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The Costs and Risks of Using an Amazon Automation Firm
The 30K payment to the Amazon automation firm only covers product management and research, not inventory or advertising costs./nThere is no guarantee of success in this arrangement./nThe responsibility for any issues or failures falls solely on the seller, not the automation firm./nThe seller still has to pay 15% of their top line revenue to the automation firm, regardless of their profitability./nSelling on Amazon typically results in a 30% gross margin after fees, with an additional 15% of revenue spent on ads.