How to Start an Amazon Business in India: Complete Step-by-Step Guide (2026)

Every day in India, someone leaves their job, puts their first product on Amazon, and within six months makes more money than they ever did at their old company. This is real. It is happening in small towns, in rented rooms, in tiny godowns across the country.

Starting an Amazon business in India in 2026 is very much possible. The platform has over 10 lakh active sellers, crores of buyers shopping every day, and a delivery network that ships your orders without you touching them. But easy to start does not mean easy to get right. The seller registration, GST filing, business registration, brand protection, and account rules all need to be set up properly from day one.

This guide walks you through every step, from the legal setup to your first sale and everything after that. LegalRaasta helps Amazon sellers get everything in place from day one: company registration, GST, trademark, and full legal support all in one place.

Who Can Start an Amazon Business in India?

Pretty much anyone can. Here is what Amazon India asks for:

• Indian citizen above 18 years of age
• PAN card (personal or business)
• Bank account in India
• GST number (needed for most products)
• Working email ID and phone number

Both individuals and registered companies can sell on Amazon India. But if you are planning to grow, starting with a Private Limited Company or LLP is the smarter move. It makes you look more serious to suppliers, keeps your GST cleaner, and is needed if you ever want funding or want to join Amazon Brand Registry.

Documents Required to Start an Amazon Business in India

Keep all these ready before you start registration. It saves a lot of back and forth.

Do You Need GST Registration to Sell on Amazon India?

Yes, for almost everything. Amazon India makes GST registration compulsory for sellers who sell taxable products. The only people who can skip it are those selling only GST-exempt items like certain fresh farm produce, which is a very small group.

If your yearly sales cross Rs 40 lakh for goods or Rs 20 lakh for services, GST is legally required anyway. For online sellers, there is no minimum limit. You need a GSTIN before your listings go live.

GST registration takes 3 to 7 working days on the government portal. Your GSTIN shows up on every Amazon invoice and is used to calculate tax on each sale.

Which Business Structure Works Best for an Amazon Business?

For serious sellers, a Private Limited Company is the best choice. Amazon Brand Registry needs it, suppliers take you more seriously, and it becomes important if you ever want to sell your business or raise money. LLP is a decent option if you want limited liability but less compliance work.

Step-by-Step Process to Start an Amazon Business in India

This guide explains starting an Amazon India business, covering business incorporation, GST registration, bank setups, listings, and brand protection.

Step 1: Register Your Business

Pick your structure and register on the MCA21 portal. For a Private Limited Company, the SPICe+ form does everything in one go: incorporation, PAN, TAN, and bank account. Takes 3 to 7 working days.

Step 2: Get GST Registration

Apply on the GST portal at gstin.gov.in. You need your incorporation certificate, PAN, address proof, and bank details. GSTIN comes within 3 to 7 working days after Aadhaar verification.

Step 3: Open a Business Current Account

Amazon settles your payments into a current account. Banks will ask for your incorporation papers, PAN, and GST certificate when you open one.

Step 4: Create Your Amazon Seller Account

Go to sellercentral.amazon.in and sign up. You need your PAN, GST number, bank details, and address. Pick your store name wisely because it shows on every listing you create.

Step 5: List Your Products

Write clear titles, add good bullet points, upload quality photos, and set your price. Use the right HSN code for GST. Good photos and honest descriptions help you rank better inside Amazon search.

Step 6: Pick Your Delivery Method

Choose between Amazon FBA (Amazon stores and ships for you) or self-shipping through your own courier. This affects your costs, delivery speed, and your chances of winning the Buy Box.

Step 7: Register Your Trademark

Apply for your brand trademark on the IP India portal under the right product class. Even with a pending application, you can join Amazon Brand Registry and protect your listings from copycats.

Amazon FBA vs Self-Fulfilment: Which One Should You Pick?

FBA is worth it once your orders justify the extra charges. When you are just starting out with a few products, self-shipping keeps costs down while you figure out what sells.

Amazon Seller Fees in India

Know these numbers before you set your price:

• Referral Fee: 2% to 17% of your selling price depending on category
• Closing Fee: Fixed charge per item for categories like electronics and books
• FBA Fees: Charged per unit based on size and weight
• GST on Fees: 18% GST on everything Amazon charges you
• Shipping Fee (Self-ship): Paid to your own courier, not Amazon

Work out your margin after all these cuts before you price anything. Many new sellers do not do this math and lose money on their first few hundred orders.

