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Beware the mighty Amazon

Filed in archive Entrepreneurship on May 21, 2007

Beware the mighty Amazon
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In a previous comment, Harry, one skeptical reader, also mentions Amazon.com.

In fact, those worried about the percentage fees charged by PayPal should know that one of the world's biggest online sellers also charges a .99 cent per transaction fee plus a percentage commission dependent on the type of item sold for anyone participating in it's Marketplace program.

For those who wish to do volume selling, Amazon's Pro Merchant services cost a subscription fee of $39.99 per month with half off for the first two months. This means you will be paying out before you make a single sale.

Again, hopefully by the time you're ready to list on Amazon.com you'll already have a defined market and a workable business model insuring a revenue flow to offset that cost.

For now, forget Amazon and make sure you've actually got a business before you start paying for one.

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