So I’m really in this now. I lost my job, am living off my savings and attempting to build this Amazon FBA business full time and I couldn’t be more happier!
I am a little worried though… After all, I only have a certain amount of runway until I’ll need to get a job to cover my bills.
One of my recent scanning trips
Instead of freaking out I glanced over at my bookshelf for some reassurance. The book that quickly grabbed my attention was 6 Months to 6 figures by Peter Voogd. Although this book isn’t the best when it comes to formatting, it is a great illustration for reverse engineering your life and business.
The strategy is quite simple and it starts with a question – Where do you want to be in 6 months?
I’ve recently become a massive fan of doing 30 day sprints. This allows you to go full force and then pull back a bit to recover, analyze and reproach your strategy. The book is also great at forcing you to become hyper focused on a finite amount of goals and then breaking them down even further each month.
Here is what that breakdown looks like for my Amazon FBA business:
5 Goals For The Next 6 Months:
- Maintain 3,000 units of inventory
- Produce $5,000 a month of profit
- Have 10 wholesale accounts
- Have clear systems of growth in place
- Have enough capital ($5,000) to strategically grow wholesale accounts
So this is the 6 month plan of attack. The author takes it a step further by making you focus in on what your 3 month goals are.
Top 3 Goals For Next 90 Days:
- Send in 2,000 units
- Bring in $2,000 in profit each month
- Have 3 wholesale accounts
Now let’s break it down month by month to become hyper-focused.
Top 3 Goals For Month 1:
- Source product 5 days a week no matter what
- Find replenishable products to consistently purchase
- Send shipments every Monday
Top 3 Goals For Month 2:
- Increase purchased units per day
- Find and secure 1 wholesale account
- Increase average shipment from 3 boxes to 7 boxes every Monday
Top 3 Goals For Month 3:
- Add 2 new wholesale accounts
- Raise inventory from 2,000 units to 3,500 units
- Increase efficiency of labeling, packing and shipping product.
By the end of the 3 months I should have a very profitable and vastly growing business with minor systems to lend to scalability. At the end of the 6 months I hope to reach my total laid of goals for this business – 10 wholesale accounts, $5,000 per month in profit and maintain a minimum of 3,000 units of available inventory.
This isn’t going to be easy at all, but I have the time and resources to make it happen. I even drug my girlfriend along after class earlier today to scan at Toys ‘R Us which I was able to come out with another $100 in profitable products.
I believe the real key to having a large-scale Amazon business is wholesaling and private labeling and for now I’ll grow as quickly as I can into securing wholesale accounts. Instead of me going from store to store, scanning every item I lay my eyes on, I can scan an email and have 1,000 units delivered directly to me.
This will greatly reduce the amount of time required to maintain and even build this business over the next year.
If you have any questions about starting an Amazon FBA business I’d love to hear from you in the comments. I’m not a pro, but I’m putting this thing into hyperdrive!