AMAZON WHOLESALE CHAPTER 1

WHAT IS WHOLESALE:-
                                                 WHOLESALE means purchasing the product in bulk amount from a brand, distributor or retailer and then selling it to the customers.

WHAT IS AMAZON WHOLESALE:-

                                                  AMAZON is a platform where you can sell the products of your own brand or by the approval of another brand and make your living and selling easy . It is simply a shop where people buy and sell.

• NOW this thing is not as easy as it seems , it is the collection of many complex terms and processes.

• FIRST the thing you need to decide is that in which country and then state you want to sell products.

• Lets say I want to sell in USA , then what should you know and what is the process that you had to go through for selling . Everything will discussed in this blog.

FREQUENT QUSTIONS THAT COMES INTO MIND FROM SELLING PRODUCTS ON AMAZON :-

1. What documents I need to submit ?
   
   
2. How much age is reqiured for that?
   
   
3. How much money will it take to open account on selling?
   
   
4. How much time will it take to form my account?
   
   ANSWERS WILL BE GIVEN AT THE END OF THE BLOG
   
   SOME COMMON TERMS THAT ARE USED IN AMAZON AND ALSO USED BY THE PEOPLE WHO SELL ON AMAZON. ARE GIVEN BELOW :-
   
   

Important Key Terms Of Amazon Market.

2. AMZ = Amazon
3. BC = Boot camp
4. FFL= FBA Freelancing
5. VA = Virtual Assistant
6. PL = Private label
7. WS = Wholesale
8. DS = Drop shipping
9. FBA = Fulfilment by Amazon
10. FBM = Fulfilment by merchant
11. MFN = Merchant Fulfilled network
12. PM = proxy marketing
13. PMM = Proxy marketing manager
14. LP = Listing promoter
15. H10 = Helium 10
16. JS = Jungle Scout
17. VL = Viral launch
18. MW = Merchant Words
19. LLC = Limited Liability company
20. LTD = Limited Company
21. LLP = Limited Liability partnership
22. SSN = Social Security Number
23. ITIN = Individual Taxpayer identification number
24. ISBN = International standard book number
25. EAN = European Article number
26. EIN = Employer Identification number
27. VAT = Value Added Tax
28. HMRC = HM Revenue and customs (Uk tax department)
29. TFN = Tax File number
    
30. IRS = Internal Revenue Service
31. ATO = Australian tax agency
32. CRA = Canada Revenue agency
33. BSR = Best seller rank
34. SV= Sales velocity
35. SC= Seller Center
36. NR = Negative Revenue
37. ASIN = Amazon standard Identification
38. GTIN = Global Trade Item number
39. UPC = Universal product code
40. SKU = Stock keeping Unit
41. EBC = Enhance brand content
42. SEO = Search Engine Optimization
43. LQS = Listing quality score
44. CPR = Cerebro product rank
45. PPC = Pay per click
46. ROI = Return on investment
47. CTR = Click through rate
48. CPC = Cost per click
49. ACOS = Advertising per sale
50. ROAS = Return on ad spend
51. COGS = Cost of good sold
52. SABO = Search and buy order
53. VVRO = Very very real order
54. POEP = Purchase over existing purchase
55. ACOEAC = Add to cart over existing add to cart
56. VPN = Virtual private network
57. B2B = Business to Business
58. OEM = Original Equipment Manufacturer
59. FF = Freight forwarder
60. FC = Fulfilment Center
61. RFQ = Request for Quotation
62. MOQ = Minimum order Quantity
63. DDP = Delivered duty paid
64. FOB = Free on board / Freight on board
65. EXW = EX Word
66. MAP = Minimum advertised price
67. MSRP = Manufacturer's Suggested Retail Price
68. MC = Many Chat
69. VPS = Virtual private Server

VPN = Virtual private Network


Now in amazon wholesale , if you want to sell products and want to make money by selling items in a specific state of a country , you have to follow steps of their state and make a company in their which we call LIMITED LIABILTY CORPORATION (LLC).

 1- STEP : LIMITED LIABILTY CORPORATION :-

• IF you are non-resident of the state where are you selling than it must be hard for you to form LLC in that state . That is why people hire agent of that state that helps them in making the LLC . And there are websites that helps the outsider to make their LLC . And that is the right way in my opinion to let them do their work and pay them when it forms.

• IN a week your LLC is ready and your company will be registered 

The fee that they will charge will be according to the state you chose for making company

2- STEP : EMPLOYER IDENTIFICATION NUMBER

• EIN is nine digite code which is used to open bank account .
  