Legal Compliance for Running an Amazon Business in India

Once you are live, these are the ongoing requirements:

• GST Returns: File GSTR-1 and GSTR-3B every month or quarter
• TCS Credit: Amazon cuts 1% TCS from your sales and pays it to the government. Claim it back when filing GST returns.
• Income Tax: Report all Amazon income in your yearly ITR. Most sellers file ITR-3 or ITR-4.
• Trademark Renewal: Your trademark lasts 10 years. Renew before it expires, or you lose Brand Registry access.
• Account Health: Amazon tracks your cancellation rate, late shipping, and policy violations. Too many issues and your account gets suspended.

Why Trademark Registration Matters for Your Amazon Business

Without a trademark, anyone can copy your brand name. A competitor can sell low-quality products under your exact name, and Amazon cannot do much unless you have legal proof of ownership. With a registered trademark, you get:

• Full access to Amazon Brand Registry
• Tools to report and remove fake listings and unauthorised sellers
• A+ Content for better-looking product pages
• Sponsored Brand ads that appear at the top of search
• Legal right to take action under the Trade Marks Act, 1999

Government trademark fees start at Rs 4,500 per class for individuals and MSMEs. You apply at ipindia.gov.in. Full certificate takes 12 to 18 months, but Brand Registry access starts from your filing date using the application number.

Common Mistakes New Amazon Sellers Make

• Going live without GST: Amazon suspends your listings immediately
• Wrong product category: Wrong HSN code causes problems during tax audits
• No trademark: Your brand has zero protection the moment you list
• Bad pricing: Not calculating referral fees, FBA charges, and GST on fees properly
• Starting as a sole proprietor and planning to grow: Causes issues with banks, investors, and brand partnerships
• Not checking account health: Suspensions happen fast and without much warning

How Much Money Do You Need to Start an Amazon Business?

You can start small with Rs 50,000 to Rs 1 lakh if you pick one product, ship yourself, and keep stock low in the beginning. To reach Rs 5 to 10 lakh in monthly sales, you usually need to put your early profits back into stock and ads.

How LegalRaasta Helps Amazon Sellers

LegalRaasta takes care of the legal and compliance side so you can focus on selling:

• Private Limited Company or LLP registration through MCA
• GST registration and monthly return filing
• Trademark registration and Amazon Brand Registry support
• MSME and Udyam registration for cheaper fees and easier loans
• Yearly ROC compliance and MCA filings
• Help with reinstatement documents if your account gets suspended

Conclusion

Starting an Amazon business in India in 2026 is one of the most practical ways to build a real income or a proper brand. You get access to crores of buyers, a delivery system that works without you managing it, and tools that give small sellers the same visibility as big brands.

But the sellers who last are not just the ones with good products. They are the ones who set up their business properly, protect their brand with a trademark, stay on top of GST every month, and run their Amazon store like an actual business.

Connect with LegalRaasta today and get your company, GST, and trademark done before your first listing goes live.

Frequently Asked Questions

• How do I start an Amazon business in India?

Register your business, get GST, open a current account, then sign up at sellercentral.amazon.in. Your Amazon business account needs PAN, GSTIN, and bank details to go live.

• Is GST registration mandatory for an Amazon business?

Yes. Amazon India needs a valid GSTIN for most products. Without it, your Amazon business listings will be suspended on the platform.

• Which business structure is best for selling on Amazon India?

Private Limited Company suits an Amazon business that wants to scale, use Brand Registry, or raise money. Sole proprietorship is only fine for very small, low-volume selling.

• What documents are needed for Amazon seller registration?

Your Amazon business account needs PAN, GSTIN, bank details, address proof, and a business registration certificate if you are a company or LLP.

• What is Amazon Brand Registry and who can join?

Brand Registry keeps your Amazon business safe from listing hijackers. You need a registered trademark or a pending application in the right product class to apply at brandregistry.amazon.in.

• What are Amazon seller fees in India?

An Amazon business pays referral fees of 2 to 17% per sale, closing fees on some categories, FBA charges if using Amazon delivery, and 18% GST on all Amazon fees.

• What is Amazon FBA and should I use it?

FBA means Amazon keeps and ships your stock. It makes your Amazon business Prime-eligible and improves Buy Box chances. Works best for standard products selling in good volume.

• How much money do I need to start an Amazon business in India?

A basic Amazon business can start with Rs 50,000 to Rs 1 lakh, covering registration, stock, and packaging. Reaching steady monthly revenue usually means putting early profits back in.

• Is trademark registration needed for an Amazon business?

Not compulsory to start, but very important. Without a trademark, your Amazon business brand can be copied, and Amazon has very limited ways to help you without IP proof.

• How does LegalRaasta help with an Amazon business?

LegalRaasta handles company registration, GST, trademark, and Brand Registry support so your Amazon business is legally set up and protected from the first day you go live.