Sole Proprietor to LLC
I’ve been a seller with a professional account but as a Sole Proprietor since I begin selling on Amazon a few years ago. With the new year around the corner (2025) I would like to switch over to an LLC.
Could someone direct me to where I can go to find the necessary information to do so? Is the process easy with Amazon or will it be a headache winding me up with a deactivated account?
Sole Proprietor to LLC
I’ve been a seller with a professional account but as a Sole Proprietor since I begin selling on Amazon a few years ago. With the new year around the corner (2025) I would like to switch over to an LLC.
Could someone direct me to where I can go to find the necessary information to do so? Is the process easy with Amazon or will it be a headache winding me up with a deactivated account?
8 replies
CR_Amazon
Hi there @Seller_DaYqvZ1SJ9GN0
CR from Amazon here, thank you for the post. While I am unable to provide specific tax advice, I have provided several resources below with more information on Amazon tax guidelines.
After review, if your question is still unanswered, I recommend that you create a case to Seller Support with your question since it is more specific and they can engage the Tax department.
CR_Amazon
Seller_7nq8elTgFKBnk
It shouldn't be too difficult. Just update your information in account settings. You'll have to go through another round of ID verification.
Just make sure your LLC is all set up and ready to go, including your new bank account if you're changing that, before you update your information.
Seller_Qbd0RsfZFEZBY
This is not as intuituve as you would think.
You need all paperwork in the new business entity name FIRST and all paperwork IN HAND.
That means bank accounts, credit cards, insurance, supplier invoices, business license, tax certificates, articals of incorperation all in hand before changing anything.
Then change the purchasing account FIRST. Every seller has 2 Amazon accounts minimum, a purchasing and a selling. The selling account is accessed with seller central. The purchasing account is accessed on amazon.com. The Amazon dot com account needs to be changed first. Then wait 2 days for the changes to apply.
Only then can the seller central account changes be entered.
Seller_4HsL3GZbyDLea
We did this a few years ago. Actually, March 2022 to be exact. It was pretty straight forward. You will just need to do a new "tax interview" I believe it's called. Send in your relevant articles of incorporation or tax id. You will probably need to do a new state tax id, too. Not sure where you are. Change the bank account.
Will you do an S-Corp, LLC? Probably the easiest. At least our Florida attorney thought so.
Most things Amazon related are nightmarish. But this process was fairly easy.
Seller_yKsH1VcZkLlOV
The process is relatively easy, I will only make you a recommendation, have everything ready, all your LLC registration including your bank account, start the Amazon process one day after your disbursement of money, that will give you two weeks if something It happens this will give you time to correct so that your next disbursement arrives without problems
Seller_CW0P5hgbsiqWX
Don't do anything with your Amazon account.
Your new LLC simply own the Amazon account as an asset. If you are a Sole-Member LLC, Amazon is still required to report your income under your SS Number.
