Partnership in Amazon FBA business

by Timdr
7 replies
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Hi everyone,

I'm looking into starting an Amazon FBA together with a friend. He will sort out the actual products, i.e. sourcing, shipping etc. I will be doing the technical side of things, running the Amazon account, PPC, banks etc.

Here's a question for those running such a business: What percentage of the time and effort does each part take? We want to make this fair, that each side will own a percentage of the business according to the amount of work he will put in. What would you say is a fair split?
#amazon #business #fba #partnership
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  • Profile picture of the author Kay King
    In my opinion - the best way to successfully have a partnership like you describe is 50/50 split - each has defined duties but both should be willing to work on whatever need to be done.


    In my experience it's the only 'split' that works well over the long term. The only exception is if one partner is putting in more or all of the capital required.
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    • Profile picture of the author george3454
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  • Profile picture of the author savidge4
    Have to agree with Kay.

    The product side will without question take less time overall... BUT You cant have one without the other. You cant sell an item and make money if you don't have items that sell.

    50 / 50 in my book would be the way to go.
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    • Profile picture of the author Timdr
      Thanks for replying.

      The product side will take less time? I thought I was doing the smaller job.

      I'm very interested in hearing other people's experience with this, thanks.
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      • Profile picture of the author savidge4
        Originally Posted by Timdr View Post

        Thanks for replying.

        The product side will take less time? I thought I was doing the smaller job.

        I'm very interested in hearing other people's experience with this, thanks.
        Based apon my own personal EXPERIENCE ( lol ) I have an e-bay store that I spend about 1/2 to maybe 2 hours a week sourcing, and maybe 2 hours a week shipping ( not even that actually ) but the rest of the stuff? Photos, listing, social media, book keeping etc etc etc is 2 hours a day+ every day. And I obviously do this part time.

        At scale... my Wifes business equates to about 1 day a week in Sourcing. 1 day a week ( as it relates in time ) in Shipping and the remaining 5 days would be the other "1/2"

        To maybe get a better idea of what you are in for you might want to read this: ( https://www.warriorforum.com/warrior...r-journey.html ) and to get a better idea of what eBay might look like you might want to look at: ( https://www.warriorforum.com/warrior...days-ebay.html ) In both cases you will see you have picked the "short straw" and I think that's great - I HATE shopping and Love your half of the work. And we will assume your partner loves the shopping thing and hates the other stuff.

        As long as a partnership is developed around strengths and weakness and identifying those and using them to your advantage everything will be awesome.
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  • Profile picture of the author ethiowebs
    Inventory management and product handling workload will depend on the type of product/s and if you are shipping yourself or using Amazon's fulfilment service. At the same time marketing is the most important and task that will take a lot of time. I would say an initial 50/50 divide is fare and review the split after a year to make sure it continues to be fare.
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  • Profile picture of the author Kay King
    I'm very interested in hearing other people's experience with this, thanks.

    That's good - but remember to sort out 'experience' vs 'opinion' as you'll get both.
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    Saving one dog will not change the world - but the world changes forever for that one dog
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    Sometimes I just want someone to hug me and say...
    "It's going to be OK - here's a horse and two million dollars."
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  • Profile picture of the author Timdr
    Thanks everyone. Does anyone else want to share their experience how much time they need to put in to each side of the business?
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