  
• IT is issued by the IRS free of cost  .
  
  
• IT can take 2 or 4 weeks to be issued.
  
  

After LLC formation , you need EIN in order to open an account in that state.

3- STEP : BANK ACCOUNT :-

• When the EIN will be issued to you then you need to open an bank account in that state .

• There are two types of bank account that you can open in a state where you are going to sell product 

1 - virtual bank
2- physical bank

for example in PAKISTAN, there are many physical banks like allied bank account. And virtual bank accounts are like jazzcash, debtcard ,easypaisa etc.

• And same goes for that state in which you are going to open an account. Like in USA there are virtual banks like mercury that provides good services and another good point is that you do not have to go that state physically and charges of that account are also lesser than physical bank account.

IN between 48 to 72 hours your virtual bank account will be formed.

4- Step :Unique Address or commercial address :-

• When your LLC will be under consideration they will demand a address , they will say that if you are going to make a company in our state then where will it open . Give us atleast address to confirm that .

 

• Then you have to rent a part of property , and give it to them but it does not that much costly  maybe 100$ yearly .

• Or you can buy virtual address both work well but virtual address is cheaper than the physical address.
  
  Note that PO box ( post office box ) are not acceptable in amazon so do not use that.

5- step : REGISTERED AGENT :-

• IN order to fulfill the legal matters of that state and filling documents , you need a registered agent .
  
  
• They also came at very cheap price and some agents do not charge their first year fee.

6- step : Reseller certificate :-

• Also known as seller tax exemption, which means that whatever you will be selling you will not be required to pay the tax to that state.
  
  
• Note that there is a difference between the seller permit and reseller certificate.
  
  

IT also take 2 weeks to get the reseller certificate.

7- STEP : PHONE NUMBER AND BUSNIESS EMAIL :-

• After you got reseller certificate then you have buy a number for phone calls of that state and also a busniess email for for the inquires of your customer and for website uses too.

8 - STEP : WEBSITE PLUS DOMAIN AND HOSTING :-

In order to get approval from the brand for selling his product you must need a good website for showing them that you are professional seller and that increase up your chance of getting approval from brand.

9- STEP : THINGS YOU MUST NEED FROM THE AGENT YOU ARE HIRING :-

• Article of association ( it is a document that specifies company operation and defines its purpose and it is approved from the court that state .

• Company register certificate (A Company Registration Certificate is also known as Certificate of Incorporation or COI or Letter of Incorporation. This certificate of Incorporation is proof that the business has registered under the Registrar of Companies .
  
  
  • 
    
• Seller permit and reseller certificate are both required from agent of that state as they are very complex to understand that is why I explained them below from differences .

                                   

• SALES TAX CERTIFICATE ( A sales tax certificate is for exemption from sales tax you paid, not sales taxes you collect from customers .
  
  
• SOME services that are required from the agent given below :-
  
  

1.   Mail forward service
2. document forward service
3. Free consultation service

•  DUNS number is a unique nine-character number used to identify your organization. A DUNS number is a unique number used in identifying a business. Basically, the number is just used as a unique identifier for your company when creditors, vendors, or potential partners want to find more information. It is like a social security number for your business credit or financial information .
  And it is required from the amazon in order to sell.

• He must have SKYPE
  
  
  WHAT IS METOO AND BUYBOX :-
  
  
• BUYBOX is a box of yellow colour present at the listing of product for the customer to purchase the product by clicking on that box .

• METOO is a process in which a seller of wholesale grants permission from a distributor or brand to sell the products of his brand on his listing. If brand approves him then he got attached with the brand and the buybox keeps rotating between them . 
  
  TOOLS :-

1. HELIUM 10
   
   
2. JUNGLE SCOUT
   
   
3. KEEPA
   
   
4. SMART SCOUT
   
   
5. DS Quick View
   
   
6. AMZ Scout Pro
   
   
7. TWF BuyBox
   
   
8. AMZ Scout calculator
   
   
9. AMZ Scout Quick View
   
   
10. ONLINE Seller Addon OS Add on
    
    
11. Web Scrapper
    
    
    
    ANSWER OF COMMON QUESTION ASKED :-
    
    1-    ID Card + passport ( documents )
    
    2-  AGE should be 18+
    
    3-  Minimum 2000$ are required to start busniess on amazon.
    
    4-  In between 2 or 3 months the busniess starts up on amazon.