Amazon is the largest internet auction with a large addressable audience. It has 95 million Prime subscribers worldwide and 150 million Amazon users around the world. If you sign up as a vendor on Amazon, you will get a substantial addressable audience. Only 9.7 million sellers could sell more than 356 million goods worldwide in 2020. This indicates that Amazon offers its sellers access to a large and established user base.
It can be difficult to set up an Amazon Seller account, especially if you are just starting out in online retail. It is easy and you can sell in no time.
Spend time setting up your store so customers can come in. Once your account has been set up, it’s possible to start adding merchandise and get your store running.
There are some things you can do before you start the process of setting up your Amazon Seller account.
The most time-consuming aspects of starting up your FBA company determine what you’ll sell and how you’ll source the products. These tasks will help you get started selling immediately after you have set up your account. If you are not familiar with the items that you can sell on Amazon, do your research.
You can usually settle on the name of your shop before you create an account. Do you plan to use your own name or do you have a brand or company name already?
You must choose whether to open the account either as a company (also known under the name LLC) or an entity (sole proprietor). Depending on the case, Amazon has two separate account solutions for FBA vendors, but you’ll need to make this decision ahead of time for tax reasons, as you’ll need to fill out tax forms before setting up your account.
Once you have completed all of these details, you will have all the context information you need to set up your shop smoothly.
Decide on your business structure
From the beginning, you will need to decide whether to operate your Amazon business solely or in an LLC (Limited Liability Company).
A sole proprietorship, or acting as an individual on Amazon (more details in the next section) might be the best option if you’re not sure whether you want to make a commitment to a large FBA company. But there is a catch.
You will be a sole proprietor and have unlimited liabilities. This means that you own all assets and debts. You are at risk of being held personally responsible for any lawsuit brought against your company. To pay off a loan amounting to more than your company’s income, you must sell your personal property.
If you have an LLC, your assets will be protected. Your company can also be sued in civil actions. An LLC separates personal and company property.
You may be wondering why anyone would form a sole proprietorship. This is the easiest and most cost-effective way to become an Amazon seller. You won’t have to register the company or establish business revenue, unlike an LLC.
In most cases, an LLC will cost more. Amazon also makes it clear that you are responsible for company fees. These payments will be stored in your Amazon Professional Seller Central Account, which is what you would prefer if you were to form an LLC.
You will need to choose whether you want an LLC or sole proprietorship when creating your Amazon seller account.
You can choose to be an individual or a professional
It may seem like a simple question (“Of course, I’m a professional !”), these options are Amazon’s for your seller account plan. You should carefully consider the options before you start the account creation process, as there are significant differences between them.
Both you and your FBA company will be able to sell the products. The only difference is whether you plan to sell more than 40 items per month (and whether or not you wish to pay a monthly charge).
Individual sellers don’t have to pay a subscription fee. This is great if you are just getting started and want new items.
It might be worth the $39.99 per month to become a Professional vendor if you’re certain that your item will sell well. Amazon will ship your item for $0.99 less than the cost of individual vendors.
If you are interested in seeing how your FBA performs, you can either start as an Individual or upgrade to the Professional sales package at any point. Both plans have a lot of similarities. Professionals and Individuals both would have to pay shipping, delivery, and closing fees. All details are available on Amazon’s website. Individual and professional sellers can list their products in more than 20 different categories. Professional sellers have ten additional categories.
No matter what package you choose, the process of creating your Seller account remains the same.
How to Create an Amazon Seller Account in Pakistan
Pakistan was officially added to Amazon’s registered selling countries list on May 7, 2021. The demand for seller accounts on Amazon has skyrocketed since then. Before you dive into setting up an Amazon seller account in Pakistan, here are some essential items.
Internationally accepted Credit Cards
Information about Bank Accounts, such as routing numbers or account numbers
A tax identification number and other relevant details
After you have collected this information, you will need to visit Amazon’s homepage. Look at the tab titled “Make Money with Us”. Then choose “Sell on Amazon.” It will lead you to a page similar to this:
Next, you need to create an account. Alternatively, you can log in using the link below if your Amazon Prime membership number is 65 million.
You may choose to have a different email address than the one that is associated with your Amazon Prime account if you wish to keep your personal and company emails separate. This username will be used to create your FBA business. You will begin receiving emails regarding your orders and other business transactions. Remember that every Seller Central account must have an email address. If you’re interested in starting an FBA business and then selling it, each account must have a different address.
