Breakdown of Investment:
We need investment around 5,000$ to 8,000$ in USA market.
Step# 1: Creation of Amazon Individual Account:
First of all, we have to create an Amazon Individual Account in the US with Bangladeshi Details(if you can pay $40 extra)
Requirements to Create an Amazon Individual Account:
Passport or English ID card
Bank Statement
Utility Bill
Make sure that the address is correct to receive any document,
Step# 2: Creation of USA Based Company (LLC):
LLC (Limited Liability Company) is a business structure that allowed us to register/create our own company in the United States.
Criteria of USA LLC:
When an Individual account will verify, hire an agent to Create LLC (Limited Liability Company), when LLC get registered then we will get EIN (Employer Identification Number, After EIN we have to apply for Reseller Permit/Certificate. It takes 20-35 Days to complete all processes. The required Budget for this step is $400-$700(Depends on your state)
Step#3: Convert Individual Account to Professional Account. If created before if not created yet then create a new account,
Once the Company Registration process is completed, we have to convert Individual Accounts to Professional accounts. It takes some time to verify our account. When it will be verified, Amazon will deduct a $40 monthly subscription fee from our bank account.
Step#4: Create Website & Company Email Address & Number.
We have to need a website with an Uploaded Products dummy listing to take approval from Brands and open a trade account with Distributors. It takes $100-200(depends in service provider and products quantity as well)
Step#5: Product Hunting.
Now we will find a profitable product and take approval from their brands or distributors. It takes some time like 20-30 days. (Depend on Efforts)
Step#6: Order to Test Products.
Initially, we will shortlist a minimum of 5 products of some brands or distributors, and order their Inventory. There is no need to put all eggs in one basket because brands have a lot of products so we don’t spend all the money on a single product even if we do not spend the whole budget on a single brand hence the risk is diversified and our money is spent on different products of different brands.
So initially, we will order 20-30 units for each product for testing purposes. Let’s suppose the average cost per product is $5 so for 30 units of each product and a total of 150 units of 5 products. The budget for this is $750. We will ship our inventory directly to Prep Centre.
Note: We took the $5 price as an example, according to our latest product hunting criteria price must be between $10 to 30$.
Step#7: Generate Amazon Label & Send to Prep Centre / our own warehouse ( 99% make product safty)
We will make Shipment Plan and generate Amazon Labels and will send them to the prep center. They will paste Labels on our inventory for the FBA warehouse. Suppose each unit prep center is charging $0.5, so for 150 units it would be $75.
After prep, they will ship our inventory to Amazon Warehouse. Once amazon confirms & verifies our inventory, our listing will be ACTIVE.
Step#8: Choose a Profitable product to Order a Large Amount of Inventory.
As LLC registration & processes also takes (20-35 days). So, this is what we can expect after 3 to 4 months when our account will be mature, we can start earning the profit in FBA Wholesale business, Let us www.forwaybd.com know if you need any assistance for LLC/Ltd creation or Amazon business.
Thank you
