Darren is an FBA seller who documented his journey to creating a 6 figure business. FBA Elite is a community Darren created in 2018 to offer mentorship after some subscribers asked him if he had a program. In 2021, he added his FBA Elite course into the offer.
Amazon FBA is a legit business model that is a great way to make money online, provided you follow the guidelines and regulations. However, you have to be aware of the challenges and downsides of selling on Amazon. Read along to learn about Darren's journey, his programs, and the ups and downs of the business model he mentors.
Local lead generation is a low-risk, low-starting-capital business mode. It works as a type of digital real estate where you earn immediate, high-profit income by ranking your site on Google and renting it out to local businesses. Compared to e-commerce, there is little competition, and the business is easy to scale. Check out local lead generation for my number on the passive income business model.
Darren's Organic FBA YouTube Channel
Starting in April 2018, Darren started documenting the creation of his Amazon FBA private label business from scratch. His successes and large following led him to create FBA Elite where he would offer mentorship and later an Amazon course.
Many mentors and gurus out there rarely show the actual successes of the business strategies they are teaching. What Darren did differently is that he first documented his business, constantly posting updates on the ups and downs and detailing everything he learned about the business. It wasn't until he proved his methods worked, and after constant requests from his subscribers, that he started to do mentorship.
Yaniv Itskovich is a Canadian FBA mentor who also shows transparency with his business in order to sell his course. It is the same with another successful UK seller, Janson Smith, who also has his own course, Smashers Academy.
Darren's Amazon FBA Success
While many gurus boast wild rags-to-riches stories, Darren's success is modest by comparison. However, his success is more attainable for most people and sets realistic expectations. Based on profitability, 89% of FBA sellers are successful. Most of these sellers are selling on Amazon part time and for extra income.
52% of Amazon sellers reported profit margins between 16% and 50%. You can realistically make as much as a 30% profit margin with Amazon FBA.
Darren's Amazon sales net profit margin of 38% as of his 2022 update is very good.
Amazon FBA will not make you a millionaire overnight. While you can make a million on Amazon FBA in a few years, there are a lot of factors you need to take into consideration. Selling on Amazon takes a lot of work, especially in the beginning, to turn into a sustainable business.
For example: The biggest Amazon FBA seller is AnkerDirect. The company sells consumer electronics from smart chargers to headphones and has a 4.5/5 rating. Founded by Steven Yang in 2009, he quit working for Google and went from dropshipping 300 USB chargers a day to selling 30K private label orders a day by 2016. Steven Yang's net worth is currently at $1.8B.
There are 3 main reasons people fail Amazon FBA.
- Unrealistic Expectation - Many new sellers buy into the get rich quick scheme they see in ads. These newbies who do not understand the risks involved in the business often end up making costly mistakes.
- Unforeseen Obstacles - A lot of new sellers start their Amazon business with the bare minimum capital. The more money you have available to invest in the business, the higher your chances of finding success. Having more capital allows you to pay for helpful software and tools, launch multiple products, run better ad campaigns, and get other advantages.
- Spending All The Profits - Doing Amazon FBA full time without having another source of income or substantial savings put aside is a very risky move. One wrong move, and you risk losing everything. Many highly successful Amazon FBA sellers, like Tamara Tee, created their businesses with a safety net to ensure they could afford to adjust and correct costly mistakes.
Amazon FBA courses are worth the investment. A good Amazon FBA course will teach you effective strategies for creating a successful Amazon FBA business. Having a mentor can also fast track your business and help you avoid costly mistakes.
Who Is Darren Lynch?
Darren Lynch is a British YouTuber and eCommerce mentor who makes 6 figures from his Amazon FBA business. His best-selling product was car boot liners, for which he earned over £300,000 in sales. He has 18.2K subscribers on his organically grown YouTube channel, which documents his Amazon business. His mentorship is useful for both beginners and veterans alike.
Darren's FBA Elite
Joining FBA Elite is free. All you have to do is create an account with your email. You can opt out of receiving promotional and advertising emails.
Signing in will give to access to the very useful FBA Elite forums. Here you can browse posts from various topics or post your questions to ask for help. Darren usually replies and answers questions himself.
The resource section also offers free video tips and instructions on several topics, templates and checklists, and discounts for several tools like Helium 10 and others.
Last, you have the option to purchase the FBA Elite course or apply for private mentorship from Darren for £149 a month, which also gives you access to the private forums.
Pros and Cons of Darren's FBA Elite Course
Regularly updated comprehensive content.
Darren has documented the effectiveness of his method before creating the course.
One of the most affordable one-on-one mentorship available.
Active and helpful community in the free forums.
Some of the information in the training is specific to UK based sellers.
Darren runs his business himself. He does not teach outsourcing or automation.
Darren's FBA Elite course costs a one time fee of £499. Additional £99/month for optional mentorship.
30 Day money-back guarantee for the FBA Elite course.
Very positive. One of the best Amazon FBA course in the UK.
What Do You Get With Darren's FBA Elite Course?
Darren’s FBA Elite course contains everything you need to get started with your Amazon FBA private label business. The course is a 10-module training program designed to teach you the step-by-step process. The materials are regularly updated to ensure that the content is up to date.
The first module gives you an overview of the course and the business model. Darren will also teach you how to get yourself into the proper mindset. You will also get an idea of how much capital you will need and what you need to create your company and store. There's also a checklist provided of all the things you'll need.
