Amazon fba Liquidation: Step by Step Guide

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FBA Liquidations is a program designed to facilitate your recovery value from overindulgence and customer-returned inventory, avoid storage fees and preclude inventory disposal. If you decide to do Amazon liquidation, keep the inventory up to 60 days. 

Late on, you can attempt to sell it to liquidators for approximately 10% of the regular selling cost. There is no one perfect solution for liquidating Amazon’s inventory. 

That’s predominantly because there is no one perfect reason for a seller to liquidate.

By using this Programme, sellers are authorized and instructed by Amazon to arrange a buyer for the Eligible products that you submit for liquidation within 30 days of your submission. 

The process for determining the restoration evaluation of Eligible products through Amazon liquidation is described on the Amazon FBA Liquidations Help Page.

For this reason, Amazon will transfer the amount that the consumers paid for products minus applicable fees to your seller account in correspondence with the typical payment terms stated in Amazon Payments. If Amazon cannot find a consumer for your Eligible product within the Liquidation Facilitation Period, Amazon will return them to your inventory. After this seller may appoint to have disposed of them on your behalf for a fee or return them to you for a fee.  

Sellers can agree to the Programme through the below points:

(a) Amazon is merely facilitating the liquidation of your Eligible products, and neither the seller nor the consumer has recorded these transactions.  

(b) Amazon doesn’t promise that Eligible products will be purchased or, if they are purchased, the amount you will receive for your Eligible Items. Amazon has no authority to act on your behalf in connection with the Programme beyond the activities.

How does Amazon FBA Liquidation work?

Amazon will endeavor to set up a consumer for the eligible products that the seller submits for liquidation within 30 days of submission. If an Amazon liquidation transaction is successful, Amazon will organize the transfer amount that the customer pays for these products, minus fees, sent to your seller account. This can be considered as a net recovery value.

As an alternative to paying to dispose or remove extra and customer-returned FBA inventory. The seller can use FBA Liquidations to have the inventory liquidated through a trusted breadwinner. By Amazon liquidating inventory, the seller can get back a share of your inventory cost while avoiding the monthly cost and long-term storage fees. When a wholesale liquidator has potentially picked up your Amazon inventory, Amazon will first find out the value of your inventory, evaluating numerous factors along with:

1. Your sales history

2. The average FBA selling price on Amazon

3. The sales history of the specific ASIN

How to check Product eligibility?

The eligibility of an ASIN for liquidation is subjected to legality, safety, and regulatory guidelines. Products that are not eligible for liquidation include:

1. FBA prohibited products

2. Expiry-dated FBA inventory past its expiry date

3. Meltable FBA inventory

4. Dangerous goods (hazmat)

5. Categories and products needing authorization and other restricted products that a seller is not permitted to sell

6. Inventory with a selling price of less than €7.00

Final Words

When sellers prefer the liquidation option, Amazon distributes directly with third-party liquidation companies, selling stock and managing negotiation, removal, and transport. Whether you have unsold or sold inventory from a seasonal offer or a best-seller category, you can help in capitalizing on your excess Amazon stock. Consequently, if you are navigating for this option, simply a learning experience and an opportunity to move on to your next venture won’t be enough.


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