It is possible to make up a good amount of money from an Amazon Private Label business, as long as it is well-run, though the initial capital is not fixed, and depends upon many factors, such as product type, quality, quantity, and plan Product Research: The first of them is to define a niche product that you can further resale for a good profit. Although there is software such as Amazon Best Seller List out there for free, going for product research tools (Jungle Scout, Helium 10, AMZScout, etc) will get you even more detailed information concerning the trend and profitability of commodities. (Estimated Cost: $30 – $100/month for tools) Sourcing Products: Once you pretty much decide on a specific product, you will then source for it from a manufacturer, generally in China or the USA through Alibaba for instance. The cost will be subjected to issues such as quality production of the product, packaging, and transportation. (Initial Order: $1,000 – $3,000 (depending on the product type, quantity, and quality) Samples: It’s safer to order samples to ascertain the quality of the products before any large order is placed. (Estimated Cost: $50 – $200 for samples) 2. Branding and Packaging Logo Design: Private Label products need a distinct brand image so that they appear as different from the generic brand. It will require a professional graphic designer to do it or you have to use web tools. (Estimated Cost: $50 – $500 for a logo) Packaging Design: This indicates that there can be a distinction between one package of a product to develop another different one to better relate to the customer. (Estimated Cost: They cost between $100 and $1,000 depending on how complex the assay is. 3. Amazon Seller Account Fees But to actually be able to sell something on Amazon, a person needs to create a professional seller account. There are two types of accounts: Individual and Professional. Many private label sellers prefer the Professional plan as it is $9.99, and it unlocks functionality such as bulk listing and enhanced reporting. (Estimated Cost: $39.99/month (for Professional account)

4. Amazon FBA Fees Fulfillment Fees: Amazon FBA, short for Fulfillment by Amazon has fees for any of these services including storage, picking, packing and shipping. These fees differ by size and weight of the product. (Estimated Cost: $2 – $10 per unit (for standard-size items) Storage Fees: For the inventory that stays on Amazon’s facility for years, there are storage-related charges that may be incurred. (Estimated Cost: $0.75 – $2.40 per cubic foot (varies seasonally)
5. Marketing and Advertising Amazon PPC (Pay-Per-Click): There are no traditional forms of promotions to push traffic to your listing, the only way is to utilize the available Amazon advertising tools. PPC is always based on the number of competitors/keyword bids, but, ordinarily, new sellers spend a few hundred bucks on ads to begin with. (Estimated Cost: $100 – $1,000/month (depending on product competition) Promotions and Discounts: It is recommended to provide some special offers or lower prices during the phase when the product is launched to the market. (Estimated Cost: Variable, but a few hundred dollars for initial promotions)