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Starting Amazon FBA in 2026: Structure First, Then the Product

πŸ† 60.4/1007 min readby Libertad VirtualUpdated 21 October 2026🌐 Leer en espaΓ±ol

Most YouTube advice on Amazon FBA still follows a recipe from years ago: find a product, order from Alibaba, launch. The speaker, who says he has 11 years of selling experience, argues that the order is backwards. Your legal, tax and banking structure comes first, and only then the product, listing and launch. This summary breaks down his updated path and the tactics he says no longer work.

⚑ The key ideas in 1 minute

60.4/100

πŸ† Linkedeo usefulness score

Rank #1 in the ranking of entrepreneurship and business

Useful for a beginner on the structure-first angle and the banking and registration pitfalls, but the speaker's self-reported figures and tax claims are unverified, and the course pitch dilutes the practical value.

Actionable13.4
Depth12.8
Originality11.6
Evidence8.9
Clarity13.7

Why the Standard Amazon Recipe Fails Today

The speaker's central complaint is that most current videos show an Amazon that no longer exists. The usual sequence, which is to find a product with Helium 10, source it on Alibaba and launch, puts the product first when the structure should come first. He compares it to building a roof before laying the foundation.

He also lists tactics he considers dead: keyword stuffing in bullet points, mass giveaways, review exchanges through Facebook groups, launches built on short BSR spikes, hunting for products with zero competition, and writing a perfect listing once. Amazon's systems now read listings with artificial intelligence, and repetitive text is treated as spam that lowers conversion.

The argument is persuasive on the structural point, though many of his performance claims come from his own experience and are not independently verified.

Five Personal Questions Before Opening Anything

Before thinking about Amazon, the speaker asks five questions: where is your tax residence, which identity document do you hold, how much real capital can you commit without putting daily life at risk, do you want to start in Europe, the United States or both, and is this your first business or do you already have income.

He treats these answers as the base of everything that follows. They determine the corporate structure, the bank, the entry market, the minimum capital and the kind of product that makes sense for you personally.

The exercise is simple but useful. Writing short answers to each question shows quickly which of the next steps apply to your situation and which are noise.

Choosing a Corporate Structure by Country

The speaker argues the entity should exist before the first sale, since redoing it later is costly and can create tax problems. His guidance depends on residence. In Spain, a freelancer setup can work at low volume, but personal income tax is progressive and reaches 47% in high brackets. Once revenue grows, he says a limited company, an SL, usually fits better, with a corporate rate he gives as 25% and 15% for new entities in their first two years.

For Latin America selling on amazon.com, he recommends a US LLC in New Mexico or Wyoming, which he describes as a fiscally transparent entity with no US tax if there is no physical presence such as an office, warehouse or employees. US residents, he says, can also use an LLC, with profit appearing on their personal return.

These tax details reflect his interpretation and may change, so a local tax advisor should confirm them before you act.

Banking, Currency and Avoiding the Converter Trap

Once the structure is ready, the speaker turns to banking. If you can visit the United States, he recommends a traditional commercial bank such as Bank of America or Chase. If you cannot, he suggests Mercury or Relay, which are American fintechs for businesses that open online. He says he uses them personally.

For currency, he recommends Wise, Wall and Airwalex, claiming their rates sit close to the interbank rate when negotiated well. His strongest warning concerns Amazon's Currency Converter. It is switched on by default in some cases, and he says it can charge several times the normal exchange cost, which erodes margin over years. The fix is to give Amazon the details of an external account so it pays you in your local currency.

This is one of the most practical parts of the video because it requires no special skill, only a comparison and a settings change.

Opening the Seller Account Without Getting Stuck

Account rejection is the next hurdle. The speaker says about thirty percent of new sellers get stuck for weeks or months, usually over document discrepancies rather than suspicion. Amazon cross-checks your ID, a utility bill, your card and your bank account, and a difference such as an extra unit number or a different abbreviation can trigger a rejection and a long appeals loop.

His checklist is concrete. Confirm that name and address match letter for letter on every document. Turn off any VPN during registration, because Amazon compares your IP location with your documents. Appeal against the specific reason given rather than resending the same files. Use the professional plan, which he prices at 39 dollars or euros per month, because the individual plan lacks the Buy Box and reports. If you operate in Europe and North America, link the accounts to pay one subscription fee.

Amazon may also schedule a short verification video call, which the speaker describes as a formality when everything is in order.

Choosing a Market and a Product That Fits 2026

For entry market, the answer depends on residence. Spanish residents can start with Spain and expand to Europe and possibly the US. US residents should start in the American market through an LLC. Latin American residents, he suggests, can start in the US, which he says has fewer formalities than Europe.

