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Before Transferring Your Amazon Seller Account, Know What Your FBA Business Is Worth

Posted by Izach Porter in Articles

More people than ever are looking to opportunities to establish an FBA business. That means if you already have the structure and solid foundation of profits in place, you could generate significant money by selling your business.

Do You Really Need a Broker?

One of the most common stumbling blocks in selling an Amazon FBA business has to do with determining the price of your company followed by transferring the account.

Many people are under the mistaken impression that you cannot transfer an Amazon seller account, but this is a misconception that could end up costing you particularly if you do not hire an online business broker to assist you with your sale.

Transferring an Amazon business, much like valuing an Amazon business, does not have to be difficult. A serious business model in the online business space means that more people who are interested in fulfillment by Amazon are looking to get involved than ever before.

How Do I Know It’s Right to Sell My Amazon Business?

Selling an Amazon FBA business is an attractive opportunity for someone who wants to cash in on something they have worked so hard to build. The primary determination of how much your Amazon FBA business is worth is its ability to generate a profit. The profit of your business is calculated as the total sale minus the cost of goods sold minus any expenses plus the owner’s wage.

The proper valuation of you Amazon FBA business is extremely important for establishing the proper transfer procedures. Increasing the value of your Amazon business is something you may wish to discuss directly with an Amazon FBA online business broker. Transferring your Amazon business only occurs after a sale has been completed. You may feel overwhelmed with this process and unsure of where to turn if you have never sold any of Amazon FBA business before.

Thankfully, retaining an experienced online business broker is the first step towards valuing your Amazon business and preparing it to transfer. There are many different characteristics that can help to influence the value of your Amazon business, including your suppliers, your Amazon bestsellers rank, the concentrating of products, your niche and your age. The selling process has several different steps, including:

  • You deciding to sell.
  • Getting an Amazon business valuation with the help of an online business broker.
  • Generating a prospectus with all the figures and facts about the company.
  • Identifying potential buyers for your business through the support of an online business broker.
  • Negotiating a price with potential buyers.
  • Transferring money and assets. It is strongly recommended that you have an online business broker to help you with this stage of the process.
  • Training the new buyer to run your business.

There are many different factors involved in listing your Amazon FBA business for sale and having a smooth transaction. Getting the right online business broker is often critical for your success.

If you have questions about how to transfer your Amazon account, we can help.