How much money will it cost you to sell on Amazon?

There are lots of new Amazon Sellers asking the question “How much money will it cost me to sell on Amazon ?”

This depends on the product you choose to sell, but I’ve seen Amazon sellers start with as low as $5000 to $10,000. First, there are some products you can get made in China for as low as $0.10 per unit (even lower, believe it or not). These are products that you can private label and put your packaging on it, then sell it on Amazon for up to $12 – $20 (or sometimes more).

If you started with a product that costs $0.10 per unit and you ordered 1000 units of it to start, that’d only cost you $100 to get started for inventory. Of course, you’d also have to ship it to Amazon’s fulfilment centre, which depends on the size / weight / quantity of the products and then cost for marketing needs to be consider as well.

Some products are more expensive to get made. Let’s say a product cost $1 – $2 to make, then getting 250 units of it would cost you $250 to $500 and reach it to the Amazon FBA center for $500 to $1000 (subject to MOQ Agreement).

You could then sell that on Amazon for $12 or more. Makes sense?
Other expenses will be getting a logo designed, creating your product label or packaging, shipping your product to Amazon fulfillment centres, marketing, launching, inventory refilling etc…

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