FBA offers many perks including:
There are a few downsides to FBA to consider, such as:
Getting Started With FBA
If you think the FBA program might be worth a test run, here are steps to getting started.
Building an FBA Business
If your test run goes well and you decide to build an FBA business, you’ll need to develop a source of inventory. There are several ways to find products to sell:
- Retail arbitrage. Essentially, arbitrage is buying low and selling high. Search local stores or online for clearance and discounts items. The trick to making money in FBA is to buy products on sale so that you can sell them for a profit. The challenge is finding cheap enough products that can be sold for a profit after your fees.Wholesalers. In this case, you buy items from a wholesaler and sell them as a reseller.Thrift shops. Note that FBA isn’t about selling used items. Your items should be new and in good condition. So if you’re visiting thrift and second-hand shops, your goal is to find items in their packages or with tags—unused and of good quality.
When buying items, find ways to earn money or rewards for even bigger savings. For example, many successful FBA business owners use cash-back websites when they shop for FBA items to sell to earn discounts and cash back. Consider using credit cards with rewards programs to earn gift cards and other perks.
