Why MOST New Amazon Sellers Go Broke FAST!

Why MOST New Amazon Sellers Go Broke FAST!

December 3, 2019 18 By Luis Garrison


every day there are new sellers coming
up quick and making some serious cash on Amazon I see it all the time but
there are also sellers who are going broke now why is that listen up because
if you’re a new seller or you’re an aspiring and new seller on Amazon this
is very important okay if you don’t want to go broke you need to ask yourself
these three questions what’s up Empire builders JD Frankel
year the no bullshit Amazon to sell it so if you don’t want to go broke on
Amazon make sure to subscribe if you haven’t already if you already have my
brother welcome back hopefully your empire is going strong so what are the
three things need to ask yourself to make sure you’re not gonna go broke on
Amazon this is very serious this is kind of like you just sit down and really
analyze and think about this because if you’re you know you’re just brand new
I’m catching at a great time if you’re thinking about getting into this this is
a good video to sit and watch and make sure you’re analyzing and really really
thinking about this to make sure you’re not risking money that you don’t need to
be resting okay so the first question you ask yourself is can I afford it okay
can I afford to get in to Amazon FBA and that’s a very serious question that a
lot people are just kind of ignoring and I see a lot people just skim past this
and like look at the best-case-scenario right I heard someone started with $500
and they made a bunch of money with fitness trainers maybe I can do the same
thing so they you know they have six hundred seven hundred eight hundred
dollars in the bank account and they they try to store this or I see people
message me you know JT I only have you know whatever a few hundred bucks I only
have twelve hundred bucks to get started is that enough to really get started and
make this work and the answer is no okay and I’m just gonna be straight up and
honest all the time the answer is no if you only have eight hundred if you have
you know less than again there’s gonna be exception people have done it for
1500 to have done it for 2,000 but I always like to say 3,000 is a good
starting point and really look at the numbers what is your goal how much do
you want to make a month and then from that what kind of sales you need to make
from what kind of price product right so if you need to we want to make three
thousand dollars revenue or five thousand dollars revenue a month and you
know you you’re gonna sell looking for products that are selling for like
thirty dollars you need to have one hundred and sixty sales a month and what
does that mean that means you need to make that you
know when you have enough money to buy 160 units for your for a month you need
have enough money to restock you ever need to have enough money
to buy extra on your first order you have enough money to you know consider
budging advertising what’s your profit margins gonna look like right what
happens when these products do sell like people always think what happens if it
doesn’t work out right what happens if my products don’t sell
oh man I’m screwed right but then the people also screw themselves when they
don’t ask themselves what happened to my products do sell right what happens if
all of a sudden in one month my inventories cleared out and I don’t have
enough money to order my second you know my second order what happens then what
happens if I get stuck and I’m well has only start with cash flow how can I find
more can I find more money do I have enough money reserve you know do I have
to look at financing or something like that you got to really plan out all
situations all scenarios when you ask yourself can you afford it and the
answer is no you can’t afford it then beyond yourself and tell yourself you
know what I can’t afford it but that doesn’t mean you can’t start this
business model it just means you can’t start right now right there’s nothing
wrong with waiting a few months and saving up and saving up some money
putting some money aside you know I’m getting ready to actually when you’re
ready you have the money to attack his business model full force and not just
have to worry about cutting corners and take a little shortcuts because you
couldn’t afford certain little things I really really suggest that you attack
his business model when you know you’re fully ready for it but from a financial
standpoint so that it’s not more stressful than it has to be it you don’t
have you know there’s overbearing weight about it and yes I know there’s a it’s
kind of expensive Bismol to get into there’s a there’s a higher barrier to
entry but that also means that once you cross that barrier to entry there’s a
lot of other people that are still behind you that can get in so you know
it’s kind of better in my opinion then some of these cheaper business models
like fit marketing or you know drop shipping where anyone with you know
anyone can get in with $0 I don’t know FBA it’s a real business
model you gotta treat like a real business and you got to be ready to you
know to dish all the cash if you want to get make the big returns all right so
that’s the first question can you afford it second question is the
next big fail point that I see on people who have the money either they save it
up or they just have it on hand or they have it on the credit card they’re ready
to go you know let’s go do this and they go and they want a product and they
still fail why is that because they don’t ask themself can I devote my focus
to this right can you really make this work can you do you have a dedication to
make this work out because one thing to just have the money and you know have a
little bit of knowledge on it and maybe you follow you know maybe even join a
program you – you launch a product but if your
half-assing it or if you’re you know it’s not you’re treating it as kind of a
hobby or or something like on the side or you’re not really taking seriously
it’s not gonna work out for you right you got to ask yourself if your joint
Amazon FBA are you really willing to do what it takes to make it work for you
you know are you really gonna put in effort to launch a product or do you
