What could you achieve with your Amazon store if you had a reliable cash flow and the financial means to compete with other sellers?

Could you become the #2 Bestseller for your category, like Hunter & Gather did?

Could you 3x your brand’s revenue like 96North was able to?

Absolutely! Because with Amazon’s footfall the sky’s the limit but only if you can overcome the barriers of the platform that have the potential to stall your growth.  

In this article we will help provide a roadmap for how you can navigate these hurdles. You’ll learn:

  • The growth challenges you face as an amazon seller  
  • How funding helps you overcome them
  • Why fast, flexible Amazon Seller Funding from Uncapped is your best option for doing so

What you can look forward to as an Amazon seller 

Before we get into the challenges, let’s remind ourselves of why you’re selling on Amazon in the first place. 

Two words come to mind: ample opportunity. 

In 2022, Amazon had over 200 million Prime members and regularly saw over 2 billion website visits a month.

That digital footfall can translate to sales for millions of Amazon sellers. And you’re one of them.

Source: JungleScout's report on 'The State of the Amazon Seller'

What you’re combatting as an Amazon seller in 2023 

Your success as a seller and ability to scale (on and off the platform) is impacted by the number of competitors you have, how discoverable you are, and how quickly you can access your revenue stream.

Let’s dig into how each of those plays out for Amazon sellers.

How a flooded marketplace slows your scale

What attracts you to sell on the global marketplace is what attracts millions of others to do the same.

2022 data reports 9.7 million sellers are on Amazon. 1.9 million of them are active sellers. Amazon is saturated with products and storefronts ranging in price and quality.

Of course, not all 1.9 million are your competition but getting seen and getting sales among sellers of similar products is a brutal process. 

A common strategy is to undercut prices. If you intentionally price below your competitors, they may turn around and do the same to you resulting in a price war. Also, price can often reflect quality so you could be inadvertently affecting customer trust in your products. 

If your costs keep getting lower to keep up with competitors pricing, you might not bring in enough revenue to cover business costs, let alone grow your store.

Sellers who have the money to invest in marketing are the ones who win  because they can build brand awareness and loyalty through Amazon ads as well as off the platform.

How the Amazon algorithm can be a barrier to your growth 

Selling through a 3rd party like Amazon puts you at the mercy of their algorithm. 

Their algorithm is what determines which products get seen when a shopper makes a search, or what products are suggested on the Amazon homepage in sections like ‘you might also like’.

It's hard for Amazon sellers to know what to do in order to get seen by more buyers.

While the algorithm seems mysterious, generally, if you’re seen by more people, you’ll be bought by more people. If you’re bought by more people, Amazon will show you to more people.  

They track data like your conversion rates, your reviews, and your click through rate to prioritise successful sellers in their algorithm.

It is all done in the name of user experience so the customer can find exactly what they’re looking for, at a good price, with the guarantee of quality.

It’s difficult for newer and younger Amazon stores to get on that loop. It’s tougher still if they can’t afford to invest in paid marketing and drive sales because of a trickling cash flow. 

How Amazon delays your cash flow and limits growth

Cash flow problems aren’t unique to Amazon sellers. What is unique is that Amazon holds onto your revenue for 2-3 weeks before releasing it to your account.

They also hold a small portion of your funds in reserve to cover customer refunds. 

Again, they do this with customer experience in mind but this is cash you could be reinvesting into paid marketing campaigns.

Or it’s the cash you could use to keep a well-stocked inventory. 

Cash flow roadblocks could affect your competitive standing and growth potential, but there are options you can turn to for help. 

Fighting back: How funding can address those problems

You can overcome the amount of competition, the limiting algorithm, and the cash flow delays from Amazon with funding from a reliable provider.

You’ll be able to invest in:

  • Ads on the Amazon platform (PPC)
  • Social media marketing (Influencer marketing, ads) 
  • Restocking inventory
  • Adding new product lines 
  • Hiring

And you won’t have to count down the days until Amazon releases your revenue or rely entirely on organic traffic.

Uncapped’s Amazon Seller Funding 

Your struggles as an Amazon seller prompted us to find a way to help. Because if you can invest in the right things, there’s a path to great success on Amazon. And we want to see you succeed. 

So we created a new funding category—one designed for you and the Amazon seller’s unique needs.

Introducing: Amazon Seller Funding from Uncapped

What is Amazon Seller Funding?

Amazon Seller Funding is a financing option offering fast and flexible access to the cash you need to fuel growth.

How fast? 

You can be approved for capital and receive an offer up to $1M in as little as 24 hours.

How flexible? 

How you grow your business is your business. 

We don’t restrict what you spend your funding on. Whether you want to invest it in marketing, inventory, headcount or something else entirely—grow your store as you see fit.

If you need further funding, you can kickstart the process with the click of a button.

How you receive your funds is flexible too. You can have them sent directly to your bank account, via the Uncapped card (with competitive FX rates), or through our sleep invoice payment tool.

Who is Amazon Seller Funding for?

If you’re an Amazon seller in the UK or US and using FBA for more than 50% of sales, you’re eligible for Uncapped’s Amazon Seller Funding. 

How does Amazon Seller Funding work?

The process for receiving Amazon Seller Funding is as simple as we could make it.

First, you’ll connect your Amazon store so that we can see your sales and stock levels.

Then, you’ll work with your Uncapped personal account manager to tailor the offer to your business needs.

And finally, the cash is in your hands to spend on scaling your business with powerful growth initiatives.

That’s what Hunter & Gather did with Amazon Seller Funding from Uncapped:

Why choose Uncapped over Amazon Lending or other providers

You have options as an Amazon seller. Amazon Lending is a popular one.

The problem with Amazon Lending is that you can’t apply for funding. It’s invite only. And sellers don’t know how Amazon chooses the stores they lend to, why they get the amounts they do, or if they’ll get the offer again.

It’s something you could hope for and never get. 

There’s no time to waste when it comes to competing with other sellers and growing your business so it’s better to be proactive on your funding journey rather than reactive to Amazon.

What about other providers? 

Other funding providers can take days if not weeks to approve a funding application. 

And they don’t always understand how Amazon sellers work. Uncapped doesn’t require you to put together Profit and Loss (P&L) documents or make a business case. We connect directly to your store and get all the proof we need that you’ll make a great partner.

Besides that, both Amazon and other providers won’t offer as much funding or be open to providing further financing should you need it. 

If you want to learn more about ecommerce seller financing options you can check out this article

Scale your store with Amazon Seller Funding from Uncapped 

For a cash flow that actually flows and the opportunity to invest in growth, fill out this 2-minute form and find out tomorrow if you qualify for Amazon Seller Funding from Uncapped.