Amazon FBA risks

There are a few factors to consider if you don't want to get stuck with inventory you can't sell, and you need to get started on a small budget.

Choose a unique product and private label it. That can be done with small quantities, but it requires you to think outside the square. Most people will tell you to look for hot selling items, but that usually ends up in competing on price.

I have taught many people how to find products that have never been imported into the USA. If you have your own brand and others don't know where to source such a product you avoid the race to the bottom that results from selling "me too" products.

Buy your product direct from the real manufacturer, and make sure you have bought it at the best possible price. Lots of people buy at what they think is wholesale, but they don't know how low costs can really be when they buy direct.

Open your mind to the idea of buying somewhere other than China. There are many countries where you can find keen producers looking for business. Most people buy from China because that's the easy path where everything is listed for you on sites like Alibaba. It is not so easy to source from countries outside China, but I have taught many people how to do it.

Readers might find it helpful to see my old, but still relevant thread: Importers should consider countries other than China where I answer a lot of questions.

Walter