Amazon Basics
Amazon Individual vs Professional Seller Account: Which to Choose?
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8 min read
Last updated Apr 08, 2025
If you’ve decided to start your Amazon selling journey, one of the first steps is choosing the right account type. Amazon offers two main options: the Individual plan and the Professional plan. Each solution comes with its own features, advantages, and disadvantages, which we’ll analyze in detail to help you determine which is best suited to your needs and business goals.
Amazon Individual Seller Account: Ideal for Getting Started or Selling Occasionally
Advantages
The Individual account is perfect for those new to e-commerce or looking to use Amazon as a secondary activity. This plan does not include a monthly fee; instead, you pay $0.99 per item sold. This makes it an excellent fit if you sell fewer than 40 products per month, allowing you to keep costs low and test the market without a large initial investment.
Additionally, Individual users still have access to primary Seller Central features—such as order management, inventory, and product listing creation—along with the seller forums, educational resources, and a chance to familiarize themselves with how the Amazon marketplace operates.
Disadvantages
However, the Individual account does come with certain notable limitations:
- It does not automatically calculate taxes.
- You must use Amazon’s standard shipping rates.
- You cannot create special promotions or deals.
- You cannot compete for the Buy Box or access certain restricted categories.
- You may face limitations integrating with third-party tools and software.
Requirements and Costs
To register as an Individual seller, you’ll need basic information: legal name or business name, address, phone number, email, ID documentation, bank account, and tax information. Amazon also requires identity verification via official documents. Additional costs vary by product category, including referral fees and specific commissions for certain items.
Amazon Professional Account: For Rapid Growth
Advantages
If you already have an established business, expect to sell more than 40 items per month, or want to scale quickly, the Professional plan is for you. The fixed monthly fee of $39.99 (regardless of the number of items sold) eliminates the per-item fee, making it more cost-effective for higher volume.
In addition, the Professional plan provides:
- Access to certain restricted product categories.
- The ability to compete for the Buy Box and increase visibility and sales.
- Use of Amazon’s advanced advertising and promotional tools.
- Full integration with third-party software for advanced analytics and automation.
- The option to create special promotions, custom discounts, and targeted marketing campaigns.
Disadvantages
The primary downside of the Professional plan is the $39.99 monthly fee, payable even in months when sales are minimal or nonexistent. Additionally, there may be extra fees depending on your product type, chosen strategies, and logistics. A careful financial plan is therefore crucial.
Requirements and Costs
Registering as a Professional seller requires the same information as the Individual plan, plus a defined logistics strategy (Amazon FBA, FBM, or another provider). For more information on these differences, you can review our guide to Amazon FBA vs FBM. Amazon may also ask for additional details regarding product sourcing and your chosen business model.
Which Account Should You Choose?
To decide which selling plan is right for you, consider the following:
- Projected sales volume: More than 40 products per month makes the Professional plan more cost-effective.
- Your interest in advanced features like advertising tools and the Buy Box.
- The types of products you plan to sell and any restricted categories.
- The frequency of inventory updates and the need for third-party software integration.
For more details, see the official Amazon selling plans page.
SellerMagnet: Your Ally No Matter Which Option You Choose
Whichever Amazon plan you settle on, SellerMagnet is there to support you. SellerMagnet offers essential tools for maximizing your business—ranging from product listing optimization to KPI tracking—plus a variety of free resources for Amazon sellers (learn more here).
Want to Explore More Topics?
- Free Tools: Explore our array of free tools for Amazon FBA and FBM sellers. Calculate product fees to gauge profit margins, analyze the title of your listing to improve visibility and final conversion, or convert any ASIN into EAN/UPC/ISBN (and vice versa) (read more).
- Amazon Listing Optimization: Enhance the conversion and ranking of your listings by discovering the best SEO strategies for Amazon in 2025 (more details).
- Realistic Earnings Estimate: Myths vs. Reality—Find out how much you can really earn by selling on Amazon (learn more).
Try SellerMagnet for Free!
Still undecided? No worries! Try SellerMagnet free for 7 days, without commitment or credit card. See firsthand how SellerMagnet can help you grow on Amazon, turning your idea into a successful business.
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Join a smarter way to manage your Amazon store.
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