How to Sell on Amazon as a Partnership Company

Introduction

Ever fantasize about an all-encompassing market of clients interested in your partnership company's product? Amazon is one of the top global e-commerce platforms that creates this fantastic opportunity. Forming a selling-on-Amazon partnership increases the exposure of your business through its established customer base and vast infrastructural network. This is a guide that gives you insights into what it takes, from putting up your business to selling your products and meeting the orders. With careful execution of these steps and knowing the allocated cost and fees, you will discover the great diversity in revenue and sales that have been brought along with the presence of Amazon. Don’t forget that to succeed with Amazon partnerships you have to have unique great products and also clear thinking and skilled operating processes. Let's start then and discover together how to do Amazon selling for your partner company in this thrilling global shopping environment!

GST registration for selling on Amazon

Step one requires you to obtain a GST registration if you are to launch a business partnership selling for Amazon. We have to follow this rule as most of the companies including us who sell on Amazon India need to register on GSTN.

The positive side is that the GST registration procedure in this case is also the same as the one applicable in the normal way. Though the documents you need to submit will be different from what you need to file as a sole proprietor or other structure, the process from A to Z will be quite similar. Here's what you'll likely need:

• PAN Card: This is inclusive of every applicant or authorized signatory who is part of your partnership agreement.

• Partnership Deed: This document is the legal affirmation that proves your company to be an existing partnership firm.

• Photographs: Pilot license-size photographs of all partners, authorized signatories and their FBI fingerprints for identification.

• Proof of Business Address: It can be a lease contract, power bill or a document evidencing the fact that your enterprise is in the town.

• Bank Account Details: This will be the business bank account which will be cordially linked to your partnership transactions.

• Remember: Each state has its own set of requirements which can also involve a variety of usually paper documentation therefore, it is always advisable to do some fact reduction having in mind the official government resources or consult a financial expert for clarification.

The credential gathering should follow, with the next step being the GST registration process that happens online. Mostly, the person responsible for the registration process will be required to create an account on the GST portal and fill in the necessary information. If you are successful in your registration, then you will receive a unique GST Identification Number (GSTIN) and this will become your eternal companion, as it is the crucial document necessary for sales on Amazon and settling your tax matters.

Networking with Amazon industry giants, dressing professionally, and using clean language are crucial elements in making a good first impression. Now, let's move on to the next step: Becoming an Amazon Seller is one step towards selling picks to local fans and becoming a part of their club's history.

Registering as a Seller on Amazon

Before you showcase your partnership company's amazing products to millions, you'll need to establish yourself as a seller on Amazon. Thankfully, the registration process is straightforward. Here's what you'll need to do:

1. Head to Seller Central: Visit https://sell.amazon.com/ and click on "Create your Amazon seller account."
   
   
2. Choose Your Selling Plan: Amazon offers two main selling plans: Individual and Professional. The Individual plan caters to sellers with a limited number of products (less than 40 per month) and charges a per-item fee. For partnership companies with a larger inventory, the Professional plan is more suitable. It has a monthly subscription fee but eliminates the per-item charges.
   
   
3. Register Your Business Information:  Have your partnership details ready, including your business name, address, and tax identification number (GST in India). You'll also need to provide your bank account information for receiving payments.
   
   
4. Verify Your Information:  Amazon will send a verification code to confirm your contact details. Once verified, you're ready to explore the exciting world of Amazon Seller Central!

List the products on Amazon

After it is verified and you get acquainted with the process of product selling, let's exhibit your goods! In this part, you write a listing with what can make your clients want to click and buy. Here's how to effectively list your products on Amazon:

1. Choosing the Right Listing Method:

• Add a Product: Tap into this third-party platform if you already have the product on Amazon. You can just "connect " an offer to the existing product listing by the related data of the manufacturer and the Universal Product Code.

• Create a New Listing: Amazon best fits brands that are new to its platform. Apart from specifying the product title, description, category, brand, and key features, you'll have to offer clear information about this item.

2. Optimizing Your Product Listings:

• Compelling Product Title: Incorporate those keywords, which can be in phrases that consumers use for finding. Keep it short and meaningful – the description should not exceed 80 characters.

