rs. 60 Lakhs and|
< Rs. 65 Lakhs; Marks 13
|Total funds >= Rs. 50 Lakhs and|
< Rs. 60 Lakhs; Marks 10
Grand Total Marks
|This table applies to all locations wherein minimum finance requirement is Rs. 50 Lakhs.|
LOI & Responsibility of the Distributor:
- Applicant, who is finally selected for the Lubricants Distributorship, will be issued a letter of intent (LOI) on a) physical verification of all original documents as were submitted with the application form and b) submission of interest-free security deposit of Rs 2.0 Lakhs in the form of a local DD payable to HPCL. This security deposit to be submitted to HPCL within 30 days from the date of intimation letter for LOI. The candidate is expected to fulfill all LOI terms within 45 days of the date of LOI, like:
- Facilities / Manpower
- Arrange for Bank Guarantee of minimum Rs 5.00 Lakhs or Interest-free security deposit of minimum Rs 5.00 Lakhs in the form of a Demand Draft payable in favour of Hindustan Petroleum Corporation Limited (pl. refer draft LOI)
- Statutory requirements like GST registration and other requirements as per Government guidelines
- Any other requirement as per selection guidelines or as decided by HPCL from time to timeIn case LOI holder is unable to fulfil any of the LOI terms, the LOI will stand withdrawn and the candidate will forfeit the security deposit. Then the second empaneled candidate will be considered for issuance of LOI.
- As per the LOI terms, once all requirements are fulfilled within stipulated time from the LOI date, the security deposit of Rs 2.00 Lakhs will be refunded to the The candidate will then be issued a letter of appointment (LOA) for HPCL Lubricants Distributorship. The letter of appointment specifies the target for the Distributor as per following template:
Note 1 : In case LOI holder is unable to fulfil any of the LOI terms, the LOI will stand withdrawn and
the candidate will forfeit the security deposit.
Note 2 : As per the LOI terms, once all requirements are fulfilled within stipulated time from the LOI
date, the security deposit of Rs 2.00 Lakhs will be refunded to the candidate. The candidate will then be issued a letter of appointment (LOA) for HPCL Lubricants Distributorship.
- The agreement will be for a period of 5 Years wherein during the initial first year if the Distributor is unable to meet at least 50% of its assigned target then HPCL will terminate the Distributorship Agreement forthwith.
- The agreement can be renewed for further period of 5 years basis the Distributor fulfilling performance standards set by HPCL from time to time.
- The distributor will be provided standard billing software (currently Tally) which the Lubricants Distributor must use for every transaction pertaining to the Distributorship.
How to Apply for the Hp lubricants Distributorship ?
To apply for the Hp lubricants Distributorship, you have to follow some steps or you can watch video which is given below:
The locations where HPCL wishes to appoint Lubricants Distributorship will be advertised in Newspaper giving details like location, district, expected minimum volume etc. Further details on modality to apply and method of selection are uploaded on website www.hindustanpetroleum.com (Under HP Lubricants section) which can be referred to by applicants.
The Lubricants Distributor Selection Guidelines has been uploaded on HPCL website www.hindustanpetroleum.com (Under HP Lubricants section) and provides detail guidelines regarding the entire aspects of Lubricants Distributor appointment process.
Check HP Lubricants Advertisement :
Visit Click Here to see all the advertisement currently running for which state of HP Lubricants.
FAQ(Frequently Asked Question):
Q. Can SC/ST apply for Hp lubricants Distributorship ?
Ans: Yes, SC/St category can apply for the Hp lubricants Distributorship.
Q. What is the total Investment to open Indian Oil Petrol Pump Dealership(IOCL Retail outlet) ?
Ans: If you want to open the Indian Oil Petrol Pump Dealership, then your total investment will be approx 1.2-1.5 crore for the general category but if you belongs to SC/ST then your investment will be approx 80-90 lakh.
Q. What is dealers commission rate in Hp lubricants Distributorship ?
Ans: The dealer commission is approx Rs 50 per litre. By the way comission depends on the total sales. If you sale more get more profit.
Q. What facilities should be available on IOCL Petrol Pump Dealership ?
Ans: Below mentioned basic facilities will have to be provided by each IOCL Petrol pump dealership:
- Driveway(Anyone can easily drive their vehicle inside petrol pump)
- Salesroom (as per approved drawing)
- The area should be surrounded with mount tree Boundary wall/Fencing (as per approved drawing
- Electrification (inclusive of deposit)
- Fire extinguishers (as per norms)
- Tyre Air Facility
- Water Facility
Q. Can I open a Hp lubricants Distributorship in my desired location ?
Ans: No, you cannot open Hp lubricants Distributorship in your desired location, because time to time government publish an advertisement for the required locations in two newspapers, one in English and one in a regional vernacular newspaper having wide circulation in the area where the location falls in case of Regular ROs and case of Rural RO in one local/vernacular newspaper and one state-level newspaper. Persons meeting the eligibility criteria can apply for Hp lubricants Distributorship only for the advertised location.
Q. When I can apply for the petrol pump dealership ?
Ans: Whenever advertisement of Oil Marketing Company will come then you can apply for Hp lubricants Distributorship. You can check the Hp lubricants Distributorship Advertisement. Click Here.
Q. Can I open Hp lubricants Distributorship without any Advertisement ?
Ans: No, Beware from fraudster.
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