Streamline your business with Amazon FBA prep centers: Tips & examples

Remember that rush of excitement when you shipped your first Amazon order? The careful packaging, the perfectly placed label, the satisfaction of dropping it at the shipping center? Fast forward a few months, and that warm fuzzy feeling has probably given way to something less magical: drowning in packing materials while racing to meet shipping deadlines.

As orders multiply, your living room transforms into a makeshift warehouse. Kitchen tables disappear under mountains of products waiting to be prepped. Family members navigate obstacle courses of inventory just to reach the bathroom.

This is where Amazon FBA prep centers enter the picture. These specialized facilities handle all the tedious preparation work before your products reach Amazon’s fulfillment centers. 

In this guide, we’ll dive into exactly what prep centers do, how they can transform your Amazon operation, and which ones deliver the best bang for your buck.

What is an Amazon prep center?

A concept as straightforward as it sounds, a prep center is essentially a hub designed to facilitate the preparation of orders for Amazon fulfillment. As a merchant, you send your inventory to the prep center and leave the rest of the process to them.

An Amazon FBA prep center undertakes all the preparatory tasks, like quality checks, wrapping, labeling, and packaging. Often, its role extends further with more comprehensive services that cover other warehousing, logistics, and fulfillment needs.

How much does it cost to use an Amazon FBA prep center?

The actual cost of Amazon FBA prep services varies depending on the service provider, the type and level of services required, the size and volume of products, and other factors. Some FBA prep centers require a monthly subscription, while others provide per-unit pricing for a minimum number of units per month.

Generally, you can expect to shell out approximately $1.00 to $2.00 for each item that the center handles. Aside from the base price, there could also be additional charges for warehouse storage, special packaging materials, FNSKU labeling, and other add-on services.

Before signing up for a service, clarify your plan or package. Ask for a detailed list of the services covered under your quoted price. Read the fine print in the contract or agreement form to avoid nasty surprises when billing time comes.

Some examples of Amazon FBA prep centers

There are hundreds of FBA prep centers in the United States. With such a long list of choices, finding the right one can be overwhelming. You can narrow down your choices by simply searching the web (or your favorite AI tool) for “FBA prep center near me” or “FBA prep center in [location]”. But to make it even easier for you, we’ve shortlisted some top FBA prep centers today.

1. MyFBAPrep

MyFBAPrep has earned its reputation in the industry from decades of delivering exceptional preparation services to businesses of varied sizes. With over a hundred warehouses spread across the US, Europe, the UK, Canada, and Mexico, it makes it easier for Amazon sellers to reach a global market. If you plan on expanding to the Asian market, it is worth noting that MyFBAPrep will soon be opening a prep center in China.

MyFBAPrep ensures compliance with Amazon’s stringent standards by setting equally stringent controls in its prep centers. Every product is meticulously examined for quality, quantity, proper labels, packaging, and other aspects crucial to shipping prep.

FBA prep is just one of the many services in the comprehensive suite of omnichannel solutions offered by MyFBAPrep. It also offers direct-to-consumer fulfillment, temperature-controlled logistics, retail replenishment, and reverse logistics, among many others. This makes it a great prep center for businesses selling on multiple channels and serving multiple regions.

Turnaround time: 24 to 72 hours

Location: Headquarters in Florida, Multiple prep centers (local and international)

Pricing: Standard plan starts at $0.95 per unit for 5,000 units per month

2. Smart Prep Center

Operating from its Delaware base, Smart Prep Center offers a cost-saving advantage for Amazon sellers. With no sales tax levied within the state, it minimizes the costs involved in online selling. Aside from this, it also streamlines Amazon selling with services encompassing the entire FBA preparation spectrum.

Smart Prep Center can handle everything from product inspection and labeling to packaging and final shipment. Clients are given access to a dashboard where they can manage their personal accounts and monitor the preparation processes. The software also integrates with other ecommerce platforms for more convenient management of inventory across multiple marketplaces. 

