Amazon Business Account Tips – How to Run Amazon Business Account in a Profitable Way
The continuing global pandemic introduced new struggles to businesses and made them re-evaluate how their operations work. Online solutions are increasingly becoming not just demand but a need. Amazon, the online e-commerce giant, is trying to become an ally to entrepreneurs by introducing its Business Account Program.
Thinking about launching an e-commerce business or shifting or diversifying your business online requires much consideration. For example, is a seller account enough to scale your operations? Or are there any other options to make your business more convenient to run?
Since purchasing and creating procurement strategies can be more difficult these days because of pandemic restrictions, you need to know of tools and services that will make your life easier and your business more sustainable.
What is Amazon Business Account
Amazon Business is Amazon’s purchasing service and program meant to simplify your business’ purchasing process. Because it’s a program, you need to register for an Amazon Business Account.
It is open for any business, big or small. Once you register your business, you can enroll or assign users who will be users of the account.
They can use the service features for purchasing, negotiation, managing payment methods, shipping arrangements, and anything related to buying or procuring supplies for the business.
At the close of 2016, Statista reported 400,000 Amazon Business accounts opened. As of now, there are more than 5 million businesses registered on the program from all sectors, including hospitals, local government units, and fortune 100 companies.
Amazon Business Account vs. Amazon Seller Account
If you are a new Amazon user, you might find the Amazon seller account and Amazon business account confusing. They both deal with business, after all. However, the stark difference is that an Amazon business account can only be used as a purchasing tool, whereas you use a seller account to sell products.
In other words, you use your business account only to buy supplies for your business while you use your seller account to sell products to your customers.
You do not need to have a seller account to register for a business account. But you need to have a business account, be it a regular business account or a Business Prime, when you register for a seller account. You need to link your seller account to your business account.
Just as it has a variation in its business account, Amazon also offers two options in its seller accounts. The Individual seller account is available for individuals or small entrepreneurs who do not plan to sell more than 40 items a month.
If you plan to sell only used but not abused household items, or occasional hobbyist handmade products, this plan is your perfect fit. With this plan, a seller pays a fee of $0.99 per item sold.
On the other hand, the Professional seller account is available for large businesses and enterprises doing large-scale operations. Instead of paying a fee per item sold, the professional seller pays a monthly retainer of $39.99.
Whether you plan to register for an individual or a professional Amazon selling account, you need to link it to a business account. So, start by creating an Amazon business account.
Regular Amazon Business Account vs. Amazon Business Prime vs. Amazon Prime
Amazon Business Account
You can create a regular Amazon Business Account for free. It offers standard features for users which are not available on personal accounts. Examples of these are:
- getting business only prices in certain products for ordering in bulk
- integrated workflows to secure budget and manage purchases
- eligibility for the Amazon Tax Exemption Program
- account management tools and convenient shipping options
Amazon Business Prime
Amazon Business Prime allows you to take advantage of additional purchasing features you can’t get from a regular business account. Amazon Business Prime offers plans that have exclusive features and advantages. The plans range from $69 to $499 annually.
Among its exclusive features are:
- Free Shipping for eligible items
- Availability of Spend Visibility Tool that you can use to track purchases, plus other business analytics features
- 5% back or 90-days to pay interest-free for all purchases within the United States
- Access to Amazon Workdocs where users of the business account can collaborate purchase records and transactions
- Business-only prices plus additional discounts
Amazon Prime, or just Prime, is Amazon’s loyalty membership program for its shoppers. Designed for an individual’s use, it offers exclusive discount vouchers, free shipping on eligible items, free delivery, and access to special shopping events like Amazon Prime Day.
While Amazon Prime is a membership program for individual shoppers, Business Prime is for businesses. But just the same, both offer additional perks, exclusive offers, and special features to the members registered on the program.
To get the best of both worlds, small business owners can register to Amazon Business Prime Duo, a single-user plan, where business owners can get Prime and work benefits.
How to Run Amazon Business Account in a Profitable Way
- Make the most of the Amazon Business features.
Amazon Business is designed to make purchasing easier for you. Therefore, use the tools and resources made available for you when you register for a business account.
Tools and features like Spend Visibility, Amazon Workdocs, and Guided Buying can help you analyze, manage, and track your data. Quantity Discounts will help you minimize your budget spending.
Other benefits like extended terms and Tax Exemption Programs will also help you with your spending and budget.
- Be Picky. You have a vast resource available to find supplies.
Product quality and suppliers are two of the most vital elements of your business. With Amazon giving you access to a wide range of products and suppliers, take your time to find reliable and credible suppliers offering good quality products.
Martin Rohde, director of the commercial vertical at Amazon Business, said, “We provide easy access to hundreds of millions of products – everything from IT equipment to janitorial supplies – to businesses of all sizes and across industries,”
- Link Your Amazon Prime account to your business account.
If you’re an Amazon Prime member, linking your Prime account to your business account gives your business account access to the exclusive deals and offers on Prime Day.
Once you have done the steps above, of course, you have to check if you earned. You should read this blog: Today’s Big Q: When will I Start Seeing Profit on Amazon.
Is there a sign-up fee for creating Amazon Business Account?
None. You don’t have to pay any amount for registering a regular business account. However, if you decide to upgrade to Business Prime, you need to pay a fee ranging from $179 to $10,099, depending on how many users you plan to add to your business account.
What details and information do you need for Amazon Business Account?
In creating a business account, keep these details ready: your full name, business name, business address, phone number, business password, and all other information related to your business. You also need your employees’ emails and roles when adding users to your account.
Who are eligible to sign up for an Amazon Business Account?
Small, medium and large businesses are free to join Amazon Business. They can either register to a regular business account or a Business Prime account. Business Prime also gives you an idea of who can join what membership program through the names of its plans: essentials, small, medium, and enterprise.
Amazon business not only helps your business with purchasing matters, but it also gives additional perks and deals that you can use, especially if you mind your budget. Business analytics tools available on the business account can improve your workflow. Moreover, access to additional information, like price breaks and multiple offers from sellers, will help you arrive at an informed decision about buying online.