What is amazon fba?

Amazon UK handles millions of transactions daily. FBA (Fulfilled by Amazon) means Amazon stores your products, picks, packs, and ships all orders, and handles customer service. You focus on sourcing products and managing listings. Start with retail arbitrage to learn the platform before moving to wholesale or private label for much higher margins.

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How to start amazon fba in 4 steps

  1. 1
    Learn the business model first
    Complete Jungle Scout's free FBA course. Understand all fees, margins, and how to read product data before spending a single pound on inventory.
  2. 2
    Start with retail arbitrage
    Visit B&M, Home Bargains, and TK Maxx looking for clearance items selling above retail on Amazon. The Scoutly app lets you scan barcodes in-store instantly.
  3. 3
    Open your Seller account
    An Amazon Professional Seller account costs £25/month plus referral fees (8–15% per sale). List your first items and learn the platform hands-on.
  4. 4
    Graduate to wholesale
    Once you understand the platform, find wholesale suppliers for products with consistent demand. Margins of 30–50% are achievable with the right products.
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Pros and cons

✓ Pros

  • Product work
  • Earn £500–£10,000+ per month
  • Start within 4–8 weeks
  • Startup cost: £200–£1,000
  • High effort required

× Cons

  • Requires consistent effort to build
  • Income may be variable initially
  • Competition exists in this space
  • Takes time to reach full earnings
  • Requires self-motivation

Frequently asked questions

£200–£500 is enough for retail arbitrage. Wholesale typically needs £500–£2,000 for your first order. Private label requires £1,000–£5,000 minimum.
Retail arbitrage can be immediately profitable. Wholesale takes 4–8 weeks from supplier order to first sale. Private label takes 3–6 months minimum.
Yes, but more competitive than 5 years ago. Thorough product research and finding niches where competition isn't fierce is the key to success.