Product research changes too. The speaker rejects the idea of finding products with no competition, because that often means no demand. He advises looking for medium-low competition where the existing sellers execute poorly. Signs include dark or cropped photos, missing infographics, sellers with many sales but mediocre or negative reviews, weak titles and bullets, and unused opportunity keywords, which can be spotted in Helium 10 through the title density column.

Reading one-to-three-star reviews is his suggested research method. Each recurring complaint is a potential feature for a better product.

Writing a Listing for Cosmo and Alexa

The speaker says Amazon has moved from its classic A9 search algorithm toward a system that adds Cosmo, an AI that reads listings for context, attributes and buyer intent. He also describes Alexa for Shopping, an assistant that reasons through listings to recommend products. In his framing, Cosmo behaves as if a listing must answer around fifteen questions about the product, and listings that answer them rank better than ones that repeat words.

His example is a 1-litre stainless steel bottle. An older title would repeat "water bottle" many times. A Cosmo-oriented version describes the capability (cold for 24 hours), the usage context (gym, office, hiking) and the problem solved (it does not sweat or leak in a backpack). Keywords still matter, but they sit inside intent and context.

He also suggests using keyword tools such as Helium 10's Magnet and cross-referencing search volume with title density to find opportunity keywords. Treat the fifteen-question framing as his interpretation rather than official Amazon documentation.

Launching Defensively and Setting Capital

For launch, the speaker suggests the Vine program for early reviews, but only if you are confident the product is good, since weak products attract bad reviews quickly. He recommends Sponsored Products as the only ad type he uses, citing their share of campaigns, and he presents his own results of about 17 million in sales from more than a million in ad spend, with a ROAS of 17. These figures are his own and unverified.

On capital, he says the answer depends on the market, product cost, initial order size and ad budget. With around 10,000 euros, he describes a comfortable position to launch one product with reserves. Between 2,000 and 10,000, he suggests a cheaper product and patience. His core rule is to spend no more than half of your capital on the first order, keeping the rest for a second order so you do not run out of stock, which he says can cost months of ranking. Under 2,000, he admits you will not live off Amazon within three months and suggests building capital in parallel, for example through freelance services.

The discipline of holding a reserve is the most transferable advice here, regardless of the platform.

What to Verify Before Acting

The video is also a sales pitch for a paid course and a GPT tool, and the speaker presents his own revenue, student count and returns as evidence. Treat those figures as claims. Tax rates, entity details and Amazon's internal AI systems are described from his point of view and can change. Check tax questions with a qualified advisor in your country, and check Amazon's current policies in Seller Central before following any specific rule.

πŸ“– Glossary

FBA
Fulfillment by Amazon, where Amazon stores, ships and handles customer service for the seller's products.
PPC
Pay-per-click advertising, where sellers pay each time a shopper clicks their ad.
Cosmo
Amazon's AI system that reads listings for context, attributes and buyer intent.
Buy Box
The default purchase button on a product page that most buyers use to add to cart.
ROAS
Return on ad spend, the revenue generated for each unit of money spent on ads.
Vine
Amazon's program that gives trusted reviewers free products in exchange for early reviews.

πŸ“š Books and tools mentioned

🎯 Who is it for?

Beginners who want to understand the structure, banking and listing changes before spending money, will get the most from this; experienced sellers already familiar with Amazon's current AI listing systems can skip it.

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FAQ

Do I need an LLC to sell on Amazon FBA in 2026?

The speaker recommends a legal entity before billing, not just an individual account. For Latin American residents he suggests a US LLC, for US residents an LLC, and for Spanish residents an SL or freelancer setup depending on volume. He notes that selling as an individual is possible but offers less protection. Confirm the right structure with a local tax advisor.

Why does my Amazon seller account keep getting rejected?

According to the speaker, the most common cause is discrepancies between documents, such as a different address format on your ID, utility bill, card and bank account. Using a VPN during registration is another frequent problem. Make all details match exactly and avoid a VPN throughout the process.

How much money do I need to start selling on Amazon FBA?

The speaker says it depends on the market, product cost, order size and ad budget. He suggests keeping at least half your capital in reserve after the first order. With around 10,000 euros he describes a comfortable start, while smaller budgets require cheaper products and patience.

What is Amazon Cosmo and how does it affect my listings?

Cosmo is the AI system the speaker says reads listings for context, attributes and buyer intent rather than keyword repetition. He recommends writing titles and bullets that explain the problem solved, the use case and the buyer, while still including relevant keywords.

Should I use Amazon's currency converter for payouts?

The speaker strongly advises against it. He says Amazon's converter can charge several times a normal exchange cost. He recommends providing an external account such as Wise, Wall or Airwalex so Amazon pays you in your local currency.

What type of product should I look for on Amazon in 2026?

He suggests medium-low competition products where current sellers have bad photos, poor reviews, weak listings or unused opportunity keywords. He warns that products with zero competition often have no demand.

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