Selling on Amazon US from India is a massive opportunity - the US e-commerce market is worth over $900 billion. But many Indian sellers face a frustrating reality: account suspensions, payment holds, and limited access to seller tools. Here's how to do it the right way.
The Problem: Selling as an Indian Individual
If you sign up for Amazon US as an individual from India, you'll face:
- Account verification issues - Amazon is stricter with non-US sellers
- Higher scrutiny - Your account is flagged as "high risk"
- Payment limitations - Funds held for longer periods
- Stripe/PayPal issues - Limited payment processing options
- Trust signals - US buyers prefer buying from US sellers
The Common Horror Story:
You spend months building your Amazon business, hit $10,000/month in sales, and then... account suspended. Funds frozen. No clear path to resolution. Sound familiar?
The Solution: Wyoming LLC for Amazon Sellers
With a US LLC, you transform from a "foreign seller" to a "domestic US business." Here's what changes:
1. You Look Like a US Business
- US business name and address
- US EIN (tax ID)
- US bank account
- Professional credibility
2. Better Account Standing
- Lower risk of random suspensions
- Faster verification processes
- Access to more seller programs
- Better relationship with Amazon support
3. Payment Gateway Access
- Stripe US - Full features, lower fees
- PayPal Business US - No limitations
- Amazon Pay - As a US merchant
4. Liability Protection
- Business debts don't affect personal assets
- Product liability is limited to business
- Professional structure for growth
Why Wyoming for E-commerce?
For Amazon and e-commerce sellers, Wyoming is ideal:
| Factor | Wyoming | Delaware | California |
|---|---|---|---|
| Initial Filing | $100 | $90 | $70 |
| Annual Cost | $60 | $300 | $800+ |
| State Tax | None | None | 8.84% |
| Privacy | Excellent | Good | Public |
Winner: Wyoming - Lowest costs, best privacy, no state tax.
Step-by-Step: Amazon US with Wyoming LLC
Phase 1: Form Your LLC (Week 1)
- Choose your LLC name
- File Articles of Organization in Wyoming
- Get your formation documents
- Create Operating Agreement
Phase 2: Get Your EIN (Weeks 2-6)
- Complete IRS Form SS-4
- Fax to IRS (international process)
- Wait for CP 575 confirmation letter
Phase 3: Open US Bank Account (Week 6-7)
- Apply to Mercury or Relay
- Submit LLC documents and EIN letter
- Complete verification
- Receive account and routing numbers
Phase 4: Set Up Amazon Seller Account (Week 7-8)
- Go to sellercentral.amazon.com
- Select "Professional Seller" account
- Enter your LLC as the business name
- Provide EIN for tax purposes
- Link your US bank account
- Complete identity verification
Amazon FBA: The Full Package
For Amazon FBA (Fulfillment by Amazon) sellers, your LLC provides:
Shipping to FBA Warehouses:
- Ship directly from suppliers to Amazon warehouses
- Use your LLC's address as the "seller address"
- Amazon handles storage, packing, and shipping
Tax Benefits:
- No Wyoming state tax on profits
- Pass-through taxation to you
- As a non-resident, generally no US federal tax on foreign income
- (Consult a tax professional for your specific situation)
Dropshipping with US LLC
For dropshippers, a US LLC is even more valuable:
- US suppliers prefer working with US businesses
- Better wholesale pricing access
- Faster shipping options
- US return address available
Common Mistakes to Avoid
1. Using Personal Name on Amazon
Register your seller account under your LLC name, not your personal name.
USBizGuru can handle this for you.
Our Complete package includes LLC formation, EIN filing, and compliance guidance.
See pricing2. Wrong Business Address
Use a proper US address (virtual mailbox), not your Registered Agent address.
3. Inconsistent Information
Your LLC name, bank account name, and Amazon seller name should all match.
4. Skipping EIN
Amazon requires tax information. Your EIN is essential.
5. Not Understanding Nexus
If you use FBA, you may create "sales tax nexus" in states where Amazon warehouses are located. Consider sales tax compliance.
Required Investment Summary
| Item | Cost | Frequency |
|---|---|---|
| Wyoming LLC Formation | $100 | One-time |
| USBizGuru Service Fee | From $49 | One-time |
| EIN (included with Complete) | $0 | One-time |
| Wyoming Annual Report | $60 | Annual |
| Amazon Professional Seller | $39.99/mo | Monthly |
| Virtual Mailbox (optional) | $10-30/mo | Monthly |
Total First Year: Approximately $300-500 (plus Amazon fees)
Ready to Launch on Amazon US?
Stop risking your business with an individual seller account. Get the professional structure that protects your business and opens doors to the world's largest e-commerce market.
Start your Wyoming LLC today and launch your Amazon empire the right way.
