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Retail Sales: Gross profit margins on retail propane sales typically range from 30% to 50%. This includes selling propane to residential, commercial, and agricultural customers. Wholesale Sales: If youʼre selling propane in bulk to other businesses or resellers, the margins tend to be lower, usually around 10% to 20%.

With that expansion, your propane tank needs room to allow for it. Thatʼs where the 80/20 rule for propane safety comes in. If you have a 500 gallon propane tank, it can only be filled to 400 gallons, or 80 percent of the tank. That 20 percent of empty space in your tank is the room for expansion of propane gas.

You may transport up to 1,000 pounds of propane in the back of an open pickup truck or trailer. However, the propane cylinders must still be transported in the vertical and upright position. Anything more than 1000 lbs. would require placarding.

Generally, tank recertification needs to be done between 5 and 12 years based on the date of manufacture, and includes visual defects and other factors as well. Larger tanks may also need to be recertified, but through a different process.

The 80% fill rule is a preventative safety measure against the fluctuations that happen inside a tank. Propane, like water, will expand when heat is added to it.

If your tank falls below 20 percent full and we get a sudden, deep freeze, you could run out of propane faster than you think. Donʼt worry. There are things we suggest you do so that you never run out of propane. First, call Great Valley Propane (GVP) to schedule a propane delivery.

Inventory Purchase ComponentEstimated Initial Investment Propane Tanks Refills $20,000 - $40,000 Storage Facilities $15,000 - $25,000 Safety Equipment $5,000 - $10,000 Inventory Management Systems $8,000 - $12,000 Apr 4, 2025

More often, the propane company charges a fee of anywhere from $25-$250 a year but averaging around $75-$130 annually, depending on local rates, the size of the tank and whether itʼs aboveground or underground. Leased tanks typically are installed for free.