With an impressive 85% of Canadians using Amazon monthly, translating to a staggering 161 million monthly visitors, selling on Amazon Canada came out as a dominant player in the ecommerce market. This presents a massive opportunity for sellers to reach a wider audience and drive significant growth. 

By using Amazon’s platform, you can reach a wide audience and grow your business exponentially. However, going through the complexities of selling on Amazon Canada account requires a deeper understanding of its unique regulations, logistics, and customer preferences. 

How to Set Up an Amazon CA Seller Account

To set up Amazon.ca Seller Account is a pretty straightforward process 

1. Visit Amazon Seller Central Canada: Head over to Amazon Seller Central Canada and click on “Create your Amazon account”. 
2. Choose your Selling Plan: Amazon Canada offers two selling plans: Individual and Professional. The Individual plan is ideal for sellers with a limited product catalog and occasional sales, with a per-item fee for each sale. The Professional plan caters to higher volume sellers and comes with a monthly subscription fee, but offers additional features such as bulk listing tools and access to Amazon Business reports. 
3. Provide your Business Information: You’ll need to enter your business name, address, you can enter your legal name and personal details. 
4. Payment Information: Link a valid credit card to your account for any applicable selling fees. 
5. Tax Information: Provide your Canadian tax information, including your Business Number (BN) if you have one, which is crucial for complying with Canadian tax regulations. 

Requirements for Amazon Canada Account Creation

To create a seller account on Amazon FBA Canada, you’ll need to meet the following requirements: 

• Age: You must be at least 18 years old. 
• Valid Identification: A valid government-issued photo ID. 
• Contact Information: Provide a valid phone number and email address. 
• Business Registration: For Professional sellers, you’ll need to be a legal resident of Canada or have a registered business in Canada. Individual sellers may also be required to provide additional information.

Fulfillment Methods for Amazon Canada

There are two primary Amazon fulfillment services Canada available to sell on Amazon Canada: 

Fulfillment by Merchant (FBM)

With FBM, you, as the seller, take full responsibility for storing, packing, and shipping your products to customers. 

This approach offers greater control over your brand, packaging, and customer experience. However, it also requires more time, effort, and resources to manage inventory, shipping logistics, and customer service. 

Fulfillment by Amazon (FBA)

FBA simplifies the fulfillment process by using Amazon’s wide network of fulfillment centers. 

Amazon handles storage, picking, packing, and shipping of your products, allowing you to focus on other aspects of your business. 

While FBA can offer faster shipping times and improved customer satisfaction, it comes with additional fees for storage, picking, packing, and shipping.

Selling Fees for Amazon Canada

Amazon Canada charges various fees to sellers: 

Referral Fees: A percentage of the total sales price of each item sold. 

Closing Fee: A small fee charged per item sold. 

Monthly Professional Seller Fees: A monthly fee for access to advanced seller tools and features. 

FBA Fees (if applicable): Storage fees, picking and packing fees, and shipping fees for products fulfilled by Amazon.

Learn More: Guide to Amazon Canada Selling Fees

What You Need to Know about Canadian Tax and Regulations

Canada collects federal sales tax, called Goods and Services Tax (GST) or Harmonized Sales Tax (HST). 

You may be required to register for and collect GST/HST on your sales if you meet certain thresholds. Amazon will automatically collect and remit GST/HST on your behalf if you are registered. 

The provinces of Ontario, New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island have a Harmonized Sales Tax (HST) that combines GST and PST. 

Some Canadian provinces have additional provincial sales taxes (PST) that may apply to your sales. 

How to sell on Amazon Canada from the U.S.

Selling on Amazon Canada from the US can be a great opportunity to expand your ecommerce business. However, there are specific considerations and steps involved to make sure compliance with Canadian regulations and optimize your sales. 

As a US seller, you may be required to register for and collect Goods and Services Tax (GST) or Harmonized Sales Tax (HST) on your Canadian sales. 

Be aware of import duties and taxes that may apply to your products when shipping them to Canada 

Consider using Fulfillment by Amazon (FBA) to streamline your shipping process and improve delivery times for Canadian customers. 

Sellin on Amazon Canada from USA Step-by-Step

1. Create an Amazon Seller Central Account: Follow the same process as creating a US account, but select Canada as your marketplace. 
2. Provide Business Information: You’ll need to provide information about your US business, including your business address and tax ID.
3. Register for Canadian Taxes: If necessary, register for a Canadian business number (BN) and comply with Canadian tax regulations. 
4. Choose a Fulfillment Method: Consider using FBA to simplify shipping and logistics, or explore other options like partnering with a Canadian 3PL. 
5. List Your Products: Create detailed product listings, including accurate product descriptions, high-quality images, and relevant keywords. 
6. Price your Products Competitively: Research pricing strategies and consider factors like shipping costs, currency exchange rates, and competitive pricing. 
7. Comply with Canadian Regulations: Adhere to Canadian Labeling, packaging, and safety standards. 

Selling on Amazon Canada FAQ

Can You Sell on Amazon.ca if You Live in a Different Country? 

Yes, you can absolutely sell on Amazon.ca if you live in a different country. While you don’t necessarily need to be a resident of Canada to sell on Amazon.ca, you will need to have a registered business in Canada. 

You may be required to register for and collect Goods and Services Tax (GST) or Harmonized Sales Tax (HST) on your Canadian sales, depending on your sales volume and location of your business. 

Shipping products internationally can be complex and expensive, therefore, consider using fulfillment by Amazon (FBA) to store inventory in Canadian fulfillment centers, which can simplify logistics and expedite delivery times for Canadian customers. 

What Are the Benefits of Selling on Amazon.ca vs Amazon.com? 

The Canadian market is smaller than the US, resulting in less competition for product listings, making it easier for your products to stand out and potentially leading to higher sales conversion rates. 

Due to less competition, you may have more flexibility in setting your prices on Amazon.ca, potentially leading to higher profit margins. 

By selling on Amazon.ca, you can tailor your product listings and marketing strategies specifically to the Canadian market and its unique consumer preferences. 

Do You Need a Canadian Business License to Sell on Amazon.ca?

To give a simple answer, it all depends on your business structure and how you operate. 

A Canadian Business License can vary by province or municipality and may be related to specific industries or activities. 

A Business Number (BN) is a unique identifier issued by the Canada Revenue Agency (CRA) and is used for Tax purposes. While not mandatory for all sellers on amazon.ca, you will likely need a BN if you register for GST/HST, import or export goods, and employ people in Canada.