just want to do this because it seems like a cool thing to do it seems like a
fun thing to do it seems like an exciting you know business you know
getting shiny object syndrome where I just like you know you’ve heard about it
in a few weeks you’re launching products because you feel like oh maybe I’m just
you know throw shit at the wall and see what sticks that’s your mentality it’s
probably not gonna work out for you you got to understand again long-term
business time devotion focus right you need that to make this work out and if
you’re not willing to do that then that’s okay just but just know that
before you waste a few thousand dollars on the model plan your time out make a
schedule look at your week look at your weekends what can you do how much can
you to vote into creating something that’s going to you know possibly be a
six seven figure business for you that’s gonna create passive income for you once
you put in that upfront work right can you put the upfront work in to make it
work for you all right then uh next question and this is gonna be a constant
question I’ll the first two were kind of you know you asked it one time a little
bit of a self-reflection you you think about it and you go forward with it and
both of them are yes you can afford it you’re willing to devote your focus now
at every step of the way you got to ask yourself did I miss anything and this is
something I did when I started well not really this is something I started to do
once I started missing things right I missed a few I well I missed a lot of
shit and all that okay now I need to really think did I miss anything on this
next project or the next product because I don’t want to lose any more money on
this so this is kind of more thing about this as don’t take any shortcuts right
don’t try to speed through it you got to ask you know really am i doing this
properly and Micra my eyes and cross my T’s am I making sure everything is going
probably my me make sure I’m doing the best of my ability to really look at
this product you know really evaluate the market so people will see a product
like hey this looks pretty good I’m just gonna go order that now from Alibaba
because I can get done fast and get done cheap I can done fast I can get in there
I got a rush rush rush rush rush because the faster I got the market the more
money I’ll make that’s not necessarily the case if you rush a product to market
it doesn’t mean I’m gonna make more money
he doesn’t you’re gonna have a piece of shit on market quicker so make sure you
take the steps if it takes you even a month longer because you know you’re
really you slept on something you really took a timeout and he and he
thought I’d make something quality that month of developing that product to be
really really good it’s gonna pay off much better than a month of getting
something crappy rushed onto the platform so make sure you at every step
you know when you’re evaluating approximately getting samples make sure
you get samples make sure you’re looking at and make sure you’re taking your time
when you’re looking at a market when you think about how can you differentiate
how can you make yourself better right where you’re running PPC make sure
you’re you’re running your ads when you’re launching your product make sure
you’re doing everything you can to you know really beef it out make sure you
have email setup you know even automation you’re building out customer
lists and you’re doing things for lack of a better word by the book because of
course there’s not really a buy the book for Amazon but from what you can gather
from other people’s experiences from videos like this from you know courses
like my program than Fire Academy make sure you’re really really taking your
time and thinking about it because there’s nothing worse than rushing
through this devoting your time because you know you feel it figured I can
devote focus to this you devote your time and then it turns out to be crap
because you you took shortcuts and that’s something I did you know pride
photography everything that’s in the process make sure you really really care
about it pour your heart into it and you will see good results all right now
bonus question number four okay number four you got to ask yourself this after
you know considering everything you got to really ask yourself why Amazon FBA
why if you can’t come up with at least three reasons for why you’re choosing
Amazon FBA over a different business model then you need to really really
because Emma Lesbia is a long-term game you got again you’re it’s a long term
you guys think for the future so if you’re just getting into it because it’s
something sensational is something like whoa cool it’s exciting then you know
maybe it’s not the right time you got to really think why this model why not drop
shipping why not something else why not you know working at the 5 dolla Slee
that’s an easy one but you know have your why for starting a business and
have your why for choosing Amazon FBA for me it was the potential of passive
income right I was you know working a job I had a company of my own catering
company so I wanted something as passive I wanted something that was low overhead
I wanted to be able to own my own products so not dropping I want to only
probably create a brand so I can possibly
exit sell the company you know sell the company in the future have minimal
employees something I could do online those were kind of my reasons why he
chose FBA over everything else and I had I had a very specific reason
to go to FBA and I knew it so if you don’t know it and you’re not really
passionate about FBA then reevaluate okay so those are the
reasons top reasons that people are going broke with Amazon FBA if you
answer these questions and you’re really evaluate and you know what you want it’s
a very high chance you’re gonna succeed if you’re able to do you know devote
your focus to vote your time and really make it work out you will be able to
make it work out and if you need more help make sure to click that video right
over there click my face to subscribe or click that bottom square to join my free
masterclass I’m gonna go over a lot of really cool little secrets that I was
able to use to grow my business I’m Jesse Franco
don’t forget your empire away