Smart Prep Center also supports sellers under the FBM model by providing storage and delivery solutions. With no minimum order restrictions and flexible pricing, it is able to accommodate businesses of all sizes, especially start-ups.

Turnaround time: Up to 2 business days

Location: Delaware

Pricing: Starts at $0.70 per item in their Start Up plan

3. McKenzie Services

Founded in 2004 as an online retailer specializing in used books, McKenzie Services transitioned to a prep services company that aids Amazon FBA sellers with their warehouse logistics. This family-owned establishment employs a user-centric approach, with each client assigned a dedicated account manager and a client portal.

Headquartered in Oregon, McKenzie Services is able to offer tax-free addresses and import services. It accommodates a wide range of products, including wholesale, online arbitrage, retail arbitrage items, hazmat products, and used books.

The process for their FBA prep services is pretty straightforward. Create an account, send your items to McKenzie Services with unique address identifiers, await the issuance of UPS or FBA labels to your Seller Central account, and let the McKenzie team manage the rest of the steps for FBA prep. Access your client portal to monitor your inventory.

Turnaround time: Up to 7 business days

Location: Hillsboro, Oregon

Pricing: Starts at $1.20 per item for their Wholesale plan

4. Prep It Pack It Ship It

Operating since 2013, this company has established itself as a reliable provider of Amazon FBA prep services on the West Coast. Nestled in Los Angeles, its strategic location bears distinct advantages for sellers dealing with overseas inventory. Further bolstering its strategic positioning, the center’s proximity to expansive Amazon warehouses ensures efficient warehousing solutions.

Prep It, Pack It, Ship It offers an array of services that cater to the needs of sellers on Amazon, Walmart, Shopify, and other marketplaces. Its Amazon FBA prep services include FNSKU labeling, special packaging, bundling, carton-forwarding, storage, returns, and removals. It also provides an online dashboard where clients can manage shipments and monitor inventory levels from any location at any time.

Turnaround time: 1 to 2 business days

Location: Los Angeles, California and Springfield, Oregon

Pricing: Starts at $0.50 per unit and $2 per carton

5. ZonPrep

ZonPrep’s vast 90,000-sqft warehouse space and advanced digital systems accommodate Amazon-bound freight with high efficiency. Its software integrates seamlessly with Amazon accounts to facilitate inventory updates, shipping label generation, and overall business consistency.

Zon Prep’s meticulous handling ensures accurate inspection of incoming shipments. Products are labeled and packaged to comply with Amazon policies before they are sent to Amazon fulfillment centers. Beyond Amazon FBA prep services, it also offers FBA removals, online arbitrage, warehousing, and other forms of support. 

Turnaround time: 48 to 72 hours

Location: McDonough, Georgia

Pricing: Available upon request

How to choose an Amazon prep center

As an Amazon seller, choosing the right prep center is critical to your success. The list above is just five of the top Amazon prep centers today, but there are many others that can be suitable for your specific needs. With dozens of options, making the right choice can be confusing. Here are some of the factors that can help you navigate this daunting decision-making process.

Reliability

You will be entrusting your products to the prep center. So, you must make sure that it is reliable and trustworthy. Some key aspects of reliability are their experience in the industry, understanding of Amazon’s intricate rules, and ability to meet client expectations.

While the number of years in service should not be the sole basis, it helps establish a company’s reputation. However, more than the industry experience, it is more important to check if it is well-versed in Amazon’s guidelines and compliance protocols. You can also seek recommendations from fellow sellers and go through client reviews and feedback to gauge the quality of their services.

Location

The geographical location of your chosen prep center impacts your shipping costs and logistical efficiency. If your product sourcing or dropshipping involves overseas transactions, choosing a prep center near a shipping port could streamline your supply chain. 

The location of the prep center can also influence the amount of taxes you have to pay. For online sellers with customers across different states and jurisdictions, sales taxes can reduce competitive advantage and lead to compliance issues. One way to avoid these is to select a prep center located in sales-tax-free states, such as Delaware, Oregon, Montana, New Hampshire, and Alaska. Doing so can help you avoid unnecessary tax burdens.

