Amazon FBA Business
Let Amazon handle the logistics while you handle the profits
Amazon FBA (Fulfillment by Amazon) businesses sell physical products on Amazon's marketplace using their warehousing, shipping, and customer service infrastructure. You source or create products, ship them to Amazon's warehouses, and they handle everything else. The model lets you build a product business without managing logistics.
Avg Revenue
$200K
Profit Margin
22%
Acquisition Multiple
2x - 3.5x
Startup Cost
$5K - $50K
Difficulty
3/5
How It Works
Find products with demand on Amazon (retail arbitrage, wholesale, or private label). Source inventory from suppliers, ship it to Amazon's fulfillment centers, and list it for sale. Amazon picks, packs, and ships orders. You manage listings, pricing, advertising, and inventory replenishment.
Revenue Range
Pros
- +Access to Amazon's massive customer base and trust
- +Amazon handles shipping, returns, and customer service
- +Can be managed remotely from anywhere
- +Multiple sourcing strategies (arbitrage, wholesale, private label)
Cons
- -Amazon fees eat 30-40% of revenue
- -Platform dependency — Amazon can suspend accounts
- -Increasing competition and advertising costs on the platform
Best For
Data-driven entrepreneurs who enjoy product research and optimization
Operating Costs
Product COGS (40-50%), Amazon fees (referral + FBA = 30-35%), PPC advertising, shipping to Amazon, and software tools.
Where to Buy
- Empire Flippers →
Buy vetted Amazon FBA businesses with verified revenue
- Flippa →
Browse Amazon FBA businesses of all sizes for sale
- Quiet Light →
Premium brokerage for Amazon and e-commerce acquisitions
Quick Facts
- Category
- digital
- Difficulty
- 3/5
- Acquisition Price
- $400K - $700K