Amazon Automation | FBA business run for you?!

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*1. Why do you charge 15% of revenue instead of 30% profit?*
Because our investors are worth being paid more.
Scenario #1
$100 revenue
$60 cost (manufacturing + FBA fees + JOD's cut) 
$40 profit 
$15 = 15% revenue
At 40% profit, the investor makes $40 per sale and Just One Dime (JOD) makes $15 per sale. (Profit margin is calculated including the cost of JOD's cut). 

Now let's switch that around: 
If we charged 30% profit instead of 15% revenue, the investor makes $38.5 per sale and JOD makes $16.5. At 40% margin, the investor makes less if Just One Dime takes 30% margin instead of 15% revenue. 

What if JOD takes 30% profit instead?
$100 revenue
$45 cost (manufacturing + FBA fees). Its $45 cost instead of $60 because we cannot include JOD's cut because JOD's cut is a percentage of the profit of the sale.
$55 profit
30% of $55 profit to JOD: $16.5 
Remaining 70% of $55 profit to the investor: $38.5 ($55-16.5). 

So even in this situation, when I use 40% as a minimum profit margin, the investor actually makes MORE money and as I said, this is better for the investor. 

*2. What if the store is not profitable?*
We will not invoice the investor if the Amazon store is not profitable. We use a tiered system that ensures the investor makes as much as or more than Just One Dime’s cut. When Amazon pays the investor, the payments go into the investor's bank account. The investor controls the Amazon revenue and then we send an invoice every three months.

For people who have been following Just One Dime for years, and understand how we work, especially those of our students who have had a lot of success, they naturally trust the Done For You program because they know us, so the terms of this deal made sense to them. For those new to this, we can see why some would question it. No, we do not want a business relationship with someone where it benefits only us. We want long term relationships with partners, something we have been already doing for years on a "non-program" level.

*3. How do you get such great profit margins?*
We only launch high ticket items. By selling a product for $100 to $200 the profit margins are much greater than selling a product for $20. There are two main reasons a more expensive item can give you far better margins:
a. Fixed costs. If you sell a $20 item versus a $100 item, and both items are the same size and weight, the cost you pay for the FBA fee and shipping fee are the *same.* For example, if $5 is going to FBA and shipping on a $20, that eats 25% of your sale. But if $5 is going to FBA and shipping on a $100 item, that is only 5% of your sale. By leveraging fixed costs, you can make way more money selling a high ticket item.

b. PPC fees are almost aways lower for high ticket items. Why? Because fewer sellers are bidding on them. If 1,000 people are bidding on a painting versus 10 people bidding on a painting, which scenario drives up the price more. Well of course the 1,000 people scenario. The same is true of PPC. And because far fewer sellers sell low cost items, PPC is way way less expensive for high ticket items.

Additionally, even if the PPC bid was the same for a low price and a high price item, let's say, $5, $5 is 25% of a $25 item but only 5% of a $100 item.

*4. Why not invest your own money?*
For the same reason companies go public on the stock market and investors invest to grow their money. Put another way, would you rather own 10% of a watermelon or 100% of a grape?

Our tax advisor and CPA is the same team who does Robert Kiyosaki's taxes. Their team wisely said, "If you want to grow your wealth, don't just invest your own money. Invest other people's money." By combining investors' money and our 50+ combined years of experience we make money together and everybody wins.

*5. Why do you charge $10,000 service fee per product?*
Because that's what we are worth. More specifically, it's for finding the product, building out a differentiation plan, finding & negotiating suppliers, managing creation of a mold (if needed), overseeing product inspection, managing logistics, keyword research, creating listings with strong copy, creating PPC campaign, testing the campaign & optimizing based on keyword reports, split-testing, and a ton more. The fees up front are for our 50+ combined years of experience.

It took us years to reach this level of experience. We've failed and succeeded a lot. Some value their time more than others, so they would rather pay for someone to do the work for them and turn this into a cash flow machine.

One more thing: This is NOT dropshipping like all the "Amazon Automation" programs out there. This is actually building a private-label brand. The investor owns the brand 100% and can sell it at any time as well.

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