It is simple to create a separate Gmail email account for your company if you don’t have one.
After you have created your account or signed into with a current one, you will be asked to enter your legal name. Think about this: Who is responsible for paying taxes for this company’s revenues?
If you are creating a Seller account, use your name and tax ID number. If you don’t have the company name or contact number, keep it simple.
First, You will have to register a company. After you have entered the information, Amazon will request your company’s address. This page is where you’ll enter your exclusive show tag. It will be visible to everyone on Amazon. Amazon will tell you if the name is already taken. Below, you can see that I was lucky with the name of my fictional company and the phone number.
Amazon will then ask you for a billing system. Get your globally recognized credit card number and bank records.
They will confirm your chosen sale plan until you reach this screen. As you can see, I chose the Professional strategy. If you’re creating an Amazon FBA account, make sure to tick the box.
The final stage of the setup process is the “tax interview” phase, where you will need to enter your tax identity details. Amazon will log you into their registry in order to keep track of all third-party retailers that provide checks. As a crucial step in the process, you will need to fill out a W-9 form.
During the tax interview, you will be asked if you are a sole proprietor or a business owner. Except for all the details of tax paperwork, the only exception is that sole proprietors or persons can use a Social Security Number instead of an Employer Identification Number.
Once you submit your details, Amazon validates them quickly and sends you a W-9 form. Tech!
You can skip this step and still set up your Seller account.
After you complete these five phases, your Seller account will be available for use. The real fun begins when you visit Seller Central.
How to Set up Seller Central Space on Amazon
Amazon’s Seller Central allows you to set up your FBA services, manage inventory, orders, and many other things. Go to Seller Central and log in to your account to access Seller Central.
Seller Central is very user-friendly. You can begin to familiarize yourself with these areas by looking at the drop-down menus on the upper left — Inventory, Orders, and Reports.
In the drop-down menu for “Inventory,” you will add “Manage FBA Inventory.” This tab will contain your Amazon-fulfilled inventory and will be very familiar to FBA enterprises.
When you are ready to create your first product, select “Add Stuff” from “Inventory”. Follow the steps.
Amazon has suggestions on how to reach your target audience. This program can help you build your brand more authentically, even though there are many ways to sell your goods such as through a Pay For Click promotional.
It is most likely that performance will be the most frequently used page, and for good reason. Amazon offers an Account Health Dashboard which breaks down customer service, inventory enforcement, and delivery results. This allows you to see a better picture of your company’s performance (rather than focusing on sales).
After you’ve gone through all the features in Seller Central, it’s time to finish a few details so your FBA company is ready to go. It’s important to establish some administrative preferences for Seller Central before you add inventory to your shop.
Double-check that all your information is correct, including your company name, billing address, information, and type of return. Go to “Settings”, in the upper right corner, and select “Account Info” from a drop-down menu.
Double-check the red objects to make sure that they are correct. If you change your mind, this is the time to edit your brand name. Click on “Payment Methods”, to choose whether you would like to use another payment system. Double-check your information. Double-check the address of the return location. If there are problems with your Amazon product they will need your return information.
On the Seller Account Information tab, you can make administrative changes such as changing your email address, reviewing your tax records, updating your business address, or a legal entity.
After you’ve double-checked everything, return to the Settings dropdown list. Click “Your Details and Policies”. Now it’s time for the world to know who you really are and what your company stands for!
To give your buyers a brief overview of you or a description of your business, choose “About Seller”. This is what they will see when making a decision to purchase from you. The company branding, privacy policies, and FAQs will be included.
You know that the entire business model is built around the Amazon FBA definition. “Fulfilment By Amazon” is, therefore, one of the most important items on the Settings drop-down menu.
The Fulfilment by Amazon Settings page has a few sections. You can take the time to go through each section to learn more about the inbound settings, repackaging, and multi-channel fulfillment.
It is important to pay close attention to the Repackaging Settings as well as the Automated Unfulfillable Removing Settings. These settings can have an impact on how inventory is stored and how easily it can be transferred.
Conclusion
It is impossible to scale an e-commerce store until you sell goods.
Seller Central may seem confusing from the outside, but don’t worry. Amazon makes it easy for new sellers to access the room by providing a detailed “Help” section. It is worth taking the time to understand and optimize your case.