Muhammad Saeed
I am Muhammad Saeed. I have 16 years of business experience. To start a business on Amazon is not
Are you confused that the Amazon seller performance department do not accept your invoices?
Have you received a mail that your product is inauthentic?
Your listing privileges have been removed and your account is deactivated?
Keep in mind that the invoices with legitimate supplier source is the key requisite for your smooth business flow.The seller performance department will not accept your invoices if
• It is more than a year old(365 days).
• It is scanned badly, blurred photo and illegible.
• Logo is blurry misplaced and its color is mismatched with supplier or brand website. Lines are not intersected properly.
• It is handwritten.
• Supplier website link is not available on invoices.
• Address on invoices is not exactly matched with the address of seller central.
• Supplier website is not professional and is under construction.
• Quantities on invoices are mismatched with seller sales volume history.
• If the invoice marked as PROFORMA INVOICE.
Make sure that your invoice is authentic to prevent any disruption in your business flow.
Muhammad Saeed
ACCOUNTING –The Life Blood of a Business.
When we use the word Bussiness,definitely we go for with a mindset to earn some profit. Nobody will take a risk with a business resulting zero profit. Now how can we mitigate this risk to ensure for earning some profit from the business?. Without Proper Accounting of the business, it is not possible to analyze the pros and cons of the business.
Here I will share with you these accounting techniques while selling on Amazon.
Product price is the key element which is to be keep in mind for generating good profit. Selecting a very low or high product price will tends to decrease the profit margin.Amazon FBA Calculator is the right tool for calculating profit Margin of the Unit Sale.As a beginnair,usually we do a common mistake by not using the right FBA Calculator for the right Marketplace.If we are going to sell the product in UK market,we will have to use the UK FBA Calculator.
The data on FBA Calculator is not the exact picture of your business. We need to know all the cost ,take all of them into account to determine the correct profit margin.Below are the list of tentative cost should be keep in mind.
1-Shipping
2-Customs
3-Payment wiring
4-Amazon Commission
5-Amazon FBA Fees
6-Customer Return Fees
7-On all return, Amazon keeps 20% of the original commission as return fee.
8-Your own return related fee(return shipping,disposal and product write-off).
For clarity, let us a bird,s eye view of FBA Calculator. There are four components of FBA Calculator
1-Revenue
2-Cost
3-Seller Proceeds
4-Net Profit
Revenue consist of items price and shipping.Cost included all cost related to fulfillment plus Selling on amazon fee plus cost of goods plus storage cost.
Seller proceed include Revenue Minus selling on Amazon fee minus fulfillment cost minus storage cost.
Profit Margin=Revenue-cost.
Remember,the product will incur more expense during launching and ranking phase which is called Advertising cost on sale(ACOS).
Actual Profit=Profit Margin-ACOS.
Higher ACOS will leads to decrease the actual profit. Normally ,25-30% ACOS is recommended to generate a good profit.
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