The retail industry is one of the fastest-growing US segments and is chosen by both onshore and offshore entrepreneurs, when starting their business. Online retailers mostly choose Amazon.com as a way of implementing and growing their business, and turn it into a success using the Amazing Selling Machine program (ASM).
The program is what is considered an informational product, and is only available twice each year. Students, or buyers, receive a toolkit of information including training videos, eBooks, software tools, and access to a private community to prepare them to be a legitimate Amazon vendor. The product also includes a 3-day in person event, where other members get to meet each other, learn more about strategies, and jump right in.
A complete learning program on how to successfully sell on Amazon
The Amazing Selling Machine is a step-by-step system on how to build a successful retail business by selling private label and custom manufactured products on Amazon. Created by Matt Clark and Jason Katzenback, the extensive and comprehensive study entails easy and efficient strategies on implementing, expanding and scaling a physical product business online.
Amazon allows you to sell to its millions of customers, either as an Individual or a Professional. Individuals can sell 40 items or less each month, at the cost of $0.99 for each sale, plus selling fees. Professionals can sell more than 40 products at a flat fee of $39.99 each month, plus selling fees.
Selling on Amazon is relatively simple as far as setup goes. You upload your products’ listing information, customers buy from you, you ship the product (again, these are physical products), and Amazon transfers you the money. What’s the catch? You have to have a bank account based in the United States.
In order to open a seller account on Amazon, you need to register with your business name, address, contact information, a credit card with a valid billing address, a phone number where you can be reached, and your tax identity information (such as your social security number or Employer ID Number (EIN). If you’re a company or business owner who primarily operates overseas, you will need to open a US based company and open a bank account as well.
Be realistic about using the Amazing Selling Machine
When starting an e-commerce business, many entrepreneurs find themselves confused on rather choosing a sole proprietorship or a corporation. In order to decide which business type is more suitable, you should be aware of the impediments you will face using the Amazing Selling Machine.
ASM is not meant for tight-budget entrepreneurs
You must be prepared for the inevitable costly first-time errors in building your e-commerce. As a sole proprietor you are personally liable of all debts, costs and business obligations. As a corporation you can rethink your selling strategy by eliminating a certain product or by selling interest in the business, but as a sole proprietor you are liable for any loss your business suffers and might become hard to get yourself back on track.
Storage and supplying benefit corporations more
A large quantity of products will be needed to be ordered, sometimes and you will have to pay for courier costs and shipping fees when purchasing product samples from manufacturers. Corporations benefit from tax and fee reductions, considering large amounts of products are ordered on a regular basis, whilst sole proprietorships may find themselves overwhelmed by the shipping and storage costs.
In case of lawsuits sole proprietors are disadvantaged
Conducting a business on Amazon requires patents, trademarks, copyrights or privacy policies which can be costly for a freelancer. Using the ASM system itself is not cheap. If a product is substandard or counterfeit, sole proprietors may find themselves in a lawsuit and might lose all the assets they own.
Corporations have more credibility among customers
Using the Amazing Selling Machine means selling tangible products people usually buy on a regular basis. Sole proprietorships are not legal entities and cannot provide any guarantee their products are genuine. Customers return to and recommend companies that act under US state law or which have a US Bank Account.
A US Bank Account gains more credibility than a Payoneer Account
Opening a US Bank Account is critical for an e-commerce business! The Amazing Selling Machine is meant for businesses that wish to expand at a large scale in the online retail industry. Without a proper Business Bank Account these businesses are severely limited. With a US Bank Account, vendors, suppliers and companies all over the world have more trust in doing business with you, knowing that for any broken contract you are required to act according to the state law. Also, it is easier to obtain a a merchant service account at a fair and reasonable rate. If you feel determined to enter the online retail business and to successfully sell on Amazon using the Amazing Selling Machine, then you should register your company in the USA and apply for a US Bank Account. If you need professional help, contact Inc. Plan USA for a free 30 minute consultation.