Facilities

When it comes to Amazon FBA prep, size matters a lot. Prep centers with more than ample space for storage and processing can handle huge inventories, especially during peak seasons. Aside from space, look for centers equipped with advanced warehouse facilities and shipping tools.

Facilities like climate-controlled storage become invaluable if you deal with temperature-sensitive products, such as perishable goods. It ensures their quality remains uncompromised throughout the preparation process.

Technology

A prep center’s technology infrastructure improves your operational efficiency. If you’re scaling your Amazon business, this efficiency is critical to your success. In fact, 42% of consumers intend to buy more from retailers that provide efficient deliveries and collection services.

Choose a service provider that offers advanced software solutions capable of integrating with various ecommerce platforms. Look for features that support multichannel fulfillment, so you can manage orders across different sales channels. Keep in mind that a streamlined process mitigates errors and ensures a seamless fulfillment journey.

Budget

While prep centers offer valuable services, they do come at an additional cost. Striking the right balance between pricing and services is imperative for business sustainability. Begin by establishing a clear budget allocation that aligns with your financial goals. Seek out prep centers that offer competitive pricing or comprehensive packages that fall within your predetermined budget range.

The benefits of using an Amazon prep center

As your business grows, you can scale faster if you delegate routine tasks to third-party providers. You’d be surprised at how much time, effort, and space you can save by handing fulfillment prep tasks to these pros.

More time to make your business better

Putting products together, printing FNSKU labels, packaging items, and labeling shipping boxes takes a huge chunk of your time–time you could otherwise use to find more great products to sell and improve your business.

By using Amazon prep centers, you can focus your time and efforts on sourcing new products, running marketing campaigns, managing inventory, and monitoring orders. With 59% of all paid units coming from 3P sellers in Q1 2023, you’d want to do everything possible to remain competitive and get a huge chunk of this market share.

Better cost-efficiency

Using third-party services costs money, but it can also help you save a lot in the long run. With Amazon FBA prep services, you actually save on having to invest in equipment and supplies for labeling and packaging. FBA prep providers typically include these in their prep packages.

And like we mentioned above, using prep centers in certain states or regions also allows you to minimize the taxes you have to pay when catering to buyers from other locations.

More space for inventory

If, like many Amazon sellers, you run your business from home, your space can get pretty cramped when orders come piling in. As your business gets bigger, you’re bound to run out of room for all your products. An FBA prep center can give you the extra space you need for a bigger inventory.

Faster business growth

Amazon FBA prep centers can definitely help you scale your business faster. These centers have processing systems that run like clockwork and quickly prep your products. Equipped with expansive warehouse space and skilled labor, they can handle large shipments for scaling businesses.

With prep centers, you can have your products prepped and ready to be sent to Amazon fulfillment centers in a day or two. With this efficiency and the provided storage space, you can handle more orders without sacrificing product quality and your sanity.

Prepping the path to Amazon success

Your growth on Amazon shouldn’t be limited by how many boxes you can pack in a day. The journey from packing orders at your kitchen table to running a thriving ecommerce business requires smart delegation—knowing when to hold onto tasks and when to hand them off.

Amazon FBA prep centers represent that crucial turning point for sellers ready to level up. They eliminate the physical bottlenecks that prevent scaling, freeing you to focus on the strategic work that actually grows your business: finding new products, optimizing listings, and building your brand.

The five prep centers we’ve highlighted each bring unique advantages to the table. Whether you prioritize tax savings, strategic location, technological integration, or specialized handling capabilities, there’s a prep solution tailored to your specific needs.

Ready to start focusing on growth? Seller 365 includes all the tools you need to manage your Amazon business efficiently, from product sourcing to profit tracking. When paired with the right prep center, you’ll have a powerful combination that transforms how you operate and scale your Amazon business.

Try Seller 365 today and discover how much easier selling on Amazon becomes when you have the right systems in place… both for prep work and for every other aspect of your business.