• Detailed Product Description: Emphasize the most important characteristics, advantages, and technical specifications. It is difficult to distribute resources fairly between the rich and the poor because the rich may argue that they deserve to enjoy the benefits of their wealth. Emphasise the bullet points and easy-to-read sentence structure to improve the content's legibility.

• High-Quality Images: Make several photos from different perspectives as well as the products being lit and clear. Take charge of including lifestyle photographs showing the product in use as an alternative.

• Search Terms: Incorporate keywords within your listings to match the search patterns of customers on Amazon to rank higher.

3. Optimizing for Fulfillment:

• Fulfilment by Merchant (FBM): You are mobilized to carry out the creation of the storage, packaging and shipment of those orders.
• Fulfilment by Amazon (FBA): As an Amazon seller, you delegate your product stocking, packing, shipping and customer service to its Amazon stores, pick, pack, ship, and provide customer service for your products. Suggestions: ( Mention FBA's impact on listing fee and fulfilment expenses).

Fulfilling Orders

There are two main ways to fulfil orders on Amazon as a partnership company:

1. Fulfillment by Merchant (FBM):

For your fulfilment, you overtake the whole process, such as picking, packing, and shipping that goes to the customer.

Pros:

• Whether you do it by yourself or outsource to contractors, here you are in the driver’s seat: you design your packaging, choose your shipping methods, and create your branding.
• Shipping small volumes or products requiring specialist transportation appears more cost-effective to such sellers.

Cons:

• The preparatory process which involves the packing and transporting of the product is typically a time-consuming and demanding activity.
• May lack competitive shipping methods and thus be slower than Amazon.
• Clients may experience the ease of quick delivery time offered by FBA (the one further provided).

2. Fulfillment by Amazon (FBA):

Amazon takes charge of the manual process of storing, refining, packaging and sending your products out to buyers.

Pros:

• Pilot to get faster fulfilment times and Amazon Prime benefits, with which customers can enjoy free two-day shipping that will increase sales.
• The labour reduction pillar for your partnership will guarantee you more time to pursue extra activities for your business.
• This access to Amazon logistics could help the company expand its client base.

Cons:

• The satisfaction fee is composed of the storage, fulfilment, and optional service accounts.
• Much harder to influence through packaging and branding.

3. Choosing the Right Fulfillment Option:

The best option for your partnership depends on several factors, including:

• Product volume: Normal e-commerce appears to be more cost-effective from the perspective of a high-volume vendor as well.
• Product size and weight: A disadvantageous storage fee costs a dramatically greater amount for bulky items with FBA.
• Profit margins: Include expenses for FBA fees to ensure that you can still profit.
• Fulfillment capabilities: Take note of the packaging and production capability you would need.

Costs and Fees

You need to understand various Amazon selling fees that impact your profitability. Here's a breakdown of some key costs.

1. Selling Plans:

Individual Selling Plan: Ideal for low-volume sellers (under 40 items per month).

• Per-item fee: ₹119

Professional Selling Plan (Recommended for most partnerships):

• Monthly Subscription Fee: ₹499
• Provides access to advanced selling features.

2. Referral Fees:

Amazon charges a commission (referral fee) on each item sold, ranging from 6% to 45% depending on the product category.

3. FBA Fees (if applicable):

• Fulfillment Fees: These cover picking, packing, and shipping costs, and vary based on product size, weight, and destination.
• Storage Fees: Amazon charges monthly fees for storing your inventory in its fulfilment centres.

4. Other Potential Fees:

• Closing Fees: A small variable fee per item sold.
• Optional Advertising Fees: Promoting your products through Amazon Ads can be beneficial but comes with additional costs.

Understanding these costs and fees is crucial for setting competitive prices and ensuring your partnership remains profitable on Amazon.

Conclusion

By implementing the guide provided, you've taken the first brick in building your joint venture with Amazon. Remember, success on this platform hinges on a few key elements: photos of elite-quality product listings, fast product fulfilment (FBA will help you with better consumer experience), competitive prices, plus superb customer service. While conducting your business, you should follow the latest Amazon policies. Also, you should be mindful of their brand registration feature to establish a stronger position in the market. Marketing your products on Amazon requires an ongoing activity, but the opportunity that your products will get more exposure, more revenues, and brand awareness, makes it a better option for your partnership company. Hence, make today the start of the journey and be ready to enjoy the great prospects that await you in the Amazon Marketplace.