Module 2 goes through Amazon's policies and terms of service. Darren gives you several tips on how to avoid getting suspended or banned. The lesson is followed by a step-by-step tutorial on how to create your Amazon seller account and how to navigate Amazon Seller Central. You will also learn how to manage seller support, identify and calculate Amazon FBA fees, and register your brand with the Amazon Brand Registry.
In the 3rd module, you'll learn how to do product research. Darren runs you through using Helium 10, as well as using other product research methods. Other research methods taught include:
- Black Box
- Amazon Auto Suggest
- Store Raider
- Frequently Bought Together And Related Items
- Best Sellers And Hot New Releases
- Order History
- Other Websites
Next, Darren lists products you should avoid, restricted products, and gated categories. You will also learn the product verification process, such as checking profitability to trademarks and patents.
The 4th module is dedicated to product sourcing. You will learn the entire process from finding suppliers with Alibaba, negotiating with suppliers, to safely paying and inspecting the products.
Module 5 centers on shipping and importation. The lessons here are specific for UK based sellers. It includes the complete process and details the policies such as custom duties and VAT.
This module starts with a lesson on how to name your brand. You will learn how to take good photos and create infographics. Darren also teaches all about product barcodes and GTIN.
The module continues onto keyword researching and listing optimization. You'll learn how to create effective product titles and how to win the best seller badge.
Finally, you'll learn how to add your products to Amazon and apply product variations. Darren also teaches how to deal with common errors and issues.
Module 7 is all about product reviews and ratings. Darren goes through product review policies and various methods on how to get reviews:
- The SFB Method
- Friends And Acquaintances
- Product Inserts
- Request A Review Button
- Early Reviewer Programme
- Amazon Vine
- Social Media
- FBA Elite Forums
Last, you'll learn how to deal with negative reviews and how you can contact customers about them to turn around the review.
This module revolves around marketing and Amazon advertising (PPC ads). You'll learn how to do keyword research and how to use broad, phrase, and exact match keywords for your ads. Darren teaches step-by-step how to set up automatic, manual, product targeting, and sponsored video ad campaigns.
Darren also explains PPC metrics and how you can optimize your campaigns. You'll also learn about vouchers, promotions, and other ways of promoting your Amazon listing. Last, you'll learn what a product launch is and how to properly launch your Amazon product.
Module 9 is all about managing your FBA business to ensure success. Darren teaches how to monitor and protect your product from hijackers and from other sellers. You will also learn how to manage your cash flow and inventory. Other lessons include returns and refunds, unfulfillable inventory removal, manual orders, and invoices.
The module also covers how to get paid by Amazon. Amazon FBA pays you every 2 weeks. The first payment date for new sellers will depend on when your account was created and when the first sale was made.
This last module is all about the legal things you need to know that comes with Amazon FBA. The lesson covers trademarks, sole trader vs LTD, business bank accounts, payment service providers, business insurance, a few more others.
Besides the 10 training modules, you will have access to a wealth of resources and templates such as profit calculator, supplier contact template, and a list of useful contacts.
Is Amazon FBA Worth It in 2023?
Amazon FBA is still profitable in 2023. Selling on Amazon FBA can give you profit margins that range from 15% to 50%. According to Jungle Scout, 45% of Amazon sellers make $1,000 to $25,000/month.
How Much Does It Cost To Start Amazon FBA?
Selling on Amazon FBA costs money to cover the product cost and selling fees. While you can technically start Amazon FBA with $100, the profit won’t probably be worth the time and effort. Realistically, it costs as much as $4,000–$12,000 to start your Amazon FBA business. This is the optimal budget that will depend on factors such as the seller's plan, product costs, marketing strategy, etc.
The larger your starting capital, the higher the risks, but the higher the profit you can make. For beginners, keep your units on first order as few as possible to minimize risk. Ex: 300 units. 5-10 sales a day for the UK.
On average, it takes as long as 3–4 months to make money on FBA at a profit. The time it takes for your Amazon FBA business to turn in a profit will depend on your product, marketing budget, and strategy.
Should You Sell on Amazon FBA?
Before you decide if Amazon FBA is for you, you have to be aware of the realities. Many people are not selling on Amazon, preferring other marketplaces, because of many issues that plague the platform. Some of the biggest problems with Amazon are:
There are various reasons a seller would stop selling on Amazon. If your product stops selling on Amazon, close the listing or risk negative cash flow from recurring storage fees. Here are some reasons sellers shut down their listing.
The best way to deal with these situations is to minimize your losses by either giving out deals, coupons, or selling them in bulk. You can also get an edge by advertising your listing outside of the Amazon marketplace, using social media marketing like running Facebook ads, or listing your product in other marketplaces.
Finally, if you are still losing money, liquidate your inventory by selling it in bulk to a liquidation company, selling in bulk on eBay, or donating the inventory if you cannot afford the removal fees.
Thousands of new sellers join Amazon every day. However, many are also leaving, including old sellers. There are many reasons selling on Amazon FBA is hard, so sellers often look to easier alternative business models.
Automation services are also an alternative in which you hire experts to manage your store. Serioja Glorie's Digital Global Nomads is one of these companies that provide automation for Amazon.
Top Recommendation for Making Money Online in 2023?
My top recommendation for making money online in 2023 is local lead generation. With as little as $500 initially, you can set up your business. As soon as your site is ranked and rented out, you immediately start earning predictable passive monthly income for as high as a 90% profit margin.
Given the thousands of small local locations and hundreds of niches you can target, there is little competition. The best feature is how simple the business model is to scale with little maintenance costs. These qualities make local lead generation the best online business model for achieving time and financial freedom.